FAQ

How much money can I make as a Ritter’s franchisee?
Income level is dependent upon sales volume, the investment, cost, and how well you manage your restaurant and control variable costs. Because of these variables, there is a range in the amount of profit or loss you might expect. Each community provides a unique situation that makes it extremely difficult to project income levels.

How much does it cost to open a Ritter’s franchise?
The total investment required to open a Ritter’s Frozen Custard Shoppe varies depending upon store type. A strip (inline) center investment ranges between $212,000 and $369,300, depending upon square footage and location. The investment for a freestanding prototype is between $402,000 and $758,900, plus land and site development cost. These figures are based on historic data and include the franchise fee, leasehold improvements, furniture, fixtures, equipment, signage, insurance, and initial inventory. Due to changing conditions, regulations and local construction procedures, there can be no guarantee that costs will not exceed those shown.

How much of the investment would have to be in cash?
Depending upon your financial situation, the bank will typically finance 80% of a free-standing project and 70%-80% of a strip center type location. Ritter’s does not offer financing but we can guide you to potential financing sources.

What kind of protected territory do I have with Ritter’s?
The franchise agreement allows you a territory of three (3) miles or 50,000 people, whichever is smaller (excluding downtown metro areas). I would like to have multiple units, how can I get this done? Unless you have multiunit franchise experience, it is Ritter’s policy to grant single-unit franchises. If a single-unit franchisee has been open for six months or more and is in good standing with RFC Franchising, LLC, we will consider granting an area development agreement for additional shoppes.

Does Ritter’s help me find a location, and what should I look for when considering a site?
Real estate assistance is provided for all franchisees. A site selection professional will work with you, as well as with local brokers or developers, to evaluate sites in your market and help identify the proper location for your new Ritter’s Frozen Custard Shoppe. The most successful locations have high traffic counts, good visibility, as well as high residential and daytime population density.

What are the franchise fees involved in owning a Ritter’s?
The franchise fee is $25,000, which is due upon execution of the franchise agreement. Royalties are 5% of gross sales and paid weekly. There is also a 2% advertising production contribution that must be paid weekly as well. In addition, you are required to invest a minimum of 3% of gross sales over a 12-month period for local shoppe marketing and advertising. Development fees for multiple shoppes are additional.

What kind of training will I receive from Ritter’s?
All franchisees must successfully complete basic training at a certified training store as well as a 15-day training program. The program will cover day-to-day operations, cost controls, staffing, labor controls and management skills. All the training will take place in an operating shoppe. To assist in your opening period, we will send one of our Franchise Business Consultants to your shoppe for 7-10 days. Ritter’s also hosts an annual franchisee conference, which brings franchise owners together to discuss opportunities to improve skills and business profitability. It also allows RFC to communicate with all franchisees about new product marketing issues, and operational improvements.

What form of continuing operational guidance will I receive?
In addition to your initial training period, Ritter’s will provide a support team that will coach you in various facets of construction, equipment, marketing, advertising, staffing, and training. Ritter’s Franchise Business Consultants will also make regular visits to counsel you on business issues such as operating procedures, inventory, cost control, profitability, and marketing. To ensure consistency, you will have the right to use our Operations Manuals and will be provided with marketing and operational updates.

What is the term of my franchise?
The initial term is 10 years, which will automatically renew, for franchisees in good standing. The renewal fee for the additional 10-year term is $5,000.

What is the next step?
First, complete the “request franchise information” section (at ritters.com). If your initial information is consistent with our guidelines, we will send a packet of materials that includes a “Personal Information Form.” Simply complete the form and send it to the RFC Franchising, LLC office. After our development officer reviews the Personal Information Form, we will contact you to set up a personal meeting and proceed to confirm your qualifications as a Ritter’s franchisee.

This web site does not constitute the offer of a franchise. The offer and sale of a franchise can only be made through the delivery and receipt of an RFC Franchising, LLC Uniform Franchise Offering Circular ("UFOC"). There are certain states that require the registration of a UFOC before the franchisor can advertise or offer the franchise in that state. RFC Franchising, LLC may not be registered in all of the registration states and may not offer franchises to residents of those states or to persons wishing to locate a franchise in those states.