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What You Need to Know About Buying a Dunkin’ Donuts Franchise

Christine Aebischer

Many or all of the products featured here are from our partners who compensate us. This influences which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money .

If you’re considering joining a franchise that’s a leader in doughnuts and coffee, then Dunkin’ (formerly Dunkin’ Donuts) is an exceptional choice.

After all, when Dunkin’ made “America Runs on Dunkin” their slogan, they weren’t wrong. Studies show that 64% of American adults drink coffee and 200 million Americans consumed doughnuts in 2019. And when you pair coffee with doughnuts, you have the perfect combination to kickstart your morning or deliver an afternoon pick-me-up.

And if you want to deliver this experience to a loyal customer base, an opportunity awaits you. Dunkin’ is recruiting applicants to expand their doughnut and coffee empire. The application process can be time-consuming and confusing, but below we'll break down what you need to know to start a Dunkin’ Donuts franchise.

business plan for dunkin donut franchise

Dunkin’ Donuts overview

To start, let’s take a look at some of Dunkin’s accolades:

Rated number one in the Coffee and Baked Goods Category by Entrepreneur

Rated number one Airport Franchisor by Airport Franchisor

Rated number one in Customer Loyalty by Brand Keys Customer Loyalty Index

It’s also worth noting that while you may think of the company as Dunkin’ Donuts, they actually dropped the “Donuts” as of January 2019 and now officially go by Dunkin’. This decision was made to widen the scope of their branding. Dunkin’ serves more than just delicious doughnuts—they also offer a larger food and beverage menu.

Before we dive into Dunkin’s franchise application process, let’s explore the pros and cons of buying a Dunkin’ franchise.

Dunkin’ offers some amazing benefits to their franchisees, including:

Brand authority in the coffee and doughnut industry

Worldwide recognition with 12,000 locations worldwide and 8,000 locations within the United States

You get to be your own boss

Online courses on business management through the Dunkin’ Donuts Online University

Strong franchisee support with site selection assistance and training

Three-day business course in Boston, Massachusetts, after your application is approved

Dunkin’ offers many benefits alongside their delicious doughnuts and coffee, but there are some disadvantages to consider:

Financial barrier to entry

Recent bad press due to hacked customer accounts

Limited creativity (this is the standard for any franchise, as you must comply with franchise branding requirements)

No Dunkin’-sponsored financing options (although, they recommend preferred lenders that offer SBA-backed loans)

How much is a Dunkin’ Donuts franchise?

Now, you’re ready to ask the big question: How much does a Dunkin’ Donuts cost?

The Dunkin’ Donuts franchise cost will vary, depending on the size of your store, location, and how many units you open. Keep in mind, there are several franchise fees associated with opening a franchise, not just a Dunkin’, which often contribute to a significant initial investment. Here is a breakdown and ranges of the financial requirements to open a Dunkin’ franchise:

Total investment range: $97,500 to $1.7 million

Initial franchise fee: $40,000 to $90,000 (varies by location)

Net worth: $500,000 minimum

Liquid capital: $250,000 minimum

While the figures may look high to you, the upfront costs are lower than similar food franchises. For example, Krispy Kreme’s initial investment can reach over $1.9 million. McDonald’s is even higher with an initial investment of up to $2.2 million.

How to open a Dunkin’ Donuts franchise

Dunkin’ has a multi-step process for joining their franchise that may take between 60 and 90 days. During this time, they will review your application and business plan before approving you as a franchisee candidate. After, the development stage may take eight to 15 months. During this time, you will be securing the real estate, constructing your restaurant, and training your crew.

How much do you need?

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We’ll start with a brief questionnaire to better understand the unique needs of your business.

Once we uncover your personalized matches, our team will consult you on the process moving forward.

If Dunkin’ seems like the right fit for you, then you’ll want to submit an application to express your interest. Below, we’re outlining the steps for applying and opening your own Dunkin’ location.

1. Submit a franchise application

To get started, you can submit a franchise application online. Please note that you will be required to upload a resume during the application process. Be sure to review your existing resume and tailor it to your Dunkin’ application.

Upon receipt of your application, Dunkin’ will send you their franchise disclosure and qualification package. Within this package, you will find and review:

Dunkin’s financial statements

A copy of the franchise agreement

A list of existing franchisees who can answer any questions you may have

Cost breakdowns (advertising, royalties, etc.)

This documentation ensures that you make an informed decision when considering joining the Dunkin’ franchise.

While you review this package—and you may also want an attorney to review the franchise agreement specifically—Dunkin’ will request proof of citizenship and proof of your assets. Also, they will run your credit report and conduct a background check.

This completes the initial screening process.

2. Write your business plan

Next, you will meet with a franchise manager. The franchise manager will outline the following stages within the Dunkin’ franchise application process.

This is your opportunity to ask questions to somebody who has experience in opening and running a Dunkin’ franchise. Ask as many questions as you can. Remember to contact the list of franchisees provided in your franchise disclosure and qualification package. And remember, you also want to take this opportunity to make sure this is the right franchise for you. If the feedback you receive confirms this, you can also seek input on how to write your business plan to impress the team charged with approving applications.

There are some key elements you’ll want to include when writing your business plan:

Market analysis

Potential sites to construct your Dunkin’ franchise

Marketing and sales plan

Financial plan and projections

If you’re still confused and need more insight, be sure to check out our guide on how to write a business plan.

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3. Get approved

At this point in the Dunkin’ franchise application process, you have submitted your application, passed the background and credit check, and submitted your business plan. If all looks well, your application and business plan will be approved.

Your next step is to sign the store development agreement (SDA), which gives you the right to develop a Dunkin’ location within a geographical territory.

You will also sign the franchise agreement, which is a legal contract between the franchisor and franchisee. It outlines what is expected of each party. For example, the franchisee might be expected to open a certain number of units within a timeframe. The franchisor, in turn, may be expected to supply certain marketing materials.

4. Prepare for your grand opening

After your approval is submitted, you begin your franchisee training. This will include web-based courses on business management and a three-day business course in Boston, Massachusetts. Also, you will work with a team to help you secure financing, select a site to build your unit, and initiate construction.

After construction is complete, you will need to design your store. Make sure you comply with their brand requirements and stick with their branding colors of pink, orange, brown, and white. Also, you’ll need to onboard your new staff—we recommend checking out our guide on how to hire great employees.

Make sure your staff is well-trained, your ingredients fresh, and your coffee strong. All of these will increase your chances for success when you finally open your doors for your grand opening.

How much does a Dunkin’ franchisee make?

If you’re investing your time, energy, and capital into a franchise, you’ll expect a return on your investment. To determine whether it's worth it, you likely want to know how much a Dunkin’ franchise owner makes.

A Dunkin’ franchise owner can expect to make an average annual salary of $124,000. This figure fluctuates depending on the type of location you open. For example, when building a unit, you have the following options:

A free-standing store

Located within a shopping plaza or a mall

A non-traditional location, like a gas station or convenience store

A drive-through window

Store traffic varies by store location and building type, which will affect your Dunkin’ Donuts franchise profit margins. For example, if your location is surrounded by businesses and you have a drive-through window, you can expect to receive increased business from employees grabbing coffee on their way to work. You’ll want to take these factors into consideration when deciding which type of Dunkin’ franchise you want to pursue and as you’re writing your business plan.

Ideal Dunkin’ Donuts franchisee candidate

Dunkin’ has brand recognition, amazing franchisee support, and the potential to make high profits, but joining the Dunkin’ franchise requires a certain personality. If you don’t meet experience requirements and personality traits, you might struggle with running your location or even getting your application approved.

Here’s what the ideal Dunkin’ Donuts franchisee candidate looks like:

Prior food service, retail, or multi-unit management

Willingness to meet company rules and brand requirements

Understanding of the real estate development process to select the ideal site for your restaurant

Excellent interpersonal skills to deliver premium customer service and communicate with corporate personnel

Patience to undergo the extensive application process

Commitment to ongoing education about business and marketing

Flexibility to make business decisions that adapt to market trends

Dunkin’ alternatives

If Dunkin’ interests you but you’re curious about other franchise opportunities, check out the best coffee shop franchises for some alternatives. Here are just a few:

PJ’s Coffee

PJ’s Coffee has been impressing their customers with premium 100% Arabica coffee sourced from Finca Terrerito and Agua Fresca. Like Dunkin’, PJ’s Coffee’s roots started in the United States and branched internationally into Vietnam and Kuwait.

PJ’s Coffee is a recommended franchise due to their extensive franchisee support. Their team will assist you with site evaluation, design, construction, and training. Their minimum franchise fee is $35,000 for a single unit, which is slightly lower than Dunkin's depending on your location.

Scooter’s Coffee

As their name suggests, Scooter’s Coffee is serving customers who are already on the go. Their drive-through coffee kiosks are ideal for those rushing to grab coffee on their way into work. Scooter’s Coffee was founded in 1998 and has quickly expanded. Their 550-square-foot drive-through stores are popping up across the United States, with locations in 25 states.

Scooter’s Coffee’s franchise fee matches Dunkin’ Donuts franchise fee minimum of $40,000. However, their liquid capital requirement is only $100,000 compared to Dunkin’s $250,000 minimum. This may be an attractive alternative for those seeking a franchise with lower startup costs.

The Coffee Bean and Tea Leaf

You’re likely familiar with this coffee shop brand. The Coffee Bean and Tea Leaf has a brand presence that nearly ranks with Starbucks. You’ve likely seen their locations as standalone restaurants, in malls, and airports.

Their “mountaintop to countertop” philosophy is one reason why they’ve expanded to over 1,200 locations worldwide. They inspire their customers with delicious and fresh coffee sourced from only the top 1% of Arabica beans in East Africa and Latin America. If you want a franchise that is backed by delicious coffee and amazing brand presence, then The Coffee Bean and Tea Leaf is worth considering.

The bottom line

Many small business owners will tell you that running your own business is a challenge. Joining a franchise can help you overcome these challenges.

When joining a franchise, especially one as supportive as Dunkin’, you’re never alone. You gain valuable access to experienced entrepreneurs, business resources, and a beloved brand—to name just a few franchise advantages.

If you’re interested in joining the Dunkin’ franchise, you’ll need startup capital. Since Dunkin’ doesn’t offer any financing options directly, we recommend that you check into your small business loan options early.

This article originally appeared on JustBusiness, a subsidiary of NerdWallet.

On a similar note...

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Business Plan Template for Dunkin Donuts

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Are you dreaming of opening your very own Dunkin' Donuts franchise? Well, you're going to need a solid business plan to make it happen! ClickUp's Business Plan Template for Dunkin' Donuts is designed specifically for franchisees and entrepreneurs who want to create a roadmap to success.

With this template, you'll be able to:

  • Outline your goals and objectives for your Dunkin' Donuts location
  • Create financial projections and budgets to secure funding and attract investors
  • Develop marketing strategies to build brand awareness and drive customer traffic
  • Plan your operational processes to ensure a smooth and efficient business operation

Whether you're a seasoned entrepreneur or a first-time franchisee, our Business Plan Template for Dunkin' Donuts will help you create a comprehensive plan that sets you up for success. Get started today and turn your dreams into reality!

Business Plan Template for Dunkin Donuts Benefits

When using the Business Plan Template for Dunkin' Donuts, franchisees and entrepreneurs can enjoy the following benefits:

  • Clear and comprehensive documentation of business goals, financial projections, marketing strategies, and operational plans
  • Increased chances of securing funding from investors and lenders
  • A roadmap for success, providing guidance and direction in running a profitable coffee and baked goods business
  • Improved decision-making through careful analysis of market trends and competition
  • Efficient resource allocation and budget management to maximize profitability and minimize risks.

Main Elements of Dunkin Donuts Business Plan Template

When creating your business plan for a Dunkin' Donuts franchise, ClickUp has got you covered with a comprehensive template that includes:

  • Custom Statuses: Keep track of your progress with statuses such as Complete, In Progress, Needs Revision, and To Do, ensuring that every aspect of your business plan is accounted for and easily managed.
  • Custom Fields: Utilize custom fields like Reference, Approved, and Section to add important details and organize your plan effectively, making it easier to track and update specific sections and references.
  • Custom Views: Switch between 5 different views, including Topics, Status, Timeline, Business Plan, and Getting Started Guide, to get a holistic view of your plan, track progress, and stay organized throughout the entire process.
  • Collaboration Tools: Collaborate seamlessly with your team by assigning tasks, setting due dates, and leaving comments to ensure everyone stays on track and has visibility into the plan's development.
  • Document Management: Store and manage all your business plan documents in ClickUp's Docs feature, making it easy to access, edit, and share your plan with stakeholders.

How To Use Business Plan Template for Dunkin Donuts

If you're looking to create a comprehensive business plan for your Dunkin Donuts franchise, follow these steps using ClickUp's Business Plan Template:

1. Executive Summary

Start your business plan with an executive summary that highlights the key aspects of your Dunkin Donuts franchise. Include information about your target market, competitive advantage, and financial projections. This section should provide a snapshot of your business and entice investors or lenders to read further.

Use the Docs feature in ClickUp to write a concise and compelling executive summary.

