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What was the median annual Net Profit for Cream franchises in the bottom 25% quartile?

Cream Franchise · 2025 FDD

Answer from 2025 FDD Document

had annual Net Profit that met or exceeded the average annual Net Profit and $72,346 was the median annual Net Profit. In the bottom 25% quartile, 12 Item 19 Shops (60%)

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 shops in the bottom 25% quartile was a loss of $(33,327). This figure represents the midpoint net profit of the lowest-performing 25% of Cream's corporate-owned shops that were in operation for the entire 2024 calendar year. It's important to note that this data is based on corporate-owned stores, as Cream had no franchised outlets operating as of the end of their most recent fiscal year.

Net Profit is defined as annual Gross Profit less Total Operating Expenses and Royalty and Brand Fund Contributions. The document specifies that 60% of the shops in the bottom 25% quartile had annual Net Profit that met or exceeded the average annual Net Profit. This suggests that while the median was a loss, some shops within this quartile performed better than others.

Prospective franchisees should be aware that this financial performance representation is based solely on corporate-owned shops and may not be indicative of the performance of franchised locations. Cream explicitly states that there is no assurance that a franchisee will earn as much as the figures presented. It is crucial for potential franchisees to conduct their own due diligence, including reviewing the financial records of existing outlets if available, and consulting with financial advisors to assess the potential profitability of a Cream franchise.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.