Nite Creamery
Bottom line
- Total investment $113K – $713K including a $35K franchise fee, 6.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 72/100. SBA loan default rate of 0.0% across 1 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 Nite Creamery unit return on the cash you put in?
Unlevered ROIC · per unit
17%
Below typical band (30–60%)
Overview
About
Nite Creamery franchisees operate ice cream retail shops, likely focused on evening/late-night service based on brand positioning. Day-to-day operations include inventory management, customer service, point-of-sale transactions, product preparation, staffing, and store maintenance. The model likely emphasizes extended hours and novelty offerings to differentiate in the crowded ice cream market.
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 · 24 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
Early-stage ice cream franchise with unproven unit economics, missing financial disclosures, franchisor going concern issues, and no territorial protection — represents high execution risk with limited franchisee success data.
Score breakdown · what drove the 72 / 100 rating
- 01MINOROnly 2 existing units indicates nascent/stalled system with no demonstrated scalability or franchisee success proof
- 02MEDNo average revenue or net income disclosed (missing Item 19) — impossible to validate ROI on $113k-$712k investment
- 03HIGHGoing Concern = False suggests financial instability or operational uncertainty at franchisor level
- 04MINORNo protected territory creates direct competition risk and cannibalization between franchisees
- 05MINOR$1,200/month minimum royalty (vs. 6% of gross) penalizes low-revenue locations and indicates weak unit economics
- 06MINORWide investment range ($113k-$712k spread of 530%) suggests inconsistent buildout costs or undefined unit models
- 07MINOR5-year term is relatively short; limits ability to recoup investment or build equity
- 08HIGHNo disclosed litigation history suspicious given only 2 units (harder to have disputes with tiny system)
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
24 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Nite Creamery · FDD (2025) PDF