Rank no. 278 – Rocky Mountain Chocolate Factory – US
Products & Services: Chocolates & confections
Number of Locations: 292
Total Investment: $115.59K – 468.67K
Began Franchising: 1982
About Rocky Mountain Chocolate Factory
On Memorial Day Weekend, 1981, Franklin Crail wasn’t on vacation; instead, he was opening the doors to a new business. That weekend, residents of Durango, Colorado, got the world’s first taste of a Rocky Mountain Chocolate Factory.
Today, visitors to any of the company’s more than 200 U.S. locations can watch fudge being made, bite into fresh caramel apples, and purchase a variety of candies and chocolates.
Startup Costs, Ongoing Fees and Financing
Franchise Fee: $24,500
Ongoing Royalty Fee: 5%
Term of Franchise Agreement: 10 years, renewable
Net Worth: $250,000
Liquid Cash Available: $50,000
25% of all franchisees own more than one unit. Number of employees needed to run franchised unit: 7. Absentee ownership of franchise is allowed. (90% of current franchisees are owner/operators).
|FINANCING TYPE||IN-HOUSE||THIRD PARTY|
How This Franchise Supports Franchisees
Franchise Ranking History
|Type||Public (NASDAQ: RMCF)|
|Industry||Chocolate and otherconfectionery|
|Headquarters||Durango, Colorado, USA|
|Key people||Franklin E. Crail, Founder and CEO|
Rocky Mountain Chocolate Factory is an international franchisor, confectionery manufacturer and retail operator in the United States, Canada, Japan and the United Arab Emirates. The Company is based in the town of Durango located on the western slope of the Rocky Mountains in southwestern Colorado. From its 53,000-square-foot (4,900 m2) factory, the Company manufactures an extensive line of premium chocolate candies and other confectionery products to supply its many franchise locations, delivered fresh by its fleet of refrigerated trucks. The factory typically produces approximately 300 chocolate candies and other confectionery products, using proprietary recipes developed primarily by its master candy maker. These products include many varieties of clusters, caramels, creams, meltaways, truffles and molded chocolates. Individual stores prepare a variety of caramel and candy apples, fudge, chocolate items and confections in full view of the customer using traditional cooking utensils such as copper kettles on gas-fired stoves and marble slab cooling tables.
In 1985 the Company went public and is now traded on the NASDAQ exchange under the symbol “RMCF”.
||This article’s section called “History” needs additional citations for verification. Please helpimprove this article by adding citations to reliable sources. Unsourced material may be challengedand removed. (June 2008)|
The company was founded by Frank Crail, who had recently moved to Durango from Newport Beach, California to raise his family in a small town. He later confessed to Candy industry magazine that he would have opened a See’s Candies, but the company doesn’t sell franchises. In 1981 the first store was opened on Main street by Frank and two partners. In 1982 the company’s first franchises, one in Colorado Springs and one in Park City, Utah were opened. An offsite factory was also built that year. In 1983 the two other partners left the business. In 1985 the company went public on the NASDAQ. In 1996 Whitman’s Candies made an offer to buy the company for US$16 million. The offer was rejected by management after the company’s results improved in late 1999.