Baskin-Robbins Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$307,400 - $622,600
Franchise Fee
$6,250
Total US Locations
2,245
Business Summary
Baskin-Robbins Franchising LLC operates and offers franchises for retail restaurants that sell Baskin-Robbins ice cream, ice cream cakes, and various related frozen products, along with other food and beverage items compatible with the brand's concept.
Corporate History
The Baskin-Robbins brand began in 1946, and Baskin-Robbins Franchising LLC, through its predecessors, has been offering Baskin-Robbins franchises since 1948. Baskin-Robbins Franchising LLC was formed as a Delaware limited liability company on March 15, 2006. It operates as a wholly-owned, indirect subsidiary of DB Master Finance LLC and DB Master Finance Parent LLC. Dunkin' Brands, Inc., a Delaware corporation, acts as a parent company and provides management services for Baskin-Robbins' obligations. The broader corporate structure is part of Inspire Brands, Inc., a global multi-brand restaurant company established in February 2018 through a merger involving the parents of the Arby's and Buffalo Wild Wings brands.
Financial Overview
Investment Range
$307,400 - $622,600
Franchise Fee (Low)
$6,250
Franchise Fee (High)
$25,000
Royalty %
5.9%
Marketing %
5%
Equipment Costs (Low)
$115,000
Equipment Costs (High)
$185,000
Working Capital
$15,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
DB Master Finance Parent LLC and its subsidiaries, which includes Baskin-Robbins, present a financially healthy picture. The independent auditors issued an unqualified opinion on their consolidated financial statements, indicating fair presentation in all material respects. The company reported consistent net income of $585 million in 2024, $509 million in 2023, and $502 million in 2022. No conditions or events raising substantial doubt about the company's ability to continue as a going concern were identified. The company is contingently liable under supply chain guarantees for approximately $136.7 million, with no liabilities recorded, and its affiliate, Dunkin' Brands, Inc., holds lease guarantees of $44.6 million and supply chain guarantees of $207.1 million, with inconsequential reserves.
Financing Details
Baskin-Robbins does not offer direct or indirect financing to franchisees. It also does not guarantee any franchisee notes, leases, or other obligations. Franchisees are responsible for securing their own financing.
Performance Metrics
Total US Locations
2,245
Franchised Units
2,245
Corporate Units
0
Avg Square Footage
1,132
Franchising Since
1948
Legal & Compliance Analysis
Recent Litigation
Yes
Bankruptcy
No
Litigation Count
19
Litigation Summary
Baskin-Robbins has several pending lawsuits, including four cases filed in 2024 by Baskin-Robbins Franchising LLC against franchisees regarding breach of contract and trademark infringement claims. An older case from 2011 involving Dunkin' Donuts Franchising LLC is still ongoing. Concluded litigation includes various cases against Baskin-Robbins or its affiliates, such as a 2003 lawsuit by Quebec Dunkin' franchisees that was settled in 2016, a 2015 discrimination claim settled in 2017, a 2017 class action regarding blueberry product descriptions settled in 2018, a 2018 dispute over equipment and support settled in 2020, and a 2019 franchisee development dispute settled in 2020. Other concluded cases include state actions against Dunkin' Brands Inc. related to 'no-poaching' provisions (2019) and data security (2019), multiple franchise termination and breach of contract cases between 2021-2023, and a 2023 class action regarding mobile app charges. An affiliate, Arby's Restaurant Group, Inc., also settled a 2019 action with several states regarding 'no-poaching' provisions.
Bankruptcy History
Baskin-Robbins has no bankruptcy history to report.
Agreement Terms
Initial Term
20 years
Renewal Term
10 years
Renewal Conditions
To renew the franchise agreement, Baskin-Robbins franchisees must provide written notice between 12 and 36 months before the current term expires. They must have consistently maintained Baskin-Robbins' standards and substantially complied with the agreement's terms, without receiving more than three default notices in the preceding ten-year period or any default notices after giving renewal notice. All payments and obligations must be current. Franchisees must also secure an extended or new lease for the approved premises or relocate to a new acceptable site and develop it to Baskin-Robbins' current standards. Upon meeting these conditions, the franchisee must sign a general release and Baskin-Robbins' then-current form of franchise agreement and pay a renewal fee. These conditions are subject to applicable state law.
Training & Support Program
Franchisor Assistance
Baskin-Robbins provides comprehensive assistance to its franchisees. Before opening, it helps identify the store development area, provides initial training, and gives electronic access to its operating standards and manuals. Ongoing support includes updating the system, standards, and manuals, providing continuous training, and maintaining an advisory relationship on restaurant development and operations. Baskin-Robbins also consults with its franchisee advisory council, advises on marketing activities, manages the Baskin-Robbins Advertising and Sales Promotion Fund, reviews franchisee-prepared advertising, and specifies reporting formats. It also assists with site selection and approval, and sets design and construction standards for new restaurants.
Initial Training Hours
122
Training Location
Virtual and in Certified Training Shops designated by Baskin-Robbins
Ongoing Support
After opening, Baskin-Robbins franchisees receive ongoing support including updates to the brand's system, standards, and manuals. The franchisor provides continuous training programs, maintains an advisory relationship for restaurant development and operations, and consults with a franchisee advisory council. Baskin-Robbins also advises on marketing, administers the Baskin-Robbins Advertising and Sales Promotion Fund, and reviews franchisee-created advertising materials. Formal and informal training sessions are provided periodically, and a field-based learning team supports ongoing operations in the franchisee's area.
Franchise Requirements
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
retail
Owner Participation
Supervisory
Territory Type
Limited
Staffing Notes
Baskin-Robbins requires franchisees to manage their first restaurant with at least one individual, who can be the franchisee, a partner, or a member of their entity, and who must successfully complete Baskin-Robbins' required training program. While personal on-premises supervision by the franchisee is not mandatory, a trained on-premises manager is required. This manager is recommended to have an ownership interest in the franchise but is not strictly required to. The manager cannot be involved with a competing business.