2. Company Description and Mission Statement

Provide a detailed overview of your Dunkin Donuts franchise, including its history, location, and unique selling proposition. Also, clearly define your mission statement, which reflects your brand's purpose and values. This will help potential investors or partners understand your business better.

Use the Docs feature in ClickUp to describe your company and craft a compelling mission statement.

3. Market Analysis

Conduct a thorough market analysis to understand the competitive landscape and target market for your Dunkin Donuts franchise. Identify your ideal customer profile, analyze your competitors, and determine market trends that can impact your business. This information will guide your marketing and sales strategies.

Use the Table view in ClickUp to organize and analyze market research data.

4. Operations Plan

Outline the day-to-day operations of your Dunkin Donuts franchise. Include details about staffing, inventory management, supply chain, and quality control processes. This section should demonstrate your understanding of the operational requirements to run a successful franchise.

Use the Gantt chart feature in ClickUp to create a timeline for launching and operating your Dunkin Donuts franchise.

5. Marketing and Sales Strategy

Develop a comprehensive marketing and sales strategy to attract customers and drive revenue. Identify your target audience, define your brand positioning, and outline your promotional activities. Additionally, include your pricing strategy and sales projections to demonstrate your revenue generation potential.

Use the Automations feature in ClickUp to automate marketing tasks and measure the effectiveness of your campaigns.

6. Financial Projections and Funding

Create financial projections to estimate the revenue, expenses, and profitability of your Dunkin Donuts franchise. Include a detailed budget, cash flow statement, and income statement. If you're seeking funding, clearly state your funding requirements and provide a plan for how you will use the investment.

Use the Dashboards feature in ClickUp to visualize and track your financial projections in real-time.

By following these steps and utilizing ClickUp's Business Plan Template, you can create a comprehensive and professional business plan for your Dunkin Donuts franchise. Remember to customize the template to align with your specific goals and objectives. Good luck!

Get Started with ClickUp’s Business Plan Template for Dunkin Donuts

Franchisees and entrepreneurs looking to start their own Dunkin' Donuts location can use the Business Plan Template in ClickUp to outline their goals, financial projections, marketing strategies, and operational plans to secure funding and maintain a successful coffee and baked goods business.

First, hit “Add Template” to sign up for ClickUp and add the template to your Workspace. Make sure you designate which Space or location in your Workspace you’d like this template applied.

Next, invite relevant members or guests to your Workspace to start collaborating.

Now you can take advantage of the full potential of this template to create a comprehensive business plan:

  • Use the Topics View to organize your plan into different sections, such as Executive Summary, Market Analysis, Financial Projections, and Marketing Strategy
  • The Status View will help you track the progress of each section, with statuses like Complete, In Progress, Needs Revision, and To Do
  • The Timeline View will give you a visual representation of your plan's timeline, allowing you to set deadlines and milestones
  • Use the Business Plan View to have an overview of your entire plan in one place, making it easy to navigate and make updates
  • The Getting Started Guide View will provide you with step-by-step instructions on how to use the template effectively
  • Customize the template by adding custom fields like Reference, Approved, and Section to provide additional information and track important details
  • Collaborate with team members and stakeholders to gather input and feedback on your business plan
  • Monitor and analyze your plan to ensure it aligns with your goals and objectives
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Dunkin’ Donuts – Franchise Business Plan

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  • 27 Nov, 2018

Dunkin’ Brands Inc. is an international donut, coffee, and ice cream retailer that sells these products under its Dunkin’ Donuts and Baskin-Robbins brands. Dunkin’ Brands has about 18,000 distribution points in 60 countries, including more than 8,300 locations in the U.S. Dunkin’ Donuts was founded in Quincy, Massachusetts, in 1950 and is currently one of the largest coffee and baked goods chains in the world.

Dunkin’ Brands pursues an asset-light business model, with more than 99.0% of its retail locations operating under franchise agreements. According to IBIS World , over the past five years, Dunkin’ Brands’ U.S.-specific sales grew at an annualized rate of 5.5% to $9.5 billion.

Dunkin’ Donuts operates the advertising and sales promotion fund and directs the development of all advertising, marketing, and promotional programs. The content of all operations of the fund, including the media used, as well as the area and restaurants targeted for such operations is determined by the franchisor. A franchisee can use other advertising or promotional materials only upon an official written approval from Dunkin’ Donuts. The marketing and advertising costs include a marketing start-up fee, continuing advertising fee, and occasional additional advertising fees. Joorney Business Plan Writers help Dunkin’ Donuts franchisees in planning advertising and marketing strategies and developing budgets in line with the franchise agreement.  Franchise Business Plan

A franchisee is directly responsible for all employment decisions, including hiring, promoting, discharging, and setting salaries and terms of employment. Dunkin’ Donuts organizes various compulsory and optional training programs for the franchisee, the restaurant managers, and other personnel. The various programs are conducted online, in the restaurant, or other premises.

The franchisees and the relevant personnel are required to timely and successfully complete all mandatory training. Franchisees pay the costs incurred in receiving any training including the cost of any materials, salaries, and travel expenses. Joorney Business Plans has extensive experience in developing long-term employee plans and matching the specific employees’ knowledge, skills, experience, and training to their designated roles.

The initial investment for establishing a Dunkin’ Donuts restaurant can range from $97,500 to $1,717,103. The initial investment includes a wide range of fees such as the initial franchise application fee, building costs, and various licenses, permits, fees, and deposits. The restaurant must be designed, laid out, constructed, furnished, and equipped in line with the franchise agreement. Joorney Business Plan Writers have experience in developing long-term financial projections for Dunkin’ Donuts restaurants and understand the specifics pertaining to the initial investment requirements.  Franchise Business Plan

By opening a Dunkin’ Donuts restaurant , you will become a part of one of the largest, fastest-growing, and innovative coffee and baked good chains in the world. Dunkin’ Donuts offers exceptional profit potential and has extensive expertise in providing franchise opportunities by offering assistance that ranges from site selection through the development process to offering ongoing new product training.  Franchise, Business Plan,

Joorney Business Plans have worked on hundreds of Franchise Business Plans with Franchisors as well as their Franchisees! 

Our writers can also tailor an existing masterplan to the needs of a new franchisee by modifying the market analysis and financial projections based on the variables of the new location.

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Start a Dunkin' Donuts Franchise | Costs and Requirements

If your entrepreneurial senses are tingling, and you think you’re ready to start a franchise, then a Dunkin’ Donuts franchise might be your sweet spot. Here’s what you need to know.

How To Know If You’re Ready To Start a Franchise

Before you get into Dunkin’ Donuts franchises, you should know whether or not becoming a new franchisee is the right business opportunity for you. It’s a rewarding business, but has its challenges.. 

Take a look at some of the pros and cons of being your own boss and the aspects of starting a franchise.

Pros of Being a Franchise Owner

  • Independence
  • Flexibility
  • Self-sufficiency
  • Sense of achievement 
  • Opportunities for leadership
  • Income potential
  • Automatic brand awareness and customer base

Cons of Being a Franchise Owner

  • Financial risk
  • Work schedule Potential challenging situations with employees
  • Must follow the franchise model 

Related: #1 on the Franchise 500: Even Without the 'Donuts', Dunkin' Takes the Cake

Unique Requirements of a Franchise Owner

While being a franchise owner is a version of entrepreneurship, some unique aspects come with franchising. 

Answer these questions for yourself about the realities of being a franchise owner :

  • Are you willing to follow someone else’s rules, even when you disagree or think your way is better?
  • Can you accept mentoring or advice on how to run your business from the parent company?
  • Are you comfortable sharing your finances and paying royalty fees?
  • Can you “buy in” to the franchise system you choose?

Related: Considering franchise ownership? Get started now and take this quiz to find your personalized list of franchises that match your lifestyle, interests and budget.

Are You Interested in Opening a Dunkin' Franchise?

If you’re still on board for the franchise journey, keep reading to discover all about Dunkin’.

A History of Dunkin’ Donuts

It’s essential for franchise owners to know the background of their business. If you’re intererested in opening a Dunkin’, you should touch up on the franchise’s history . 

In 1948, Bill Rosenberg opened  a local coffee shop in Quincy, Massachusetts (just south of Boston) called The Open Kettle. 

Like McDonald’s and Starbucks, Dunkin had small, humble beginnings with cheap menu items. The original price for coffee and donuts? Five cents and ten cents, respectively. 

Rosenberg switched the name to Dunkin’ Donuts in 1950 and started franchising five years later. By 1965, there were over 100 locations. 

Now called Dunkin' (no Donuts), Dunkin' locations focus on donuts, bagels, coffee, and breakfast sandwiches. Typically, most Dunkin’ locations cater to those looking for a breakfast starter, but it can still be valuable for customers throughout the day. 

Dunkin' is a national brand, and, as their slogan says, "America runs on Dunkin'." Dunkin’ has a solid national and international presence, boasting over 9,400 U.S. franchises and another 3,4000+ internationally.

Perks of Starting a Dunkin’ Franchise

Owning a Dunkin' franchise can be a wise choice for franchisees who are community-oriented and enjoy food service. 

Related: The 10 Commandments of Franchise Ownership

It is also suitable for franchisees who want options for restaurant layout and operational times. A franchisee might be able to run drive-thru only, freestanding storefronts, or a combination of both. They may also be in a position to operate 24/7. 

Other perks include:

  • Recognized brand
  • Large customer base
  • Numerous available markets
  • Active quality support team
  • Training programs
  • Relevant to its customers and culture

Dunkin' has made several improvements to its restaurant designs and continues to maintain its foothold in the market. As a franchisee, you can take advantage of Dunkin's local branding methods and new seasonal products. 

Customers may also take advantage of Dunkin' Rewards and reward opportunities specific to your location. You also may see the benefits of an expanded snack menu and breakfast options. This automatic diversification of revenue may result in better chances of customer conversion.

To be a part of the Dunkin’ team, you’ll want to ensure you are financially sound enough for initial investment fees  and other startup costs. In addition, you should be aware of and prepare for the ongoing fees associated with franchise ownership, including advertising, royalty, and potential renewal fees.

Related: Want to Make Smart Investments? Use These Expert Tips.

Dunkin’ Franchising FAQs

Are you looking for more facts and figures about opening a Dunkin’ location? Take a look at these Dunkin’s FAQs and their answers. 

What Are the Costs of “Traditional” Dunkin’ Opportunities?

  • Initial franchise fee : $40,000-$90,000
  • Franchise fee: 2-6% 
  • Store size: 1200-1600 square feet
  • Advertising fee : 5%
  • Total investment range : $526,900-$1,787,000

What Are the Costs of “Nontraditional” Dunkin’ Opportunities?

  • Initial franchise fee : $1,000-$2,250 per year
  • Franchise fee: 5.9%
  • Store size: 500 square feet
  • Advertising fee : 2.5%
  • Total investment range : $121,400-$972,800

How Much Money Will You Make?

As a Dunkin’ Donuts franchise owner, there is no guarantee for what you might make, just like any business venture you embark on. Although owning a franchise can offer more stability than a small business without corporate backing, there is still no way to make an exact calculation for that. 

When you are ready to complete an application form to continue your research on Dunkin’, they will provide their Franchise Disclosure Document (FDD) which includes information to help you evaluate the opportunity potential to those filling out an application form.

Related: 4 Tips for Creating a Strong Franchise Infrastructure #FranchiseBible

Does Dunkin’ Offer Discounts or Incentives?

Dunkin' offers some incentives and discounts for particular circumstances and qualified veterans around franchise fees. 

Will Dunkin’ Provide Financing?

Dunkin’ partners with lenders and SBA-backed financers to provide franchise investors with financial assistance. These lenders offer financing options on:

  • Business acquisition loans
  • Equipment loans and leases
  • Real estate loans
  • Refinancing

Related: What is an SBA Loan? Everything You Need to Know

How To Open a Dunkin' Franchise

If you’re ready to become a Dunkin’ franchise owner, here’s the step-by-step guide to open your own storefront. 

1. Get Your Finances in Order

Before making any financial commitment or signing a franchise agreement, you must perform your due diligence and establish if this is the right franchise opportunity for you.  

  • Speak to existing franchisees and ask questions directed to the Dunkin' team
  • Check into revenue and fees (industry fees, royalty fees, marketing fees)
  • Make sure your net worth and available liquid capital match the brand’s requirements to ensure you qualify to open a Dunkin' franchise

The nitty gritty about becoming a franchise owner is that the financial requirements can cause quite a barrier to entry. Before you jump to step two, check out the economic facts about the Dunkin’ Donuts franchise cost:

  • Required liquid assets : $250,000
  • Necessary net worth : $500,000

While these numbers might look high, becoming a Dunkin’ franchise owner is considerably less than competitor brands, like Krispy Kreme, which averages a cost of $440,500 to $4,115,000, according to FDD data , to open. 

2. Evaluate Your Options

As you decide if opening a Dunkin' franchise is the right decision for you, make sure you take time to explore the opportunity. Research the Dunkin’ brand and your local area to see if a Dunkin' franchise would do well in your community. 

