FranchiseVerdict
Ralph's Famous Italian Ices logo
FV-02096·MODERATEStandard76

Ralph's Famous Italian Ices

Food & Beverage - Ice Cream & DessertsFranchising since 2001Website
Investment
$112K – $318K
10th pct Ice Cream & D…
Avg revenue
59th pct Ice Cream & D…
Royalty
Units
83
68th pct Ice Cream & D…
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $112K – $318K including a $20K franchise fee.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 55/100. SBA loan default rate of 0.0% across 7 loans (below the industry average).
  • Auditor disclosed a going-concern note — flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.

Item 1 · who you're contracting with

The Franchisor

Legal entity
Ralph’s Famous Italian Ices Franchise Corp.
Incorporated in
New York
HQ
501 Port Richmond Avenue, Staten Island, New York 10302
Auditor
Tiffany Montaruli, CPA, PLLC
Audited financials
Franchisor revenue
$589K
vs $564K prior year
⚠ Going-concern note
Disclosed in FDD 2025
Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.

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 Ralph's Famous Italian Ices unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: restaurant
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $112K–$318K
Working capital
$
FDD reports $8K–$12K

Unlevered ROIC · per unit

30%

In Yale's "attractive" band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$68K
EBITDA margin
9.0%
Total invested
$225K
Payback
40 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

Franchisees operate Italian ice retail shops (primarily seasonal in cold climates, year-round in warm regions) selling pre-packaged frozen Italian ice products, soft-serve ice cream mix, and add-on products. Day-to-day operations include inventory management of branded tubs/mix, point-of-sale transactions, staffing seasonal employees, and marketing within protected territory.

CEO
John Scolaro
Founded
1928
FDD year
2025
States available
3

Item 7 · what it costs

The Vitals

Total investment
$112K – $318K
All-in to open one unit
Liquid capital
$8K – $12K
Cash you must have on hand
Franchise fee
$20K
Royalty
$1 per 2.5 gal tub; $3 per gal soft-serve mix; 5% of Addi…
Ad fund
50¢ for each 2.5 gallon tub
Total fee load
5.0%
vs 9–13% typical

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

Total units
83
Opened
1
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
1
Corporate units in the system
% franchised
99%
vs corporate-owned
Net growth (yr3)
+1.2%
Net unit change last year
3-yr CAGR
-1.2%
Compounded over last 3 years
2023
82+1
Franchised units
2024
81
Franchised units
2025
83
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 4 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 4 states
Not registered

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.

Total loans
7
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

55
Risk · 0-100
MODERATE55 / 100

Ralph's operates a small, slow-growing system with complete financial opacity and an unconventional tiered royalty model that obscures true unit economics and franchisee profitability.

Score breakdown · what drove the 55 / 100 rating

  1. 01MINORZero financial disclosure (no Item 19 average revenues or net income) — impossible to validate ROI claims or unit economics
  2. 02MEDStagnant unit growth (1.2% YoY, only 83 units) — suggests limited scalability, weak recruitment, or franchisee struggles
  3. 03MINORUnusual royalty structure (per-tub + per-gallon mix + percentage) — creates opaque cost tracking and potential margin compression
  4. 04MEDMid-range investment ($111K–$318K) with no disclosed average returns — high capital at risk relative to system transparency
  5. 05MINOR7-year term is shorter than industry standard (10 years typical) — higher renewal risk and shorter payback window

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Radius
Protected territory
Yes
Initial term
7 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
New York

Item 11

Training & Operations

Classroom training
0 hrs
On-the-job training
17 hrs

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

12 numbers

Locked
(631) 893-••••
NY
(718) 309-••••
NY
(516) 678-••••
IV

One-time purchase · CSV download · Validation questions included

FDD download

Ralph's Famous Italian Ices · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above