Abbott's Frozen Custard is a small, established frozen custard franchise with 75+ years of history but limited growth, operating only 30 total units (24 franchised, 6 company-owned). The franchise requires full owner-operator involvement with moderate investment costs ranging from $494K-$1.8M. The system uses a hybrid royalty structure (5.5% of sales OR $6.72 per gallon) plus 2% advertising fund contribution. Key concerns include no territorial protection, small system size limiting brand recognition, and franchisor-favorable contract terms including broad termination rights and mandatory remodeling at renewal. Financial performance data shows wide variation in unit performance from $218K to $1M+ in gross sales.
Generated from 2024 Franchise Disclosure Document
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Total startup costs, working capital, and financial requirements
Training, marketing support, technology, and operational assistance
Royalty, marketing, technology, and other ongoing fees
Revenue data, P&L estimates, and financial projections
Lawsuits, disputes, and legal risk assessment
Territory rights, term length, non-compete, and transfer rules
82 legal provisions scored on a franchisee-friendliness scale
Unit growth trends, exit rates, and system trajectory
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