Dairy Queen

Dairy Queen Franchise FDD, Costs & Fees (2025)

Dairy Queen is a fast-food franchise known for its soft-serve ice cream, Blizzard treats, and burgers, offering a menu of indulgent treats and satisfying meals.

Dairy Queen, a well-known and cherished franchise in the realm of frozen desserts, has been enchanting customers with its iconic ice cream and fast-food selections for over seventy years. Established in 1940 by John Fremont McCullough in Joliet, Illinois, Dairy Queen has woven itself into the fabric of American culture.

With its headquarters in Minneapolis, Minnesota, the brand prides itself on a legacy of delivering smiles through a varied and delectable menu.

Beginning its franchising journey in 1944, Dairy Queen embarked on its path to becoming a global franchise powerhouse. The brand is celebrated for its soft-serve ice cream, Blizzard treats, classic milkshakes, burgers, hot dogs, and an array of fast-food choices.

The hallmark of Dairy Queen is its famous Blizzard, a delightful mix of ice cream with a variety of toppings and mix-ins, providing customers with a unique and irresistible dessert experience.

Moreover, Dairy Queen's motto, "Fan Food, Not Fast Food," underscores its commitment to quality and customer satisfaction, distinguishing it in the quick-service restaurant sector.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Type of Expenditure Amount
Initial Franchise Fee $45,000
ALTA Survey and/or Site Investigation Report (SIR) $0 - $5,000
Initial Training Fees and Costs $1,200 - $12,600
Travel and Living Expenses for Training Programs $23,000 - $42,950
Building, Construction and Leasehold Improvements $800,000 - $1,400,000
Construction Consultation Services $0 - $7,500
Building Plans, Design Intent Plans and Architectural Seal $15,000 - $60,000
Equipment (includes signs and point-of-sale systems) $550,000 - $700,000
Training Inventory $6,000 - $12,000
Opening Inventory $20,000 - $35,000
Utility Deposits, Business Licenses and Government Charges $4,000 - $17,000
Attorneys’ Fees $1,000 - $8,000
Additional Funds - 3 Months $51,000 - $198,000
Total (for reference) $1,516,200 - $2,543,050

Franchise Disclosure Document

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Competitors

Below are some of

Dairy Queen

key competitors in the

Ice Cream

sector.

Started franchising
Franchisees

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Franchise fee

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Royalty fee

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Investment

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Revenue (AUV)

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Gross Profit

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EBITDA

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Home-based

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Passive investment

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FDD
Dairy Queen
1940
1969
+
0%
0%
$45,000
4.00%

$1,516,000

-

$2,543,000

n.a.

$1,355,000

Upgrade

69.3%

n.a.

Upgrade

n.a.

n.a.

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No
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No
No
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No
2018
2
+
0%
0%
$30,000
6.00%

$160,000

-

$274,000

Upgrade

n.a.

$0

n.a.

n.a.

Upgrade

n.a.

n.a.

Upgrade
No
Upgrade
No
No
Upgrade
No
2006
5
+
67%
67%
$25,000
5.00%

$234,000

-

$434,000

Upgrade

n.a.

$341,000

n.a.

n.a.

Upgrade

n.a.

n.a.

Upgrade
No
Upgrade
No
No
Upgrade
No
2012
38
+
27%
27%
$20,000
$500 per month

$173,000

-

$185,000

Upgrade

n.a.

$0

n.a.

n.a.

Upgrade

n.a.

n.a.

Upgrade
Yes
Upgrade
Yes
Yes
Upgrade
Yes
2010
15
+
-21%
-21%
$35,000
6.00%

$217,000

-

$461,000

Upgrade

n.a.

$0

n.a.

n.a.

Upgrade

n.a.

n.a.

Upgrade
No
Upgrade
No
Yes
Upgrade
Yes
2005
37
+
-12%
-12%
$35,000
6.00%

$110,000

-

$284,000

Upgrade

n.a.

$0

n.a.

n.a.

Upgrade

n.a.

n.a.

Upgrade
Yes
Upgrade
Yes
No
Upgrade
No
2023
0
+
n.a.
n.a.
$60,000
6.00%

$477,000

-

$740,000

Upgrade

n.a.

$731,000

69.9%

n.a.

Upgrade

n.a.

n.a.

Upgrade
No
Upgrade
No
No
Upgrade
No

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$49 / month
Total investment

?

Revenue (AUV)

?

Revenue growth (last 3 years)

?

Profit margin

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Franchise Disclosure Documents
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Watchlist

?

Priority support

?

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Training 

Dairy Queen offers a thorough initial training program for franchisees and their teams, aimed at ensuring they are well-prepared to operate a Dairy Queen franchise successfully.

Initial Training Components

ADQ's Initial Training: This primary training segment is divided into three phases, covering operational procedures, product preparation, customer service, and management practices specific to Dairy Queen standards.

Management Training Readiness Assessment (MTRA): An evaluation to confirm readiness for management roles within a Dairy Queen franchise.

SERVSAFE Course: A mandatory food safety course to ensure all trainees adhere to food handling and safety regulations.

Training Requirements

Trainees: At least three individuals per store, including the designated manager and two assistant managers, must complete the entire training program. Dairy Queen may also offer additional training options, such as EPOS (Electronic Point Of Sale) training, at its discretion.

Territory Protection

Dairy Queen typically does not grant protected territories to subfranchisees under its operating agreements. Instead, a subfranchisee is given the right to operate a store or restaurant at a specified location, without any promise from Dairy Queen to avoid establishing new stores or restaurants nearby.

However, there may be instances where Dairy Queen, at its discretion, opts not to open a new store or restaurant close to an existing one.

This policy means that while franchisees are assigned a specific location for their Dairy Queen store or restaurant, they do not receive exclusive territorial rights preventing Dairy Queen from granting additional subfranchises or operating competing businesses within the area.

Number of units

2025
Franchised units

1965

1967

1969

Company-owned units

2

2

2

Total units

1967

1969

1971

Competitors

Sweet Rolled Tacos

Franchisees

?

2
+
0%
0%
Investment

?

$160,000 - $274,000

Gofer Ice Cream

Franchisees

?

5
+
67%
67%
Investment

?

$234,000 - $434,000

Tikiz Shaved Ice and Ice Cream

Franchisees

?

38
+
27%
27%
Investment

?

$173,000 - $185,000

Popbar

Franchisees

?

15
+
-21%
-21%
Investment

?

$217,000 - $461,000

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