Bottom line
- Total investment $157K – $551K including a $40K franchise fee, 3.0% ongoing royalty.
- Average unit revenue of $664K/year (median $612K).
- Rated STRONG with a risk score of 51/100. SBA loan default rate of 0.0% across 44 loans (below the industry average).
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one Ben & Jerry’s unit return on the cash you put in?
Unlevered ROIC · per unit
16%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Ben & Jerry’s units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$399K
on $2.0M purchase
Total debt
$1.6M
SBA $1.0M + senior + seller note
Overview
About
Franchisees operate scoop shops selling Ben & Jerry's branded ice cream, frozen yogurt, and related products in protected territories. Day-to-day operations include inventory management, point-of-sale transactions, staff scheduling, in-store promotions, and local marketing within Unilever's brand guidelines. Shops typically operate seasonally or year-round depending on location.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 17 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 phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
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.
Score breakdown · what drove the 51 / 100 rating
- 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
- 04MINORHigh initial investment ($156.9K-$550.8K) paired with modest average revenue ($664.3K) yields thin margins before operating costs
- 05MINORMultiple settlements/disputes over social responsibility (Israel/West Bank, supply chain) create reputational risk and potential operational constraints
- 06HIGHFalse going concern status unclear but warrants immediate clarification on financial health
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
95 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Ben & Jerry’s · FDD (2025) PDF