Ben & Jerry’s Franchise Cost, Revenue & Review 2026
- Investment
- $280K – $631K
- Disclosed sales
- $665K
- gross sales, not profit
- SBA charge-off
- 0.0%
- on 20 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Ben & Jerry's is an ice-cream franchise operating scoop shops serving its premium ice cream, sorbet, and frozen desserts. Franchisees run shops managing scooping, cakes, inventory, and counter service.
FranchiseVerdict summary · 2026
A Ben & Jerry’s franchise requires a total initial investment of $280K – $631K, including a $20K – $40K franchise fee and an ongoing 3.0% royalty[2]. Per the 2026 FDD, average unit revenue was $665K[2]. SBA 7(a) loans show a 0.0% charge-off rate across 20 loans[1]. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: low - issued within the last 12 months
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✓ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored8 of 8 headline figures on this page cite a page of the filing.
Overview
- Investment
- $280K – $631K
- 32nd pct Retail
- Avg gross sales
- $665K
- 7th pct Retail
- Royalty
- 3.0%
- 1st pct Retail
- Units
- 157
- 32nd pct Retail
- SBA charge-off
- 0.0%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Retail · color = vs category peers
Green = favorable by >10% vs Retail median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $280K – $631K including a $40K franchise fee, 3.0% ongoing royalty.
- RETURNSAverage unit revenue of $665K/year (median $584K).
- RISKVerdict B (Above average), verdict score 66/100 (higher is better). SBA loan charge-off rate of 0.0% across 20 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHPositive: net +3 franchised outlets in the latest year (7 opened, 4 closed); 8 signed but not yet open (Item 20).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Ben & Jerry's Franchising, Inc.
- Parent company
- Ben & Jerry's Homemade, Inc.
- FDD Item 1, page 10 of the 2026 FDD
- Ultimate parent
- The Magnum Ice Cream Company N.V. (TMICC)
- FDD Item 1, page 10 of the 2026 FDD
- Predecessor
- Ben & Jerry's Homemade, Inc. (Homemade)
- Prior franchisor entity
- CEO title
- Chief Executive Officer
- Jochanan Senf
- Incorporated in
- Vermont
- HQ
- 35 Thompson Street, South Burlington, Vermont 05403-6828
- Auditor
- KPMG LLP
- Audited financials
- Franchisor revenue
- $2.5M
- vs $12.7M prior year
Overview
About
- CEO
- Jochanan Senf
- Headquarters
- Vermont
- Founded
- 1978
- FDD year
- 2026
- States available
- 28
Can you afford it, and what does the money buy?
Entry cost runs 36% above the typical retail franchise.
Source: FDD 2026 · Items 5–7
Full Item 7 breakdown15 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Fee | $8K | $40K | |
| Plans, Development & Permits | $4K | $13K | |
| Leasehold Improvements & Construction | $105K | $275K | |
| Furniture, Fixtures, Equipment, Casework, and Smallwares | $85K | $165K | |
| Signage | $6K | $22K | |
| Professional Fees | $3K | $6K | |
| POS | $2K | $2K | |
| Online Ordering System Hardware | $1K | $2K | |
| Internet Connectivity, and Telephone | $1K | $2K | |
| Deposits | $3K | $8K | |
| Initial Training | $1K | $3K | |
| Inventory | $8K | $14K | |
| Insurance | $500 | $3K | |
| Grand Opening Advertising | $3K | $3K | |
| Additional Funds (3 months) | $50K | $75K | |
| Total initial investment | $280K | $631K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $280K – $631K
- Top 40% of category vs category
- Liquid capital req'd
- $50K – $75K
- Top 40% of category vs category
- Franchise fee
- $20K – $40K
- Top 40% of category vs category
- Royalty
- 3.0%
- typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 5.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 3.0% of gross sales |
| Marketing / ad fund | 2.0% |
| Technology fee | $4K |
| Training fee | $2K |
| Transfer fee | $7K |
| Renewal fee | $12K |
| Inventory (initial) | $6K – $14K |
| Total fee load | 5.0% of rev |
A 5.0% total fee load is unusually lean. More of each revenue dollar stays with the franchisee.
What do units actually make?
Average unit sales run 17% below the retail norm.
Source: FDD 2026 · Item 19
Single-unit · not modelled
Returns at a glance
An FDD discloses gross sales, not profit, and the operating costs that turn one into the other are in no filing. We publish no modelled return for Ben & Jerry’s until someone supplies them — yours, in the models below.
—
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
Total invested capital · disclosed
$518K
Item 7 initial investment plus working capital, as filed — the one figure here that needs no assumption.
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit, read against the 30–60% reference band · Yale SOM, Post-MBA Path Exhibit 2 (2023). Below that band a passive index fund likely outperforms; above it the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses, and it is the top line only — gross sales are not profit. No FDD discloses the operating costs that turn one into the other, so those fields start empty and nothing is modelled until you supply them from your own lease quote, labor market and build-out budget.