While competition is healthy in general, it can be even more crucial to the success of Dunkin’ locations. In some situations, coffee shops (of the same brand) located very close to each other can actually drive more traffic to each of the locations. 

Additionally, you may want to consider high-traffic areas and locations near the highway. 

3. Create a Business Plan

A business plan is a document you will present to franchise officials to show them how you will earn money, manage finances, run operations, and other vital details. The powers that be will use it to evaluate your strategic planning. 

Your business plan should include the following:

  • Executive summary
  • Market analysis
  • Target audience
  • Logistics and operations
  • Financial details

A significant benefit of becoming a franchise owner is that your business plan will not have to be put together from scratch. The corporate side will offer established operations and marketing systems for you. 

4. Obtain a Franchise License Agreement

The franchise license agreement is the terms of use of your contract for becoming a part of a greater business. You are a tenant, and the corporation is the landlord. 

Related: Ready to Commit? - Franchise License Agreement - Entrepreneur.com

The agreement will include clauses about:

  • Ownership rights of the brand
  • Proprietary business operations
  • Conditions of your ownership
  • The initial term and renewal agreement

5. Create a Business Entity

Next, you’ll need to decide which type of business entity based on how you’d like to categorize your expenses. You’ve got two options:

  • Limited liability company (LLC)
  • Corporation

Make sure you weigh your options to see which is best for you and your business. 

6. Pick Your Space

The paperwork is finished, the contracts are signed, and it’s time to find the perfect space for your new store. The franchisor will likely have guidelines and regulations for the space, so keep that in mind as you begin your search. They may even have real-estate professionals on staff to help you find the right location.

Other specifics to consider are:

  • Branding possibilities 

7. Employ Your Team

This is one of the most exciting parts of becoming a franchise owner. While some things will not be your choice, who you hire will be. Most corporations will likely have job descriptions, titles, and a database. However, it will be up to you who you choose for your new team. 

Ready To Run on Dunkin’?

Starting your Dunkin’ franchise could be an exciting new business venture for you. If you have the financial capital and drive, you can build your dream one donut at a time. 

Looking for more on all things franchise? Explore Entrepreneur’s Franchise Center here .

Find Your Perfect Franchise

Company Overview

About dunkin', business overview, information for franchisees.

Here's what you need to know if you're interested in opening a Dunkin' franchise.

Financial Requirements & Ongoing Fees

Here's what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.

Take Our Free Franchise Quiz!

Financing Options

Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.

Training & Support Offered

Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.

Additional details about running this franchise.

Take our quick quiz to find your ideal franchise

Franchise 500 Ranking History

Compare where Dunkin' landed on this year's Franchise 500 Ranking versus previous years.

Additional Rankings

Curious to know where Dunkin' ranked on other franchise lists? Find out below.

Ranked #1 in Coffee in 2024

Best of the Best

Ranked #6 in 2024

Franchise 500

Ranked #56 in 2023

Fastest-Growing Franchises

Ranked #4 in 2023

Top Global Franchises

Ranked #1 in Coffee in 2022

Top Food Franchises

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How to Open a Dunkin' Donuts Franchise

Last Updated: May 7, 2023 References

This article was co-authored by Alan Mehdiani, CPA . Alan Mehdiani is a certified public accountant and the CEO of Mehdiani Financial Management, based in the Los Angeles, California metro area. With over 15 years of experience in financial and wealth management, Alan has experience in accounting and taxation, business formation, financial planning and investments, and real estate and business sales. Alan holds a BA in Business Economics and Accounting from the University of California, Los Angeles. There are 8 references cited in this article, which can be found at the bottom of the page. This article has been viewed 166,937 times.

Dunkin’ Donuts, part of Dunkin’ Brands, is one of the world’s most recognized franchises. Dunkin’ Donuts restaurants sell hot, decaffeinated, iced, and flavored coffee along with bagels, donuts and muffins, making them a popular stop for many coffee lovers. Since the first franchise opened in 1955, over 11,000 restaurants have opened across the world. [1] X Research source In order to open your own Dunkin’ Donuts franchise, there are certain financial requirements you must meet as well as qualifications that you should meet.

Preparing to Open a Dunkin’ Donuts Franchise

Step 1 Ensure you have adequate capitalization.

  • The requirements for international franchising are slightly different, requiring at least $1,500,000 in liquid assets and $3,000,000 in minimum net worth as well as the intention and capital required to develop at least 20 restaurants.

Step 2 Appreciate the investment required for a franchise.

  • Expect to spend between $134,600 and $1,611,100 as your initial investment for a new restaurant. This does not include real estate costs.

Step 3 Evaluate your prior experience and strengths.

  • Ask yourself: are these values important to me? If possible, evaluate the ways in which you exemplify these values, particularly in the workplace. This will help you get a position as a Dunkin’ Donuts franchiser.

Step 6 Assess market availability.

  • There are some locations considered “reserved markets.” This includes most of New England, Pennsylvania, Florida, Nevada, Delaware, Maryland, and Washington, DC. This means that the markets are reserved for existing franchisees.
  • Some locations (including Washington, Oregon, Idaho, Montana, Wyoming, Nebraska, and Alaska are considered to be “future markets.” These are markets in which Dunkin’ Donuts has not opened yet and in which there are currently no development opportunities.
  • There are also opportunities for international franchising. Dunkin’ Donuts has franchises in over 60 countries and is looking for additional growth around the world.

Step 7 Attend franchise events.

Applying for a Franchise

Step 1 Access the franchising application.

  • You will also have the opportunity to attach a resume. This will be helpful if you have experience that you feel will be attractive to those reviewing your application.
  • You will be asked if you have a corporation (and if so, to provide information about it) and will be asked to list any additional partners. [15] X Research source

Step 4 Submit your application.

Receiving Approval

Step 1 Interview with the franchise manager.

  • Consider what questions you may want to ask to the franchise manager and to other franchise owners. In particular, other franchise owners will be able to provide you with their personal experiences owning a Dunkin’ Donuts franchise and may be able to provide advice on what to do and what not to do.

Step 2 Prepare a business plan.

  • Details about the local market where you will open your franchise.
  • Information about competitors in your area.
  • Facts about what you will bring to the company and your expertise, including previous experience in the restaurant industry.
  • Your financial model for managing your franchise.

Step 3 Undergo financial review.

Opening Your Franchise

Step 1 Receive franchise approval.

  • More details regarding the training required by Dunkin’ Donuts can be found in the FDD.

Step 4 Enroll in Dunkin’ Donuts additional training programs.

  • Pay attention to the specific requirements for preferred demographics and traffic count. In addition, note the typical lease requirements and make sure that you are able to abide by these terms before agreeing to open a franchise.

Step 6 Meet Dunkin’ Donuts restaurant requirements.

  • You may want to decorate your store in the theme colors of Dunkin’ Donuts, orange and pink.
  • You can offer prizes or incentives for attending your grand opening. For example, you may want to reward the first customer at your drive-through with a gift card to Dunkin’ Donuts. This can help you gain and keep customers.
  • If you want to get out of a franchise agreement, review the contracts.
  • See if there are any stipulations on getting out of a franchise contract and then proceed. You may need the help of an attorney.

Community Q&A

Community Answer

  • If a restaurant is currently for sale in your market, purchasing an existing Dunkin' Donuts is another option to building or leasing. This may be the only way to become a franchisee in a market with existing Dunkin' Donuts restaurants. Consider doing this in areas designated as “reserved markets.” Thanks Helpful 0 Not Helpful 0

business plan for dunkin donut franchise

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  • ↑ http://www.franchise.org/dunkin-donuts-franchise
  • ↑ http://www.entrepreneur.com/franchises/dunkindonuts/282304-0.html
  • ↑ http://www.franchisedirect.com/foodfranchises/dunkin-donuts-franchise-07676/ufoc/
  • ↑ http://www.franchising.com/dunkindonuts/
  • ↑ http://www.entrepreneur.com/article/219846
  • ↑ http://franchisingevents.dunkinbrands.com/?Cntry=US&Brand=DD
  • ↑ http://franchisinginformation.dunkinbrands.com/DUNKIN_Opportunity_Interest
  • ↑ http://franchisinginformation.dunkinbrands.com/DUNKIN_Opportunity_Interest#

About This Article

Alan Mehdiani, CPA

To open a Dunkin’ Donuts franchise, you’ll need a net worth of $500,000 and at least $250,000 in liquid assets. You’ll probably spend between $135,000 and $1,600,000 on opening the new restaurant. When you apply to be a Dunkin’ Donuts franchise owner, they’ll make sure you have prior restaurant management or food service operations experience. They also want franchisors to exhibit qualities like honesty, transparency, responsibility, and integrity. When you submit the franchise application, you’ll have to decide your location and disclose your financials and experience. You’ll also have to provide proof of citizenship and assets. Once your initial screening is done, you’ll meet with a franchise manager, who will help you develop a business plan for your Dunkin’ Donuts franchise. Once you receive franchise approval, you’ll be free to move ahead with training, then to build your restaurant. For more details on the market availability for Dunkin’ Donuts franchises, read on! Did this summary help you? Yes No

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business plan for dunkin donut franchise

FDD Talk 2021: Dunkin’ Franchise Review (Financial Performance Analysis, Costs, Fees, and More)

Last updated on April 29, 2022 by Franchise Chatter Leave a Comment in Coffee Franchise , Donuts Franchise , FDD Talk: Food Franchises , Franchise Earnings

business plan for dunkin donut franchise

Learn Which Franchises Can Make You Rich

In this FDD Talk post, you’ll learn the following:

  • Section I – Background information on the Dunkin’ franchise opportunity, including relevant news updates
  • Section II – Estimated initial investment for a Dunkin’ franchise, based on Item 7 of the company’s 2021 FDD
  • Section III – Initial franchise fee, royalty fee, marketing fee, and other fees for a Dunkin’ franchise, based on Items 5 and 6 of the company’s 2021 FDD
  • Section IV – Number of franchised and company-owned Dunkin’ outlets at the start of the year and the end of the year for 2018, 2019, and 2020, based on Item 20 of the company’s 2021 FDD
  • Section V – Presentation and analysis of Dunkin’s financial performance representations, based on Item 19 of the company’s 2021 FDD, including information on the:
  • average gross sales by geographic region for continental U.S. freestanding Dunkin’  Restaurants (and separately, for Dunkin’/Baskin-Robbins Combo Restaurants) that have been open for business to the public for at least one year during a one-year measuring period from October 26, 2019 to October 24, 2020
  • average gross sales by geographic region for continental U.S. shopping center/storefront Dunkin’ Restaurants (and separately, for Dunkin’/Baskin-Robbins Combo Restaurants) that have been open for business to the public for at least one year during a one-year measuring period from October 26, 2019 to October 24, 2020
  • average gross sales by geographic region for continental U.S. gas & convenience Dunkin’ Restaurants that have been open for business to the public for at least one year during a one-year measuring period from October 26, 2019 to October 24, 2020
  • average gross sales by geographic region for continental U.S. drive-thru only Dunkin’ Restaurants that have been open for business to the public for at least one year during a one-year measuring period from October 26, 2019 to October 24, 2020
  • average cost of goods sold and labor costs by geographic region for continental U.S. Dunkin’ Restaurants (and separately, for Dunkin’/Baskin-Robbins Combo Restaurants) for the period from November 1, 2019 to October 31, 2020

Section I – Background Information

20 things you need to know about the dunkin’ franchise.

Acquired by Inspire Brands

1.  In mid-December 2020, Inspire Brands announced the completion of its $11.3 billion acquisition of Dunkin’ Brands Group, Inc. With the addition of Dunkin’ and Baskin-Robbins, Inspire now encompasses nearly 32,000 restaurants across more than 60 countries, generating $26 billion in annual system sales, making it the second-largest restaurant company in the U.S. by both system sales and locations. Inspire’s family of brands includes Arby’s, Baskin-Robbins, Buffalo Wild Wings, Dunkin’, Jimmy John’s, Rusty Taco, and SONIC Drive-In.

business plan for dunkin donut franchise

2.  Paul Brown, co-founder and chief executive officer of Inspire, said, “We are very excited to welcome the Dunkin’ and Baskin-Robbins brands into the Inspire family. Dunkin’ and Baskin-Robbins are category leaders and two of the most iconic restaurant brands in the world. This is an incredible moment in our journey as a company. I want to thank all our team members, franchisees and suppliers whose hard work helped make this possible.”

3.  The acquisition of Dunkin’ Brands furthers Inspire’s goal of bringing together a family of highly differentiated and complementary brands. Both Dunkin’ and Baskin-Robbins will benefit by leveraging the capabilities and best practices of Inspire’s shared services platform. Additionally, both brands will also benefit Inspire by adding a highly talented team, strong franchise network, large and loyal customer base, scaled international platform, as well as a robust consumer packaged goods licensing capability.

4.  Dave Hoffmann, formerly CEO of Dunkin’ Brands, will report to Paul Brown as senior advisor and will help navigate the integration into Inspire. Scott Murphy will assume the roles of head of the Inspire beverage-snack category and president of Dunkin’, reporting directly to Paul Brown. Jason Maceda will assume the role of president of Baskin-Robbins, reporting to Scott Murphy. Both will join the Inspire executive team.

