Sloan’s ice cream company weighs franchise expansion in Las Vegas

Magical bathrooms, homemade ice cream and princess pink chandeliers highlight the interior of Sloan’s, while pedestrians can’t help but notice the exterior lime green paint, black-and-white striped awnings and the distinct smell of fresh waffle cones wafting outside.

With four company locations in Florida, the whimsical ice cream company has its sights set on a nationwide franchise expansion with a specific target aimed at a few of Las Vegas’ high end retail centers.

Yes, Las Vegas, a real life candyland is coming.

Coffee and doughnut ice cream flavored with real pieces of Krispy Kreme doughnuts waits next to a carrot cake variety, with real bits of cake creating the taste. A model train passes in front of the deluxe homemade ice cream, and multicolored stuffed teddy bears oversee the scene from a perch high atop elongated candy dispensers.

Restrooms at the joint feature a see-through glass pane that hints that any act done inside may become public. Once safely inside with the door locked, a mixture of electrically charged liquid crystals and polymer are deactivated, making the outer pane opaque to passersby.

Sloan’s signature over-the-top design is reminiscent of an old-time candy store or ice cream parlor that’s been splashed with a fairy-tale land palette of pinks, greens and sky blues.

The Palm Beach, Fla.-based Sloan’s Ice Cream was established in 1999 but only started its franchising efforts in 2012. Recently the company signed a five-store agreement with a Southern California franchisee, and management couldn’t resist the nearby Las Vegas draw.

“With Las Vegas being so close to Los Angeles, it would be natural to expand that way,” president Sloan Kamenstein said.

The West Coast outposts would be able to use the same distribution centers and suppliers, making a Las Vegas expansion an easy extension of the brand, he said. Plus the almost 40 million visitors who come to the city each year don’t hurt.

“When you go to Las Vegas, it’s Las Vegas. You’re really making a statement in going there,” director of franchising David Wild said.

Before any Nevada locations can open, though, Sloan’s needs to find a strong franchisee with knowledge of the market who can develop one or multiple stores, ideally located in the Forum Shops at Caesars, the Fashion Show mall or one of the other high-end retail centers in the city.

“I don’t think it necessarily has to be a tourist destination, but there has to be a lot of traffic,” Kamenstein said.

The right candidate also has to come up with a startup cost between $100,000 and $300,000, with a total investment of $600,000 to $900,000 per location. The investment cost includes a mandatory four-week training, real estate deposits, working capital and inventory. If approved, Sloan’s charges a 6 percent weekly royalty fee, 2 percent monthly advertising fee and a 1 percent weekly contribution to the marketing fund.

“We’re looking to get into Vegas as quickly as we can. It all hinges on finding the right person,” Wild said.

After that happens, Kamenstein said the Vegas area probably could support four or five shops. Nationwide, the company plans to open 200 franchised locations. As of now, Sloan’s has 11 signed agreements in Florida, plus the five in California. In addition to Las Vegas, the brand is targeting the Carolinas, Georgia, New York and New England.

As for Kamenstein, he is a classically trained chef who studied at London’s Le Cordon Bleu culinary school and trained in kitchens throughout France. He designed the menu that includes fudge, cookies, brownies, shakes, ice cream sodas, sundaes and candy.

Nationwide, the number of franchise establishments will increase by 1.5 percent in 2013, according to the International Franchise Association’s quarterly report. The number of jobs in franchising will increase 2 percent this year, following a gain of 2.2 percent in 2012.

“Franchise growth continues to outpace other sectors of the economy as franchising remains the fastest way to grow and scale a business, despite the still uneven economic recovery and the onerous public policy environment facing our members and the small business community,” said association President and CEO Steve Caldeira.

The association also is predicting the 2013 output of franchises in nominal dollars will increase 4.3 percent, following a 4.9 percent increase in 2012.

Contact reporter Laura Carroll at lcarroll@reviewjournal.com or 702-380-4588. Follow @lscvegas on Twitter.