Carvel is an ice cream shop specializing in soft-serve and hand-dipped ice cream, as well as ice cream cakes and novelties. The franchise offers a variety of frozen treats in a casual, retail environment.
Key Insights
- Carvel began as an ice cream shop with a focus on soft-serve innovations, growing into a recognized brand known for its handcrafted ice cream cakes and frozen treats, establishing a lasting presence in the dessert market. The franchise model allows for expansion and customer accessibility across numerous locations.
- The business operates through a franchise system where franchisees manage individual retail locations. These outlets serve a variety of frozen desserts, including soft-serve ice cream, shakes, and custom-decorated ice cream cakes, offering a consistent product and brand experience to customers.
- The franchise operates within the quick-service restaurant and dessert industry, a segment characterized by a demand for convenient and indulgent treat options. This industry sees consistent consumer interest in celebratory occasions and everyday enjoyment of frozen desserts.
Franchise Fee and Costs to Open
Exploring the financial picture of Carvel gives insight into both the upfront commitment and the potential revenue opportunity. According to FDD Item 7, opening this franchise typically involves an investment in the range of $392,375 - $785,850, along with a franchise fee of $30,500 - $30,500.
Financial Performance and Revenue
Yearly gross sales of $480,774 and estimated earnings of $57,693 - $72,117 show the potential financial performance of this franchise. These figures are crucial for prospective franchisees as they help to project revenue and profitability. They offer insight into the business's ability to generate income and can be used to compare its performance against other investment opportunities. The Franchise Payback Period of 9.6-11.6 provides an estimation of the time it might take for an owner to recover their initial investment. This metric is a key consideration for anyone evaluating the financial viability of a franchise, as it relates directly to the speed at which the business can become profitable. A shorter payback period can indicate a faster return on capital, which is a significant factor in making an informed decision about a franchise investment.
Training and Resources
Carvel provides comprehensive training for new franchisees. Initial training, spanning two weeks, takes place at Carvel's corporate training center. This program covers operational procedures and product knowledge. Carvel also offers ongoing support and access to a range of operational resources designed to aid franchisees in their business endeavors.
Legal Considerations
Legal considerations for a Carvel franchisee are outlined in the Franchise Disclosure Document (FDD) and the Franchise Agreement. Note that this franchise discloses lawsuits and/or bankruptcy information in its FDD, which may impact your evaluation. Subscribe now to access more details and be sure to consult a qualified attorney before proceeding.
Challenges and Risks
Operating a Carvel franchise presents considerations regarding local market saturation from various dessert providers, requiring a strategic approach to customer acquisition. Day-to-day operations demand attention to product consistency and staff training, while securing a reliable supply of key ingredients is essential for maintaining brand standards and customer satisfaction.
Franchise Datasheet
FAQs
What is the minimum cash required to open a Carvel franchise?
How can I estimate the profitability and return on investment (ROI) of a Carvel franchise?
What is the franchisee fee for a Carvel franchise?
How to open a Carvel franchise?
How many locations does Carvel have?
Get insider access to franchise insights
Subscribe to receive expert tips, franchise rankings, and exclusive data straight to your inbox, trusted by thousands of aspiring business owners and investors.
Franchise resources & insights
Explore expert guides, data-driven articles, and tools to help you make smarter franchise decisions, whether you're just starting out or ready to invest.
