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- 2023 Franchise 500 Rank
N/R Not ranked last year
- Initial investment
$165K - $543K
- Units as of 2020
217 7.4% over 3 years
Here’s what you need to know if you’re interested in opening a Haagen-Dazs franchise.
Inspired to do something different when other ice cream brands were cutting corners, Haagen-Dazs founders Reuben and Rose Mattus decided to commit to the finest quality ingredients. In 1961, the Haagen Dazs brand was born, and it has since gained nationwide brand recognition. Since beginning to franchise in 1977, Haagen-Dazs has grown to over 200 locations in the U.S. Haagen-Dazs is determined to deliver only the best quality ice cream and flavors to customers.
Whether customers enjoy traditional ice cream, gelato, frozen yogurt, or dairy-free options, customers of the Haagen-Dazs brand have come to expect quality and consistency from their dessert experience.
Why You May Want to Start a Haagen-Dazs Franchise
Dessert franchises are popular in the United States, and Haagen-Dazs is a trusted brand that ranks highly in brand recognition. This company is committed to selecting strategic locations for their franchises to increase chances of success.
Haagen-Dazs offers franchise opportunities to those who personify the spirit of an entrepreneur. While previous franchise and restaurant experience is not necessary, Haagen-Dazs encourages those who have created success in past ventures to apply. Their current franchisees have indicated high satisfaction levels with items ranging from training and support to the company's leadership and core values.
What Might Make Haagen-Dazs a Good Choice?
Haagen-Dazs offers three different settings for ice cream stands. You can open a mall/mixed-use/lifestyle center, a street location, or a kiosk. Each of these locations has its pros and cons. You will have access to a team from company headquarters in Minneapolis, Minnesota that will help you make the best choices for your franchise.
The franchise support staff will help you get started, negotiate terms for your location, build your Haagen-Dazs site, and so on. You will have a designated franchise business manager even after you have opened your franchise. Your franchise business manager will help you implement plans to grow your business and market your shop specific to your area.
To be part of the Haagen-Dazs team, you should make sure you’re financially ready for an initial investment made up of a franchise fee and other startup costs. You should also be prepared for ongoing fees that will include advertising, royalty, and potential renewal fees. Franchisees will also need to meet the company's set net worth and liquid capital requirements.
How to Open a Haagen-Dazs Franchise
Haagen-Dazs has a three-step process for opening a franchise. Franchisees begin with the application process. During this time, they will work with a representative to determine a mutual fit and ensure the applicant's finances meet the minimum requirements. If your application is approved, you may be invited to a discovery day at headquarters in Minneapolis, Minnesota.
The second stage is all about location. You will work with your team to review your selected site and begin construction. While your storefront is being prepared for you, you'll enter stage three of the process and begin training. Haagen-Dazs holds a course at Haagen-Dazs University for multiple days at headquarters in Minneapolis, Minnesota. The course will train you and your shop manager on all the tools and information about the franchise.
Once all of that is complete, you can open your shop and start living the sweet treat life.
- Franchising Since
- 1977 (46 years)
- # of employees at HQ
- Where seeking
This company is offering new franchisees in the following US states:
- # of Units
- 217 (as of 2020)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a Haagen-Dazs franchise.
Financial Requirements & Ongoing Fees
Here’s what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.
- Initial Franchise Fee
Definition: The initial fee paid to a franchisor to join their system
What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.
- Initial Investment
- $164,518 - $542,768
Definition: The total amount necessary to begin operation of the franchise
What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.
- Net Worth Requirement
Definition: The minimum net worth you must have in order to qualify to become a franchisee of this company
What you need to know: Net worth is the value of a person's assets minus liabilities. Assets include cash, stocks, retirement accounts, and real estate. Liabilities include items like mortgages, car payments, and credit card debt.
- Cash Requirement
Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.
- Veteran Incentives
- 25% off franchise fee
Definition: A discount or other incentive offered to military veterans who buy a franchise with this company.
- Royalty Fee
Definition: A ongoing fee paid to the franchisor on a regular basis.
What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.
- Ad Royalty Fee
Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts.
What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.
- Term of Agreement
- 10 years
Definition: The length of time your franchise agreement will last.
What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.
- Is franchise term renewable?
Training & Support Offered
Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.
- On-The-Job Training
- 16 hours
- Classroom Training
- 60 hours
- Ongoing Support
Meetings & ConventionsToll-Free LineGrand OpeningOnline SupportField OperationsSite SelectionFranchisee Intranet Platform
- Marketing Support
Co-op AdvertisingAd TemplatesNational MediaRegional AdvertisingSocial MediaEmail MarketingLoyalty Program/App
Additional details about running this franchise.
- Is absentee ownership allowed?
Definition: Absentee ownership means that the franchisee does not actively work in the franchise business or manage day-to-day operations.
- Can this franchise be run from home/mobile unit?
Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.
- Can this franchise be run part time?
Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.
- # of employees required to run
- Are exclusive territories available?
Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened.
What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.
Interested in ownership opportunities like Haagen-Dazs? Request a free consultation with a Franchise Advisor now.
Franchise 500 Ranking History
Compare where Haagen-Dazs landed on this year’s Franchise 500 Ranking versus previous years.
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