The Original Rainbow Cone Franchise FDD, Costs & Fees (2026)
The Original Rainbow Cone is a Chicago-based ice cream shop famous for its colorful, multi-flavored cone, offering a nostalgic treat that combines five distinct flavors in one scoop.
KEY FRANCHISE STATS
Franchisees
?
6
+
n.a.
n.a.
Franchise fee
?
$40,000
Investment
?
$138,000 - $3,214,000
Revenue (AUV)
?
Undisclosed
$219,000
+
n.a.
n.a.
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The Original Rainbow Cone is a beloved ice cream franchise that began in 1926 in Chicago, Illinois. Founded by Joe and Katherine Sapp, the brand has become an iconic name known for its one-of-a-kind, layered ice cream cone.
The company is currently headquartered in Berwyn, Illinois, and has remained a staple in the Chicago area for decades. In 2021, The Original Rainbow Cone began franchising, offering entrepreneurs the chance to bring this unique dessert concept to new markets.
The franchise features a signature five-flavor ice cream cone—Chocolate, Strawberry, Palmer House (vanilla with cherries and walnuts), Pistachio, and Orange Sherbet—sliced rather than scooped. This visually striking and flavorful presentation stands out in the competitive ice cream industry.
The brand also offers traditional scoop cones, sundaes, shakes, ice cream cakes, and mini donuts, providing a full dessert experience. Its retro charm and colorful products attract both loyal locals and new visitors alike.
Initial investment
The initial investment required for a The Original Rainbow Cone franchise is
$138,000 - $3,214,000.
That is the total cost you would need to finance if you were to start this franchise.
These costs are provided by the franchisor in the Franchise Disclosure Document.
The Original Rainbow Cone offers 5 types of franchises:
Franchise Type
Initial Investment
The Original Rainbow Cone Free Standing (constructed from ground up)
$2,037,420 to $3,213,753
The Original Rainbow Cone Free Standing (leased)
$804,320 to $1,362,653
The Original Rainbow Cone In-Line
$401,758 to $811,818
The Original Rainbow Cone Express
$205,167 to $339,843
Food Truck Option (add-on)
$137,860 to $214,066
We are summarizing below the main costs associated with opening a The Original Rainbow Cone Free Standing franchise.
For more information on the various types of franchises and its costs, refer to the Franchise Disclosure Document (Item 7).
Type of Expenditure
Amount
Initial Franchise Fee
$40,000
Land Acquisition
$300,000 to $800,000
Site Work
$250,000 to $500,000
Construction of Building
$1,089,900 to $1,332,100
Travel and Living Costs While Training
$19,067 to $26,196
Initial Inventory and Supplies
$10,000 to $20,000
Furniture, Fixtures and Equipment (excluding Sign Package and POS)
$196,001 to $247,580
Sign Package
$52,000 to $71,500
POS System
$5,400 to $8,000
Miscellaneous Expenses
$9,000 to $37,500
Grand Opening Advertising and Marketing
$10,000 to $25,000
On-Site Training Fee
$21,053 to $30,877
Additional Funds – 3 Months
$35,000 to $75,000
Estimated Total
$2,037,420 to $3,213,753
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The Original Rainbow Cone offers 5 types of franchises:
Franchise Type
Initial Investment
The Original Rainbow Cone Free Standing (constructed from ground up)
$2,037,420 to $3,213,753
The Original Rainbow Cone Free Standing (leased)
$804,320 to $1,362,653
The Original Rainbow Cone In-Line
$401,758 to $811,818
The Original Rainbow Cone Express
$205,167 to $339,843
Food Truck Option (add-on)
$137,860 to $214,066
We are summarizing below the main costs associated with opening a The Original Rainbow Cone Free Standing franchise.
For more information on the various types of franchises and its costs, refer to the Franchise Disclosure Document (Item 7).
Type of Expenditure
Amount
Initial Franchise Fee
$40,000
Land Acquisition
$300,000 to $800,000
Site Work
$250,000 to $500,000
Construction of Building
$1,089,900 to $1,332,100
Travel and Living Costs While Training
$19,067 to $26,196
Initial Inventory and Supplies
$10,000 to $20,000
Furniture, Fixtures and Equipment (excluding Sign Package and POS)
$196,001 to $247,580
Sign Package
$52,000 to $71,500
POS System
$5,400 to $8,000
Miscellaneous Expenses
$9,000 to $37,500
Grand Opening Advertising and Marketing
$10,000 to $25,000
On-Site Training Fee
$21,053 to $30,877
Additional Funds – 3 Months
$35,000 to $75,000
Estimated Total
$2,037,420 to $3,213,753
Franchise Disclosure Document
Below is The Original Rainbow Cone's 2025 Franchise Disclosure Document. Upgrade to Pro or purchase the FDD to view and download the document.
Number of units
The Original Rainbow Cone had 25 total units in 2025, of which 6 were franchised-owned and 19 company-owned.
The Original Rainbow Cone franchise provides a comprehensive suite of training programs to ensure the franchisee’s preparedness and success. These programs are structured to support both initial setup and ongoing operational excellence:
Initial Training Program: The Operating Owner and designated managers must attend and complete the initial training, which includes a virtual pre-training component. This in-person program typically lasts one week for the owner and two weeks for managers. The training is conducted at franchisor-designated locations, and while the cost of instruction and materials is covered by the franchisor, all other expenses are the franchisee’s responsibility.
On-Site Training and Opening Assistance: Before and immediately after the store opening, the franchisor sends representatives to provide hands-on training and operational support at the franchise location. This support lasts for a duration determined by the franchisor and involves a training fee plus travel expenses.
Supplemental Education: The franchisor may periodically require franchisees and their managers to attend additional seminars, regional meetings, or webinars. These events may last up to five days annually, and the franchisor may charge a tuition fee for participation.
Territory Protection
The Original Rainbow Cone provides limited territory protection to its franchisees under specific conditions. For Free Standing and In-Line franchises, the franchisee is granted a “Protected Area,” which typically includes either a one-half mile radius in urban locations or a minimum population-based boundary in non-urban settings.
Within this area, the franchisor agrees not to open or franchise another store under the same brand, so long as the franchisee remains in good standing with the agreement.
However, this protection is not absolute. The franchisor retains the right to operate or franchise businesses at captive locations such as airports, colleges, and stadiums, even within a franchisee’s Protected Area.
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