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Rita's Italian Ice

Rita's Italian Ice

The total investment to open a Rita's Italian Ice franchise ranges from $22,000 to $906,000. The initial franchise fee is $35,000. Ongoing royalties are 6.5% plus a 3% advertising fee.

What is the Rita's Italian Ice franchise?

Rita's Italian Ice began as a roadside stand in the Philadelphia suburbs and has grown into the largest Italian ice franchise in the world. Bob Tumolo, a former firefighter, founded the business in 1984 in Bensalem, Pennsylvania, and named it after his wife, Rita. The original seasonal concept sold handcrafted Italian ice through a small storefront window. Rita's began franchising in 1989 and now has approximately 569 locations across 30 states. The brand changed ownership several times before Maple Park Capital Partners, a private equity firm specializing in consumer businesses, acquired a majority stake in January 2025. Today, the system includes 564 franchise owned locations and 5 company owned units. Its menu includes Italian ice in dozens of rotating flavors, old fashioned frozen custard, Gelati, Blendini, and frozen drinks. The tagline is "Ice Custard Happiness," and the brand remains a seasonal tradition across the eastern United States while expanding into new markets.

The United States frozen dessert and specialty treat industry is a multi billion dollar market supported by seasonal demand, experiential food brands, and affordable indulgence. Italian ice has a distinct position because it is dairy free, fruit forward, and lower in calories than some other frozen desserts. Rita's competes with Dairy Queen, Baskin Robbins, self serve frozen yogurt concepts, independent gelato and ice shops, and specialty dessert franchises. Its category focus and complementary custard menu provide a complete frozen dessert offering. Revenue is concentrated in the spring and summer, creating a need to manage off season cash flow while reducing the year round overhead associated with concepts that produce revenue more evenly. Rita's works to extend the season with hot beverages, baked goods, and limited time offerings.

Rita's offers traditional storefronts, express shops, satellite locations, and mobile units. The initial franchise fee is $35,000 for a standard shop or express shop, $15,000 for a satellite shop, and $10,000 for a mobile unit. Qualified military veterans may receive a 20 percent discount. Total initial investment ranges from approximately $22,000 for a mobile unit to approximately $906,000 for a full standard shop build out in a premium market. Multi unit developers pay $20,000 for a second shop and $15,000 for each third and subsequent shop. Applicants should have at least $150,000 in liquid capital and a net worth of at least $400,000 for the standard franchise program. New franchisees must spend at least $12,000 on an initial marketing program for a standard shop or $10,000 for an express or satellite shop. The initial franchise agreement lasts 10 years.

Rita's training covers Italian ice and custard preparation, presentation and merchandising, store management, financial controls, hiring and employee training, health and safety, and local marketing. Italian ice is made fresh in each location from proprietary mix formulations supplied by the company, while custard is prepared on site with commercial soft serve equipment. Continuing support includes field operations consultants, corporate marketing, approved ingredient suppliers, and technology for point of sale operations, online ordering, and customer engagement. The supply system provides proprietary Italian ice mix concentrates, custard base, cups, packaging, and promotional materials at centrally negotiated pricing. Mobile units and satellite shops can occupy less than 500 square feet, while standard shops range from 800 to 1,400 square feet. Many locations use walk up windows, which can reduce indoor seating needs and build out costs.

Results vary with location quality, market demographics, operating season length, and franchisee execution. High traffic locations in warm weather markets operating from March through October tend to produce stronger sales, while shorter seasons and lower foot traffic can reduce performance. Catering, event orders, and party packages can add revenue, especially during summer graduations, outdoor events, and community festivals.

Rita's has expanded from its Northeast and Mid Atlantic base into the Southeast, Midwest, and Sun Belt states. The system grew from approximately 550 locations to 569 in recent periods, and Maple Park Capital Partners' January 2025 acquisition brought fresh capital and strategic focus for development. No other national franchise has built a comparable Italian ice network, giving Rita's a first mover position in the category. Customer relationships often reflect childhood memories of visiting a local Rita's stand, while the preparation of fresh Italian ice and layered Gelati combinations can generate social media and word of mouth attention. The development model includes mobile units, satellite shops, express locations, and full standard shops, offering options for food truck operators and multi unit retail developers.

The intended Rita's franchisee has a customer focused approach, community engagement skills, and the financial discipline required for a seasonal business. Prior food service experience is helpful but not required because the training program covers product preparation and store management. Owners who enjoy working with schools, sports leagues, community organizations, and local businesses may fit the model well. Reduced schedules during off peak months can provide lifestyle flexibility and allow owners to pursue other interests or manage additional businesses. Multi unit development is available and increasingly encouraged, with declining franchise fees for operators building several locations within a market.

Its 569 locations provide scale in an Italian ice category without intense national franchise competition. Investment options range from $22,000 for a mobile unit to a full standard shop, supporting both first time buyers and experienced multi unit operators. A buyer should review the latest Franchise Disclosure Document, assess the seasonal cash requirements, and consult a franchise financing advisor about available funding options and fit with the target market.