Returns model · single-unit ROIC
What would one Ben & Jerry’s unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
A 25-unit return is built on a per-unit EBITDA. Fill in the operating costs in Model A above and this model runs on that figure, or take the whole scenario to the full ROI workbench, where the portfolio and LBO models accept your own per-unit economics directly.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
- Avg gross sales
- $665K
- Per unit, per year
- Median gross sales
- $584K
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- Historical Gross Sales performance chart (by customer-profile segment: Community/Quick Fix/Tourist)
- Sample size
- 126 outlets
- vs category median 46 · large
- Range (low → high)
- $155K→$2.4MCited, not corroborated — printed on page 80 of the 2026 FDD. Nothing else in our record independently restates or re-derives it.
- Cohort dispersion (min → max)
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2026
- Disclosed in the 2026 filing, covering 2025
- Transparency
- 4 / 10
- vs category median 3 / 10 · above
Compared against 278 Retail brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $665K/year in gross sales. Revenue-to-investment ratio: 1.5x.
Fee burden
Total ongoing fee load of 5.0% — below the Retail median of 8.0%.
Disclosure
Transparency score 4/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System roughly stable (+4.0% 3-year CAGR) with 157 units.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Retail medians
How Ben & Jerry’s Compares
Category median of published Retail brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 157
- Opened
- 7
- Last reporting year
- Closed
- 4
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 2.5%
- Company-owned
- 2
- Corporate units in the system
- % franchised
- 99%
- vs corporate-owned
- Net growth (3-yr)
- +4.0%
- Net unit change over 3 years
- 3-yr CAGR
- +4.0%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 0
- Transferred
- 5
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 8
- 0.05 per open outlet · Item 20 Table 5
- Projected new
- 3
- Franchisor's next-year forecast
- Ceased ops
- 43.8%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 28 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Available to sell in · Item 12
- Hawaii
- Michigan
- Minnesota
- South Dakota
- Wisconsin
States where the franchisor is registered to sell new franchises (FDD registration filings).
Where the owners are · Item 20 owner list
131 current owners across 28 states; 8 former (terminated, transferred or not renewed) listed separately.
- CA 17
- FL 14
- MA 12
- NY 12
- NC 7
- VA 7
- CT 6
- TN 5
- TX 5
- WA 5
- SC 4
- IL 3
- +16 more states
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 20
- Loan volume
- $6.3M
- Median loan
- $351K
- 50th percentile
- Charge-off rate
- 0.0%
- on 20 loans · rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 100.0%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 12
- Defaults
- 0
- Typical loan rate
- 7.6%
- avg rate to borrowers
- vs industry
- N/A
- NAICS 7225
- Jobs supported
- 319
- 5.1 per loan
- Lender concentration
- 25%
- top lender's share
Borrower mix: 40% went to startups / new businesses, 60% to established operators
Top lenders financing Ben & Jerry’s franchisees
Showing 3 of 12 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for Ben & Jerry’s from SBA 7(a) FOIA data.
- Principal loss rate
- 0.0%
- Avg SBA guarantee
- 65%
- Avg interest rate
- 7.63%
- Lender concentration
- 25.0%
- Job velocity
- 5.1 per $100K
- Jobs supported
- 319
Top SBA lendersTop lender holds 25% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | 5 | N/A | N/A | |
| 2 | 4 | N/A | N/A | |
| 3 | 2 | N/A | N/A | |
| 4 | 1 | N/A | N/A | |
| 5 | 1 | N/A | N/A |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| MAMassachusetts | 6 | 0 | 0.0% |
| ILIllinois | 4 | 0 | -- |
| CACalifornia | 2 | 0 | 0.0% |
| NJNew Jersey | 2 | 0 | 0.0% |
| WIWisconsin | 2 | 0 | -- |
| COColorado | 1 | 0 | 0.0% |
| MOMissouri | 1 | 0 | -- |
| NCNorth Carolina | 1 | 0 | 0.0% |
| OHOhio | 1 | 0 | -- |
SBA 7(a) lending trend
Borrower profile
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
With a 0.0% charge-off rate across 20 loans, banks have historically viewed this brand favorably for lending.
What could kill this investment?
SBA loans charge off at 0.0% — 100% below the 16.0% national norm, i.e. lower lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Ben & Jerry's presents moderate-to-elevated risk due to stagnant unit growth, undisclosed profitability metrics, active corporate governance litigation, and high capital requirements relative to disclosed revenue.
Why this reads harsher than the B grade: the grade weighs financial health, unit economics, unit growth, scale, legal, and transparency across the whole filing, while this summary lists individual flags without that weighting. The flags are worth checking with current owners; neither is investment advice.
