Mister Softee Franchise Costs, Fees & Owner Salary (2023)

Mister Softee, a renowned name in the soft ice cream industry, was established by William Conway and James Conway in 1956 in Philadelphia. It began its franchising journey in the same year it was founded. The company is distinguished as one of the largest franchisers of soft ice cream in the United States, showcasing its significant presence across 18 states. The headquarters have been located in Runnemede, New Jersey, since 1958, maintaining its operations within the family, now co-owned by cousins Jim Conway Jr. and John Conway​​.

From its inception, Mister Softee has been an innovator in the mobile ice cream market, being the first to take soft ice cream on the road with mobile truck units. This move not only expanded the reach of soft ice cream from traditional roadside stands and restaurants to a mobile format but also set a new standard in the industry.

Today, Mister Softee stands as America's oldest and largest franchisee of soft ice cream trucks, a testament to the brand's enduring appeal and success over the decades​​. What sets Mister Softee apart is not just its long history and extensive network of franchisees but also the comprehensive support and unique opportunities it offers to its franchisees.

This includes strong brand recognition, a dependable and supportive franchisee network, outstanding financing options, protected market areas for each franchisee, and extensive training and advertising support. These factors contribute to the franchise's appeal to entrepreneurs looking to join a business with a proven track record and a beloved product​​​​.

Initial Franchise Fee

The initial franchise fee is $7,500, which is fully earned and non-refundable upon payment.

Royalty Fee

The yearly royalty fee is $3,855, payable annually but divided into monthly payments as per an approved plan.

Lease or Rent Fee

Franchisees must purchase or finance a truck and equipment, with a base price between $208,000 and $238,000, which includes at least a 20%-25% down payment at the time of purchase or financing agreement.

Transfer Fees

A transfer fee of $1,000 is required for selling or transferring the franchise business.

Renewal Fees

A renewal fee of $500 is applicable for franchise agreement renewals.

Management Fees

The management fees paid to Mister Softee, Inc. for providing management services are detailed in the financial statements, with recent figures being $550,000 and $750,000 for consecutive years.

Mister Softee provides comprehensive training for its  franchisees, which includes:

Training Program Duration and Location

The training program offered by Mister Softee spans 3 to 5 days and takes place at the franchisor's headquarters in Runnemede, New Jersey, or another location designated by Mister Softee.

Training Curriculum

The training curriculum includes subjects such as automotive maintenance, equipment training, product preparation, sales, and route development.

Training Staff

Mister Softee's training is conducted under the supervision of experienced personnel who are familiar with all aspects of the franchised business.

Additional Training Opportunities

Mister Softee may periodically offer additional tuition-free training programs or refresher courses for the franchisee and their employees.

Training Expenses

Franchisees are responsible for all expenses incurred during training, including travel, lodging, transportation, dining, and salaries for themselves and their employees.

The franchisor, Mister Softee, does offer territorial protection to franchisees. Specifically, Mister Softee agrees not to establish or operate, nor license another to establish or operate, a mobile retail business using the System and Proprietary Marks within the franchisee's designated territory as long as the franchisee complies with the terms and conditions of the agreement.

This territorial protection is solely related to the operation of the franchised business and does not grant an exclusive territory. Franchisees may face competition from other franchisees, from outlets owned by the franchisor, or from other channels of distribution or competitive brands controlled by the franchisor.

Mister Softee reserves the right to distribute products and services in the franchisee's territory using the Proprietary Marks and other marks through various channels of distribution, which may include internet solicitation, distribution through supermarkets, convenience stores, restaurants, and rest areas. Moreover, Mister Softee may establish retail shops within the territory and engage in other business activities using the Proprietary Marks or other marks.

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The franchisor expects active, hands-on management from its franchisees. The Mister Softe franchise document specifies that either you (if signing the franchise agreement as an individual) or at least one of your principals (if signing as a legal entity) must personally supervise the day-to-day operations of the franchised business. 

The emphasis on personal supervision and active management roles suggests that the franchise model is designed to ensure that those who have a stake in the business are also involved in its day-to-day operations, ensuring adherence to the franchisor's standards and operational procedures​​.

This involvement ensures that the franchise operates according to the franchisor's standards and maintains the quality and service levels associated with the Mister Softee brand​​.