Businessman invested R$60,000 to open the first unit of the milkshake franchise chain in Goiânia
Before founding the milkshake chain Milky Moothe entrepreneur Lohran Soares worked as a waiter and street vendor. Founded in 2020 in the city of Goiânia (GO), the company has 420 franchises and expects to earn R$453 million this year.
Lohran Soares began his entrepreneurial journey at the age of 12, when he started selling brigadeiros at school. At the age of 18, he decided to formally undertake with his mother by setting up a brand of men’s shoes, Mr. Lohran.
“We took all our savings to invest in Sr. Lohran, although the business was not easy, I managed to buy my car, among other things I wanted at the time.. I witnessed my schoolmates growing professionally, while I found myself stagnant and struggling with this endeavor.”it says.
The businessman says that in order to pay the bills, he combined his work at Sr. Lohran with a job as a waiter at night. “I was also a street vendor for the Consumer Protection Code, going from door to door selling the booklet to retailers,” states.
In 2019, Lohran Soares received a partnership proposal to open a new Sr. Lohran branch. While looking for a location in the shopping mall for the new store, the businessman had the idea of opening a milkshake franchise.
“We were in the food court and saw a little milkshake shop with a line of people waiting to order, while several others were empty. I was daydreaming about how easy it would be to operate a business like this, because you don’t need a large inventory, the store’s square footage could be small, and we would have demand all year round, since we are in a tropical country.”it says.
The first Milky Moo store opened in March 2020. The 15m² store had an initial investment of R$120,000, with R$60,000 invested by Lohran, using his savings from his time as a waiter and from the shoe store, and the other half by his partner Paulo Sérgio da Silva.
Two weeks after the inauguration, it was decreed lockdown and the unit began to operate only through delivery. At the time, the company was not linked to delivery apps.
“It was challenging to survive with delivery, especially with such a short time as a brand and knowing that milkshakes don’t usually travel very well. We had to learn how to deliver while maintaining consistency.”he says.
Despite the pandemic, Milky Moo ended 2020 with 5 stores in operation and a revenue of R$374 thousand. The following year, 27 units were opened and the company’s revenue jumped to R$7.8 million.
Last year, the chain registered 420 units in operation and a turnover of R$210 million. By 2024, the partners expect to have 700 stores open.
The network has 3 franchise formats:
- kiosks: initial investment of R$ 190 thousand and average revenue of R$ 70,000;
- street shops: investment of R$290 thousand and revenue of around R$80,000;
- store in shopping mall: investment starting from R$ 290 thousand and approximate revenue of R$ 100 thousand.
Data from ABF (Brazilian Franchising Association) show that the food franchise segment (commerce and distribution) grew 43.9% in the 1st quarter of 2024. There are also 45,660 franchises in operation in the country, responsible for more than 510 thousand jobs.
X-ray
- foundation: 2020;
- founders: Paulo Sergio da Silva and Lohran Soares;
- revenue in 2023: R$ 210 million;
- company headquarters: Goiania (GO);
- contact: (62) 9 9144-3527.
Franchise
- forecast return: 18 to 24 months in all formats;
- expected profit: 15% to 20%;
- royalties: 5%;
- FPP (Promotion and Advertising Fund): 3%.
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