Haagen-Dazs Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
$30,000
Investment required
$15,000 - $543,000
Royalty fee
4.00%

Häagen-Dazs: Setting the Standard in Luxurious Ice Cream Franchising

In 1960, Reuben and Rose Mattus founded Häagen-Dazs in the Bronx, New York. Known for its super-premium ice cream, Häagen-Dazs entered the franchising arena in 1976, providing entrepreneurs with a chance to join their expansive global network. The brand is dedicated to quality, boasting a strong reputation for producing luxurious ice cream using only the finest ingredients.

Häagen-Dazs' franchise model is tailored for individuals with an entrepreneurial mindset and a history of success in previous ventures. While experience in retail and food businesses is advantageous, it is not a mandatory requirement for prospective franchisees.

Based in Minneapolis, Minnesota, Häagen-Dazs offers comprehensive support to its franchisees from the initiation of their journey and throughout the business lifecycle. The franchise provides various shop formats suited to different locations, including high-street shops, malls, and airports, allowing for flexibility and the ability to attract a diverse customer base.

Häagen-Dazs shops feature an exclusive selection of over 24 premium flavors and a unique array of seasonal specialties, making them an irresistible choice for ice cream enthusiasts and a promising venture for aspiring franchisees.

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.

Häagen-Dazs offers 5 types of franchises:

Franchise Option Initial Investment
New franchisees developing a traditional Häagen-Dazs Shop $214,518 to $542,768
Existing franchisees developing a traditional Häagen-Dazs Shop $195,250 to $526,579
Häagen-Dazs Shop franchised business under a successive term franchise or renewal agreement $61,750 to $371,579
Häagen-Dazs Hospitality Shop franchised business $14,500 to $273,689
Häagen-Dazs Satellite franchised business $181,250 to $512,579

We are summarizing below the main costs associated with opening a traditional Häagen-Dazs Shop Franchise.

For more information on the various types of franchises and its costs, refer to the Franchise Disclosure Document (Item 7).

Traditional Häagen-Dazs Shop

Type of Expenditure Amount
Initial Franchise Fee $30,000
Travel and Living Expenses to Attend Application Interview $1,189
Travel and Living Expenses During Training $3,079
Leasehold Improvements $105,000 - $300,000
Deposits and Licenses $7,500 - $17,500
Equipment, Fixtures and Furnishings $50,000 - $115,000
Opening Inventory $6,000 - $10,000
Insurance $1,500 - $2,500
Additional Funds – Three Months $10,250 - $63,500
TOTAL ESTIMATED INITIAL INVESTMENT $214,518 - $542,768

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Number of units

2023
Franchised units

209

211

208

Company-owned units

0

0

0

Total units

209

211

208

Franchise Disclosure Document

Training 

Häagen-Dazs offers an extensive training program designed to thoroughly prepare franchisees for establishing and operating a Häagen-Dazs Shop. This program includes initial training sessions for the designated shop manager and one additional person, focusing on key aspects of shop setup, product handling, and menu item preparation and sales. Detailed procedures and requirements for this training are provided in the Shop Operations Manual.

Initial Training
Prior to the opening of the shop, Häagen-Dazs provides free initial training for the designated shop manager and one additional person. This training aligns with Section 9.3.1, ensuring that critical personnel are fully equipped for their roles.

Remedial Training
Häagen-Dazs may require remedial training to address specific operational deficiencies. This training serves as an alternative to declaring a default or terminating the agreement for material breaches and may involve additional costs for the franchisee.

Ongoing and Refresher Training
The designated shop manager may be required to attend mid-term training after the fifth year of the term, as determined by Häagen-Dazs. Additionally, refresher training may be necessary for successive term franchises or renewal term franchises to ensure ongoing compliance with system standards.

Territory Protection

Häagen-Dazs does not offer exclusive territories to its franchisees. This means franchisees might encounter competition from other franchisees, Häagen-Dazs-owned outlets, or other distribution channels and competitive brands managed by Häagen-Dazs.

In cases where a protected area is granted, the Franchise Agreement will specify that as long as the franchisee fulfills their contractual obligations, Häagen-Dazs will not establish or authorize another Häagen-Dazs Shop within that designated area.

However, this protection does not extend to Häagen-Dazs selling products through other distribution channels, such as grocery stores, delicatessens, convenience stores, mobile carts, restaurants, licensed retail dessert outlets, schools, and other institutional customers, both within and outside the protected area. The majority of Häagen-Dazs products are distributed through these channels, which are not restricted by the franchise agreement.

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