Kilwins Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
$40,000
Investment required
$216,000 - $828,000
Royalty fee
5.00%

Kilwins: Crafting Sweet Traditions in Chocolate, Fudge, and Ice Cream

Kilwins is a renowned American franchise that has been delighting customers with its high-quality confections since 1947. Founded by Don and Katy Kilwin in Petoskey, Michigan, Kilwins quickly became a staple of Americana, known for its exceptional chocolates, fudge, and ice cream.

The franchise's dedication to quality is evident in its use of original recipes and premium ingredients, which are crafted both in a central kitchen and in-store, ensuring a fresh and unique product experience for every customer.

The Kilwins franchise began expanding through franchising in 1982, and today it boasts presence across 26 states. 

What sets Kilwins apart from its competition is its commitment to not just selling products but creating a sensory experience that captures the essence of nostalgia.

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 Store Shop
Initial franchise fee $30,000 - $40,000 $20,000 - $20,000
Lease/Rent $2,083 - $13,412 $932 - $6,500
Plans and Construction $197,994 - $400,975 $70,000 - $115,000
Store Construction Oversight Review Fee $5,000 $5,000
Equipment $83,593 - $167,865 $77,900 - $77,900
POS System $12,135 - $15,701 $7,100 - $7,100
Inventory $23,787 - $40,026 $12,000 - $14,400
Signs and Awnings $6,588 - $22,491 $5,000 - $13,000
Advertising $5,000 - $5,000 $5,000 - $5,000
Insurance $1,829 - $20,265 $1,669 - $20,265
Training Expenses $1,875 - $7,559 $250 - $4,000
Business Licenses $111 - $993 $111 - $750
Professional Fees $750 - $7,290 $756 - $7,290
Additional Funds (6 months) $8,000 - $77,915 $20,000 - $77,915
Security Deposits $210 - $4,517 $210 - $4,517
Total Estimated Initial Investment $378,955 - $827,563 $215,803 - $378,637

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Number of units

2023
Franchised units

137

147

150

Company-owned units

3

3

3

Total units

140

150

153

Franchise Disclosure Document

Training 

Kilwins provides comprehensive training for its franchisees through a structured program known as "Kilwins University." 

This training program is designed to equip new franchise owners with all the necessary knowledge and skills to operate a successful Kilwins store. 

The training covers various aspects of the business, including product preparation, customer service, store management, and operational procedures.

The program typically begins with an extensive onboarding process, where franchisees are introduced to the Kilwins brand and business model. 

This is followed by hands-on training in an actual Kilwins store, where franchisees learn the intricacies of making Kilwins' signature chocolates, fudge, and ice cream. 

In addition to product-related training, franchisees receive guidance on marketing, financial management, and employee training, ensuring they are well-prepared to deliver the high-quality customer experience that Kilwins is known for.

Support doesn't end after the initial training; Kilwins offers ongoing assistance, including access to online tools, continuous education, and the support of a dedicated team to help franchisees succeed​.

Territory Protection

Kilwins offers a form of territory protection to its franchisees, ensuring that each franchisee's investment is safeguarded by limiting the number of Kilwins stores within a specific geographic area. 

This territorial exclusivity helps franchisees avoid direct competition with other Kilwins stores, allowing them to capture a defined market share without the concern of overlapping customer bases. 

The specifics of the territory protection, including the exact area covered, are typically detailed in the franchise agreement, offering franchisees confidence in their market potential.

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