Franchise Deep Dive: Andy's Frozen Custard Franchise Costs, Fees, Profit and Data

Andy’s Frozen Custard is a quick service frozen dessert franchise. The freestanding restaurants offer drive-thru and walk-up service windows, and exclusively sell frozen custard treats.

How Many Andy's Frozen Custard Locations Are There?

In March 1986, John and Carol Kuntz founded Andy's in Osage Beach, Missouri. The business eventually expanded from Osage Beach to Springfield, Missouri, where their son Andy and his wife, Dana, learned the business at the original location. In 2004, Andy’s began franchising.

Andy's can now be found in 15 states and has more than 135 locations open, with more in development. In 2023, Andy’s added 22 new stores and plans to add 25 to 30 locations in 2024. John Kuntz expects a 20% growth rate to “continue for some time,” he said in an interview.

What Is the Andy's Frozen Custard Business Model?

Andy's is known for selling high-quality products in a clean, modern-retro environment. The service is quick and personalized, and there's an emphasis on connecting with customers. The business model is designed for easy control of costs, with an efficient staffing model that emphasizes productivity. Operational costs are monitored through contemporary point of sale and reporting systems. Treats are served quickly via the drive-thru and outdoor walk-up ordering windows.

Andy’s offers market-level development with exclusivity, beginning at a three-to-five store commitment. The brand is not currently pursuing single-store franchise opportunities. Requests to develop larger geographic or more densely populated markets may require a larger minimum store development commitment.

Successful candidates should understand the complexities of managing multiple store locations, developed in a relatively short time frame. Owners and operators at Andy's must be deeply involved in all aspects of the business and ready to tap into the untapped potential within a community. While Andy's offers treats throughout the day, owners should recognize that the majority of sales occur during nights and weekends. Prospective owners should not expect a standard 9-5 job or a simple investment. Instead, they should be prepared for a business opportunity that requires hard work and a track record of success to expand the brand in new markets.

How Much Can Andy's Frozen Custard Franchise Owners Make?

Earnings for Andy’s owners are not publicly available. However, the Financial Performance Representation in the brand’s Franchise Disclosure Document (FDD) contains certain historical gross sales information for existing Andy’s stores.

How Much Does It Cost To Open Andy's Frozen Custard?

The initial investment to open an Andy’s location ranges from $529,000 to $1.4 million, according to Entrepreneur. Additionally, a candidate’s financial position should be in excess of $3 million of liquid assets.

The royalty fees range starts at 6%, with tiered levels down to 4%. Tier levels are tied to the number of store locations opened.

What Is the Franchise Fee for Andy's Frozen Custard?

There is a fee of $32,000 for a new franchisee’s first store location. The fee is reduced to $28,000 per additional store location thereafter.

Who Is the Leadership of Andy's Frozen Custard?

Andy Kuntz — President
Carol Kuntz — Founder
Buddy Coulter — Chief Financial Officer
Chris Grooms — Chief Operating Officer
Bill Breyer — Director of Franchise Sales and Development

What Helpful Articles Can I Read to Learn More About Andy's Frozen Custard?

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