Baskin Robbins
Baskin Robbins offers ice cream and frozen treats in franchised locations across the globe. Known for its 31 flavors and innovative desserts, it operates in the casual dining and dessert retail sector.
About Baskin Robbins
Baskin-Robbins, Inc. is an American multinational chain of ice cream and cake specialty shops owned by Inspire Brands. Baskin-Robbins was founded in 1945 by Burt Baskin and Irv Robbins in Glendale, California. Its headquarters are in Canton, Massachusetts, and shared with sibling brand Dunkin' Donuts. It is the world's largest chain of ice cream specialty stores, with more than 7,800 locations.
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Baskin Robbins franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a Baskin Robbins franchise ranges from $307,400 to $622,600 [p.2]. This range includes a mandatory payment to the franchisor or affiliate in the amount of $28,300 to $34,250 [p.2].
What is the initial franchise fee?
The initial franchise fee due under the Franchise Agreement is $12,500 [p.224, p.283, p.284].
What are the ongoing royalty and advertising fees?
The ongoing royalty and advertising fees are not explicitly detailed in the provided excerpts. This isn't specified in the excerpts.
How long is the initial franchise agreement, and can I renew it?
The initial term of domestic franchise agreements is typically 20 years [p.111]. A franchisee may elect to renew the term prior to the end of the franchise term or as otherwise provided by the Company, but renewal is subject to certain conditions including meeting the development schedule and compliance with franchise agreements [p.290].
Can I sell or transfer my franchise, and what does that require?
According to the FDD, your ability to transfer ownership of the franchise is limited. The franchisor can refuse to permit a transfer except for good cause [p.6(g)]. Good cause includes but is not limited to unspecified factors, and the franchisor also has the right of first refusal to purchase the franchise if it chooses to exercise this option [p.6(g)].
On what grounds can the franchisor terminate the agreement?
The franchisor can terminate the agreement for several reasons including if you breach specific sections of the agreement [p.419], if another franchise agreement expires or terminates [p.235], or if there is a change in approval by Dunkin' Brands Inc. for the use of the program in your market [p.419]. Additionally, the franchisor can terminate the agreement for good cause such as failure to comply with lawful provisions and not curing such failures within a reasonable time frame [p.6].
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts. The FDD does not provide specific details on the net worth or liquid capital required for qualification as a franchisee.
Do I get an exclusive or protected territory?
No, you do not receive an exclusive territory. You may face competition from other franchisees and outlets owned by the company, as well as other channels of distribution or competitive brands controlled by the company. [p.65, p.66] Additionally, your protected territorial rights are limited under the Store Development Agreement and can be suspended or eliminated if you do not meet certain criteria to expand. [p.245, p.267]
What training and ongoing support does the franchisor provide?
The franchisor provides various mandatory and optional training programs regarding Standards that they have developed or obtained. These can be conducted at the restaurant, other sites, or through internet or other electronic media. You are required to timely and successfully complete all designated mandatory training programs. Additionally, if you are a new franchisee or require additional training, you must complete it within the timeframe set by the franchisor and pay any associated fees [p.158].
How many franchised outlets are there, and how many have closed or been terminated?
Based on the provided excerpts, Baskin-Robbins had 976 franchised outlets operating in the United States at the end of 2024. However, this number excludes certain restaurants that did not operate for the full year due to various reasons such as remodeling or closure. The exact number of closed or terminated outlets is not specified in these excerpts; instead, it indicates that 35 franchised Baskin-Robbins Restaurants closed during 2024, all having been open for at least 12 months before closing [p.77].
Does the franchisor share any financial performance or earnings information?
Yes, the franchisor shares actual historical 'AUVs' (average unit volumes) for specific groups of Baskin-Robbins Restaurants. This information is based on 2024 fiscal year data and does not include costs that must be deducted from AUV figures to determine net income or profit [p.77, p.80].
What am I restricted to selling, and where must I buy supplies?
You are limited to selling goods and services from one location, and you must purchase or lease all equipment, fixtures, furnishings, signage, inventory, supplies, materials, and other products and services for the restaurant only according to the Standards and from suppliers and/or distributors that the franchisor designates or approves [p.47]. This may include purchasing from the franchisor or its affiliates [p.47].