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Milkshake Factory

Milkshake Factory

Milkshake Factory franchises enable owners to operate quick-serve shops offering hand-spun milkshakes, gourmet chocolates, craft sundaes, and related products using a proprietary system including recipes, design, operations standards, training, and advertising. The business model involves franchisees independently owning and operating shops from leased premises typically 1,300-1,800 sq ft, with franchisor support in development, purchasing, and promotions, including multi-unit area development options. They target consumers seeking premium frozen desserts and sweets in a competitive market with ice cream shops, confectioneries, and other dessert businesses.

Since 2023Food & BeverageAnn Arbor, MIEdwards MSF Holdings, LLC and FW-MSF Holdings, LLCwww.milkshakefactory.com
Item 19 AvailableSBA Loan Data

Disclaimer: This information was extracted using AI from public Franchise Disclosure Documents and should be independently verified. This is not financial or legal advice. Always review official FDD filings before making investment decisions.

Overview

Investment
$510,492 - $772,548
Franchise Fee
$60,000
Locations
4

Financial Requirements

Franchise Fee$60,000
Initial Investment Range$510,492 - $772,548
Royalty Rate6.00%
Brand Fund2.00%
Fixed Monthly Fees$1,056 - $1,056

6% royalty + 2% ad fund + $1,056/mo fixed fees (technology $325, POS software $714, MS Office/antivirus $17)

Franchise Stats

Franchise Locations4
Corporate Locations10
States Operating5
Franchising Since2023
FDD Year2025

Financial Performance

Item 19 Financial Performance

Data Based On: Data is described as being disclosed for 3 Franchised locations open for the first full three months of operations in 2024, and for 9 Affiliate-Owned Shops open for the entirety of 2024.

* The document indicates that financial performance data is disclosed in Item 19, referring to 'Part I' for 9 affiliate-owned shops and 'Part II' for 3 franchised locations. However, the specific financial figures (e.g., gross revenue, net income, profit) for these parts were not visible or provided in the attached OCR or image files, preventing extraction of numerical values.

Extracted Item 19 Section

How Milkshake Factory Compares to Other Desserts & Ice Cream Franchises

Key Insights

  • Higher investment than 89% of Desserts & Ice Cream franchises
FranchiseInvestment RangeFranchise FeeRoyaltyLocations
Milkshake Factory
Current
$510K - $773K$60K6.0%4
RITA'S FRANCHISE COMPANY, LLC; RITA'S ICE-CUSTARD-HAPPINESS$315K - $771K$35K6.5%564
MENCHIE'S$165K - $425K$40K6.0%296
DIPPIN' DOTS$139K - $399K$35K6.0%260
MARBLE SLAB CREAMERY$355K - $477K$25K6.0%249
HAAGEN DAZS SHOP$215K - $568K$30K4.0%207
Desserts & Ice Cream Average
28 franchises
$327K - $659K$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 (2024)

Outlets by state across the United States

Top States by Outlet Count
1MI
1
2NC
1
3TX
1
4UT
1

SBA Loan History

Historical SBA 7(a) loan data for Milkshake Factory franchisees (2025 - 2025)

Total Loans
3
Average Loan Amount
$680,500
Total Loan Volume
$2,041,500
Default Rate
0.0%

Loans by Year

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

Franchisee Contacts

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Due Diligence

Litigation (Item 3)

Franchisee Litigation Cases0

No litigation involving franchisees reported in the FDD.

Bankruptcy (Item 4)

Bankruptcy HistoryNo

No bankruptcy history reported in the FDD.

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
0
Non-Renewals
0
Reacquired by Franchisor
0
Ceased Operations (Other)
0
System Transfers
0
Sold to Franchisees
0
Projected New Franchises
54

Frequently Asked Questions

How much does it cost to open a Milkshake Factory franchise?

The total initial investment to open a Milkshake Factory franchise ranges from $510,492 to $772,548. This includes a franchise fee of $60,000. Ongoing royalty fees are 6.0% of gross sales.

How many Milkshake Factory franchise locations are there?

As of the 2025 FDD, Milkshake Factory has 4 franchise locations. The company has been franchising since 2023.

Can you get an SBA loan for a Milkshake Factory franchise?

Yes, SBA loans are available for Milkshake Factory franchises. Historical data shows 3 SBA 7(a) loans have been approved for Milkshake Factory franchisees, with an average loan amount of $680,500. The historical default rate is 0.0%.

Is Milkshake Factory a good franchise to buy?

Milkshake Factory shows several positive indicators: transparent financial performance data (Item 19), low SBA loan default rate. However, franchise success depends on many factors including location, local market conditions, and owner involvement. We recommend speaking with existing franchisees and consulting with a franchise attorney before making a decision.

Interested in Milkshake Factory?

Talk to a franchise advisor to get personalized guidance and learn if Milkshake Factory is the right fit for you.

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