When Neil Hershman, 30-year-old CEO and majority owner of the Frozen Yogurt Chain 16 handle, visits a self-service dessert shop, he keeps it simple. His order: plain tart-flavored swirls with strawberries, blueberries, chocolate chips and hazelnut crunch.
No, he doesn’t eat frozen yogurt every day – he only eats it a few times a week, he says.
In 2024, the New York-based 16 handles brought in $20 million in system-wide sales, and in the first six months of 2025, the system-wide sales reached $12.5 million, according to documents reviewed by CNBC.
Data from Food Service Research Firm Technomic shows that the self-service frozen yogurt space has been shrinking since 2016 as brands such as TCBY, Yogurtland and Menchie’s are busy. However, since taking over the company in 2022, Hirschman says there has been a “surge in demand” with 16 handles.
With in-store traffic increasing, people are spending more in stores, and since he took over, sales at the same store have increased by more than 10% year-on-year, he says.
“Everyone thought frozen yogurt was in decline, but we’ve revived the category,” says Hirschman.
“There was no energy.”
Solomon Choi founded 16 Handles in East Village, Manhattan in 2008. It is named after self-service frozen yogurt, soft serve ice cream, or 16 different flavors you can find at each store. Currently, the chain has 40 locations, mainly on the east coast.
After graduating from college and moving to New York in 2017 to work in assets management, Hirschman, who rarely ate yogurt that he grew up, says he soon became regular at the Murray Hill 16 Handle location, beneath the block from his first apartment.
Two years after his job in finance, he realized that his career wasn’t worthy of him, so at 23 in 2019, Hirschman quit his job, and at that point he bought a 16 handle franchise using “effectively all cash.”
“I was looking for something a little more practical, both on the planet and directly,” he says. “I worked on the register for a full shift from the day after…through that I learned business from within.”
Neil Hirschman bought his first 16 Handle Stores at the age of 23.
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By 2022, the 27-year-old at the time owned six locations and became the largest franchise owner of the 16 handles, but he says he wanted to do more. He says he sat down with 16 handle leadership and talked about how he could help his brand grow, but found the company “good old” with the business.
“There was no energy, no sparks, no innovation,” he says. “It was very exciting for me because it showed that there was room for new energy and new ideas to push the needle and innovate.”
That year he bid to buy the entire company. We used all existing locations as collateral to secure the acquisition at a private price. Today, Hirschman says he is the majority owner of 16 handles. YouTube comedian Danny Duncan owns stake in the company along with several other minority investors, he says.
Changes in consumer sentiment
Hirschman has launched limited edition flavours such as French fries, butter beer and black matcha to help people pass through the doors. Behind the scenes, he also says he is investing in revamping the company’s digital marketing strategy.
So far, Hirschman says his efforts to revitalize the brand are working. Since he took over, the chain has added around ten new locations. The company’s corporate business is profitable, and he says he is working with 18 franchisees to open new stores, with five to six more locations expected to open this year.
Founded in 2008, the 16 handles have 40 locations, mainly on the East Coast.
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The decision to invest in frozen yogurt may take time. Nationally, consumers appear to be renewing their frozen yogurt, according to David Portalatin, a foodservice analyst at market research firm Circana. As of July 2025, total yogurt servings increased 10% year-on-year.
People may be returning to frozen yogurt as part of a larger trend towards health awareness, not just nostalgia. Many consumers see it as a healthy alternative to other frozen treats like ice cream, Portalatin says.
While there’s nothing wrong with enjoying a delightful dessert after dinner, registered dietitian Leah Kaufman warns consumers to be wary of the sugar content of frozen yogurt as high as the levels found in soda and ice cream. “If you’re looking for the health benefits of desserts, I’ll probably look elsewhere,” she says.
“Affordable luxury” products
From frozen mixes produced solely at California’s Creamery to self-service in-store, Hirschman says 16 handles are priced as “high-end” products compared to Mr. Soft Truck, for example. On average, customers spend between $8 and $10 when visiting 16 handles, he says.
He doesn’t even look for customers who come to his shop every day. Rather, he sees frozen yogurt as a “affordable luxury.” Sweet sweets a few times a week.
For Hirschman, this is just the beginning. He says he hopes that the number of locations will grow to around 100 in the coming years, and hopes that the brand will eventually become famous.
“My career in finance really taught me how to model risk. At frozen yogurt, I manage my inventory of cookie dough,” says Hirschman. “Both are very unstable markets, but one is even more fun.”
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