Cold Stone Creamery Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
$27,000
Investment required
$57,000 - $628,000
Royalty fee
6.00%

Cold Stone Creamery: A Leader in Handcrafted Ice Cream

Cold Stone Creamery, a cherished ice cream brand celebrated for its high-quality, handcrafted ice cream made fresh on-site, was established in 1988. It started expanding its unique ice cream offerings through franchising in 1994. The main office of Cold Stone Creamery is situated in Scottsdale, Arizona.

The brand is well-known for its engaging customer interactions and a variety of mix-in options, which enable customers to personalize their ice cream Creations™.

Cold Stone Creamery is continually looking for enthusiastic entrepreneurs to become part of its growing network, providing extensive support and training to ensure every franchisee’s success. With a strong focus on quality and customer satisfaction, along with a significant market presence, it remains an appealing choice for those interested in investing in the frozen dessert industry.

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 Traditional Low Amount Traditional High Amount Non-Traditional Low Amount Non-Traditional High Amount
Initial Franchise Fee $12,000 $27,000 $8,000 $20,000
Rent/Security Deposit (for 3 months) $9,750 $19,500 $0 $19,500
Travel and Living Expenses (2 persons) while training $3,000 $7,500 $3,000 $7,500
Real Estate As arranged with landlord(s)
Lease Review Fee $0 $2,500 $0 $2,500
Architectural Fees $8,000 $21,000 $3,500 $16,000
Leasehold Improvements $102,000 $275,500 $0 $189,000
Exterior Signage $10,500 $16,000 $2,000 $16,000
Equipment $129,000 $205,000 $9,000 $165,000
PCI Compliance Costs $150 $1,300 $150 $1,300
Opening Inventory $8,000 $8,000 $1,000 $8,000
Employee Uniforms $500 $800 $200 $800
Grand Opening Marketing Advertising $10,000 $10,000 $5,000 $5,000
Insurance Premiums $500 $2,500 $500 $2,500
Permits and Licenses $2,000 $3,000 $500 $3,000
Telephone and Utility Deposits and Hookups $250 $1,000 $250 $1,000
Computer Training and Food Safety Certification Course $100 $250 $100 $250
Miscellaneous $3,925 $3,925 $1,000 $3,925
Depository Account $3,000 $3,000 $3,000 $3,000
Additional Funds - 3 month initial period $20,000 $20,000 $20,000 $20,000
TOTAL ESTIMATED INITIAL INVESTMENT $322,675 $627,775 $57,200 $484,275

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Number of units

2024
Franchised units

889

908

952

Company-owned units

5

4

1

Total units

894

912

953

Franchise Disclosure Document

Training 

Cold Stone Creamery prioritizes the success of its franchisees by providing an extensive training program.

Here’s an overview of their training methodology:

The program allows for the participation of two individuals, covered under the Initial Franchise Fee, with at least one participant required to hold an ownership stake in the franchise.

The training consists of two primary parts:

  1. In-Store Training: This hands-on training lasts around 80 hours and is conducted at a designated training store in Arizona or another location specified by the franchisor.
  2. New Owner Training: Lasting approximately 40 hours, this training can be completed either online or in person. If conducted in person, it takes place at the Franchisor's training and education center in Scottsdale, Arizona, or another location determined by the franchisor.

Franchisees must cover all associated costs, including travel, meals, accommodation, and other personal expenses.

Territory Protection

The franchise is assigned specifically for the location outlined in the Franchise Agreement or a location approved by Cold Stone Creamery. The exact site for the Cold Stone Creamery restaurant requires the franchisor's approval.

Cold Stone Creamery commits to not unreasonably withholding approval of the proposed location. However, franchisees are not granted exclusive territorial rights. They may encounter competition from other franchisees, company-owned restaurants, or other distribution channels or competing brands managed by Cold Stone Creamery.

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