5.  Hoffmann added, “We are excited to reach this important milestone together with our incredible franchisees, licensees, employees, and suppliers. Over the past few years, we have accomplished much to be proud of including the execution of our strategic plans that led to the transformation of our two beloved, iconic brands. We are confident that Inspire’s proven stewardship of franchised restaurant concepts and best-in-class capabilities will drive further growth for both Dunkin’ and Baskin-Robbins around the world.”

Creates New Role of Chief Digital and Strategy Officer

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6.  At the end of July 2020, Dunkin’ Brands Group announced that Philip Auerbach will join the company in the newly-created role of chief digital and strategy officer. Auerbach will oversee a new Dunkin’ U.S. digital engagement team that includes consumer and business insights, digital marketing, media, and customer care. Auerbach will also lead Dunkin’ Brands’ global strategy and information technology (IT).

7.  As key members of the new digital strategy team, Stephanie Meltzer-Paul and Santhosh Kumar have been promoted to senior vice president, Dunkin’ U.S. digital marketing, and senior vice president, global information technology, respectively.

8.  Dave Hoffmann, then-CEO of Dunkin’ Brands, said, “Dunkin’ is doubling down on our digital platform and the relationship we have with our guests. Providing a more seamless, best-in-class restaurant experience enabled by technology is a cornerstone of the Dunkin’ U.S. Blueprint for Growth strategy. Phil is a transformational leader who has led the evolution of consumer and hospitality brands and will take our growing digital platform to the next level. He will be supported by a top-tier team that includes two leaders who have already played significant roles in our digital innovation: Stephanie Meltzer-Paul, head of digital and loyalty marketing for Dunkin’ U.S., and Santhosh Kumar, head of Global IT. Both are being promoted to Senior Vice President in recognition of their many contributions to the Company.”

9.  Auerbach added, “Dunkin’ has long been at the forefront of using digital technology to enhance the customer experience – whether through its world-class app; its advanced one-to-one marketing capabilities; or its DD Perks platform, one of the first and fastest growing loyalty programs in the quick service industry. I am delighted to join Dunkin’ Brands and excited to build a digital ecosystem that will deliver an even more personalized, frictionless experience across all channels.”

10.  Auerbach joined Dunkin’ Brands from Lindblad Expeditions, the global leader in ship-based expedition travel, where he most recently served as chief commercial officer. In that position, he was responsible for marketing, sales, distribution, and strategic partnerships.

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11.  Prior to Lindblad, Auerbach was senior vice president and regional chief marketing officer for Las Vegas at Caesars Entertainment, the world’s largest casino entertainment company and the industry’s technology leader. At Caesars, Auerbach oversaw marketing for the company’s Las Vegas portfolio and had enterprise-wide responsibilities for digital product development, third-party distribution, and strategic partnerships, as well as international marketing initiatives.

Launches Extra Charged Coffee

12.  At the end of December 2020, Dunkin’ announced the addition of Extra Charged Coffee to its menu, packing 20% more caffeine than Dunkin’s classic Hot and Iced Coffee, while delivering the same great taste. Dunkin’s coffee innovation doesn’t stop there, as the brand is serving up the most robust lineup of coffee options in its history with the introduction of two bold and exciting new hot coffees, Dunkin’ Midnight and Explorer Batch, to kick off 2021.

13.  Available at participating Dunkin’ restaurants nationwide beginning December 30, Extra Charged Coffee, served hot or iced, features green coffee extract that gives coffee drinkers an extra boost with 20% more caffeine. For an extra incentive to try the brand’s buzziest new beverage, Dunkin’ offered Medium Extra Charged Coffee for $2 through January 26.

14.  According to Jill Nelson, vice president, marketing and culinary at Dunkin’, “Since opening our doors more than 70 years ago, Dunkin’ has served a superior cup of coffee. Now, for the first time in our history, we’re offering the boldest and most diverse assortment of blends and customization options to fuel a new era of coffee at Dunkin’. From the darkest roast in our portfolio to the most caffeinated hot and iced coffee varieties, we are more committed than ever to keeping Americans running on Dunkin’ in 2021.”

15.  In addition to the Extra Charged Coffee, Dunkin’ released two new drinks:

  • Dunkin’ Midnight: New Dunkin’ Midnight is the brand’s darkest roast ever, featuring a rich, smooth, full-bodied flavor, rounded out with notes of decadent cocoa and an intensely dark finish. Dunkin’ Midnight joins the brand’s core menu of coffee offerings alongside the beloved Original Blend and Dunkin’ Decaf.
  • Explorer Batch: The first coffee blend to be introduced as part of Dunkin’s new Limited Batch Series, Explorer Batch is a medium roast featuring dark berry notes, rounded out with a smoky finish. To craft its unique Explorer Batch, Dunkin’ sourced beans from four highly regarded coffee regions: Colombia, Ethiopia, Guatemala, and Sumatra. Explorer Batch was available for a limited time, with new Limited Batch Series coffees to be introduced throughout the year.

Company History

16.  Dunkin’ (formerly Dunkin’ Donuts) was founded in 1947 as Open Kettle by Bill William Rosenberg in Quincy, Massachusetts. Rosenberg wanted to start a restaurant that focused on selling donuts and coffee after noticing they were the two most popular items out of the food he sold in factories and at construction sites. The concept was a success and two years later, Rosenberg changed the restaurant’s name to Dunkin’ Donuts.

17.  Franchising started in 1955 and by the end of the next decade, there were over 100 shops opened around the United States. Over the next few decades, Dunkin’ continued to grow. In 1972, the brand added its now iconic Munchkin donut holes. Other menu items, including breakfast sandwiches, were later added to the Dunkin’ menu.

18.  In 1990, Dunkin’ was acquired by Baskin-Robbins owner Allied Lyons (now Allied Domecq). During the 1990s, Dunkin’ expanded its portfolio by buying rival chains Mister Donut and Dawn Donuts. After more growth, in 2005, Dunkin’ and Baskin-Robbins (operating under the name Dunkin’ Brands) were sold to a private equity consortium of Bain Capital, Carlyle Group, and Thomas H. Lee Partners for $2.4 billion.

19.  In late 2020, Dunkin’ Brands, including all of its assets, was acquired by Inspire Brands. Today, there are Dunkin’ locations all around the United States and international stores in South Korea, China, Colombia, England, Sweden, Denmark, Poland, South Africa, Spain, and Lebanon.

Entrepreneur’s Franchise 500

20.  Dunkin’ ranked No. 2 on Entrepreneur’s 2021 Franchise 500 list.

Section II – Estimated Costs

  • Please click here for detailed estimates of Dunkin’ franchise costs, based on Item 7 of the company’s 2021 FDD.

Section III – Initial Franchise Fee, Royalty Fee, Marketing Fee, and Other Fees

  • Please click here for detailed information on Dunkin’s initial franchise fee, royalty fee, marketing fee, and other fees, based on Items 5 and 6 of the company’s 2021 FDD.

Section IV – Number of Franchised and Company-Owned Outlets

  • Outlets at the Start of the Year:  7,839
  • Outlets at the End of the Year:  8,091
  • Net Change:  +252
  • Outlets at the Start of the Year:  8,091
  • Outlets at the End of the Year:  8,282
  • Net Change:  +191
  • Outlets at the Start of the Year:  8,282
  • Outlets at the End of the Year:  7,790
  • Net Change:  -492

Company-Owned

  • Outlets at the Start of the Year:  0
  • Outlets at the End of the Year:  0
  • Net Change:  0

Section V – Financial Performance Representations (Item 19, 2021 FDD) and Analysis

  • Tables 1 though 4 and notes provide financial performance representations that are historical, and that are based on information from existing Dunkin’ Restaurants (exclusive of Combo Restaurants and Special Development Opportunity Restaurants) that have been open for business to the public for at least one year during a one-year measuring period from October 26, 2019 to October 24, 2020.
  • The site types listed in the following tables are defined as follows:
  • Freestanding: A Restaurant, either newly constructed or an existing structure (to be retrofit), that does not share any common walls with any third party.
  • Shopping Center/Storefront: A Restaurant that shares a common wall (or walls) with third parties. The Restaurant could be an anchor (endcap) or inline tenant space in a strip center, or it could be a location in a high density, multiple level construction (typically urban/downtown office building setting), sharing common wall and ceiling/floor construction with any third party.
  • Gas & Convenience Restaurants: A Restaurant that is a sub- or shared tenancy within a Gas & Convenience host environment.
  • Drive-Thru Only: A Restaurant that does not have any indoor seating, but allows customers to drive up to the structure to place orders. In some cases, there may be a walk up window or front counter. Restaurants may be Freestanding, Shopping Center/Storefront, or Gas & Convenience but are typically smaller than their counterparts with indoor seating.
  • Tables 6 and 7 and notes provide financial performance representations that are historical, and that are based on information from existing Combo Restaurants that have been open for business to the public for at least one year during a one-year measuring period from October 26, 2019 to October 24, 2020.

Part 1 – Sales Data (Tables 1, 2, 3, 4, 6, and 7)

  • The sales figures are compiled by using historical sales that are reported to Dunkin’ by franchisees. Dunkin’ has not audited or verified the reports.
  • This sales data does not include sales tax.
  • Regions with a higher concentration of Restaurants that have been in operation for a substantial period of time tend to have higher sales than regions with a lower concentration of Restaurants that have been in operation for a lesser time period.
  • Many of the Restaurants included in this data have been open and operating for several years. These franchisees have achieved their level of sales after spending many years building customer goodwill at a particular location.
  • Your sales will be affected by your own operational ability, which may include your experience with managing a business, your capital and financing (including working capital), continual training of you and your employees, customer service orientation, product quality, your business plan, and the use of experts (for example, an accountant) to assist in your business plan.
  • Your sales may also be negatively affected if you do not adhere to Dunkin’s standards and system, including proper equipment layout, design and construction criteria, customer queuing and flow, and local Restaurant marketing.
  • Your sales may be affected by Restaurant location and site criteria, including traffic count and which side of the street your Restaurant is located on, local household income, residential and/or daytime populations, ease of ingress and egress, seating, parking, the physical condition of your Restaurant, the size of your site, and the visibility of your exterior sign(s).
  • Additionally, many of the Restaurants included in the sales figures are freestanding Restaurants or located at the end of a strip center, and if your Restaurant is not, your sales could be substantially lower than the figures in the chart.
  • Individual locations may have layouts and seating capacities that vary from the typical location.
  • Other factors that could have an effect upon your sales may include consumer preferences, competition (national and local), inflation, local construction and its impact on traffic patterns, and reports on the health effects of consuming food similar to that served in the Restaurants, as well as the impact of federal, state, and local government regulations.
  • Your sales may be affected by consumer preferences for certain menu items over others, changes in the menu, and regional differences in products or product demand, including whether there are products not available to you or your region but sold in other regions. Menus are continually being revised, both adding and discontinuing products and product line extensions.
  • Sales may be affected by fluctuations due to seasonality (particularly in colder climates), weather, and periodic marketing and advertising programs. Inclement weather may cause temporary Restaurant closings in some areas.
  • The data below reflects historical sales. There is no assurance future sales will correspond to historical sales.
  • If you own a Combo Restaurant, you should be aware that many Baskin-Robbins franchisees actively pursue cake sales opportunities. If you do not, your sales may be negatively affected. Additionally, seasonality and weather may significantly affect sales of ice cream and related products.
  • Some individual Restaurants’ sales may include wholesale accounts and other distribution outlets, which may not be available to you. Not all of these opportunities have been successful for all participating franchisees.

Table 1 – Continental U.S. Dunkin’ Single Branded Restaurants, Average Restaurant Sales (for the Period October 26, 2019 to October 24, 2020) – Freestanding Site Type

Northeast – Drive-Thru Restaurants

  • Total Number of Restaurants in Sample:  1,581
  • Average Sales:  $1,425,947

Northeast – Non Drive-Thru Restaurants

  • Total Number of Restaurants in Sample:  403
  • Average Sales:  $913,666

Midwest – Drive-Thru Restaurants

  • Total Number of Restaurants in Sample:  299
  • Average Sales:  $1,279,434

Midwest – Non Drive-Thru Restaurants

  • Total Number of Restaurants in Sample:  14
  • Average Sales:  $838,885

South – Drive-Thru Restaurants

  • Total Number of Restaurants in Sample:  609
  • Average Sales:  $1,132,878

South – Non Drive-Thru Restaurants

  • Total Number of Restaurants in Sample:  40
  • Average Sales:  $839,017

West – Drive-Thru Restaurants

  • Total Number of Restaurants in Sample:  61
  • Average Sales:  $1,132,650

West – Non Drive-Thru Restaurants

  • Total Number of Restaurants in Sample:  N/A
  • Average Sales:  N/A

Total Continental U.S. – Drive-Thru Restaurants

  • Total Number of Restaurants in Sample:  2,550
  • Average Sales:  $1,336,281

Total Continental U.S. – Non Drive-Thru Restaurants

  • Total Number of Restaurants in Sample:  463
  • Average Sales:  $905,051

*N/A means that Dunkin’ has not included information for this site type in this region due to sample sizes of less than 10 Restaurants, but such Restaurants are included in the Total Continental U.S. row.

