FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for TCBY.
Based on 2025 FDD · 13 filings in corpus
Cost and profit at a glance
Based on FDDIQ's FDD corpus, a TCBY franchise shows an estimated initial investment of $135K – $699K. Reported owner economics show $16K. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.
Quick fee read: $35K franchise fee · 9% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.
TCBY requires a total initial investment of $135K to $699K (midpoint approximately $417K), with an initial franchise fee of $35K. The ongoing fee burden is 9% (6% royalty plus 3% advertising fund). This is below the industry average of approximately 14.2%, leaving more margin for the operator.
According to Item 19 of the 2025 FDD, the median revenue for TCBY locations is $397K. The implied franchisee EBITDA is approximately $16K, based on the margin assumptions disclosed in the FDD. The estimated cash-on-cash return is 3.8% with a payback period of approximately 26.3 years.
TCBY operates approximately 151 franchised units. However, the brand has been contracting with a 11.9% net unit decline, which may signal franchisee dissatisfaction, territory saturation, or competitive pressure. The SBA 7(a) loan default rate of 5.3% is in line with industry norms of approximately 9.4%.
Prospective franchisees should verify all figures against the most recent FDD, conduct validation calls with multiple existing franchisees, and consult with a franchise attorney before signing any agreement.
Analysis based on 2025 FDD filing. FDDIQ Editorial Team · Methodology
Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.
Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.
Real lending data from SBA 7(a) loans (2010-2023). 42 loans across 18 states.
Source: SBA 7(a) loan data via FOIA. Default rate = charged-off loans / total originated. Industry avg default rate ~7.2%.
TCBY franchise costs $135,400-$699,467 to open with a $35,000 franchise fee. 6% royalties.
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