Mister Softee
Bottom line
- Total investment $264K – $314K including a $8K franchise fee.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated MODERATE with a risk score of 57/100. SBA loan default rate of 0.0% across 10 loans (below the industry average).
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
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 Mister Softee unit return on the cash you put in?
Unlevered ROIC · per unit
22%
Below typical band (30–60%)
Overview
About
Franchisees operate ice cream/frozen dessert retail carts or kiosks, typically in high-traffic locations (parks, boardwalks, street corners). Day-to-day involves managing inventory, cash handling, equipment maintenance, operating seasonal routes, and customer service in outdoor/mobile settings.
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 · 25 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
Mister Softee presents caution-level risk: stagnant growth, missing profitability disclosure, unclear franchisor financial health, and high capital requirements relative to transparent returns.
Score breakdown · what drove the 57 / 100 rating
- 01MEDNo Item 19 (average revenue/net income) disclosed — impossible to assess actual profitability or ROI
- 02MINORStagnant unit growth at 1.2% YoY indicates mature/declining system with minimal expansion momentum
- 03MINORHigh initial investment ($263.5K-$314K) combined with low royalty ($3,855/year) suggests franchisor prioritizes upfront fees over ongoing support
- 04HIGHGoing Concern status is FALSE — suggests financial or operational stability concerns about the franchisor itself
- 05MINORSeasonal business model (ice cream) creates cash flow volatility and uneven performance quarters
- 06MINORThin disclosure package makes it impossible to validate break-even analysis or realistic payback period
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
97 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Mister Softee · FDD (2025) PDF