Dairy Queen Franchise FDD, Profits & Costs
Dairy Queen, founded in 1940 in Joliet, Illinois, has been a key player in the quick-service restaurant industry for over eight decades. Known for its Blizzard® Treats, Dilly® Bars, and a wide variety of ice cream and fast food items, Dairy Queen quickly became a beloved brand.
The franchise system started the same year as the first store, and today, Dairy Queen is headquartered in Minneapolis, Minnesota.
It operates under International Dairy Queen Inc., a subsidiary of Berkshire Hathaway, led by Warren Buffett, providing financial stability and a commitment to quality and innovation.
Dairy Queen Franchise Initial Investment
How much does it cost to start a Dairy Queen franchise? It costs on average between $1,516,000 - $2,543,000 to start a Dairy Queen 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 |
|---|---|
| Initial Franchise Fee | $45,000 |
| ALTA Survey and/or Site Investigation Report | $0 to $5,000 |
| Initial Training Fees and Costs | $1,200 to $12,600 |
| Travel and Living Expenses for Training Programs | $23,000 to $42,950 |
| Building, Construction and Leasehold Improvements | $800,000 to $1,400,000 |
| Construction Consultation Services | $0 to $7,500 |
| Building Plans, Design Intent Plans and Architectural Seal | $15,000 to $60,000 |
| Equipment – Includes Signs and Point-of-Sale Systems | $550,000 to $700,000 |
| Training Inventory | $6,000 to $12,000 |
| Opening Inventory | $20,000 to $35,000 |
| Utility Deposits, Business Licenses and Government Charges | $4,000 to $17,000 |
| Attorneys’ Fees | $1,000 to $8,000 |
| Additional Funds – 3 Months | $51,000 to $198,000 |
| Total Estimated Initial Investment | $1,516,200 to $2,543,050 |
Dairy Queen Franchise Disclosure Document
Frequently Asked Questions
What funding options are available for a Dairy Queen franchise?
Most franchise buyers in Dairy Queen’s investment range finance their unit through an SBA 7(a) loan, with some multi-unit operators using SBA 504 loans for real estate. Buyers with rollable retirement funds sometimes use a ROBS structure to reduce debt service. See SharpSheets’ financial model hub for funding guidance.
How long does it take to pay back a Dairy Queen franchise investment?
Payback periods for franchises in Dairy Queen’s category typically run 3-7 years, depending on investment level, location performance, and financing structure. Actual payback varies significantly by unit performance and debt service obligations.
Who owns Dairy Queen?
Dairy Queen is owned by Berkshire Hathaway, the multinational conglomerate led by Warren Buffett. Berkshire Hathaway acquired Dairy Queen in 1997 through its subsidiary, International Dairy Queen, Inc. The acquisition made Dairy Queen part of Berkshire Hathaway’s diverse portfolio of companies.
SharpSheets Editorial Team | sharpsheets.io | Last Updated: June 2026
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