For Cream franchises in the upper mid 25% quartile, what was the median annual Net Profit?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
had annual Net Profit that met or exceeded the average annual Net Profit and $298,015 was the median annual Net Profit. In the upper mid 25% quartile, 11 Item 19 Shops (52%)
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 51–57)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, the median annual Net Profit for franchises in the upper mid 25% quartile was $162,380. This figure represents the midpoint of net profits for the group of Cream stores that fall between the top 25% and the median of all stores, meaning half of the stores in this quartile earned more than $162,380, and half earned less. It's important to note that this data is based on corporate-owned locations, as Cream did not have any franchised outlets operating during the reported period. Therefore, the financial performance of these corporate stores may not be indicative of the potential performance of a franchised location.
This financial performance representation is based on 83 corporate-owned Cream shops that operated for the entirety of the 2024 calendar year. The FDD specifies that Net Profit is calculated as annual Gross Profit, less Total Operating Expenses, Royalty, and Brand Fund Contributions. The document also clarifies that the figures do not include owner-operator salary or distributions, which a franchisee would need to account for separately when projecting their potential earnings.
Prospective franchisees should carefully consider these figures, keeping in mind that their individual results may differ. The FDD explicitly states that there is no assurance that a franchisee will earn as much as the figures presented. Cream also emphasizes that they do not make any representations about a franchisee's future financial performance, and any financial information received outside of the FDD should be reported to Cream's management, the Federal Trade Commission, and appropriate state regulatory agencies.
Given that the data is based solely on corporate-owned stores, it is crucial for potential franchisees to conduct thorough due diligence. This includes requesting written substantiation for the financial performance representation from Cream and potentially visiting existing locations to gain a better understanding of the business operations and financial performance. It would also be prudent to speak with current Cream franchisees (once there are any) to gather insights into their experiences and financial outcomes.