Abbott's Frozen Custard Franchise FDD, Costs & Fees (2025)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Number of franchises

?

24
Investment required

?

$494,000 - $1,796,000
Revenue (AUV)

?

$326,000
Undisclosed
Pro
Last 3 years unit growth

?

+
20%
20%
Initial franchise fee

?

$37,000
Operating Profit

?

n.a.

Pro

Abbott's Frozen Custard: A Century-Old Tradition of Creamy Delights

Founded in 1902 by Arthur W. Abbott, Abbott's Frozen Custard began as a traveling venture along the Eastern Seaboard, where Arthur perfected his secret frozen dessert recipe while working with small carnivals. In 1926, he established a permanent stand in Rochester, New York, at the corner of Lake and Beach Avenues near Ontario Beach Park. The company has remained true to its roots, with its headquarters still located in Rochester today.

Abbott's began franchising in 1977, opening its first franchise on Ridge Road in Rochester. Since then, the brand has grown steadily, expanding its presence to several states, including Florida, Louisiana, Massachusetts, North Carolina, South Carolina, and Virginia. As of 2024, the company operates a total of 46 locations and continues to attract franchisees interested in bringing a unique frozen treat experience to their communities.

The franchise is known for its signature frozen custard, which is made fresh daily in small batches using a secret family recipe and ingredients sourced directly from dairy farms. In addition to traditional cones and dishes, the menu features sundaes, shakes, and novelty items like the "Turtle," a chocolate-covered frozen custard on a stick that has become a fan favorite since its debut in 1981.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Type of Expenditure Amount
Initial Franchise Fee $37,000
Operational Equipment $256,100 - $273,200
Exterior Signs $6,500 - $25,000
Stand Design Costs $25,000 - $55,000
Real Estate & Improvements $114,400 - $1,300,000
Opening Inventory $18,000 - $28,000
Initial Advertising $5,000 - $10,000
Travel and Lodging Costs Related to Initial Training $1,200 - $3,000
Utilities $3,000 - $7,500
Office Supplies $500
Insurance Premiums $2,500 - $7,000
Additional Funds – 3 months $25,000 - $50,000
TOTAL $494,200 - $1,796,200

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Franchise Disclosure Document

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Training

Abbott’s Frozen Custard provides a structured training program for its franchisees to ensure consistent operation and quality across all locations. The types of training offered by the Franchisor are as follows:

  1. Initial Training Program: This mandatory training must be completed at least ten days before the opening of the franchised unit. It includes instruction in equipment operation, product serving, office administration, and general business operation tasks. The program typically spans five consecutive business days but continues until the participants are deemed qualified. It can be held at Abbott's headquarters in Rochester, NY, or at the franchisee's location.
  2. Classroom and On-the-Job Training:
    • Franchise Operation and Sanitation: 2 hours of classroom training and 30 hours of on-the-job training focused on customer relations and inventory handling.
    • Production of Product: 2 hours of classroom instruction and 23 hours of hands-on training covering product preparation.
    • Office Administration: 4 hours of classroom instruction and 2 hours of practical training focusing on bookkeeping and recordkeeping.
  3. Ongoing and Optional Training Programs: Abbott's may occasionally offer additional training, which could be mandatory or optional. These programs might revisit initial training topics and are typically three days long. Optional programs may incur additional fees and can be conducted online or at a designated location.
  4. Training for Managers and Staff: Any designated manager or assistant manager must also complete the initial training to the Franchisor’s satisfaction. All staff members are required to meet minimum training standards to properly prepare and serve Abbott’s products.

Territory Protection

Abbott’s Frozen Custard does not provide exclusive territory protection to its franchisees. Franchisees are granted rights to operate at a specific approved location only and cannot relocate without prior written consent.

The franchisor may establish other franchises, company-owned outlets, or distribute products through other channels—even near the franchisee's location—without offering any compensation. This includes sales through supermarkets, convenience stores, or the Internet.

Competitors

Franchise
Units
Growth
Initial fee
Investment
Revenue
Gross Profit
Operating Profit
Industry

30

+
20%
20%
No growth
New

$37,000

$494,000

-

$1,796,000

n.a.

$326,000

Pro

74.2%

Pro

n.a.

Pro

Food & Beverage

Number of units

2025
Franchised units

20

19

24

Company-owned units

5

6

6

Total units

25

25

30