About Mister Softee Bronx Franchise
Mister Softee Bronx is a mobile ice cream franchise operated through SPABO Ice Cream Corp., offering the right to distribute soft serve ice cream and other frozen confections from a custom built Mister Softee vehicle within defined territories in the Bronx area.
The brand carries the same iconic look, products, and nostalgia that have made Mister Softee a household name.
The franchise fee is $7,500, and the Bronx operation has been franchising since 2003.
Mister Softee Bronx Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $7,500 | One-time payment upon signing |
| Royalty Fee | $3,855 annually, subject to 5% annual increase of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | $0 | National brand fund |
| Total Investment Range | $241,500 – $287,000 | Includes build-out, inventory, working capital |
The investment range of $242K–$287K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty ($3,855 annually, subject to 5% annual increase) and marketing fee ($0) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $7,500 | $7,500 |
| Truck and Equipment | $208,000 | $238,000 |
| Inventory | $6,000 | $8,000 |
| Licenses and Professional Services | $1,500 | $3,000 |
| Prepaid Insurance Premium | $2,000 | $3,000 |
| Training Expenses | $1,500 | $2,500 |
| Additional Funds (3 Months) | $15,000 | $25,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $1,000 |
| Renewal Fee | $500 |
| Technology Fee | $0 |
| Audit Fee | As invoiced |
| Interest; Audits; Reimbursement of Audit Costs; Accounting Fee of $500 per Month of Deficiency | As invoiced |
| Indemnification | Amount of judgment plus attorneys’ fees, costs |
| Truck and Equipment Sale Payments | Monthly Note payments; up to $25 per month contribution to maintenance fund |
| Supplier Approval Fee/ Expense | Reasonable testing costs. |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 3 to 5 days |
| Classroom Training | 3 hours |
| On-the-Job Training | 30 hours |
| Training Location | SPABO’s headquarters in Bronx, New York or any other place as SPABO may designate |
| Additional Training | SPABO and/or Mister Softee may offer additional tuition-free training programs and/or refresher courses periodically, which franchisees and their employees must attend if required. Franchisees are responsible for all related expenses including transportation, lodging, meals, and salaries. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | Minimum population of 20,000 persons per truck |
| Description | You will solicit business only within a defined territory identified on a map. While SPABO and Mister Softee will not establish or license another mobile retail business using the System and Proprietary Marks within your territory, they reserve the right to distribute products and services through other channels (e.g., Internet, supermarkets, convenience stores, restaurants, rest areas, retail shops) and to operate similar competitive businesses under different trademarks within your territory. The territory size may be re-evaluated and reduced if additional trucks are not purchased to serve a population of 20,000 persons per truck. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | One 5-year renewal term |
| Renewal Fee | $500 |
| Renewal Conditions | To renew, you must provide written notice (3-6 months prior to expiration), ensure your truck and equipment conform to current specifications, not be in default of any agreements, satisfy all monetary obligations, comply with all laws, sign SPABO’s then-current franchise agreement (which may have materially different terms and higher charges), comply with current qualification and training requirements, and sign a general release. |
| Transfer Fee | $1,000 |
| Transfer Conditions | SPABO’s approval of a transfer is conditioned upon: full compliance with all agreements, execution of a general release by you, receipt of the executed purchase agreement, satisfactory demonstration of financial responsibility and training completion by the transferee, transferee’s execution of SPABO’s then-current franchise agreement, payment of the transfer fee, and your compliance with post-termination provisions. |
| Termination for Cause | SPABO can terminate the agreement for cause, including but not limited to: assignment for benefit of creditors, bankruptcy, unauthorized transfer of interest, failure to complete initial training, misrepresentation in franchise application, criminal misconduct or fraud, material breach of other agreements, misuse of Proprietary Marks/Confidential Information, health code violations, violation of in-term non-compete, unreleased liens, insolvency, abandonment of business, purchasing from non-approved suppliers, not parking vehicle at designated depot, or two or more written notices of default within 12 months. |
| Non-Compete Period | During the term of the franchise and for a 2-year period after termination or expiration. |
| Non-Compete Details | During the term of the Franchise Agreement, you and your immediate family members, partners, shareholders, or members may not have any interest in any business primarily selling ice cream or other frozen confections, except for other Mister Softee franchises. For a 2-year period after termination or expiration, the same restriction applies within your former Territory or any other System franchisee’s territory. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | You (if an individual) or at least one of your principals (if a legal entity) must personally supervise the day-to-day operation of the Franchised Business. If a legal entity, all partners, shareholders, or members must personally guarantee and agree to be bound by the Franchise Agreement. Drivers must possess a valid driver's license. |
| Required Suppliers | You must purchase the truck and equipment from MSSM. Soft-serve ice cream mix and other consumable inventory must be purchased only from SPABO, Mister Softee, or other approved suppliers. A minimum inventory of Proprietary Products must be purchased from SPABO, Mister Softee, an affiliate, or approved/designated suppliers. |
| Supply Restrictions | Mister Softee and/or SPABO may require you to purchase other inventory items and supplies from approved suppliers or according to certain standards and specifications. If you wish to purchase from an unapproved supplier, you must provide details for evaluation and testing. Mister Softee has the right to approve or revoke approval of suppliers. |
| Franchisor Revenue from Suppliers | SPABO and/or Mister Softee derive income through items purchased from Mister Softee, its affiliates or third-party suppliers, including from your purchase of the truck. For the fiscal year ended December 31, 2023, Mister Softee did not derive revenue from franchisees’ required purchases. MSSM generated $3,558,468.33 from franchisees’ required purchases, including truck, equipment, repairs, and parts. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | Yes |
| Description | MSSM offers financing for the purchase price of the truck and equipment, which ranges from $208,000 to $238,000 for a new equipped truck. If financed, a minimum lump-sum payment of 20%-25% of the purchase price is due upon signing the Sales Agreement. Monthly installment payments are then required at a 10% annual interest rate through an amortization schedule over a seven-year period, due on the 20th day of each month. Late payments (more than 10 days) incur a 1.75% monthly finance charge on the unpaid balance. MSSM retains a security interest in the truck and equipment until paid in full. Mister Softee also has an informal, oral arrangement with a third-party financing institution to guarantee loans for truck purchase financing, receiving 1% of the loan amount for each guaranteed loan. |
Mister Softee Bronx Franchise Earnings — Item 19
Mister Softee Bronx does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Mister Softee Bronx Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Mister Softee Bronx System Growth
Mister Softee Bronx currently operates 0 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2021 | 0 | 2 | 144 |
| 2022 | 0 | 0 | 0 |
| 2023 | 0 | 0 | 0 |
Transfers: 3 | Closures: 2
State Registrations
Registered in 1 states: NY
Franchisor Financials (Item 21)
Audited by ALLAN G. POPE, CPA, LLC for year ending December 31.
Mister Softee Bronx Franchise — FAQ
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