Table 2 – Continental U.S. Dunkin’ Single Branded Restaurants, Average Restaurant Sales (for the Period October 26, 2019 to October 24, 2020) – Shopping Center/Storefront Site Type

  • Total Number of Restaurants in Sample:  440
  • Average Sales:  $1,275,545
  • Total Number of Restaurants in Sample:  997
  • Average Sales:  $732,132
  • Total Number of Restaurants in Sample:  218
  • Average Sales:  $1,013,283
  • Total Number of Restaurants in Sample:  112
  • Average Sales:  $550,262
  • Total Number of Restaurants in Sample:  453
  • Average Sales:  $1,084,448
  • Average Sales:  $657,756
  • Total Number of Restaurants in Sample:  90
  • Average Sales:  $1,187,726
  • Total Number of Restaurants in Sample:  28
  • Average Sales:  $913,289
  • Total Number of Restaurants in Sample:  1,201
  • Average Sales:  $1,149,280
  • Total Number of Restaurants in Sample:  1,355
  • Average Sales:  $702,287

Table 3 – Continental U.S. Dunkin’ Single Branded Restaurants, Average Restaurant Sales (for the Period October 26, 2019 to October 24, 2020) – Gas & Convenience Site Type

  • Total Number of Restaurants in Sample:  404
  • Average Sales:  $1,048,717
  • Total Number of Restaurants in Sample:  308
  • Average Sales:  $586,583
  • Total Number of Restaurants in Sample:  108
  • Average Sales:  $916,457
  • Total Number of Restaurants in Sample:  38
  • Average Sales:  $481,722
  • Total Number of Restaurants in Sample:  135
  • Average Sales:  $945,980
  • Total Number of Restaurants in Sample:  44
  • Average Sales:  $467,588
  • Total Number of Restaurants in Sample:  649
  • Average Sales:  $1,004,852
  • Total Number of Restaurants in Sample:  394
  • Average Sales:  $559,722

Table 4 – Continental U.S. Dunkin’ Single Branded Restaurants, Average Restaurant Sales (for the Period October 26, 2019 to October 24, 2020) – Drive-Thru Only

  • Average Sales:  $993,145

Total Continental U.S.

  • Total Number of Restaurants in Sample:  34
  • Average Sales:  $994,149

Table 6 – Continental U.S. Combo Restaurants, Average Restaurant Sales (for the Period October 26, 2019 to October 24, 2020) – Freestanding Site Type

  • Total Number of Restaurants in Sample:  85
  • Average Sales:  $1,632,245
  • Total Number of Restaurants in Sample:  75
  • Average Sales:  $1,103,270
  • Total Number of Restaurants in Sample:  191
  • Average Sales:  $1,470,762
  • Total Number of Restaurants in Sample:  20
  • Average Sales:  $816,351
  • Total Number of Restaurants in Sample:  238
  • Average Sales:  $1,246,238
  • Total Number of Restaurants in Sample:  17
  • Average Sales:  $850,278
  • Total Number of Restaurants in Sample:  12
  • Average Sales:  $1,222,089
  • Total Number of Restaurants in Sample:  526
  • Average Sales:  $1,389,594
  • Total Number of Restaurants in Sample:  113
  • Average Sales:  $1,015,419

Table 7 – Continental U.S. Combo Restaurants, Average Restaurant Sales (for the Period October 26, 2019 to October 24, 2020) – Shopping Center/Storefront Site Type

  • Average Sales:  $1,467,571
  • Total Number of Restaurants in Sample:  258
  • Average Sales:  $904,375
  • Total Number of Restaurants in Sample:  65
  • Average Sales:  $1,214,154
  • Average Sales:  $859,290
  • Total Number of Restaurants in Sample:  111
  • Average Sales:  $1,171,172
  • Total Number of Restaurants in Sample:  50
  • Average Sales:  $838,175
  • Total Number of Restaurants in Sample:  13
  • Average Sales:  $1,167,171
  • Total Number of Restaurants in Sample:  209
  • Average Sales:  $1,212,654
  • Total Number of Restaurants in Sample:  354
  • Average Sales:  $888,572

*N/A means that Dunkin’ has not included information for this site type in this region due to sample sizes of less than 10 Restaurants, but such Restaurants are included in the Total Continental U.S. row

Part 2 – COGS and Labor Data (Tables 5 and 8)

  • “COGS” means the cost of goods sold, including food, beverages, and items served or associated with the food or beverage, such as cups, napkins, straws, bags, plastic utensils, and wrapping paper.
  • COGS is stated as a percentage of gross sales excluding sales tax and discounts.
  • The cost figures from franchised Restaurants are compiled from individual Restaurants by using cost data that are reported to Dunkin’ by franchisees for the monthly periods November 1, 2019 through October 31, 2020. Dunkin’ has not audited or verified the reports, nor have franchisees confirmed that the reports are prepared in accordance with generally accepted accounting principles or in accordance with Dunkin’s definition of COGS.
  • Your costs will be affected by your own operational ability, which may include your experience with managing quick service restaurant operations, your experience building and managing an organization, continual training of you and your staff, your business plan, and using experts (e.g., an accountant) to assist in your business plan. Your costs may be negatively affected by not adhering to Dunkin’s standards and system.
  • Many of the Restaurants included in this data have been open and operating for several years. Those franchises may have lower cost percentages due to years of experience managing costs. For new franchisees, COGS percentages may initially exceed those of experienced operators.
  • There is no assurance that future costs will correspond to historical costs because of factors such as inflation, changes in menu, and other variables.
  • Factors affecting your COGS include, but are not limited to, the price of raw materials; your ability to manage and implement proper controls of waste, ruin, loss, theft, and the portion sizes served to the public; regional differences; temporary shortages; seasonal and weather fluctuations; and fluctuations due to periodic marketing and advertising programs. Additionally, freight charges may be higher in some areas. If the cost of gasoline increases in the U.S., the cost of freight will rise as well.
  • The COGS data reflects average Restaurant aggregate costs. Different food and beverage items have different cost percentages. Customer demand for products varies among Restaurants and regions and if your Restaurant sells a high percentage of high cost items, your food cost percentage will be higher than if you have a lower percentage of higher cost items.
  • Some franchisees purchase finished products manufactured at another location. The cost of this finished product will vary depending upon the number of Restaurants being serviced by the manufacturing location and other factors. These franchisees may pay more for food costs but may pay less for other items such as labor, equipment, distribution, and rent.
  • COGS may be particularly affected by the fluctuations in the price of coffee and certain other items and ingredients.
  • Restaurants with lower sales may have higher COGS percentages because of reduced efficiencies and economies of scale, and more waste.
  • The retail sales price that you establish will also affect the COGS percentages.
  • If you are in a geographic area with fewer Restaurants, you may have higher COGS as a percentage of sales due to less distribution efficiencies.
  • “Labor” means crew, management, training, payroll tax, and workers’ compensation.
  • Labor is stated as a percentage of gross sales excluding sales tax and discounts.
  • The cost figures from franchised Restaurants are compiled from individual Restaurants by using cost data that are reported to Dunkin’ by franchisees for the monthly periods November 1, 2019 through October 31, 2020.
  • Dunkin’ has not audited or verified the reports, nor have franchisees confirmed that the reports are prepared in accordance with generally accepted accounting principles or in accordance with Dunkin’s definition of Labor.
  • Many of the Restaurants included in this data have been open and operating for several years. Those franchisees may have lower cost percentages due to years of experience managing costs. For new franchisees, labor cost percentages may initially exceed those of experienced operators.
  • Factors affecting your labor include, among other things, the local labor market and any applicable federal or state minimum wage law; pending healthcare legislation, employee turnover, and your operational abilities, including your ability to train and retain employees; your compensation that may be included in labor, which varies among franchisees; menu, product mix, Restaurant layout, your salary and benefits programs, and scheduling. Restaurants must be staffed in accordance with Dunkin’s standards.
  • Restaurants with lower sales may have higher labor cost percentages because of reduced efficiencies and economies of scale, and more waste.
  • The retail sales price that you establish will also affect the labor percentages.
  • The “Total Number of Restaurants/Combo Restaurants in Sample” in Tables 5 and 8 is a subset of the “Total Number of Restaurants/Combo Restaurants in Sample” in Tables 1, 2, 3, 4, 6, and 7 because not all Restaurants or Combo Restaurants reported COGS and Labor data for the twelve month reporting period.
  • All of the Restaurants or Combo Restaurants in Tables 5 and 8 reported at least one month of COGS and Labor data for the twelve month reporting period.

Table 5 – Continental U.S. Dunkin’ Single Branded Restaurants, Average Cost of Goods Sold and Average Labor Cost Stated as a Percentage of Total Sales (for the Period November 1, 2019 to October 31, 2020)

  • Total Number of Restaurants in Sample:  3,925
  • Average Cost of Goods Sold:  25.0%
  • Average Labor Cost:  30.2%
  • Total Number of Restaurants in Sample:  721
  • Average Cost of Goods Sold:  27.2%
  • Average Labor Cost: 27.5 %
  • Total Number of Restaurants in Sample:  1,345
  • Average Cost of Goods Sold:  28.4%
  • Average Labor Cost:  27.0%
  • Total Number of Restaurants in Sample:  188
  • Average Cost of Goods Sold:  26.6%
  • Average Labor Cost:  30.8%
  • Total Number of Restaurants in Sample:  6,179
  • Average Cost of Goods Sold:  26.1%
  • Average Labor Cost:  29.2%

Table 8 – Continental U.S. Combo Restaurants, Average Cost of Goods Sold and Average Labor Cost Stated as a Percentage of Total Sales (for the Period November 1, 2019 to October 31, 2020)

  • Total Number of Restaurants in Sample:  449
  • Average Cost of Goods Sold:  25.5%
  • Total Number of Restaurants in Sample:  320
  • Average Cost of Goods Sold:  27.3%
  • Average Labor Cost:  27.4%
  • Total Number of Restaurants in Sample:  426
  • Average Cost of Goods Sold:  28.7%
  • Average Labor Cost:  28.0%
  • Total Number of Restaurants in Sample:  19
  • Average Cost of Goods Sold:  28.9%
  • Total Number of Restaurants in Sample:  1,214
  • Average Labor Cost:  28.9%

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business plan for dunkin donut franchise

Dunkin Donuts Franchise

Dunkin Donuts Franchise

When you think delicious pastries and excellent coffee, the first name that comes to mind is the Dunkin’ Donuts franchise. Since it was founded in 1950 Dunkin’ Donuts has become the automatic morning stop for millions of coffee and doughnut lovers in America and around the world, with more than 10,000 shops in the U.S. and more than 32 other countries. Though it started out and built its reputation on great doughnuts and fine coffee, Dunkin’ Donuts has become much more than that in its 60-plus years, having expanded its menu to delicious muffins, bagels and croissants, and even hearty sandwiches for the lunchtime crowd. More about the cost of owning a Dunkin’ Donuts franchise below.

business plan for dunkin donut franchise

Facts & Figures

With one of the best franchise support, development and marketing systems in the industry, Dunkin’ Donuts is a can’t-lose franchising opportunity. For those who need assistance getting started with a Dunkin’ Donuts franchise, lending opportunities are available through the parent company.

Find the right franchise for you. Take our quiz!

Dunkin’ Donuts Franchise Opportunities – History

Dunkin’ Donuts was founded in 1950 by William Rosenberg in Quincy, Massachusetts, and is now headquartered in Canton, Mass. Dunkin’ Donuts is a subsidiary of Dunkin’ Brands Inc., which also owns Baskin-Robbins ice cream shops. Nearly all of Dunkin’ Donuts’ shops—6,700 in the United States, and more than 3,000 internationally--are owned and operated as franchises.

Dunkin’ Donuts Franchise Requirements and Cost 

Franchise Income

The total liquid capital required to open a Dunkin’ Donuts franchise is $125,000 and Dunkin’ Donuts franchise fees are $40,000 to $90,000. The minimum net worth of a Dunkin’ Donuts franchise is $250K.

Dunkin’ Donuts Franchise Business Opportunities: Other Information

With its 52 different varieties of doughnuts, and its creative menu of bagels, breakfast sandwiches and other baked goods, Dunkin’ Donuts has become a ubiquitous presence across America, especially east of the Mississippi River. The name recognition is among the strongest retail brands in the nation. In 2012 Dunkin’ Donuts franchise ranked the Number 6 fastest-growing franchise in America. The company’s “Time to make the Donuts” marketing campaign catapulted Dunkin’ Donuts to one of America’s most popular fast food shops. Once you get started, a Dunkin’ Donuts franchise is a surefire opportunity to multiply your investment many times.

business plan for dunkin donut franchise

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Dunkin’ Donuts Franchise – Costs, Fees & Earning Stats

Dunkin Donuts Franchise

Liquid Capital: 

Net Worth Requirement: 

Investment: 

Franchise Fee: 

Units in Operation: 

Franchising Since: 

$437,500 - $1,787,700

$40,000 - $90,000

Dunkin Donuts is a global coffee and doughnut brand that was founded in 1950 by Bill Rosenberg. The company has since grown to become one of the largest quick-service restaurant brands in the world. The franchise offers a variety of menu items including coffee, doughnuts, and other baked goods.

