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SUBJECT DOSSIER · FDD 2025

Ben & Jerry's Franchise

Cost, fees, owner earnings, closure rate and litigation for a Ben & Jerry's franchise — pulled from the franchisor's own public FDD (2025), not its sales material.

Bakery, Dessert & Ice Cream · disclosure-honesty grade · from public state filings
GRADE D · WEAK DISCLOSURE

Disclosure honesty

D
Transparency 2 / 5

Ben & Jerry's discloses earnings (Item 19) — but the grade is how honestly. We graded it D.

Outlets17
Disclosed lawsuits6
Closure signals5 ceased
Investment
$154,200–$526,300
Total fees
5% of sales
Outlets
17
Closure signals
5 ceased, 0 terminated
Lawsuits
6
◢ FINDINGS
ITEM 19
Grade D disclosure
The disclosed numbers are incomplete or framed to look better than an owner's real take-home.
ITEM 20
5 outlets ceased operations
System shrank from 38 to 17 outlets in 3 years; 22 ceased operations via 'other reasons'; zero new openings in 2024.
ITEM 03
6 legal matters disclosed
Litigation in Item 3 signals how the franchisor treats its franchisees.

What their own earnings claim actually says

Discloses only gross sales for 11 special venue shops (median $463K, avg $636K, range $182K–$1.97M). No costs, no net income, no profitability data. High-end average inflated by single $1.97M outlier. Excludes 158 traditional shops.

What a Ben & Jerry's franchise actually costs to run

FeeDisclosedWhere it comes from
Initial franchise fee$18,000Item 5 — paid up front, before you open
Royalty3% of gross salesItem 6 — charged on revenue, not profit
Advertising fund2% of gross salesItem 6 — brand marketing, spent at the franchisor's discretion
Total recurring fees5% of gross salesBefore rent, labor, food or debt service
Total initial investment$154,200 – $526,300Item 7 — franchisor's own low/high estimate

Royalty capped at 5% but currently 3%; ad fund 2%; refurbishment up to $15K every 5 years; POS SaaS $100/month ongoing.

Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.

Ben & Jerry's system size and owner turnover

Total outlets17
Ceased operations5
Terminated by franchisor0
Transferred to new owners0
Closure rate29.4% of outlets

System shrank from 38 to 17 outlets in 3 years; 22 ceased operations via 'other reasons'; zero new openings in 2024.

From Item 20 of the FDD 2025. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.

Is Ben & Jerry's worth it? — how it compares to 59 similar franchises

Ongoing fees5% of saleslower than most (median 7.5%)
Startup costfrom $154,200cheaper than most (median $209,354)
Disclosure honestyGrade Dless honest than most of the category
Closure rate29.4% of outletsworse than 98% of peers
Disclosed lawsuits6more litigious than 92% of peers

Benchmarked against every bakery, dessert & ice cream franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.

◤ CLASSIFIED · ITEM 19 RECONSTRUCTED

Owner take-home for a Ben & Jerry's

The franchisor's framing: Discloses only gross sales for 11 special venue shops (median $463K, avg $636K, range $182… We reconstruct what an owner actually keeps, from their own FDD.

LOW
MEDIAN
HIGH

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Ben & Jerry's franchise — frequently asked

How much does a Ben & Jerry's franchise cost?
The FDD lists a total initial investment of about $154,200–$526,300, including a $18,000 initial franchise fee.
How much do Ben & Jerry's franchise owners make?
Discloses only gross sales for 11 special venue shops (median $463K, avg $636K, range $182K–$1.97M). No costs, no net income, no profitability data. High-end average inflated by single $1.97M outlier. Excludes 158 traditional shops. We grade this disclosure D for honesty.
What are the Ben & Jerry's franchise fees?
Ben & Jerry's FDD discloses a $18,000 initial franchise fee, a 3% royalty on gross sales, a 2% advertising-fund contribution, for roughly 5% of gross sales in recurring fees before rent, labor, or debt service. Royalty capped at 5% but currently 3%; ad fund 2%; refurbishment up to $15K every 5 years; POS SaaS $100/month ongoing.
What is the Ben & Jerry's franchise profit margin?
Ben & Jerry's does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: Discloses only gross sales for 11 special venue shops (median $463K, avg $636K, range $182K–$1.97M). No costs, no net income, no profitability data. High-end average inflated by single $1.97M outlier. Excludes 158 traditional shops. Recurring fees alone take about 5% of gross sales, before rent, labor, food or debt service. Margin has to be reconstructed from the disclosure, not read off it.
What is the Ben & Jerry's franchise failure rate?
System shrank from 38 to 17 outlets in 3 years; 22 ceased operations via 'other reasons'; zero new openings in 2024.
How many Ben & Jerry's locations are there?
Ben & Jerry's FDD reports 17 total outlets, with 5 that ceased operations in the most recent reporting year and 0 transferred to new owners. Item 20 is where system health shows up before the marketing does.
Does Ben & Jerry's have complaints or lawsuits?
Ben & Jerry's discloses 6 legal matters in Item 3 of its FDD. Item 3 covers the franchisor's litigation history, which is the closest thing to a public record of how it treats franchisees — read the case descriptions, not just the count.
Is a Ben & Jerry's franchise worth it?
It depends on the numbers, not the pitch. Ben & Jerry's scores D on disclosure honesty, carries about 5% of sales in ongoing fees, and discloses 6 legal matters. Get the real owner take-home before you sign.

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Source: MN CARDS 33829-202504-08 (Clean FDD 2025). FranchiseValidate is independent and not affiliated with Ben & Jerry's or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.