Crumbl Cookies Franchise FDD, Profits, Costs & Fees (2024)
Crumbl Cookies, co-founded by cousins Jason McGowan and Sawyer Hemsley, embarked on its journey in 2017 with a mission to create the perfect chocolate chip cookie. Headquartered in Logan, Utah, the company rapidly gained popularity for its unique approach to cookie baking and delivery, eventually becoming the fastest-growing and largest cookie company in the United States.
The brand began franchising soon after its inception, and its growth has been nothing short of impressive. By 2023, Crumbl had expanded to over 800 locations across all 50 states and even ventured into international markets with stores in Canada. Crumbl’s success is driven by its weekly rotating menu of gourmet cookies, ensuring that customers always have new flavors to look forward to, alongside their classic favorites.
Crumbl differentiates itself from competitors through its open-concept kitchens, allowing customers to witness the entire baking process, from dough preparation to the final touches. This transparency, combined with their iconic pink box designed in 2018, makes the Crumbl experience both engaging and highly Instagrammable.
Additionally, Crumbl’s emphasis on quality and innovation has made it a beloved brand among cookie enthusiasts and social media influencers alike.
Key Franchise Stats
Crumbl Cookies
Number of units: 688 franchises
Initial investment: $368,000 - $1,404,000
Average revenue (AUV): $1,796,000
Initial Investment
It costs on average between $460,166 – $1,266,333 to start a Crumbl Cookies franchised restaurant.
This includes costs for construction, equipment, inventory, and initial operating expenses. The exact amount depends on various factors, including the type of restaurant you choose, the location and whether the franchisee chooses to lease or purchase the property.
| Type of Expenditure | Amount (Low – High) |
|---|---|
| Initial Franchise Fee | $50,000 |
| Opening Tech Equipment Package | $9,000 – $15,000 |
| Opening General Equipment Package | $170,000 – $180,000 |
| Opening Box and Ingredient Package | $9,000 – $12,000 |
| Initial Training Fees and Travel Expenses | $20,000 – $30,000 |
| Real Estate and Improvements | $75,000 – $640,000 |
| Rent – 3 months | $16,666 – $83,333 |
| Professional Fees | $8,000 – $53,000 |
| Equipment, Furniture, Fixtures, Décor, and Supplies | $75,000 – $100,000 |
| POS System, Computer Hardware, and Software | $3,500 – $15,000 |
| Signs | $6,500 – $32,000 |
| Misc. Opening Costs | $2,500 – $30,000 |
| Opening Inventory | $5,000 – $16,000 |
| Additional Funds – 3 months | $10,000 |
| Total | $460,166 – $1,266,333 |
Average Revenue (AUV)
A Crumbl Cookies franchised restaurant makes on average $1,796,000 in revenue (AUV) per year.
Here is the extract from the Franchise Disclosure Document:
This compares to $788,000 yearly revenue for similar restaurant baked goods franchises. Below are 10 Crumbl Cookies competitors as a comparison:
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Crumbl Cookies Franchise Disclosure Document
Frequently Asked Questions
How many Crumbl Cookies locations are there?
As of the latest data, Crumbl Cookies operates over 1,000 locations across the United States. This includes approximately 850 franchise-owned units and about 150 company-owned stores.
This extensive network of cookie shops positions Crumbl Cookies as one of the fastest-growing gourmet cookie chains in the country, offering franchisees a strong brand presence and a rapidly expanding customer base.
What is the total investment required to open a Crumbl Cookies franchise?
The total investment required to open a Crumbl Cookies franchise ranges from $368,000 – $1,404,000 for the freestanding restaurant format.
What are the ongoing fees for a Crumbl Cookies franchise?
Crumbl Cookies franchisees are required to pay a 8% royalty fee on gross sales. Additionally, there is a 3.5% advertising fee on gross sales, which supports national marketing and promotional initiatives.
What are the financial requirements to become a Crumbl Cookies franchisee?
To qualify as a Crumbl Cookies franchisee, you need a minimum net worth of $500,000 and at least $200,000 in liquid capital. These financial requirements ensure that franchisees have the resources necessary to operate their business successfully.
How much can a Crumbl Cookies franchise owner expect to earn?
The average gross sales for a franchise are approximately $1.8 million per location. Assuming a 15% operating profit margin, $1.8 million yearly revenue can result in $270,000 EBITDA annually.
Whilst EBITDA does not necessarily represent the owner’s pay, it can serve as a proxy for how much the owner can pay herself/himself as dividends.
Who owns Crumbl Cookies?
Crumbl Cookies was co-founded by Jason McGowan and Sawyer Hemsley. As of the latest information, Jason McGowan serves as the CEO of Crumbl Cookies. The company is privately held, and while the founders retain significant ownership, the specific details about ownership percentages or other individual stakeholders are not publicly disclosed.
Disclaimer
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