Generation Next Franchise Brands, Inc. primarily develops and operates unattended retail platforms and related technology through franchise, licensing, wholesale, and corporate owned business models.
Segments
The company operates through Reis & Irvy’s, Print Mates, Inc., and 19 Degrees, Inc. segments.
Reis & Irvy’s, Print Mates, Inc.: This segment represents the sale of frozen yogurt and ice cream robots, franchise fees, royalties, location fees, and product rebates.
19 Degrees, Inc.: This s...
Generation Next Franchise Brands, Inc. primarily develops and operates unattended retail platforms and related technology through franchise, licensing, wholesale, and corporate owned business models.
Segments
The company operates through Reis & Irvy’s, Print Mates, Inc., and 19 Degrees, Inc. segments.
Reis & Irvy’s, Print Mates, Inc.: This segment represents the sale of frozen yogurt and ice cream robots, franchise fees, royalties, location fees, and product rebates.
19 Degrees, Inc.: This segment primarily operates as a management company for 19 Degrees Corporate Service, LLC, a robot investment fund (the Fund) that would allow accredited investors (franchisees and other direct purchase investors) to contribute kiosks to the Fund and receive quarterly distributions of net proceeds from operating the robots.
In 2016, the company entered into an Asset Purchase Agreement (the Agreement) with Robofusion, Inc. (RFI), whereby the company acquired the intellectual property assets of RFI, a developer of robotic-kiosk vending technology, primarily frozen yogurt and ice cream vending robots, using RFI's trademarked name of Reis & Irvy's (the Acquisition). The intent of the purchase was to combine robotics and artificial intelligence platforms to facilitate the manufacture of an unattended robot in order to disrupt traditional frozen yogurt and ice cream retail establishments. Since acquisition, the company has developed a robotic soft serve vending robot that is a vending machine and entertainment experience. The robot accepts cash and credit cards. A proprietary software platform is utilized that allows the company to monitor the sales of its franchisees’ and its corporate-owned machines, which assists the company’s franchisees and the company in facilitating the management and maintenance of the vending robot.
Reis & Irvy’s sells franchise rights, a 10-year term, for the use of its trademarks and technology, robotic soft serve vending robots, and secures locations for franchisee robots. Potential franchisees are interviewed by salespeople and complete a questionnaire. Those who meet certain financial criteria and deemed a good fit are provided franchising information based on their respective state’s franchise regulations, a Franchise Disclosure Document. After the cooling off period, approximately 14 calendar days, Reis & Irvy’s and the franchisee enter into a franchise agreement, which contains the term, sales price, location of the franchise, and each party’s rights and obligations. Reis & Irvy’s offers franchises in every state in the Unites States with the exception of South Dakota. Master franchises are offered for certain large geographic locations. As of June 30, 2019, the company had entered into master franchise agreements in Australia, Canada, Israel, and Oman. As of June 30, 2019, the company sold 1,296 units representing approximately $58 million in vending machine sales and franchise fees.
Frozen Yogurt and Ice Cream Products
The company has set up distribution partners to carry the consumable products required for the frozen yogurt and ice cream robots.
Suppliers
The company has also entered into an agreement with Dannon YoCream, for Dannon YoCream to be a primary supplier of all frozen desserts available within the Reis & Irvy’s Froyo Robots, including an assortment of frozen yogurts, sorbets and gelatos.
History
The company was founded in 2010. It was formerly known as Fresh Healthy Vending International, Inc. and changed its name to Generation Next Franchise Brands, Inc. in 2016.