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Abbott's Frozen Custard was founded in 1902 by Arthur Abbott, who would travel with small carnivals along the eastern seaboard. He marketed his dessert mainly to raise money to support his horse racing interests. In 1926, he settled in Rochester. He opened up shop at the corner of Lake and Beach Avenues, across the street from Ontario Beach Park, which at the time was an amusement park that drew crowds of people from all over the state.
Abbott next opened up several shops in the Playland at Rye Beach. He never lost his interest in horse racing, and in 1952 his horse Blue Man won the Preakness Stakes, earning him $86,135.
In 1957, Leonard and Thelma Schreiber became the owners of Abbott's Frozen Custard and started franchising Abbott's locations. The first franchise was at 630 W. Ridge Rd in Rochester. That location closed in 2012. Other franchises would follow, along with other additions that contributed to the business. In 1981, Thelma Schreiber unveiled the "Turtle" dessert. In 2006 the Krispy Kreme doughnut chain added Abbott's custard to its product line at some stores in south Florida. A Japanese operator opened Abbott's outlets in Japan starting in 1999.