Kona Ice
Formerly known as KII
Bottom line
- Total investment $179K – $227K including a $15K franchise fee.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated STRONG with a risk score of 46/100. SBA loan default rate of 0.0% across 56 loans (below the industry average).
- System growing at 22.4% CAGR over 3 years with 1820 total units — strong expansion trajectory.
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 Kona Ice unit return on the cash you put in?
Unlevered ROIC · per unit
33%
In Yale's "attractive" band (30–60%)
Overview
About
Franchisees operate mobile or fixed-location shaved ice kiosks, selling flavored frozen treats primarily to consumers in warm-weather markets. Day-to-day operations involve inventory management, point-of-sale transactions, customer service, and seasonal marketing. Revenue is highly dependent on weather, foot traffic volume, and local competition.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 6 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
Kona Ice presents moderate-to-cautious risk: thin financial transparency, modest growth trajectory, and heavy reliance on seasonal demand without disclosed unit economics.
Score breakdown · what drove the 46 / 100 rating
- 01MEDNo Item 19 (Average Revenue/Net Income) disclosed — impossible to validate ROI claims or profitability benchmarks
- 02MINORModest unit growth of 8.7% YoY suggests market saturation or franchisee struggles in a seasonal business model
- 03MINORFlat/low royalty structure ($3,000–$5,000/year) may indicate franchisor dependency on franchise fees rather than system health
- 04MEDHigh initial investment ($178k–$227k) relative to disclosed information creates unquantified risk exposure
- 05MINORSeasonal revenue model (frozen treats) creates cash flow vulnerability; no disclosure of off-season survival strategies
- 06MED10-year term is relatively long; redemption/exit clauses not disclosed
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
Kona Ice · FDD (2025) PDF