In this article, we will discuss the costs and fees associated with opening a Dunkin Donuts franchise , as well as the company’s earning potential.

Is Dunkin’ a franchise?

A franchising model has been very successful for Dunkin Donuts, and it has helped the company to expand rapidly over the past few decades.

All Dunkin’ franchisees must undergo an approval process, which includes a financial review and an evaluation of the business plan, and lastly, the signing of the franchise agreement .

If approved, they must then complete a training program. This ensures that each franchisee is well-prepared to provide guests with the high-quality experience they expect from Dunkin’. Dunkin Donuts already has a very strong brand identity, and it is known for its high-quality products.

Franchisees are then responsible for running the day-to-day operations of the store and paying marketing and royalty fees to the parent company.

business plan for dunkin donut franchise

How many Dunkin Donuts franchises are there?

There are over 11,000 Dunkin’ Donuts franchises in 36 countries. The vast majority of these franchise locations are in the United States, where there are over 8,500 stores as of January 2022.

Dunkin’ Donuts first began franchising in 1955 and since then, the company has continued to expand its reach both domestically and internationally.

In recent years, Dunkin Donuts has been increasingly focused on becoming a “beverage-led” brand, offering a wide range of coffee and tea drinks as well as an expanding menu of food items. With its delicious food and convenient locations, it’s no wonder that Dunkin Donuts is one of the most popular franchises in the world.

While the number of Dunkin’ Donuts franchises has grown significantly over the years, the company shows no signs of slowing down. As a result, the company will likely continue to be a dominating force in the global coffee and doughnut market for years to come.

How much does it cost to open a Dunkin Donuts franchise?

Dunkin Donuts is one of the most popular coffee and doughnut franchises in the United States. There are franchise opportunities available for those who want to open their own store. But, how much does it cost to open a Dunkin Donuts franchise?

The Dunkin Donuts franchise cost is between $437,500 – $1,787,700. This includes the cost of leasing a retail location, a marketing start-up fee, other franchise fees, as well as the cost of equipment and supplies. Of course, these costs will vary depending on individual circumstances. However, potential franchisees should be aware that starting a Dunkin Donuts franchise is not a cheap proposition.

But despite the high initial investment, many people believe that opening a Dunkin Donuts franchise business can be a good opportunity.

business plan for dunkin donut franchise

What is the Dunkin Donuts franchise fee?

If you’re interested in opening your own Dunkin brands franchise, the first step is to pay the franchise fee . The amount of the fee varies depending on several factors, such as the location of the franchise and the number of stores that are being purchased.

However, the initial franchise fee for a Dunkin Donuts franchise is between $40,000 and $90,000. In addition to the franchise fee, you’ll also need to pay an ongoing royalty to Dunkin Donuts. The royalty fee is 5.9% of gross sales. There is also a brand fund fee of 5% of gross sales.

Other requirements to open a franchise include $500,000 in net worth and a minimum of $250,000 in liquid assets.

How much does a Dunkin’ Donuts owner make a year?

The below table represents performance data from 2,719 Dunkin’s with drive-thrus, and 461 without a drive-thru:

business plan for dunkin donut franchise

However, it should be noted that these figures do not take into account the costs of running a franchise, such as rent, payroll, and inventory. As such, the actual profit margin for Dunkin Donuts franchise owners will be lower.

The Wolf’s Take 🍟

Dunkin’ Donuts is an incredibly popular brand in the United States, particularly in the New England region. While they originally focused on selling donuts and other baked goods, they’ve shifted their focus to more and more coffee products over the years, which is why the word “donuts” is dropped from their brand these days. This move was primarily done to compete more with Starbucks – as their competitor is the number one coffee chain in the world, while Dunkin’ is the second largest. 

Not only is coffee their go-to menu item, but it’s also their most profitable (according to a Dunkin franchisee I interviewed). With an average revenue of $1,467,965  in their drive-thru locations, Dunkin’ locations have an impressive average unit volume!

While it’s tough to find available territory if you’re able to find a way into the Dunkin’ brand it can be a great opportunity when you have multiple locations under ownership!

Ending Summary

Dunkin Donuts is a popular coffee and doughnut franchise with locations all over the world. So, if you’re looking to become a franchise owner of a Dunkin Donuts franchise, you should be prepared to invest a significant amount of money upfront. Although it is a costly investment, owning a Dunkin Donuts franchise can be a great business venture.

This is not investment advice. As always, look at the franchise disclosure document and do your own research and due diligence before investing and realize any investment comes with risk.

Disclaimer:  This content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice. Nothing contained on this site constitutes a solicitation, recommendation, endorsement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction. All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial advice, nor does any information in the email constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.

business plan for dunkin donut franchise

business plan for dunkin donut franchise

How much does it cost to franchise a Dunkin' Donuts coffee shop?

business plan for dunkin donut franchise

Dunkin' Donuts Franchise For Sale - Coffee Shop

  • Investment from: 121400 $
  • Payback from: 0 mon.
  • Turnover/month from: 0 $

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Planning to join a donut franchise? What about an established leader? Dunkin' Donuts can be a great choice!

Ever wonder how many Americans drink coffee and eat donuts? A 2019 survey found that 65% of them drink coffee and 200 million love donuts. Morning coffee with donuts is a great way to start the day.

And we have good news: Dunkin' Donuts is constantly looking for people to expand the franchise.

Dunkin 'Donuts Franchise Facts

The history of the company began in the 50th year of the last century, when Bill Rosenberg began to develop his first cafe in Quincy, Massachusetts. In 1955, the company's first franchise was licensed.

Over 70 years, the number of coffee shops has grown from one small outlet to 12,000 establishments in 45 countries. The coffee shop daily serves 5 million customers.

How did Dunkin' deserve such attention? To answer the question, just take a look at the company's achievements:

  • First place in the category "Coffee and pastries" according to the magazine "Entrepreneur"
  • First place in the Airport Franchisor rating
  • First place in the rating of customer loyalty according to the Brand Keys customer loyalty index

They sell not only donuts but many different food and drinks as well. Therefore, in 2019, the company rebranded and renamed itself Dunkin'.

How much does the Dunkin' Donuts franchise cost?

In fact, it can be different due to many factors, such as location, the scale of the establishment. Even how many points you open can play a role. Also, don't forget about additional costs or, in other words, about commissions. They apply not only to Dunkin' but to all other franchises of any level. Financial requirements to join Dunkin':

  • All investments: from 97 thousand to 1.7 million dollars
  • Initial franchise fee: $ 40,000 to $ 90,000
  • Equity: 500 thousand US dollars and more
  • Liquid capital: 250 thousand US dollars and more

At first glance, the amounts seem unreasonably high, but in fact, they are better than in other well-known franchises. By comparison, it costs about $ 1.7 million to join Krispy Kreme and even $ 2.7 million to join McDonald's.

How to become a part of the Dunkin' Donuts franchise?

So you've searched everything important data about the franchise and decided to start it. Be ready for a long process in several stages, lasting 2-3 months. Within 30-60 days, the company analyzes the applier's business plan and profile, after which he is considered as a candidate for a franchise.

Next, 360 days of development with engaging in the construction of a coffee house, property security, search, and training of the team await you.

There are some necessary steps you should go through to become a franchise owner:

Step 1. Filing an application

You can apply without leaving your home using online services. Just attach your existing resume to the application. Before doing this, we recommend study it carefully and adapt it to your application.

In return, you get a description of the franchise and qualification package from Dunkin', reviewing which will ensure that your decision to become a franchise owner is justified. It includes:

  • Financial reports
  • A copy of the Franchise Agreement
  • Actual franchisees (they will ask all questions if you phone them)
  • Costs (advertising, royalties, etc.)

Once the package has been sent, the company will begin checking your background, citizenship, assets, and credit history.

Step 2. Writing your own business plan

You will have a meeting with the franchise manager who will walk you through the next steps in detail.

You can ask any important question to someone with extensive experience in franchise management. So don't miss this opportunity and ask everything you are worried about. To avoid mistakes, contact the franchisees from the catalog in the package.

They will also give you detailed insights into the franchise and the right business plan structure so that it can make a strong impression.

Here are key points when writing a business plan:

  • Market analysis
  • Possible location
  • Financial plan and forecasts

If you're unsure and interested in getting more information, you can check out our guide about writing the right and vibrant business plan.

If everything is done correctly, your application and business plan are approved, you can proceed to the third, very important step.

Step 3. Getting approval

Basically, this step consists of signing two important documents:

  • SDA, Store Development Agreement. Provides your right to develop Dunkin on the territory of the selected location
  • Franchise agreement. It includes rights, obligations, and expectations of the franchisor and franchisee. For instance, the franchisee can be expected to open a certain number of restaurants within a certain period of time

Step 4. Grand opening

At this stage, the training of the franchisee begins. You will be given access to online courses hosted by Dunkin' Donuts Online University and paid for a business trip to Boston. In addition, the team will help get funding and start construction.

When everything is complete, you need to ensure that the design matches the company's brand. Dunkin's signature colors are brown, rose, orange, and white.

Then, a significant step is hiring workers. We encourage you to read our guide on how to hire good employees on our website.

It remains to be convinced of the knowledge and competencies of the employees, the quality of the ingredients, and their freshness. If everything is OK, you can solemnly open up and count on success.

how much does it cost to buy a Dunkin 'Donuts franchise

How much does a Dunkin franchise make?

Logically, you want your income to increase with such an investment of time, strength, and bankroll.

If you become the Dunkin' franchise owner, you will get an opportunity to earn even $ 124,000 a year. Of course, the salary varies, because the restaurant's attendance depends on location. For instance, the more businesses are nearby, the more workers buy coffee to take with them. The following location options are available:

  • Freestanding store
  • Opening in a shopping center
  • Unconventional location, such as a gas station or convenience store
  • Walk-through window

To achieve more successful results, these factors must be taken into account when choosing a location and writing a business plan.

Ideal Franchise Candidate for Dunkin' Donuts

Since Dunkin' is a highly recognizable and globally renowned brand, it should come as no surprise that there are specific requirements for franchise candidates.

If the commission does not see potential in you, then problems may arise even with the approval of the application. Not everyone who wants to join a franchise has an opportunity to do it. The best candidate for a Dunkin' Donuts possesses some key qualities, experience, and skills:

  • Previous catering and retail services, working in these spheres
  • Willingness to comply with the rules and requirements
  • Understanding the real estate development process
  • Social interaction skills to provide first-class customer service and communicate with staff
  • Patience and attentiveness during the lengthy application process
  • Desire and ability to constantly learn more about doing business and marketing
  • Flexibility to make important business decisions that are adapted to actual market trends

If you're ready to join Dunkin', you'll need start-up investments. As you know, Dunkin' does not offer direct financing options for candidates, so we recommend you think of loans for small businesses ahead of time. Before making a final decision, you should carefully study the data sent by the franchisor together with a professional franchise consultant.

how to start a Dunkin 'Donuts franchise

Key Element Of Dunkin Donuts Franchise Strategy

Dunkin

CANTON, Mass., Feb. 23, 2011 /PRNewswire/ — Dunkin’ Donuts, America’s everyday, all-day stop for coffee and baked goods, is seeking to expand its presence into Shreveport, La., with today’s announcement of a seminar on March 2 to discuss franchise opportunities brewing in the market.

Dunkin’ Donuts’ development in Shreveport and throughout Louisiana, including New Orleans, Baton Rouge, Alexandria, and Monroe, is part of a steady and strategic growth strategy, which includes expanding in existing markets while entering new cities across the country to help drive leading coffee and bakery chain’s growth.

To help fuel growth in Shreveport and throughout Louisiana, special development incentives are available which include reduced royalty fees for three years and an extra $10,000 in local store marketing for stores that open on time*.

Dunkin’ Donuts executives will be in town to host the franchise seminar on March 2 from 2 p.m. to 4 p.m. at the Hilton Garden Inn Shreveport, 6971 Financial Plaza, to share the benefits of owning a Dunkin’ Donuts restaurant . To register for the event please visit or contact Ed Yancey at [email protected] with any questions.

“Dunkin’ Donuts is looking for qualified candidates with food service, operations, and real estate experience to join our team to help expand the brand’s footprint in Shreveport and throughout Louisiana,” said Grant Benson, CFE, vice president of franchising and market planning, Dunkin’ Brands, Inc.

“Our secret to success is our passionate franchisees who provide a high level of customer service to our guests’ every day, and we encourage interested parties to attend our franchising seminar to learn how they can open a Dunkin’ Donuts restaurant in their community.”

In 2010, the company experienced strong expansion results, including the opening of franchises in new locations worldwide and 226 new signed franchise commitments in the U.S. For the year, Dunkin’ Donuts opened 206 net new restaurants in the U.S. and signed multi-unit development agreements in 29 markets. Included among these new and planned outlets are non-traditional locations such as airports, arenas, travel plazas, and universities.

