Cold Stone Creamery

#53

At a Glance

Products & Services: Ice cream, Italian sorbet

Number of Locations: 1,460

Total Investment: $286.08K - 474.33K

Founded: 1988

Began Franchising: 1994

About Cold Stone Creamery

Donald and Susan Sutherland opened the first Cold Stone Creamery in 1988 in Tempe, Arizona. Franchising began in 1994, and the company is now owned by Kahala, which also franchises Blimpie, Surf City Squeeze, TacoTime and other concepts. Each Cold Stone store makes its ice cream fresh daily, and the ice cream is blended by hand with fruits, nuts, candy, cookies and more according to customers' requests.

Franchise Units

Year	U.S.	Canadian	International	Company Owned
2012	1,049	135	239	37
2011	1,049	135	239	37
2010	1,163	13	181	35
2009	1,221	0	138	44

Where Seeking Franchisees: Franchisor is seeking new franchise units worldwide.

Startup Costs, Ongoing Fees and Financing

Total Investment: $286,075 - $474,325
Franchise Fee: $42,000
Ongoing Royalty Fee: 6%
Term of Franchise Agreement: 10 years, renewable

Financial Requirements

Liquid Cash Available: $125,000

Operations

53% of all franchisees own more than one unit. Number of employees needed to run franchised unit: 10 - 15. Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators).

Financing Type	In-House	Third Party
Franchise Fee
Startup Costs
Equipment
Inventory
Accounts Receivable
Payroll

How This Franchise Supports Franchisees

Training: Available at headquarters: 11 days. At franchisee's location: 3 days.

Ongoing Support: Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives, Lease Negotiation

Marketing Support: Co-op advertising, Ad slicks, National media, Regional advertising,

Other marketing support: In-house creative services group; local store marketing support