Pelican's SnoBalls Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
$20,000
Investment required
$71,000 - $210,000
Royalty fee
8.00%

Pelican's SnoBalls: Revolutionizing Shaved Ice with Flavor and Community

Pelican's SnoBalls has revolutionized shaved ice with its unique style and wide array of flavors. The brand's journey started in 2001 in Garner, North Carolina, when 13-year-old founder Ansley Johnson, inspired by her Louisiana summers, decided to bring the joy of SnoBalls to others. Unlike traditional snow cones, SnoBalls are softer and fluffier, offering a delightful twist on the classic treat.

The name "Pelican's" honors the Louisiana state bird, highlighting the brand's origin and inspiration. Pelican's SnoBalls stands out with its soft, fluffy ice and bold flavors, setting it apart from the typical crunchy snow cones found at fairs.

Since its inception, the brand has grown from a small local shop to a nationally recognized franchise. Pelican's SnoBalls remains committed to its original mission of providing the "World's Best SnoBall" and excellent customer service. The franchise is known for being an affordable, high-quality treat, proving its resilience during economic challenges like the 2008 recession and the 2020 pandemic.

Pelican's SnoBalls also distinguishes itself through its community-focused approach. Each franchise is independently owned and operated, fostering local engagement and a strong sense of community. The franchise provides extensive support to its franchisees, ensuring they have the resources they need to succeed, reflecting the brand's dedication to its product and its people

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 $20,000
Lease/rent $1,500 to $18,000
Plans and Construction $8,000 to $80,000
Concept Building Drawing $0 to $3,000
Equipment $20,000 to $40,000
POS $2,100 to $3,000
Inventory $10,000 to $20,000
Signs $1,500 to $7,000
Advertising $100 to $2,000
Insurance $3,000 to $6,400
Training Expenses $1,000 to $4,000
Business Licenses $50 to $200
Professional Fees $500 to $3,000
Additional Funds (3 Months) $0 to $3,000
Security Deposits $0 to $200
Total $70,750 to $209,800

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Number of units

2023
Franchised units

181

188

199

Company-owned units

0

0

0

Total units

181

188

199

Franchise Disclosure Document

Training 

Pelican's SnoBalls ensures its franchisees are equipped with the knowledge and skills necessary for success through a thorough training program.

Initial Training Program

Franchisees undergo an initial training program that is fundamental to the franchising process. This program is designed to prepare franchisees to operate their store in alignment with Pelican's SnoBalls' high standards.

Continuing Training

Beyond the initial training, Pelican's SnoBalls offers ongoing training programs as needed. These sessions aim to keep franchisees informed about new developments, enhance their skills, and maintain the consistent quality and performance across all franchise locations.

Additional Training

Franchisees can request extra training for their employees, which Pelican's SnoBalls can provide subject to availability and relevance. This additional training may cover specific areas such as store operations, customer service, and product knowledge.

Training for Specialized Management Employees

If a franchisee or a specially trained management employee leaves their position, the franchisee must ensure that a qualified replacement enrolls in Pelican's SnoBalls' training program within a set timeframe. This requirement guarantees that the store remains under the guidance of personnel who have completed the brand's comprehensive training and adhere to its standards.

Territory Protection

Pelican's SnoBalls provides territorial protection to its franchisees, ensuring a degree of exclusivity in their operating area.

Protected Territory

Under the terms of the Agreement, Pelican's SnoBalls commits not to establish or license another Store within the franchisee's "Protected Territory," as outlined in Exhibit A of the franchise agreement. This protection is subject to the conditions specified in the agreement, including corporate and commercial food service operations and other sales channels.

Exclusivity

This territorial protection is intended to grant franchisees a level of exclusivity, preventing the franchisor from directly competing by opening additional stores within the defined territory.

Other Sales Channels

Despite this protection, Pelican's SnoBalls retains the right to sell products through various other channels, including catalogs, mail orders, internet sales, and other electronic means, collectively referred to as "Other Sales." These channels allow the franchisor to expand its reach without infringing on the protected territory of the franchisee.

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