Dippin’ Dots Franchise FDD, Profits & Costs (2025)
Dippin’ Dots has made a lasting impact on the frozen dessert industry with its innovative approach to ice cream. Founded by Curt Jones in 1988 in Paducah, Kentucky, the brand introduced a groundbreaking way to enjoy ice cream through its signature flash-frozen beads, offering a fun and refreshing twist on the classic treat.
Headquartered in Paducah, Kentucky, Dippin’ Dots has continuously redefined frozen desserts, earning a devoted following among ice cream enthusiasts worldwide.
The brand took its expansion to the next level by launching its franchise program in 1999, allowing entrepreneurs to bring this one-of-a-kind ice cream experience to more customers. Dippin’ Dots offers a diverse range of flavors, from timeless classics like vanilla and chocolate to exciting varieties like cotton candy and birthday cake.
What truly makes Dippin’ Dots unique is its innovative cryogenic freezing process, which transforms ice cream into tiny, flavorful beads. This distinct texture, combined with its smooth and creamy taste, sets it apart from conventional ice cream.
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Initial Investment
How much does it cost to start a Dippin’ Dots franchise? It costs on average between $79,000 – $387,000 to start a Dippin’ Dots franchised business.
This includes expenses for store setup, specialized freezing equipment, initial product inventory, and early operational costs. The total investment varies based on factors such as the store format, location, and whether the franchisee opts to lease or purchase the property. Dippin’ Dots offers 3 types of franchises:
| Franchise Type | Initial Investment Range |
|---|---|
| Dippin’ Dots® Territory Franchisee | $139,704 – $386,950 |
| Dippin’ Dots® Store Only Franchisee | $113,704 – $344,950 |
| Dippin’ Dots® Distribution Franchisee | $79,104 – $190,550 |
We are summarizing below the main costs associated with opening a Dippin’ Dots® Territory Franchisee. For more information on costs required to start a Dippin’ Dots franchise, refer to the Franchise Disclosure Document (Item 7).
| Type of Expenditure | Amount (US$) |
|---|---|
| Initial Franchise Fee | $35,000 – $35,000 |
| Grand Opening Advertising Materials | $500 – $2,500 |
| Credit Card and Gift Card Processing | $755 – $800 |
| Office and Retail Supplies | $100 – $500 |
| Opening Inventory | $2,500 – $5,250 |
| Insurance | $1,500 – $2,500 |
| Printing and Signage | $499 – $5,000 |
| Equipment (Freezers, etc.) | $65,700 – $84,900 |
| Leased Warehouse and Cold Storage | $5,000 – $20,000 |
| 20 Ft. Box Truck Lease or Purchase | $1,000 – $2,000 |
| Travel, Lodging, Meals for Training | $1,500 – $2,500 |
| Real Estate and Improvements | $2,400 – $120,000 |
| Security Deposit and Prepaid Rent | $500 – $10,000 |
| Miscellaneous Startup Costs | $12,500 – $32,500 |
| Additional Funds (6 months) | $10,250 – $63,500 |
| TOTAL | $139,704 – $386,950 |
Average Revenue (AUV)
How much revenue can you make with a Dippin’ Dots franchise? A Dippin’ Dots franchised shop makes on average $246,000 in revenue (AUV) per year.
This compares to $515,000 yearly revenue for similar ice cream franchises. Below are a few Dippin’ Dots competitors as a comparison:
The most profitable franchises to own in 2025
We have compiled the list of the top 400 franchises across 9 industries. Download the report below.
Dippin’ Dots Franchise Disclosure Document
Frequently Asked Questions
How many Dippin’ Dots locations are there?
As of the latest available data, Dippin’ Dots operates over 100 store and shopping center locations across the United States. Additionally, there are more than 30 co-branded Dippin’ Dots and Doc Popcorn locations.
What is the total investment required to open a Dippin’ Dots franchise?
The total investment required to open a Dippin’ Dots franchise ranges from $79,000 to $387,000.
What are the ongoing fees for a Dippin’ Dots franchise?
Dippin’ Dots franchisees pay a royalty fee of $2.16 per gallon for bulk ice cream and $0.09 per prepackaged unit. For non-Dippin’ Dots items, royalties can be up to 6% of gross revenue. Advertising fees are $0.24 per gallon for bulk ice cream, $0.01 per prepackaged unit, and up to 2% of gross revenue for ancillary items.
What are the financial requirements to become a Dippin’ Dots franchisee?
To qualify as a Dippin’ Dots franchisee, candidates should have a minimum net worth of $250,000 and at least $80,000 in liquid assets.
How much can a Dippin’ Dots franchise owner expect to earn?
The average gross sales for a Dippin’ Dots franchise are approximately $0.27 million per location. Assuming a 15% operating profit margin, $0.27 million yearly revenue can result in $41,000 EBITDA annually.
Who owns Dippin’ Dots?
Dippin’ Dots is owned by J&J Snack Foods Corp., a leader in the frozen beverage and snack industry. In May 2022, J&J Snack Foods announced its agreement to acquire Dippin’ Dots for $222 million, and the acquisition was finalized on June 21, 2022.
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