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Cold Stone Creamery

2014 Franchise 500
#50
At a Glance

Products & Services: Ice cream, sorbet

Number of Locations: 1,423

Total Investment: $277.4K - $464.3K

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
2014 968 155 278 22
2013 997 151 273 34
2012 1,049 135 239 37
2011 1,049 135 239 37
2010 1,163 13 181 35
Where Seeking Franchisees: Franchisor is seeking new franchise units worldwide.
Direct Capital

Startup Costs, Ongoing Fees and Financing

Total Investment: $277,375 - $464,325
Franchise Fee: $27,000
Ongoing Royalty Fee: 6%
Term of Franchise Agreement: 10 years, renewable
Veteran Incentives: 20-50% off franchise fee
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).
Direct Capital
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

Franchise Ranking History

Franchise 500®: #50 (2014), #53 (2013), #50 (2012), #54 (2011), #35 (2010),
America's Top Global: #46 (2014), #42 (2013), #46 (2012), #47 (2011), #29 (2010),