Franchise Deep Dive: Menchie's Frozen Yogurt's Franchise Costs, Fees, Profit and Data

NUMBER OF LOCATIONS: 540+

REPORTED COST TO GET IN: $142,683 - $471,087

REPORTED ROI (Item 19): N/A

Company Overview

Menchie's Frozen Yogurt is a frozen yogurt franchise based in Encino, California. The franchise offers self-serve frozen yogurt with different choices of yogurt flavors and toppings. Shops offer 100 rotating flavors, including low carb, no sugar added, dairy free, nonfat, gluten free and kosher options.

The first Menchie’s Frozen Yogurt store was opened in Los Angeles, California, on May 15, 2007, by husband-and-wife team Adam and Danna Caldwell. The concept stemmed from the couple’s common love of frozen yogurt and their first date at a frozen yogurt store.

The couple’s first store received overwhelming support from the community. After receiving a large amount of franchise inquiries, the Caldwells decided to team up with experienced business leaders. They asked a businessman by the name of Elie Balas to join them, and they started franchising the company in 2008.

Today, Menchie's Frozen Yogurt has more than 540 locations around the world, with stores in development throughout Bahrain, Bangladesh, Canada, China, Japan, England, Guatemala, India, Japan, Kuwait, Puerto Rico, Qatar, South Africa, the Bahamas, United Arab Emirates and the United States.

The Menchie's Frozen Yogurt business model can be succinctly described as "simple," the brand stated. Notably, the brand doesn't demand extensive culinary expertise. Key assets for success include the necessary capital, strong people skills, a guest-centered mentality and a community-oriented approach.

Menchie’s Frozen Yogurt stores operate on a self-service model with the brand’s private label collection of yogurt. The yogurt is made from high-quality milk from California cows, which are never treated with artificial growth hormones. In total, guests can choose from a roster of more than 100 flavors and 70 rotating toppings.

Earnings for Menchie’s Frozen Yogurt owners are not publicly available.

Franchise Costs and Fees

The average startup cost for a Menchie’s Frozen Yogurt shop ranges from $142,683 to $471,087. This includes:

• Furniture, Fixtures And Related Costs: $46,453-$225,517

• Store Build-Out/Construction: $56,230-$205,570

• Franchise Fee Single Unit: $40,000

• Total Average Cost (Range): $142,683-$471,087

Qualified franchisees should also have good credit, approximately $80K to $90K in liquid assets and possess a net worth of approximately $350K in order to qualify for a Small Business Administration commercial loan.

The franchise fee is $40K.

• Elie Balas — Chairman of the Board

• Adam Caldwell — Co-Founder and Chief Operations Officer

• Danna Caldwell — Co-Founder and President

• Tom Regev — VP of Operations

• Joe Mathews — Senior VP of Franchise Development

• Gary Hunter — Senior Director of Food Operations

• Brian Melaney — Vice President of Franchise Development

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