FranchiseVerdict
Yogurt Mountain logo
FV-03024·MODERATEExcellent91

Yogurt Mountain

OtherFranchising since 2010Website
Investment
$271K – $931K
73rd pct Other
Avg revenue
$354K
12th pct Other
Royalty
6.0%
17th pct Other
Units
23
51st pct Other
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $271K – $931K including a $30K franchise fee, 6.0% ongoing royalty.
  • Average unit revenue of $354K/year (median $289K).
  • Rated MODERATE with a risk score of 65/100. SBA loan default rate of 0.0% across 8 loans (below the industry average).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Yogurt Mountain Franchising, LLC
Parent company
Yogurt Mountain Holding, LLC
Incorporated in
Alabama
HQ
402 Industrial Lane, Birmingham, AL 35211
Auditor
Deloitte & Touche LLP
Audited financials
Franchisor revenue
$2.2M
vs $2.2M 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 Yogurt Mountain unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $354,211
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $271K–$931K
Working capital
$
FDD reports $15K–$26K

Unlevered ROIC · per unit

9%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$53K
EBITDA margin
15.0%
Total invested
$621K
Payback
140 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 Yogurt Mountain 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

$567K

on $2.8M purchase

Total debt

$2.3M

SBA $1.4M + senior + seller note

Overview

About

Yogurt Mountain franchisees operate frozen yogurt retail locations where customers self-serve froyo into cups and pay by weight. Day-to-day operations include inventory management, equipment maintenance, customer service, staff scheduling, and point-of-sale transactions in a high-touch retail environment.

CEO
D. Scott Kappler
Founded
2009
FDD year
2025
States available
10

Item 7 · what it costs

The Vitals

Total investment
$271K – $931K
All-in to open one unit
Liquid capital
$15K – $26K
Cash you must have on hand
Franchise fee
$30K
Royalty
6.0%
Gross Sales · typical 6–8%
Ad fund
2.0%
typical 3–5%
Total fee load
8.0%
vs 9–13% typical

Item 19

Financial Performance

Avg gross sales
$354K
Per unit, per year
Median gross sales
$289K
Item 19 type
Gross Sales
Sample size
13 units
vs category median 20
Range (low → high)
$195K$587K
Cohort dispersion
Transparency
7 / 5
vs category median 3 / 5 · above
Revenue rank12th
vs Other peers
Investment cost rank73th
Lower investment ranks lower (better)
Royalty rate rank17th
Lower royalty = lower percentile (better)
Unit count rank51th
vs Other peers
Risk score rank64th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
23
Opened
0
Last reporting year
Closed
1
Turnover rate
4.3%
Company-owned
5
Corporate units in the system
% franchised
78%
vs corporate-owned
Net growth (yr3)
-5.3%
Net unit change last year
3-yr CAGR
+0.0%
Compounded over last 3 years
2023
18-1
Franchised units
2024
19
Franchised units
2025
18
Franchised units

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

Item 20 · 14 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 · 14 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
8
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

Yogurt Mountain presents a CAUTION-level risk profile due to declining unit count, missing profitability data, high royalty rates, and a small system size that limits viability validation.

Score breakdown · what drove the 65 / 100 rating

  1. 01MEDUnit count declined 5.3% YoY (23 units total) indicating contraction and potential system maturity or viability issues
  2. 02MEDNet income not disclosed in Item 19 prevents ROI validation; average revenue of $354,211 may not support the $271,110–$930,500 investment range
  3. 03MEDHigh royalty burden on traditional model (6% of gross sales) combined with undisclosed profitability creates uncertainty on actual franchisee take-home earnings
  4. 04MEDSmall franchisee base (23 units) limits diversification and suggests limited brand recognition or market demand
  5. 05MINOR5-year term is relatively short; renewal risk and system instability for long-term franchisees are unclear

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
5 years
Renewal term
5 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
No
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Optional
Governing law
Alabama

Item 11

Training & Operations

Classroom training
14 hrs
On-the-job training
24 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

20 numbers

Locked
(701) 328-••••
ND
(401) 462-••••
RI
(808) 586-••••
HI

One-time purchase · CSV download · Validation questions included

FDD download

Yogurt Mountain · FDD (2025) PDF

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