For those interested in franchising, Dunkin’ Donuts is seeking candidates that meet a specific franchisee profile to help build its brand and business. Ideally, franchisees should possess a minimum net worth of $500,000 and liquid assets of at least $250,000. Financial qualifications will vary by market and quick-service restaurant experience is highly preferred.

In an effort to keep the brand fresh and competitive, Dunkin’ Donuts offers franchisees flexible design concepts including free-standing stores, end caps, in-line sites, kiosks, and gas stations, as well as other retail environments. Dunkin’ Donuts has aligned its development strategy to support the growth opportunities and consumer needs of each individual market.

As a result, franchising opportunities range from single units to multi-store development agreements.

According to Benson, “Dunkin’ Donuts is proud to energize Americans and keep the honest, hard-working, value-driven people of this country running every day. Our recent and ongoing menu enhancements meet the needs of today’s on-the-go consumers, moving Dunkin’ Donuts beyond breakfast with high-quality food and beverage items available all day.”

Historically a doughnut and hot coffee chain, Dunkin’ Donuts has expanded its offering to include frozen and iced beverages, a full bakery assortment including bagels and muffins, breakfast sandwiches, and an all-day Oven-Toasted menu that includes flatbread sandwiches, Wake-up Wrap, and buttermilk biscuits.

The new platform marks the most significant change to Dunkin’ Donuts’ product lineup since the company launched espresso-based beverages in 2003.

About Dunkin’ Donuts

Founded in 1950, Dunkin’ Donuts is America’s everyday, all-day stop for coffee and baked goods. Dunkin’ Donuts is a market leader in the regular/decaf coffee, iced coffee, hot flavored coffee, donut, bagel, and muffin categories, and the largest coffee and baked goods chain in the world.

Dunkin’ Donuts has earned the No. 1 ranking for customer loyalty in the coffee category by Brand Keys for four years running. The company has more than 9,700 restaurants in 31 countries worldwide. In 2010, Dunkin’ Donuts’ global system-wide sales were $6.0 billion.

Based in Canton, Massachusetts, Dunkin’ Donuts is a subsidiary of Dunkin’ Brands, Inc. For more information, visit www.Dunkinfranchising.com.

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Dunkin Donuts franchise reveal the one secret to their success

Dunkin Donuts franchise

What is the Dunkin Donuts?

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When you think of bakeries that serve delicious pastries and top-notch coffee, one of those bakeries that come to mind is Dunkin’ Donuts. Bill Rosenberg established The Open Kettle in Quincy, Massachusetts, in 1948. In 1950, Rosenberg changed the company’s name to Dunkin’ Donuts. Millions of coffee and doughnut lovers in America and around the world now make a point of stopping at Dunkin’ Donuts first thing in the morning since it opened its doors in 1950. The main items sold at Dunkin’ locations are donuts, bagels, coffee, and breakfast sandwiches. Although most Dunkin’ Donuts locations typically serve breakfast starters, they can still be useful to customers throughout the day.

According to the company’s slogan, America runs on Dunkin’, which is a national brand. People who are community-oriented, enjoy food service, and can connect with both morning and night owls should consider opening a Dunkin’ Donuts franchise. Therefore, before approaching, this franchise reviews the basic information below if you are someone who wants to own a business like that.

Dunkin Donuts franchise

Dunkin Donuts frranchise could also be a good option for franchisees looking for flexibility in restaurant layout and operating hours. A franchisee may be able to operate only a drive-thru, a storefront, or both. They might also be able to work whenever they want. Local branding methods used by Dunkin’ Donuts, as well as new and seasonal products, will benefit franchisees. Customers can also benefit from Dunkin’ Rewards and location-specific rewards.

A franchise may benefit from an expanded snack menu and breakfast options. This automatic revenue diversification has the potential to increase the likelihood of customer conversion. Franchisees must be financially stable enough to make an initial investment consisting of a franchise fee and other startup costs to join its team. Owners should also be prepared to pay ongoing fees such as advertising, royalties, and possible renewal fees.

Dunkin’ Donuts is always looking for new franchisees. Over the past 70 years, the number of coffee shops has grown from one tiny outlet to 12,000 in 45 countries. Every day, Dunkin Donuts serves 5 million customers.

Though it began and built its reputation on great doughnuts and fine coffee, Dunkin’ Donuts has evolved into much more in its 70-plus years, adding delicious muffins, bagels, and croissants, as well as hearty sandwiches for the lunch crowd. The brand has a variety of coffees and donuts that people enjoy, so people quickly make the brand their favorite, and the brand acquires both new and old customers.

1. Experience with multiple Quick Service Restaurant (QSR), retail, and/or food service locations

2. Capable of negotiating prime real estate in any market

3. A business structure that owns, operates, and supports a network of multiple restaurants in major cities across a large territory or country.

4. A long-term, strategic vision for the growth of our exceptional brands

5. Sufficient capital and financial capability to open at least 20 restaurants within a specified time frame.

Dunkin Donuts franchise

How much does a Dunkin Donuts franchise cost

The total investment required to start a franchise ranges from $121,400 to $1,787,700. Depending on the store type this franchise fee ranges between $10,000 and $90,000 for a 10- to 20-year term. Depending on the market, a minimum of $250,000 in liquid assets and a minimum net worth of $500,000 are also required per restaurant. The royalty fee will be 5.9% of total Gross Sales, and the advertising royalty fee will be 5.0% of total Gross Sales.

  • Free Standing or Drive-Thru Location Franchise Cost is $ 245,000 to $1,787,700.
  • Shopping Center or Store-front Franchise Cost is $ 228,000 to $1,202,800.
  • Gas Or Convenience Store Franchise Cost is $ 120,000 to $ 781,100.
  • Airports/Colleges or alternative non-traditional is $ 97,500 to $ 547,700.

Franchisees must always manage their network with at least two people, one of whom must be the franchisee or another partner, member, or partner, and the other must be a designated representative; both must successfully complete the required training program, which may vary depending on their organization’s role. The classroom/instructional phases of the Dunkin’ Brand Training program must be completed in at least 19 days. This excludes online training and travel time for in-restaurant practice and is available at Dunkin’ Brands University (DBU) in Braintree, Massachusetts, virtually, or at a designated host franchisee restaurant. Some of the franchisor’s required classes are only available online and are referred to as online training. These courses will take approximately 65 hours to complete. This is in addition to the classroom training mentioned previously.

Furthermore, the franchisor may require franchisees to participate in the opening of another restaurant for up to ten days after the first restaurant. Franchisees must attend any additional training that the franchisor may require from time to time, as well as require their employees to attend. This training may necessitate travel to the franchisor’s training facility.

Dunkin’ Donuts provides its franchises with both basic and advanced support. Lease negotiation, Franchisee Intranet Platform, Security & Safety, and many other services are also available. You don’t need to worry about spending money on advertising or marketing the product because the brand is already well-known. All you have to do is open the franchise, and people will start coming in.

Franchisees will be allowed to operate only one restaurant at the location specified in the Franchise Agreement or its exhibits. Franchisees will not be granted any additional rights, minimum territory, or other protected rights. Franchisees will be barred from distributing their products through any channel other than their restaurant, including alternative distribution channels.

Dunkin Donuts franchise

The franchise term is typically between 20 and 10 years. Renewal is conditional for another same amount of term if and only if all requirements are met.

The franchisor may, from time to time, negotiate specific rates for lending arrangements with third-party lenders who may provide financing to qualified franchisees.

The amount of financing and repayment period varies depending on the program, the applicant’s circumstances, and creditworthiness. All financing decisions are made at the sole and absolute discretion of the respective lender.

There are several different types of franchise loans that you can review.

OnDeck, SmartBiz, and ApplePie Capital all offer different options that you can consider. Credibly also has a number of different franchise loan options that you can look into.

I advise you to buy franchise insurance before owning a Dunkin Donuts franchise. These franchise insurance options for you

  • Nationwide,
  • Liberty Mutual,
  • Progressive,
  • State Farm,
  • Hiscox, and

Dunkin Donuts franchise

Pros & Cons of Dunkin Donuts Franchise

There are many pros and cons to owning this franchise. Some of the pros of owning this franchise include

1. Global recognition and industry authority. There is no need for extensive marketing.

2. A large network of coffee shops: 12 thousand locations worldwide, with 8,000 in the United States.

3. Working for yourself

4. Education: Access to Dunkin’ University online business management courses.

5. Franchisees are guaranteed support, assistance in choosing a location, and training.

6. A three-day business trip to Boston is provided at no cost.

1. Significant investment is required.

2. Most recently hacked customer accounts

3. Restricting opportunities for creativity

4. There is no direct financial support from such a well-known brand.

How to start a Dunkin Donuts Franchise store?

When you are looking to start this Franchise store, there are a few things you will need to do. First, you will need to make sure that you have the financial resources to support a store. Dunkin Donuts requires a large up-front investment, and you will need to have a solid business plan in place to ensure that your store will be a success. Second, you will need to find a location that is suitable for a Dunkin Donuts store. You will need to consider things like the traffic in the area, the size and shape of the store, and the availability of parking. Finally, you will need to develop a marketing plan.

  • Submit a Franchise Application
  • Prepare this franchise business plan (we shall help you with it)
  • Get your Franchise Approval
  • Plan your Dunkin Donuts store launch

How much do Dunkin Donuts franchise owners make?

There is no definitive answer to this question as it can vary greatly based on the specific Dunkin Donut franchise and its location. However, according to our research, a median Dunkin Donut franchise owner made $60,000 to $ 200,000 in 2021. This figure can vary widely, however, depending on the location and the specific franchise.

According to the latest FDD, I will estimate the franchise profit, below graph image will elaborate on it.

All the Numbers mentioned in the graph are multiples of $100k.The graph indicates the Dunkin donuts Average Unit Volumes (AUV) and franchise profit.

Dunkin Donuts franchise

There is no one-size-fits-all answer to this question, as the Dunkin Donuts franchise may be worth it for you depending on your specific situation and needs. However, there are factors to consider when assessing whether or not the Dunkin Donuts franchise is right for you

1. Financial stability

Before investing in a franchise, it is important to ensure that you are financially stable and have the financial resources to sustain a long-term business venture. Dunkin Donuts requires a lot of upfront capital, and if you are not prepared to commit to the long-term prospects of the business, it may not be a wise investment.

2. Location

Before investing in a Dunkin Donuts franchises, it is important to ensure that the location is viable and meets your specific needs.

3. Brand Recognition

4. Franchise Marketing and Support

5. Franchisor Training and Regular updates

Let us see how many years it will take to recoup the Dunkin cost franchise cost. As per my analysis on basis of the AUV(Average Unit Volumes) and average Dunkin Donuts franchise profit margin of 15%. The below table will guide you with the years taken to recoup the Dunkin Donuts franchise cost.

Dunkin Donuts franchising is a decent investment where you can break even within 5 years.

The Franchise Deck rating for the Dunkin Donuts franchise is 4.0/5.0.

Dunkin Donuts is a popular chain of coffee shops in the United States and internationally. Dunkin Donuts was founded in 1950 in Quincy, Massachusetts by three brothers. The company now has over 12,000 locations worldwide. Dunkin Donuts is known for its donuts and coffee.

This is an established franchise brand, still, I will recommend you to meet the Dunkin Donut existing franchises and take reviews.

#1 in Coffee in 2023 best of the best

#4 in 2023 under Top global franchises

#5 in 2023 under Franchise 500 ranking

#56 in 2023 under Fastest growing franchises

Dunkin Donuts has been in the market for 70 years and has gained and proven its business model quite strongly, earning the title of one of the largest brands in the coffee and donut industry. Dunkin Donuts serves approximately 5 million customers across 45 countries and nearly 13,000 locations. According to the growing market for such QSR beverages, a large brand like Dunkin’ Donuts has a bright future. All training and assistance for opening and operating a Dunkin Donuts store are provided to franchisees. Because Dunkin’ Donuts is a well-known brand, it does not need to worry about advertising or other operational issues.

Franchisees also have a flexible store type and renewal process. However, the investment will be on the higher side, and due to the company’s established business model, the company is not interested in experimenting, which limits franchisee creativity. So, all I can say is that Dunkin has developed a strong business model over the years, providing franchisees with a well-established business from the start. If you have prior experience in restaurants and sufficient financial investment, Dunkin is an excellent option for you.

Dunkin Donuts franchise

There are many factors to consider when deciding whether or not to buy a Dunkin’ Donuts franchise. Some of the considerations include the cost of the franchise, the location of the franchise, the business’s historical performance, and the franchisor’s other franchises. The location of a Dunkin’ Donuts is important, as the franchises is typically located in high-traffic areas. The business’s historical performance has been exceptional.

Dunkin Donuts has made franchising proud with the success of the company and its franchises. Anyone who wants to understand, how to franchise your business, should review Dunkin’s franchising success story. You can also share your thoughts, feedback, and suggestions with me in the comment section below.

