What is the highest estimated cost for the equipment package for a Carvel franchise?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
| $5,300 | As incurred | Before opening | Us | | Opening Inventory21 | $500 | $5,000 | As incurred | Before opening | Vendors | | Additional Funds - 3 Months22 | $250 | $5,500 $122,775 $316,350 | As incurred | As incurred | Us, employees, vendors, etc. |#### YOUR ESTIMATED INITIAL INVESTMENT: CINNABON CO-BRANDED SHOPPE 26
| Amount of I | Expenditure | Method of | When | To Whom | |
|---|---|---|---|---|---|
| Type of Expenditure | Low | High | Payment | Payments Are Due | Payment Will Be Made |
| Initial Franchise Fee 1 | $61,000 | $61,000 | Lump sum | At signing of Franchise Agreement | Us |
| Construction and Build | $156,000 | $366,000 | As incurred | As arranged | Contractors |
| Out Costs 2 | |||||
| Permitting 3 | $2,100 | $10,500 | As incurred | Before opening | Government agencies |
| Equipment Package 4 | $78,000 | $265,000 | Lump sum | Before opening | Vendors |
| Millwork 5 | $20,800 | $60,000 | As incurred | Before opening | Contractors |
| Furniture 6 | $0 | $20,000 | As incurred | Before opening | Vendors |
| Menu Board, Graphics, and Interior Signage 7 | $10,400 | $14,700 | As incurred | Before opening | Vendors |
| Exterior Signage 8 | $1,560 | $35,000 | Lump sum | Before opening | Vendors |
| Computer System 9 | $10,500 | $32,000 | As incurred | Before opening | Vendors |
| Smallwares 10 | $10,400 | $16,000 | As incurred | Before opening | Vendors |
| TV/Music 11 | $1,100 | $3,200 | As incurred | Before opening | Vendors |
| Amount of | Expenditure | Method of | When | To Whom | |
| ---------------------------------------------------------------- | ----------- | ------------- | ------------- | --------------------- | ---------------------------------------- |
| Type of Expenditure | Low | High | Payment | Payments Are Due | Payment Will Be Made |
| Architect/Engineer 12 | $2,100 | $20,000 | As incurred | Before opening | Architect |
| Rent 13 | $2,000 | $10,000 | Monthly | As arranged | Lessors |
| Grand Opening | $6,000 | $25,000 | As incurred | Before opening | Vendors or |
| Marketing 14 | Us | ||||
| Legal and Accounting Fees 15 | $5,000 | $10,000 | As incurred | Before opening | Lawyers and accountants |
| Insurance 16 | $1,250 | $6,800 | As incurred | Before opening | Insurance companies |
| Misc. Opening | $13,000 | $25,000 | As incurred | Before opening | Vendors |
| Costs/Office Supplies 17 | |||||
| Security Deposits 18 | $0 | $18,000 | As incurred | As incurred | Utility companies; |
Source: Item 7 — Estimated Initial Investment (FDD pages 42–52)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, the cost of the equipment package varies depending on the type of Carvel shop. For a Full Shoppe or Co-Branded Shoppe, the equipment package ranges from $78,000 to $265,000. For an Express Shoppe, the equipment package is estimated to cost between $12,800 and $30,300. For a Hosted Express Shoppe, the equipment package is estimated to cost between $23,900 and $79,570. Therefore, the highest estimated cost for the equipment package for a Carvel franchise is $265,000 for a Full Shoppe or Co-Branded Shoppe.
The equipment package includes essential items like kitchen equipment and machinery that must meet Carvel's standards. The actual cost can fluctuate based on factors such as local building codes and health requirements. The FDD specifies that the amounts listed for Full Shoppes and Co-Branded Shoppes include two soft-serve machines and one freezer, while Express Shoppes and Hosted Express Shoppes include only one soft-serve machine and one freezer.
Prospective franchisees should note that these figures can increase if they opt to purchase additional soft-serve machines, which cost between $13,610 and $31,313 each, or an additional soft-serve freezer, which costs approximately $24,000. It is important to consider these potential additional costs when budgeting for the initial investment. Franchisees should confirm with approved suppliers to get accurate quotes for their specific location and needs.