Bruster’s Real Ice Cream
Bottom line
- Total investment $409K – $2.6M including a $40K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $745K/year (median $673K).
- Rated STRONG with a risk score of 51/100. SBA loan default rate of 0.0% across 178 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 Bruster’s Real Ice Cream unit return on the cash you put in?
Unlevered ROIC · per unit
5%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Bruster’s Real Ice Cream units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$447K
on $2.2M purchase
Total debt
$1.8M
SBA $1.1M + senior + seller note
Overview
About
Franchisees operate full-service ice cream shops serving premium handcrafted ice cream, frozen yogurt, and treats. Day-to-day operations include managing production/scooping, retail sales, inventory management, and seasonal staffing. Many locations operate as counter-service or small dining establishments with seasonal revenue volatility.
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 · 19 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
Bruster's presents moderate-to-cautious risk due to missing profitability disclosure, concerning going concern status, sluggish growth, and opaque financial returns despite reasonable royalty rates and protected territories.
Score breakdown · what drove the 51 / 100 rating
- 01MEDNo Item 19 (Average Unit Volume) disclosed - inability to validate $745k average revenue claim or actual profitability
- 02HIGHGoing Concern = False suggests potential financial instability at franchisor level, raising sustainability questions
- 03MINORSlow unit growth of 6.2% YoY indicates market saturation or franchisee struggles in a mature system of 206 units
- 04MINORWide investment range ($409k-$2.6M) with no net income disclosure creates uncertainty about actual ROI and payback period
- 05MINORModest 5% royalty may mask franchisor's financial weakness or indicate underfunding of support services
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
100 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Bruster’s Real Ice Cream · FDD (2025) PDF