MENCHIE'S

MENCHIE'S

Menchie’s Group, Inc. franchises MENCHIE’S stores specializing in self-serve premium frozen yogurt, ice cream, desserts, and beverages prepared according to proprietary recipes and served in a distinctive store atmosphere under the MENCHIE’S System. The business model involves granting single-unit franchises or area development agreements for multiple stores, with franchisees adhering to specific operational procedures, designs, and trademarks. It targets the general public in a competitive frozen dessert market, with sales potentially seasonal due to warmer weather demand.

296
Locations
$165K–$425K
Investment
Since 2008
Franchising
Food & BeverageWoodland Hills, CAwww.menchies.comDisclaimer

Franchise Costs


Franchise Fee
$40,000
Item 5 of FDD
Initial Investment Range
$165,110 $424,571
Low: $165,110High: $424,571
Item 7 of FDD
Royalty Rate
6.00%
of gross sales
Brand Fund
2.00%
Item 6 of FDD
Fixed Monthly Fees
$80 – $80
Item 6 of FDD

6% royalty + 2% ad fund + $80/mo technology fee

Financial Performance


Item 19 Financial Performance

Average Gross Revenue
$0
Median Gross Revenue
$0

Data Based On: 275 franchised Stores open and operating for the entire Measurement Period (January 2, 2022 - December 31, 2023) and were located in traditional locations.

Extracted Item 19 Section

How MENCHIE'S Compares


Key Insights

  • Lower investment than 75% of Desserts & Ice Cream franchises
  • #2 largest franchise system in Desserts & Ice Cream
  • Lower than average SBA loan default rate in Desserts & Ice Cream
FranchiseInvestmentFeeRoyaltyLocations
MENCHIE'S
Current
$165K – $425K$40K6.0%296
RITA'S FRANCHISE COMPANY, LLC; RITA'S ICE-CUSTARD-HAPPINESS$315K – $713K$35K6.5%569
DIPPIN' DOTS$139K – $399K$35K6.0%260
MARBLE SLAB CREAMERY$355K – $477K$25K6.0%249
HAAGEN DAZS SHOP$215K – $568K$30K4.0%207
BRUSTER'S$409K – $1.1M$40K5.0%205
Desserts & Ice Cream Average
28 franchises
$327K – $657K$36K7.0%

* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 28 Desserts & Ice Cream franchises by location count.

Locations & Growth


Outlet Growth Over Time

Total outlets at end of each year

Geographic Distribution (2023)

Outlets by state across the United States

Top States
1CA
71
2TX
41
3FL
40
4WA
22
5MI
15
6GA
12
7UT
11
8CO
9
9OH
7
10OR
7
11AZ
6
12NM
6
13NY
5
14IL
4
15IA
4

+23 more states

SBA Loan History


Historical SBA 7(a) loan data for MENCHIE'S franchisees (20102025)

Total Loans
257
Average Loan
$279,995
Total Volume
$72.0M
Default Rate
12.8%

Loans by Year

SBA 7(a) loan activity over time

* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.

Franchisee Contacts


348 franchisee contacts on file from official FDD filings.

NameSBA Loan
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active

348 Contacts Available

Unlock all MENCHIE'S franchisee contacts with verified contact information

Due Diligence


Litigation (Item 3)

Franchisee Cases0
No litigation involving franchisees reported

Bankruptcy (Item 4)

Bankruptcy HistoryYes

Affiliate MidiCi Group, LLC filed Chapter 11 on September 21, 2018.

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
0
Non-Renewals
0
Reacquired
0
Ceased Ops
10
Transfers
30
Sold to Franchisees
0
Projected New
21

Frequently Asked Questions


The total initial investment to open a MENCHIE'S franchise ranges from $165,110 to $424,571. This includes a franchise fee of $40,000. Ongoing royalty fees are 6.0% of gross sales.

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