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ROCKY MOUNTAIN CHOCOLATE FACTORY
Rocky Mountain Chocolate Factory franchises operate branded retail stores and kiosks selling premium chocolates, confections, caramel apples made in-store, and related gift items purchased from the franchisor's Durango production facility or prepared on-site using proprietary recipes. The business model involves licensing the Rocky Mountain Chocolate Factory marks and methods for high foot traffic locations like malls, tourist areas, airports, and casinos. They target impulse buyers, tourists, and holiday gift shoppers seeking fresh, handmade-quality premium sweets.
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Franchise Costs
6% royalty (4-6% based on Durango Product sales share after initial period) + 1% marketing fund
Financial Performance
Item 19 Financial Performance
Data Based On: 134 Franchised Locations that were in operation for 12 months or longer as February 28, 2025 for the 2025 fiscal year (March 1, 2024 to February 28, 2025).
* Average gross revenue calculated from total gross retail sales ($82,232,941) divided by total stores (134). Revenue top quartile is the average gross retail sales for the 1st quartile (33 stores, $32,757,575). Revenue bottom quartile is the average gross retail sales for the 4th quartile (33 stores, $11,102,001). Median gross revenue is estimated as the average of the average gross retail sales of the 2nd quartile (34 stores, $21,879,954, average $643,528.06) and 3rd quartile (34 stores, $16,439,412, average $483,512.12).
Extracted Item 19 Section
Avg. Revenue: $613,679
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Unlock financial performance dataROCKY MOUNTAIN CHOCOLATE FACTORY Franchise Analysis
Picture a Durango, Colorado gem born in 1982, transforming premium handmade chocolates and caramel apples into impulse buys for tourists and mall-goers. Item 19 unveils revenue snapshots from existing stores, while decades of SBA loans reveal how operators finance these sweet setups. Yet as unit counts dip amid shifting retail landscapes, does this confectionery brand offer the sticky profitability to justify the sizable upfront commitment?
Item 7 lays out the financial entry: a $35,000 franchise fee within a total investment of $465,800 to $871,700, covering buildouts for kiosks or stores in malls, airports, and casinos. Ongoing fees include a 6% royalty—tiered 4-6% based on Durango product sales—and 1% brand fund. Item 19 delivers the goods: average gross revenue of $613,679 and median $563,520 across franchised units, signaling solid top-line potential for high-traffic spots targeting holiday gifting and tourists, though variance suggests location reigns supreme for hitting those figures.
System metrics paint a maturing brand navigating headwinds: 138 franchised locations (down 7% from 149 in 2024), 13 terminations, 7 transfers, and 14 projected new units. SBA data bolsters credibility with 39 loans averaging $260,987 and a low 7.7% default rate, indicating viable financing and operator staying power. Prospective buyers should probe Item 19 breakdowns by region or store type, audit local foot traffic viability against competitors like Godiva, and scrutinize the Durango supply chain's impact on margins amid the royalty structure.
Analysis based on the 2025 Franchise Disclosure Document. All figures should be independently verified before making investment decisions.
How ROCKY MOUNTAIN CHOCOLATE FACTORY Compares
Key Insights
- Higher investment than 98% of Business Services franchises
- Lower than average SBA loan default rate in Business Services
| Franchise | Investment | Fee | Royalty | Locations |
|---|---|---|---|---|
ROCKY MOUNTAIN CHOCOLATE FACTORY Current | $466K – $872K | $35K | 6.0% | 138 |
| Bimbo Foods Bakeries Distribution, LLC | $14K – $607K | N/A | N/A | 6,454 |
| THE UPS STORE (TRADITIONAL) | $216K – $609K | $30K | 5.0% | 4,500 |
| RE/MAX | $37K – $337K | $35K | 1.0% | 2,994 |
| JACKSON HEWITT TAX SERVICE | $71K – $105K | $25K | 15.0% | 2,744 |
| CRUISE PLANNERS | $2K – $21K | $11K | 3.0% | 2,655 |
Business Services Average 198 franchises | $121K – $289K | $47K | 10.2% | – |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 198 Business Services franchises by location count.
Locations & Growth
Outlet Growth Over Time
Total outlets at end of each year
Geographic Distribution (2025)
Outlets by state across the United States
+13 more states
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Unlock location growth dataSBA Loan History
Historical SBA 7(a) loan data for ROCKY MOUNTAIN CHOCOLATE FACTORY franchisees (2010 – 2024)
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.
39 SBA loans on record
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Unlock SBA loan historyFranchisee Contacts
245 franchisee contacts on file from official FDD filings.
245 Contacts Available
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Unlock contactsDue Diligence
Litigation (Item 3)
Bankruptcy (Item 4)
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
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Unlock due diligence reportsFrequently Asked Questions
The total initial investment to open a ROCKY MOUNTAIN CHOCOLATE FACTORY franchise ranges from $465,800 to $871,700. This includes a franchise fee of $35,000. Ongoing royalty fees are 6.0% of gross sales.