Sloan's logo

Sloan's Franchise

Audited Financials
Food and BeverageEst. 2011West Palm Beach, FL
www.sloansicecream.com

Risk Score

Pending analysis

Investment Range

$581,032 - $1,639,393

Franchise Fee

$32,000

Total US Locations

9

Business Summary

Sloan's Franchise LLC offers a business that sells high-quality ice cream, various candy products, freshly baked goods, and branded merchandise to customers. There are two types of franchised businesses: "Traditional" Sloan's and "Express" Sloan's, which primarily differ in size and initial capital investment.

Corporate History

Sloan's Franchise LLC was formed in Florida in October 2011 to offer Sloan's franchises, which it began doing in April 2012. The franchisor operates under its corporate name and as Sloan's. Sloan's Franchise LLC has several affiliates, including Sloan's, Inc., which was incorporated in Florida in September 1998 and has operated traditional Sloan's businesses since November 1999. Other affiliates also own and operate Sloan's locations. Additionally, Sloan's Manufacturing and Distribution, LLC, established in 2013, manufactures and distributes required ice cream products to Sloan's franchisees.

Financial Overview

Investment Range

$581,032 - $1,639,393

Franchise Fee (Low)

$32,000

Franchise Fee (High)

$40,000

Royalty %

6%

Marketing %

1%

Equipment Costs (Low)

$474,100

Equipment Costs (High)

$1,151,993

Working Capital

$82,500

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Going concern qualification

Financial Health Notes

The financial statements for Sloan's Franchise LLC show net losses of $77,698 in 2023 and $177,935 in 2022. The company also had negative working capital of $255,200 in 2023 and $104,775 in 2022, and an accumulated deficit of $798,409 in 2023. These financial factors raise substantial doubt about Sloan's Franchise LLC's ability to continue as a going concern, which means there is uncertainty about its ability to remain in business.

Financing Details

Sloan's Franchise LLC does not offer any direct or indirect financing options to its franchisees. Franchisees will need to secure their own funding, and Sloan's Franchise LLC will not guarantee any notes, leases, or other obligations.

Performance Metrics

Total US Locations

9

Franchised Units

4

Corporate Units

5

Avg Square Footage

1,700

Franchising Since

2012

Agreement Terms

Initial Term

5 years

Renewal Term

5 years

Renewal Conditions

To renew, Sloan's franchisees must have completely followed all terms of their Franchise Agreement and any other agreements with Sloan's Franchise LLC. They must have the right to keep their approved business location (or an approved substitute), made any necessary capital upgrades to match the current system standards, paid all money owed to Sloan's Franchise LLC, and not be in default. Franchisees also need to provide written notice of their intent to renew on time, sign the latest version of the Franchise Agreement (which might have different terms), meet current training requirements, and sign a general legal release.

Training & Support Program

Franchisor Assistance

Before a Sloan's business opens, Sloan's Franchise LLC helps franchisees by providing site selection criteria and evaluating proposed locations, reviewing lease or purchase agreements, and for developers, designating a Development Territory. Sloan's Franchise LLC also provides specifications for remodeling and equipping the location, conducts an initial training program, and offers on-site assistance during the opening. Franchisees also receive a copy of the Confidential Operations Manual. After opening, Sloan's Franchise LLC provides ongoing general guidance via phone, email, fax, and newsletters. They conduct periodic visits to the franchised business for consultation and assistance, and make operations assistance and ongoing training available as needed. Sloan's Franchise LLC also approves advertising materials and provides updates to the Confidential Operations Manual.

Initial Training Hours

181

Training Location

Corporate headquarters in West Palm Beach, Florida, and the franchisee's approved location

Ongoing Support

After a Sloan's business opens, Sloan's Franchise LLC provides ongoing support and guidance through various channels including telephone, email, fax, and newsletters. Sloan's Franchise LLC also conducts periodic visits to the franchised business to offer consultation, assistance, and guidance in different aspects of operations and management. Additionally, operations assistance and ongoing training programs are made available as deemed necessary by Sloan's Franchise LLC.

Franchise Requirements

Ideal Candidate Profile

Sloan's Franchise LLC seeks qualified individuals or business entities. The franchisee's business must always be overseen by a designated manager on a direct, full-time, day-to-day basis. If the franchisee is an individual, they may be required to serve as this designated manager. If the franchisee is a business entity, Sloan's Franchise LLC may require an owner of the franchise to be the designated manager. This manager must successfully complete Sloan's Franchise LLC's initial training program before the business opens. Franchisees should possess strong business experience and acumen, and their activities should not conflict with their obligations to Sloan's Franchise LLC.

Industry Experience Required

No

Management Experience Required

Yes

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

retail

Owner Participation

hands-on

Territory Type

non-exclusive

Territory Size Requirements

For a single Sloan's franchised business, the territory, called an "Area of Primary Responsibility," is defined based on areas with a minimum population of 30,000 individuals, though Sloan's Franchise LLC can change this number. For Area Development Agreements, the Development Territory size varies depending on the number of businesses planned, population density, and demographics of the area under consideration.

Staffing Notes

Each Sloan's franchised business must always be under the direct, full-time, day-to-day supervision of a designated manager. This manager is required to dedicate at least 35 hours per week to managing the business and must successfully complete Sloan's Franchise LLC's initial training program before the business opens. If the designated manager is replaced, the new manager must also complete the initial training to Sloan's Franchise LLC's satisfaction. Sloan's Franchise LLC must be kept informed of the designated manager's identity at all times.