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
Item 3 discloses 8 distinct cases: (1) Class I Directors of Ben & Jerry's board (on behalf of Ben & Jerry's Homemade) v. Conopco/Unilever PLC/Ben & Jerry's Holdco/TMICC - breach of 2000 Acquisition Agreement and settlement agreement, pending; (2) Dana Hughes v. Homemade - CA Trap and Trace Law/TikTok tracking claim, pending; (3) Center for Environmental Health v. Aesop USA et al. (incl. Homemade) - CA Prop 65 BPS thermal paper claim, pending; (4) Mittal v. Unilever/TMICC/Senf - defamation/false light by former board chair, pending; (5) Dovid Tyrnauer v. Homemade - class action re: alleged migrant child labor supply chain, dismissed 2024; (6) Ido Ben-Ami v. Homemade (Israel) - anti-discrimination class action re: Israel/disputed territories, settled 2022 for $25,000 combined with Spiegelman case; (7) Rebecca Spiegelman v. Homemade (Israel) - same subject, settled jointly; (8) Avi Avraham Zinger/American Quality Products v. Homemade/Unilever US/Conopco - license termination dispute, settled 2022 via new business arrangement.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · KPMG LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: Yes
Score breakdown · what drove the 66 / 100 verdict
- 01MINORStagnant unit growth (2.0% YoY) suggests mature/declining system despite brand strength
- 02MINORNo Item 19 (net income) disclosure limits ability to verify $664K revenue translates to viable profit
- 03HIGHActive litigation between independent board and Unilever creates governance uncertainty and potential strategic misalignment
- 04MINORMultiple settlements/disputes over social responsibility (Israel/West Bank, supply chain) create reputational risk and potential operational constraints
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 5.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 5 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 1 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | No |
| Arbitration location | South Burlington, Vermont (judicial district where franchisor has principal place of business) |
| Jury trial waiver | Yes |
| Governing law | Vermont |
| Litigation count | 8 |
View Item 3 litigation summary
Item 3 discloses 8 distinct cases: (1) Class I Directors of Ben & Jerry's board (on behalf of Ben & Jerry's Homemade) v. Conopco/Unilever PLC/Ben & Jerry's Holdco/TMICC - breach of 2000 Acquisition Agreement and settlement agreement, pending; (2) Dana Hughes v. Homemade - CA Trap and Trace Law/TikTok tracking claim, pending; (3) Center for Environmental Health v. Aesop USA et al. (incl. Homemade) - CA Prop 65 BPS thermal paper claim, pending; (4) Mittal v. Unilever/TMICC/Senf - defamation/false light by former board chair, pending; (5) Dovid Tyrnauer v. Homemade - class action re: alleged migrant child labor supply chain, dismissed 2024; (6) Ido Ben-Ami v. Homemade (Israel) - anti-discrimination class action re: Israel/disputed territories, settled 2022 for $25,000 combined with Spiegelman case; (7) Rebecca Spiegelman v. Homemade (Israel) - same subject, settled jointly; (8) Avi Avraham Zinger/American Quality Products v. Homemade/Unilever US/Conopco - license termination dispute, settled 2022 via new business arrangement.
Items 10, 11
Training & Operations
- Classroom training
- 19 hrs
- On-the-job training
- 4 hrs
- Training location
- Scoop University, South Burlington, Vermont (corporate headquarters); may be conducted virtually in certain circumstances
- Ongoing training
- Required
- Field support
- 40 hrs/yr
- On-site visits per year
- Site selection
- franchisor (authorizes/denies proposed sites; provides limited site selection assistance under Development Agreement)
- Franchisor financing
- Not offered
- Item 10
- POS system
- Square-based POS System (Dashboard/Square Priority Support Services)
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Square-based POS System (Dashboard/Square Priority Support Services)
Item 20 · call current owners
Franchisee Contacts
139 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Ben & Jerry’s franchise?
The total investment to open a Ben & Jerry’s franchise ranges from $280K – $631K, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Ben & Jerry’s franchise owners earn?
According to Item 19 of the Ben & Jerry’s FDD, the average gross sales per unit is $665K. The median is $584K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
Who owns Ben & Jerry’s?
Ben & Jerry’s is franchised by Ben & Jerry's Franchising, Inc.. Its parent company is Ben & Jerry's Homemade, Inc.. The ultimate parent named in the FDD is The Magnum Ice Cream Company N.V. (TMICC). Source: FDD Item 1, 2026 filing.
What is Item 19 in the Ben & Jerry’s FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Ben & Jerry’s FDD and qualifies whose outlets they describe.
What is Ben & Jerry’s's franchise failure rate?
Based on SBA 7(a) loan data, Ben & Jerry’s has a charge-off rate of 0.0% across 20 loans, meaning 0.0% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Ben & Jerry’s franchise locations are there?
As of their most recent FDD filing, Ben & Jerry’s has 157 total units in the United States, including 155 franchised units and 2 company-owned units. 7 new units were opened in the latest reporting year.
Is Ben & Jerry’s a good franchise to buy?
FranchiseVerdict rates Ben & Jerry’s as a B-grade franchise with a verdict score of 66 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.