FDD Talk 2015: The Yogurt Lab Franchise Opportunity (Financial Performance Analysis, Estimated Costs, and Other Important Stuff You Need to Know)

In this FDD Talk 2015 post, you’ll learn the following:

• Section I – Background information on the Yogurt Lab franchise opportunity, including relevant news updates

• Section II – Estimated initial investment for a Yogurt Lab franchise, based on Item 7 of the company’s 2015 FDD

• Section III – Presentation and analysis of Yogurt Lab’s financial performance representations, based on Item 19 of the company’s 2015 FDD, including information on the:

• 2014 actual gross sales, square footage, and sales per square foot for Yogurt Lab’s eight affiliate-owned locations and four franchised locations which were open as of December 31, 2014 (Calhoun, IDS, 50th France, Stadium Village, Eagan, Wayzata, Apple Valley, Hopkins, Uptown, Onalaska, Maple Grove, and Woodbury)

• 2014 average, high, and low gross sales, square footage, and sales per square foot for Yogurt Lab’s eight affiliate-owned locations and four franchised locations which were open as of December 31, 2014

Section I – Background Information

This is a franchise truly in its infancy. It was started in 2011 and so far only has 12 locations, but it has big plans to expand from there. The whole idea is for you to have an incredible range of self-serve frozen yogurt flavors and more toppings than you can shake a stick at.

It got its start in Minneapolis, MN, when husband-and-wife team Aaron and Andrea Switz saw that the frozen yogurt market was rapidly expanding. What they brought to the equation was a self-service concept that people seem to love.

Here’s Yogurt Lab’s equation for keeping customers chilled out in the FroYo segment:

Periodic Table of Flavors

You really need to see this to believe it – on its website the company lays out all the base flavors in a clickable chart styled on the periodic table of elements familiar to chemistry students. It’s a work of art. There are the 66 base flavors that are rotated through the stores in batches of 16 choices each and every day.

It’s in the Toppings

As if 66 different flavors weren’t enough, the real choice comes in how you’re going to top your frozen yogurt. There are 66 toppings to choose from.

Health-Conscious?

Well, the yogurt is organic and the milk is hormone-free and the frozen yogurt is made fresh daily, so that’s a great start. And if you need it dairy-free, gluten-free, or no-sugar added, they can accommodate you.

But when you review their extensive list of toppings, it can clearly go downhill from there. Granted, you can top your non-fat frozen yogurt with fresh fruit, but if you pile on the Cap’n Crunch and Heath Bar pieces…

Section II – Estimated Costs

• Please click here for detailed estimates of Yogurt Lab franchise costs, based on Item 7 of the company’s 2015 FDD (updated).

Section III – Financial Performance Representations (Item 19, 2015 FDD) and Analysis