Franchising Since: 1950
Headquarters: Atlanta, Georgia
Estimated Number of Units: 7,755
Franchise Description: The franchisor is Baskin-Robbins Franchising LLC. Inspire Brands is the ultimate parent company. The franchisor develops, operates, and franchises retail restaurants utilizing the Baskin-Robbins system. Franchised restaurants sell Baskin-Robbins ice cream and related frozen products, as well as other food items and products compatible with the franchisor’s concept. In addition to Baskin-Robbins restaurants, the franchisor and its affiliate, Dunkin’ Franchising LLC, grants franchises to develop and operate restaurants under the Baskin-Robbins system and the Dunkin’ system, offering and selling Baskin-Robbins menu items and Dunkin’ menu items (a combo restaurant).
Training Overview: Franchisees must at all times manage their first restaurant with at least one individual, who must be the franchisee or another partner, shareholder (of the corporation) or member (of the limited liability company) and who has successfully completed the required training program, which may vary based on the franchisee’s role in their organization. If franchisees are developing or purchasing a combo restaurant, they must successfully and timely complete the training requirements for both brands prior to opening the restaurant. The Baskin-Robbins Brand Training program takes a total of 18 days to complete and is a blended training with both virtual components and hands-on training in a certified training shop located in a city and state that the franchisor designates. In addition to the Baskin-Robbins Brand Training program, the franchisor may require franchisees to participate for up to two days in the opening of another restaurant before they may open their first restaurant. Franchisees must attend and require their employees to attend additional training as the franchisor may require.
Territory Granted: Franchisees will operate the restaurant at a specific location that the franchisor first must accept. Franchisees will not receive an exclusive territory. Franchisees also do not have any type of nonexclusive territory. Franchisees may not distribute products other than menu items at and through their restaurant, including alternative channels of distribution.
Obligations and Restrictions: Franchisees must devote continuous best efforts to the development, management, and operation of their business, which includes the devotion of sufficient time and resources to ensure full and complete compliance with their obligations to the franchisor under the Franchise Agreement. Franchisees must develop and operate the restaurant in compliance with the franchisor’s standards. Franchisees may not conduct any other business or activity at the restaurant without the franchisor’s prior written approval. Franchisees may only offer or sell products approved by the franchisor and they must offer for sale the full menu required by the franchisor.
Term of Agreement and Renewal: The length of the initial franchise term is 20 years. Renewal is for 10 years if renewal conditions are met.
Financial Assistance: The franchisor does not offer direct or indirect financing. The franchisor does not guaranty a franchisee’s note, lease, or obligation.
Estimated Initial Investment
Name of Fee | Low | High |
Initial Franchise Fee | $25,000 | $25,000 |
Real Estate Development | $123,000 | $267,000 |
Equipment, Trade Fixtures and Signs | $115,000 | $185,000 |
Restaurant Technology System | $15,000 | $29,500 |
Licenses, Permits, Fees and Deposits | $7,000 | $20,000 |
Opening Inventory | $5,000 | $8,000 |
Miscellaneous Opening Costs | $9,500 | $28,000 |
Uniforms | $400 | $800 |
Insurance | $3,500 | $8,300 |
Travel and Living Expenses While Training | $1,000 | $15,000 |
Marketing Start-Up Fee | $3,000 | $6,000 |
Additional Funds for First 3 Months of Operation | $0 | $30,000 |
ESTIMATED TOTAL | $307,400 | $622,600 |
Other Fees
Type of Fee | Amount |
Continuing Franchise Fee | 5.9% of gross sales (exceptions apply). |
Continuing Advertising Fee | 5% of total gross sales. 2.5% of gross sales for SDOs. |
The Center Annual Subscription Fee | Currently, $300. |
Additional Training Fee | Currently, $2,950 per person. |
Training Cancellation Fee | $500 per person. |
Taxes | Varies. |
Late Fee and Interest | Currently, 1.5% per month or highest rate permitted by law, whichever is less. |
Collection Costs | Varies. |
Relocation Fee | Varies. |
Insurance | If franchisees fail to obtain insurance, the franchisor may obtain coverage at their expense. |
Indemnification | Varies. |
Transfer Fee (for a majority interest) | Baskin-Robbins Restaurant: $7,500; Combo Restaurant: $20,000. |
Fixed Documentation Fee | Currently, $2,000 per transferee. |
SDA Transfer Fee (majority interest) | $10,000 |
Enforcement Expenses | Varies. |
Immigration Status Review Costs | The franchisor’s out-of-pocket costs to hire attorneys or others. |
Reimbursement of Costs Incurred to Test Samples from Additional Supplier(s) | Varies, typically between $1,000 to $10,000. |
Lease Costs | Varies. |
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