Orange Leaf Frozen Yogurt 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
$136,000 - $685,000
Royalty fee
5.00%

Orange Leaf: Leading the Way in Self-Serve Frozen Yogurt Innovation

Orange Leaf Frozen Yogurt, launched in 2008, stands out for its innovative self-serve, choose-your-own-toppings frozen yogurt model. Based in Oklahoma City, Oklahoma, the franchise began its expansion journey in 2009, driven by the success of an initial store in Edmond, Oklahoma. Recognizing the potential, Mike Liddell and Reese Travis acquired a franchise, paving the way for the brand's rapid growth.

This strategic move led to a significant increase in locations across the United States and eventually to international markets. Orange Leaf's expansion highlights its widespread appeal and ability to adapt to various markets.

What sets Orange Leaf apart is its extensive selection of flavors, which includes traditional, unique, no-sugar-added, gluten-free, and dairy-free options. This variety caters to a broad customer base with diverse dietary needs and preferences. The brand offers more than just frozen yogurt; it provides an opportunity for customers to personalize their experience with a range of flavors and toppings, making each visit distinct and memorable.

Orange Leaf supports its franchisees with flexible real estate options, attractive labor models, and operational simplicity, making it an attractive option for potential franchise owners. They offer both traditional and non-traditional location setups, with franchise fees and requirements designed to accommodate different investment levels. Furthermore, the brand fosters a sense of community and partnership among its franchisees, emphasizing low industry fees and support for veterans through initiatives like VetFran.

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.

Orange Leaf offers 4 types of franchises:

Type Minimum Investment Maximum Investment
ORANGE LEAF Store Co-Branded with a Third-Party Concept $136,000 $325,000
ORANGE LEAF Non-Traditional Store $243,000 $516,015
ORANGE LEAF Traditional Store $400,500 $575,000
ORANGE LEAF - HUMBLE DONUT CO. Co-Branded Traditional Store $478,000 $685,000

We are summarizing below the main costs associated with opening a ORANGE LEAF- HUMBLE DONUT CO. Co-Branded Traditional Store franchise.

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

ORANGE LEAF- HUMBLE DONUT CO. Co-Branded Traditional Store

Type of Expenditure Amount
Initial Franchise Fee $30,000
HUMBLE DONUT CO. License Fee $5,000
Site Selection Fee $3,500
Project Management Fee $3,500
Lease Deposits & Rent $8,000 - $12,500
Architect; Engineer; Drawings $7,500 - $14,000
Permits $1,500 - $3,000
Interior Improvements, General Contractor; Lighting; Tile $140,000 - $175,000
Exterior Signage $7,500 - $12,000
Millwork; Smallwares; Furniture; Interior Graphics; Fixtures; Equipment $90,000 - $160,000
Soft Serve Machines $100,000 - $120,000
Additional Equipment (fryer, hood, millwork, smallwares, signage) $40,000 - $75,000
Expanded Offerings $5,000 - $10,000
POS System $5,000 - $8,000
Inventory; Uniforms $9,000 - $12,000
Pre-opening training expenses $4,000 - $7,500
New Store Marketing Plan Fee $5,000
Additional Grand Opening expenses $500 - $1,000
Insurance - Liability & Workers compensation (initial deposit) $1,000 - $2,000
Professional Fees $2,000 - $6,000
Additional Funds (3 months) $10,000 - $20,000
Total $478,000 - $685,000

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Number of units

2023
Franchised units

121

80

80

Company-owned units

0

0

2

Total units

121

80

82

Franchise Disclosure Document

Training 

Initial Training Overview

Orange Leaf FC, LLC, offers a comprehensive initial training program designed for new franchisees. This program is mandatory for the Managing Owner and must be successfully completed. Training takes place at a designated training store chosen by the franchisor and covers several key areas:

Welcome and Introduction to Orange Leaf

  • Duration: 6 hours
  • Location: Orange Leaf Corporate Office
  • Content: An introduction to the company, including its history, mission, and values.

Marketing Training

  • Duration: Included in the 6-hour session
  • Content: Instruction on using the marketing portal Momentfeed, local store marketing (LSM), and other marketing tools.

Technology Training

  • Duration: Included in the 6-hour session
  • Content: Guidance on using Revel, Paytronix, Third-Party Delivery, POS Support, and FranConnect.

Distribution Training

  • Duration: Included in the 6-hour session
  • Content: Overview of the ordering process, initial order setup, and a Q&A session.

Finance & Accounting Training

  • Duration: Included in the 6-hour session
  • Content: Training on managing profit and loss (P&L) statements, royalties, price points, inventory management, and competitor analysis.

Catering Training

  • Duration: 2 hours
  • Content: Exploring catering opportunities, cost breakdowns, and execution strategies.

Store Operations Training

  • Duration: 8 hours
  • Location: A certified training store selected by the franchisor
  • Content: Detailed training on machine cleaning and maintenance, opening procedures, setup and POS operations, creating product offerings, and situational practice.

Territory Protection

Orange Leaf FC, LLC offers territory protection to its franchisees, which is detailed in the Franchise Agreement. Franchisees are granted a "Protected Area," defined either by a radius around the store or a specific geographic region outlined on a map. The size of this Protected Area varies depending on the store's location, with smaller areas in densely populated urban areas and larger areas in less populated suburban regions.

Each franchise's Protected Area is uniquely defined in the Franchise Agreement, ensuring no other Orange Leaf Stores are allowed within this zone. However, there may be some overlap with the Protected Areas of other franchisees. It is important to note that territory protection does not extend to delivery zones managed by third-party delivery service providers.

Orange Leaf reserves the right to operate or license others to operate stores outside the Protected Area. It may also operate or license stores in Closed Markets within the Protected Area and distribute products and services through alternative channels within the Protected Area. Franchisees do not receive an exclusive territory and may encounter competition from other franchisees, company-owned outlets, or other distribution channels or competitive brands managed by the franchisor.

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