Dairy Queen: Frozen Food For Everyone
Can you imagine a time when there was no soft-serve ice cream available? That’s what happened in the dessert world before World War II. At that time, the famous ice cream maker, JF McCullough envisioned an ice cream treat that didn’t have to reach consumers in the form of frozen solid blocks. This resulted in the birth of the Dairy Queen. Its first location was established in 1940 in Joliet, Illinois. At first, the shop only offered vanilla ice cream that flowed like a white ribbon into sundae cups and cones. Then came pints and pints to take home. More items playing the same theme were introduced to consumers over the years. These include ice cream cake, Dilly Bar, banana split, and the very popular Peanut Buster Parfait.
Four years after the establishment of his first store, Mr. McCullough realized that this business had the potential to become a popular commodity, even in the midst of a military conflict, so 10 years after its founding, almost all existing Dairy Queen branches include hot foods on their menus such as hotdogs and hamburgers. Today, many aspiring entrepreneurs are looking forward to investing in the Dairy Queen franchise.
Milk Queen Franchise Review
You can find Dairy Queen franchise locations in almost every major city in the US, as well as in several other countries. As of 2008, there were approximately 4,500 Dairy Queen franchises in the country; about 600 branches in Canada; and more than 450 locations overseas, particularly in Asia. A franchisee is provided with three weeks of training at the company’s main office in Minneapolis and a two-week program of assistance from the parent company before and after the store opens. All franchisors are privileged to access purchasing cooperatives which allow them to purchase supplies and equipment at lower prices.
The company also calls for regular regional meetings among franchisees. In addition, the company provides ongoing evaluations to the field management office in the area, and regular training upgrades to all new assistants or managers. The company’s national media campaigns often receive awards for their outstanding methods of promotion. In addition, franchisees also have the advantage of signing up for parent company co-op ads that include direct mail coupons and other strategies. It usually takes 20 to 40 employees to run and operate a franchise branch, as suggested by the parent company.
More Milk Queen Franchise Information
The upfront franchise fee when you purchase a Dairy Queen franchise is $25,000. Franchise fees also include ongoing royalty fees. These are paid either monthly or quarterly and run from four to six percent of the franchisee’s gross sales. Additional fees include 3-6% of franchisee net sales as payment for promotional programs. This benefits all the respective franchisors. To buy a franchise, you need to spend $700,000 to $1.3 million in total investment. Thus, you must have a net worth of not less than $750,000, with cash liquidity of $400,000.
Initial costs in the overall estimate already include pre-opening supplies (minimum $6,000), various equipment such as cash registers, signage, and ice cream maker (minimum $280,000), and renovation and construction of the building site, which can cost as much as $425,000. . In addition, you also need to consider the costs of running a business, which include a business license, insurance, taxes, attorney’s fees, and utilities. Dairy Queen franchise agreements are generally set for 20 years. You have the option to renew your contract for another 10 years. The cost of these renewals can be as high as $2,500, but in 10 years, you’ll be making millions of dollars selling DQ Treats that are $2,500 just a drop in the bucket.