Franchise Deep Dive: Dippin' Dots Franchise Costs, Fees, Profit and Data

The cryogenically engineered ice cream is a worldwide sensation.

12:12PM • 05/11/23

LAST UPDATED: March 14, 2023
FRANCHISE WEBSITE: https://www.dippindots.com/franchising-opportunities/
NUMBER OF LOCATIONS: 22,000+
REPORTED COST TO GET IN: $119,704 to $366,950
REPORTED ROI (Item 19): Not reported

Dippin’ Dots has been in business for over 30 years. In 1988, microbiologist Curt Jones combined his knowledge of cryogenic technology with his love for ice cream. Dippin’ Dots is the world’s largest beaded ice cream brand and has redefined the sweet treat.

Dippin’ Dots rose in popularity in the ‘90s. The ice cream made its first appearance in an amusement park in 1989 in Opryland in Nashville, Tennessee. In 1995, it made its international debut in Japan. In 2000, the ice cream brand began franchising. It was founded in Paducah, Kentucky and is still headquartered there today. In 2012, Dippin’ Dots was acquired by Scott Fischer, CEO of Fischer Capital, for $12.9 million. In 2022, the company was then sold to J&J Snack Foods, owner of Icee, Real Italian Ice and more, for $222 million.

How Many Dippin’ Dots Locations Are There?

Dippin’ Dots’ is a powerhouse of an ice cream brand. There are over 22,000 points of access for Dippin’ Dots across the world. Many of the access points are in malls, fairs and amusement parks.

What Is the Dippin’ Dots Business Model?

The Dippin’ Dots model includes co-brand opportunities with its sister company Doc Popcorn, which was acquired by Dippin’ Dots in 2014. Most franchisees take their business mobile, serving Dippin’ Dots at thousands of fairs and festivals—from food trucks and mobile carts and in schools and convenience stores.

How Much Can Dippin’ Dots Franchise Owners Make?

According to Dippin’ Dots’ 2022 Franchise Disclosure Document, the brand does not report any information about a franchise’s financial performance or a company-owned location’s financial performance. Employees and representatives are not authorized to share such information either. If you were to buy an existing location, you may be provided with records for that outlet.

How Much Does It Cost to Open a Dippin’ Dots?

To open a Dippin’ Dots, you need a minimum net worth of $250,000 and minimum liquid capital of $80,000. The initial investment cost is $119,704 to $366,950. When opening a Dippin’ Dots, you are technically purchasing two brands: Dippin’ Dots and Doc Popcorn. When you buy your ice cream, the royalty and ad royalty are already built into the price the franchisee pays. The franchisee does not pay any additional fees on Dippin’ Dots. Doc Popcorn charges a 6% royalty on gross revenues, excluding the Dippin’ Dots sales. Additionally, each franchisee currently contributes 1% of gross revenues.

A breakdown of the fees according to Entrepreneur is below.

Initial Franchise Fee: $15,000
Initial Investment: $119,704 to $366,950
Net Worth Requirement: $250,000
Cash Requirement: $80,000
Veteran Incentives: 15% off franchise fee
Royalty Fee: Varies
Ad Royalty Fee: Varies
Term of Agreement: Five years
Is the franchise term renewable?: Yes

What Is the Franchise Fee for Dippin’ Dots?

The franchise fee for Dippin’ Dots is $15,000.

Who Is the Leadership of Dippin’ Dots?

What Helpful Sources Can I See to Learn More About Dippin’ Dots?

Disclaimer: This content is for informational purposes only. You should not construe any such information or other material as legal, tax, investment, financial or other advice. Nothing contained on this site constitutes a solicitation, recommendation, endorsement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.

All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial advice, nor does any information in the email constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.