Loan Activity Score

33/100

SBA Default Rate

11.3%

Active Lenders

62

According to its Franchise Disclosure Document or public business records, Rita's Italian Ice has 174 locations, all owned by franchisees. Public SBA loan records show 62 lenders made 247 loans to franchisees of Rita's Italian Ice. PeerSense calculates Rita's Italian Ice's score as 33 out of 100, using public SBA loan performance and recent lending activity.

Franchising since 1984 · 174 locations

Investment

$22,000 to $906,000

Franchise Fee

$35,000

Total Units

174

174 franchised

Loan Activity Score
High
33
SBA Lending
10
Lender Quality
7
Transparency
4
Reach
9
Momentum
3

Proprietary PeerSense metric

Limited
Capital Sources
62SBA lenders

Distinct lenders in public SBA records for Rita's Italian Ice

247

Total SBA loans

$177K

Average loan size

Source: public SBA 7(a) and 504 loan records through December 31, 2025

Referral fee at closing

SBA Lending Activity for Rita's Italian Ice

Loan Activity Score Breakdown

Major Brand (100+ loans)

High Confidence
33out of 100
Limited
Market Momentum3/35

Are lenders increasingly or decreasingly funding this brand? Growing trends score highest.

Loan Safety10/25

Blended default rate (recent + all time) compared to NAICS sector peers.

Lender Confidence7/15

Quality lenders actively backing this brand, with penalty for lender pullback.

Transparency4/15

FDD availability, Item 19 disclosure, and overall data completeness.

Footprint9/10

Geographic spread of SBA funded locations across states.

SBA Lending Performance

SBA Default Rate

11.3%

vs 10.3% peer avg

SBA Loans

247

Total Volume

$43.7M

Active Lenders

62

7 selective

States

17

vs. SBA Sector Average

-1%higher default rate

SBA loan default rate vs. all franchises in the same NAICS sector, not limited to direct competitors

Key Highlights

Item 19 financial data disclosed
174 locations nationwide

Data Insights

Key performance metrics for Rita's Italian Ice based on SBA lending data

SBA Default Rate

11.3%

1.0% above peer avg

SBA Loan Volume

247 loans

Across 62 lenders

Lender Diversity

62 lenders

Avg 4.0 loans per lender

Investment Tier

Significant investment

$22,000 to $906,000 total

Rita's Italian Ice: Deep SBA Data

Brand specific metrics derived directly from SBA 7(a) approval records: peak lending year, leading state, average loan size, and lender concentration. PeerSense computes these per brand so capital advisors and prospective franchisees can benchmark this opportunity against the rest of the franchise universe.

Peak SBA Year

2007

28 approvals. The best year on record for Rita's Italian Ice.

Top SBA State

Pennsylvania

105 SBA financed Rita's Italian Ice locations, the densest operator footprint.

Average Loan Size

$177K

Median $150K. Use as a sizing anchor when modeling your own Rita's Italian Ice unit.

Lender Concentration

38.1%

Moderately Spread

Share of Rita's Italian Ice approvals captured by the top 3 SBA lenders.

Rita's Italian Ice's SBA lending pipeline peaked in 2007 (28 approvals). Operator density is highest in Pennsylvania with 105 SBA financed locations. Average funded ticket sits at $177K, with the median at $150K. Lender mix is moderately spread: the top three SBA lenders account for 38.1% of approvals. Meaningful choice exists, but specific lenders carry the brand.

Payment Estimator

Loan Amount$18K
Interest Rate9.5%
Term (Years)10 yr

Estimated Monthly Payment

$228

Principal & Interest only

Indicative only, as of October 1, 2026. Not a quote, commitment or offer of credit. Final pricing, leverage and terms are determined by the lender at underwriting, after full transaction materials are reviewed. PeerSense sources the file. The lender sets pricing. What these terms mean.

Locations

Rita's Italian Ice, unit breakdown

Total Units
N/A
Franchisee Owned
n/a
System Owned
n/a
Closed
n/a

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Rita's Italian Ice

Page Review

Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense

  • PeerSense is a capital advisory firm that places commercial financing with direct capital sources; the capital source sets final terms.
  • Edward L. Freeman founded PeerSense in January 2020.
  • He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
  • His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
  • In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page

Last reviewed LinkedIn profileAbout Edward Freeman

This is not a franchise offering and does not constitute financial, investment, or legal advice. Data is sourced from Franchise Disclosure Documents (FDDs), public filings, and third party sources and may contain inaccuracies. The figures reflect the FDD on file for the year shown and may have been superseded or extracted with errors. PeerSense is not a financial advisor, attorney, or accountant. Always consult the brand's current FDD and seek professional guidance from a qualified attorney, accountant, or financial advisor before making any franchise investment decision. See full Terms & Conditions.