MilkShake Factory
Food & Beverage · Ice Cream & Frozen Desserts
- Active units
- 4
- Avg unit volume
- $716k
- Royalty
- 6.0%
Franchised, year-end 2024
of weekly Net Sales
About MilkShake Factory
The Milkshake Factory® is a premium dessert destination that offers an exceptional indulgence experience. Specializing in handspun milkshakes, they use their own homemade ice cream, ensuring that every sip is creamy and delicious. Additionally, they feature heritage chocolates crafted by generational chocolatiers, adding a touch of luxury to their offerings. Their menu boasts an array of delectable milkshake creations, each more tempting than the last. Patrons can savor the Piña Colada, a creamy coconut shake with subtly sweet shredded coconut and refreshing tangy pineapple, or delight in the Banana Split, made with fresh bananas, sweetened strawberry sauce, crushed pineapple, and semi-sweet chocolate chips. For the ultimate chocolate lover, there's the famous Jake's Shake, a heavenly combination of chocolate shake, hot fudge, cookies & cream, and brownies, crowned with whipped cream and a chocolate 59. The Milkshake Factory® also takes pride in their chocolate heritage that spans back to 1914. Crafted with love, their premium chocolates are made using traditional recipes and techniques, ensuring an unparalleled taste experience. They cherish the opportunity to share their family traditions with customers and brighten their lives with sweetness. Visit The Milkshake Factory® and treat yourself to a delightful milkshake or indulge in their exquisite chocolates. Whether you're looking for a decadent dessert or a unique gift, this brand has everything to satisfy your sweet cravings.
Key terms
- Franchise fee
$60k
- Development Agreement credit
No additional Initial Franchise Fee for each Franchise Agreement executed under a Development Agreement
- Brand fund
2.0% of Net Sales
- Local advertising
2.0% of Net Sales
- Footprint
1,300 – 1,800 sq ft
- Development Agreement - Two Units
$110k
- Development Agreement - 3 to 5 Units
$45k
- Development Agreement - 6 to 9 Units
$40k
- Development Agreement - 10+ Units
$35k
- Veteran discount
5000.0% off franchise fee — $5,000 discount on the Initial Franchise Fee for honorably discharged veterans; applicable to first unit
Brand Percentile Rankings
Rankings compare brands in the same operating year. Fee and investment figures come from the FDD (2025 filing); filings on file: 2024, 2025.
Growth
- Total locations—
Franchised units open at year-end
- New openings—
Gross new units opened during the calendar year
- 1-year unit growth rate—
Net unit growth versus prior year
- 3-year unit CAGR—
Compound annual growth rate of unit count over the trailing 3 years
- Unit growth ratio—
Cumulative opens / closures through year-end
Unit economics
- Annual unit volume (Median)$716k
Average annual gross revenue computed as the mean of the three tertile averages for 9 Affiliate-Owned Shops in 2024: (922,771+693,759+531,706)/3 ≈ 716,079.
- Annual unit volume (25th percentile)—
Per FDD Item 19 disclosure
- Annual unit volume (75th percentile)—
Per FDD Item 19 disclosure
- 1-year Median AUV growth rate-3.2%
Year-over-year change in median AUV
- Store-level EBITDA Margin—
Median unit-level EBITDA / AUV
Investment profile
- Estimated initial investment$642k
Midpoint of estimated initial investment range
↓ Lower is better - Time to open11 months
Midpoint of average time from agreement to opening
↓ Lower is better - Royalty rate6.0%
Percent of net sales paid to the franchisor
↓ Lower is better - Sales-to-investment ratio1.1×
Median AUV / estimated initial investment midpoint
- Cash-on-cash returns—
Median unit-level EBITDA / estimated initial investment midpoint. Steady-state estimate; year 1 returns will be lower as the unit ramps to median volumes.
Franchisee healthLocked
- Unit closure ratio
- Transfer vs. closure ratio
- Percent multi-unit franchisees
- Litigation rate
- EBITDA multiple on sales & transfers
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Sources
Financial and operating figures are sourced from the brand's Franchise Disclosure Documents. Brand percentile rankings are based on comparisons to other brands that include the same metrics in their Franchise Disclosure Documents.