FranchiseVerdict
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FV-02749·MODERATEExcellent91

Tipsy Scoop

Food & Beverage - Ice Cream & DessertsFranchising since 2023Website
Investment
$224K – $348K
51st pct Ice Cream & D…
Avg revenue
$410K
7th pct Ice Cream & D…
Royalty
5.5%
22nd pct Ice Cream & D…
Units
4
19th pct Ice Cream & D…
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $224K – $348K including a $45K franchise fee, 5.5% ongoing royalty.
  • Average unit revenue of $410K/year. Estimated payback in 2.3 years.
  • Rated MODERATE with a risk score of 65/100. SBA loan default rate of 0.0% across 1 loans (below the industry average).
  • Emerging franchise — only 3 years of franchising with 4 units. Early-stage systems carry higher risk but may offer better territory availability.

Item 1 · who you're contracting with

The Franchisor

Legal entity
Tipsy Scoop Franchising LLC
Incorporated in
Delaware
HQ
217 E 26th Street, New York, New York 10010
Auditor
Metwally CPA PLLC
Audited financials
Franchisor revenue
$54K
vs $154K prior year

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 Tipsy Scoop unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $409,602
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: $224K–$348K
Working capital
$
FDD reports $27K–$39K

Unlevered ROIC · per unit

15%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$47K
EBITDA margin
11.5%
Total invested
$319K
Payback
81 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.

Levered LBO scenario · Yale Crease Capital framing

What would 25 Tipsy Scoop units return on equity?

Edit assumptions

Equity IRR · 5-yr

49.9%

7.57× MOIC

Year-1 DSCR

1.88×

EBITDA ÷ debt service

Equity required

$369K

on $1.8M purchase

Total debt

$1.5M

SBA $0.9M + senior + seller note

Overview

About

Tipsy Scoop is an alcoholic ice cream shop where franchisees manage point-of-sale operations, inventory, customer service, and staff management for a novelty dessert concept. Day-to-day operations involve scooping/serving boozy ice cream, managing alcohol compliance, handling cash/card transactions, and maintaining store appearance in a retail storefront location.

CEO
Melissa Tavss
Founded
2022
FDD year
2025
States available
2

Item 7 · what it costs

The Vitals

Total investment
$224K – $348K
All-in to open one unit
Liquid capital
$27K – $39K
Cash you must have on hand
Franchise fee
$45K
Royalty
5.5%
Percentage of Gross Sales · typical 6–8%
Ad fund
1.0%
typical 3–5%
Total fee load
6.5%
vs 9–13% typical
Payback period
2.3 yrs
From v3 / Item 19

Item 19

Financial Performance

Avg gross sales
$410K
Per unit, per year
Median gross sales
Item 19 type
Affiliate/Company Owned Outlets
Sample size
2 units
vs category median 18 · small
Range (low → high)
$328K$457K
Cohort dispersion
Transparency
9 / 5
vs category median 4 / 5 · above
Revenue rank7th
vs Food & Beverage - Ice Cream & Desserts peers
Investment cost rank51th
Lower investment ranks lower (better)
Royalty rate rank22th
Lower royalty = lower percentile (better)
Unit count rank19th
vs Food & Beverage - Ice Cream & Desserts peers
Risk score rank71th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
4
Opened
2
Last reporting year
Closed
1
Turnover rate
25.0%
Company-owned
2
Corporate units in the system
% franchised
50%
vs corporate-owned
2023
2+1
Franchised units
2024
0
Franchised units
2025
0
Franchised units

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

Item 20 · 3 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 · 3 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
1
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

65
Risk · 0-100
MODERATE65 / 100

Tipsy Scoop represents a speculative micro-franchise with unproven unit economics, no financial disclosure, and a 4-unit system too small to validate investment viability.

Score breakdown · what drove the 65 / 100 rating

  1. 01MEDOnly 4 units in system with unknown growth trajectory indicates extremely limited track record and high risk of system collapse
  2. 02HIGHNo Item 19 financial performance representations (Going Concern: False) means franchisor provides no audited revenue/profit claims — critical due diligence gap
  3. 03MEDHigh initial investment ($223-348K) relative to only 4 existing units creates unproven unit economics and limited comparable performance data
  4. 04MINOR5.5% royalty on $409K avg revenue = $22,528 annual royalty burden with no guarantee franchisor reinvests in system support/marketing
  5. 05MEDExtremely small franchise system suggests limited purchasing power, brand recognition, and operational support infrastructure

Severity inferred from the FDD text · not a regulatory classification

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

Contract & Territory Detail

Territory
Distance/Population based
Protected territory
Yes
Initial term
10 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
Optional
Governing law
New York

Item 11

Training & Operations

Classroom training
18 hrs
On-the-job training
22 hrs
POS system
Square
Operating tech stack

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

4 numbers

Locked
(212) 416-••••
NY
(701) 328-••••
NC
(360) 902-••••
UT

One-time purchase · CSV download · Validation questions included

FDD download

Tipsy Scoop · FDD (2025) PDF

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