Entrepreneurs who want to open a franchise in the donuts and coffee franchise opportunities categories can look at

  • Starbucks Franchise
  • Black Rifle Coffee Franchise
  • Krispy Kreme franchise
  • Crumbl Coookies Franchise
  • Tim Hortons Franchise
  • Insomnia Cookies Franchise
  • Biggby Coffee Franchise
  • Pj’s Coffee Franchise
  • Scooters Coffee franchise
  • Caribou Coffee Franchise
  • Dutch Bros Coffee Franchise
  • 7 Brew Coffee Franchise
  • Gloria Jeans Coffee Franchise
  • Waves Coffee Franchise
  • Peet’s Coffee Franchise
  • Duck Donuts Franchise

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Dunkin Donuts is a great franchise opportunity for entrepreneurs to get involved in. With its iconic branding and delicious treats, Dunkin Donuts stands out as a leader in the QSR industry. The franchise model allows for a relatively low initial investment and the potential for a good return on investment. The company offers a wide variety of menu items, from classic donuts to specialty coffee drinks. Dunkin Donuts locations are often found in high-traffic areas, making it an ideal business for those seeking to maximize their visibility.

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Franchisees benefit from the company’s well-known reputation and established brand recognition. The franchise offers excellent training and support to help new franchisees get up and running quickly.Dunkin Donuts is committed to providing its franchisees with the resources they need to succeed. The franchise has a strong focus on providing excellent customer service to ensure that customers have a positive experience. Franchisees have access to the company’s advanced technology and marketing tools to help promote their business.

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With its convenient locations, competitive pricing, and high-quality products, Dunkin Donuts is a great franchise opportunity. The company is committed to corporate responsibility and sustainability, making it an attractive option for socially conscious entrepreneurs. Dunkin Donuts is constantly innovating to keep up with the changing tastes of its customers. The franchise has an extensive network of loyal customers, making it a great choice for those looking for a steady stream of business. With its unique menu and strong brand recognition, Dunkin Donuts is a great choice for those looking to start their own business.

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Understanding the Operating Costs of a Dunkin' Donuts Franchise

By alex ryzhkov, resources on dunkin' donuts franchise.

  • Financial Model
  • Business Plan
  • Value Proposition
  • One-Page Business Plan

Introduction

According to the International Franchising Association, in 2019 the estimated sales of the U.S. franchisors were $334 billion . From 2009 to 2019, the franchise industry experienced an 8.4% increase, showing tremendous growth potential and potential business opportunities. One such potential business opportunity is in the food industry. Popular franchises like Dunkin' Donuts are known around the world, and offer investors the potential to join a well-known and established brand. This presents a great business opportunity but understanding the operating costs of these franchises is very important.

Any investor considering investing in a Dunkin' Donuts franchise should be aware of the different operating costs associated with managing and running the business. This blog post will discuss the various types of costs associated with operating a Dunkin' Donuts franchise and what potential investors should consider when making their investment.

Operating Expenses

Operating costs for a Dunkin' Donuts franchise are variable as they are dependent on a range of factors, including the size and location of the store, and the type of product mix to be served. Below is a list of expenses that a franchisee may incur to effectively run their business:

Franchise Fee

Store lease, store construction, point of sale (pos) software, food supplies & ingredients, equipment & utensils, labor & staff compensation, advertising & marketing, utilities & insurance.

Starting a Dunkin' Donuts franchise requires a significant initial investment. The estimated total initial investment can range from $115,300 to $1,738,500. This initial investment includes the Franchise Fee, which is a one-time payment of $40,000. However, in recent years, this fee has been reduced in certain circumstances.

Statistical Information While the Franchise Fee is generally $40,000, according to the most recent data from the International Franchise Association, the average Franchise Fee for a Dunkin' Donuts franchise is about $45,100. The range of Franchise Fees for an individual Dunkin' Donuts franchise can be determined by the following list:

  • Minimum Franchise Fee: $40,000 in US Dollars (USD)
  • Average Franchise Fee: $45,100 in USD
  • Maximum Franchise Fee: $50,000 in USD

It is important to note that certain criteria must be met in order to receive a reduced Franchise Fee. It is also important to note that this Fee does not cover any additional fees associated with site selection, construction, equipment, supplies, royalties, or any other related costs.

Operating a Dunkin' Donuts Franchise involves a significant cost in leasing the space for the store. The average price of renting the space varies depending on the location and size of the store. According to a survey of 2018 by Franchise Business Review, the average lease for a Dunkin' Donuts store is $3,800 per month with the highest leases running up to $10,000 a month.

In terms of the lease agreement, the terms may vary significantly from store to store. As such, the length of the lease may range from 3 to 10 years. There is usually an option for the franchisee to purchase the building if the Dunkin' Donuts store proves to be a successful venture.

Franchisees should also be aware of other possible costs associated with the lease. These may include costs like the following:

  • Start-up costs or security deposits
  • Annual rent increases
  • Fees for catalogs, logos, and other materials
  • Maintenance fees

Many franchisees seek a certain level of negotiation to obtain the best terms for their store's lease. The franchisee should make sure that the terms of the lease are beneficial for meeting their sales goals.

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Additional Costs

In addition to the Store Lease, a Dunkin' Donuts franchisee must also consider other costs of operating the business. This includes employee salaries and benefits, utilities, approved supplies and food, insurance, and marketing costs. Depending on the size and location of the store, these costs can add up quickly.

The management of a Dunkin' Donuts franchise should have a complete understanding of all the costs associated with the business before they decide to invest in it. With these financial considerations, franchisees can make an informed decision on their investment in this popular franchise.

Franchising a Dunkin' Donuts location has many advantages, but one of the primary investment considerations is the cost of store construction. According to the Franchise Agreement & Disclosure Document filed by Dunkin' Brands Inc., the estimated average cost (not including land or leasehold improvements) for Dunkin' Donuts store construction averages $400,000 to $518,000 USD for a new store. Some of the items that are included in the estimated expenditures on store construction include:

  • food retail equipment (coffee systems, signs, etc.)
  • Refrigeration equipment
  • Operating supplies
  • Pre-opening advertising

In many cases, these estimated costs may end up being higher than originally planned, as the franchisee may incur unforeseen expenses in renovating an existing property or purchasing custom equipment. It is important to be aware of these potential additional costs during the store-building process.

In addition to these costs, the franchisee must also pay for local building permits, inspection fees, and other government-mandated costs. These costs vary from location to location, and must be taken into consideration when budgeting for store construction. To ensure that everything runs smoothly, the franchisee must also hire a qualified architectural and engineering firm to create and review store plans. This can add an additional fee of $50,000 to $70,000 USD to the store construction budget.

When it comes to owning and operating a Dunkin' Donuts franchise, one of the main considerations is the cost of the Point of Sale (POS) software. This is the digital platform that enables franchisees to track and manage their sales, inventory, and more. Fortunately, there are numerous options available that offer a range of features and pricing.

According to Statista, a market research company, the average cost of POS Software reached $795 USD in 2017. This includes software, hardware, installation, maintenance, and support fees.

In many cases, the hardware costs are often broken out separately from the software costs. Generally, POS systems support a wide variety of hardware including touchscreen terminals, payment terminals, printers, kiosks, and even mobile devices. The prices can range from just a few hundred to several thousand dollars, depending on the hardware requirements.

The cost for the software itself tends to vary greatly depending on the capabilities, complexity, and features. Simple packages designed for cash-only operations can be quite affordable, while more comprehensive packages that include features such as inventory tracking, customer loyalty programs, employee management, and more may be substantially more expensive.

Overall, the total cost of a POS system can be quite substantial and budgeting for the software costs should be carefully considered before investing in a franchise. Fortunately, most POS software is designed to be user-friendly, reliable, and cost-effective, enabling Dunkin' Donuts franchisees to quickly and efficiently manage their operations.

When considering the costs associated with owning a Dunkin' Donuts franchise, you should expect to include food supplies and ingredients among those expenses. With more than 70 percent of its sales stemming from food items, Dunkin' has made a commitment to ensuring quality ingredients are used in making popular doughnuts and items like its french toast bagel sandwich and Croissant Breakfast Sandwich.

In terms of cost, food supplies associated with a Dunkin' Donuts franchise can run you anywhere from $20,000-$70,000 per year, depending on the size and type of store. While this doesn’t include ingredients, those can range from $3,000-$7,000 per year. It’s important to factor in the cost of local food services into the overall cost of a Dunkin’ franchise because it can often be a substantial investment.

From 2018-2019, ingredients costs for Dunkin’ Donuts averaged $4 billion per year in the United States. This same period saw ingredient costs increase by 1.5 percent to $4.1 billion, representing 17.3 percent of total U.S. revenues.

Dunkin’ Donuts sources ingredients from the finest suppliers and introduces new products seasonally made with fresh, high-quality ingredients. In order to ensure its ingredients are safe, legally-compliant, and meet all applicable standards, the company sources its ingredients from suppliers who adhere to a high quality assurance standard. It also works with suppliers to identify the lowest cost option for the highest quality ingredients.

When considering the cost of opening a Dunkin' Donuts franchise, potential franchise owners should be aware of the various equipment and utensils that are necessary to operate the business. According to a 2020 survey from Franchisedirect.com, the average franchisee can expect to pay about $43,387 (USD) for start-up equipment and utensils. This list of necessary purchases includes:

  • Donut makers and proofers
  • Freezing units
  • Deep fat fryers
  • Coffee grinders
  • Counters and workstations
  • Cup dispensers
  • Servers and computer registers
  • Ovens and toasters
  • Utensils, pans, and cookware
  • Storage containers and dishes

It is important to note that these estimated costs only include the purchase of the equipment and do not include any labor costs that may be required to install and set up the equipment. In addition, it is advisable to budget an additional $4,000 to $5,000 in case any additional equipment is needed or any repairs become necessary.

When discussing the cost of running a Dunkin' Donuts franchise, labor & staff compensation costs deserve a closer look. According to the most recent estimates from 2019, the hourly labor rate for Dunkin' Donuts franchise locations ranges from $8.00 - $11.00. In addition, franchise operators may employ a mix of full-time, part-time, and/or seasonal staff depending on the size of the franchise and individual operating needs.

When it comes to staff compensation, Dunkin' Donuts offers a highly competitive benefits package. Beyond baseline pay, franchise owners will be responsible for the cost of an employee's health insurance, vacation and sick time, and any bonuses or other employee incentives.

Labor & Staff costs may include, but are not limited to:

  • Payroll and wage costs
  • Employee benefits
  • Bonus incentives
  • Sick and Vacation time
  • Worker’s compensation insurance

In 2019, the average cost to pay an employee of a Dunkin' Donuts franchise was approximately $14,000. This cost can vary depending on the amount of hours a specific employee works, but it gives an idea of what to expect. Taking employee benefits and other forms of compensation into account, the average labor and staff cost for a Dunkin' Donuts franchise in 2019 was approximately $18,500.

When considering the expense of owning and operating a Dunkin' Donuts franchise, Advertising & Marketing expenses are an important factor to consider. According to a 2020 IBIS World report, US franchises spend an average of 14.4% of their gross income on Advertising & Marketing expenses. For a typical Dunkin' Donuts franchise that brings in $660,503 in revenue per year, this translates to an Advertising & Marketing budget of approximately $95,067 in a year.

On top of the Advertising & Marketing budget, the typical expense of opening a Dunkin' Donuts franchise can range between $127,600 - $1,696,000 per location. Therefore, it is essential for any aspiring Dunkin' Donut franchisee to analyze their Advertising & Marketing plan before making a significant financial commitment. A comprehensive Advertising & Marketing plan can have significant rewards, including increased brand awareness, customer loyalty, and profits in the coming years.

When creating an Advertising & Marketing plan, Dunkin' Donuts franchisees would be wise to consider a wide variety of potential marketing tactics. This could include online tactics, such as email marketing and social media campaigns, as well as more traditional methods like radio and print advertising. Additionally, taking advantage of strategic partnerships with other local or national brands could be an effective and cost-efficient way to maximize their advertising budget.

Overall, investing in Advertising & Marketing is an essential part of owning and operating a Dunkin' Donuts franchise, and aspiring franchisees should carefully consider their plan before taking the leap. An investment in a comprehensive Advertising & Marketing plan can help promote a successful and profitable franchise for years to come.

It's important to consider the costs associated with opening and running a Dunkin' Donuts franchise. One of the biggest ongoing expenses a business will have to account for – besides the cost of goods – is utilities and insurance. In 2017, new franchise owners spent an average of $3,400 per month on utilities. This includes electricity, heat, air conditioning, drainage, sewer, and more. It is important to remember that utilities could vary depending on the location, size, and services offered.

Franchisees will also have to consider their insurance costs. Most business owners purchase a general liability insurance policy to protect themselves from legal judgments resulting from accidents or injuries, property damage caused by employees, and more. The latest statistics show that business owners spent an average of $430 per month for an insurance policy in 2017. This cost may vary depending on the specifics of a franchise, including the location, size, and services.

Having exact numbers and real-world case studies can help business owners budget for all of their expenses, both initial and ongoing, before starting a Dunkin' Donuts franchise.

In conclusion, the cost of operating a Dunkin' Donuts franchise varies depending on a number of factors and should be considered carefully before any investment is made. It is important to formulate a clear understanding of the costs associated with leases, construction, POS software, food ingredients, labor, advertising, marketing, insurance, and utilities. By analyzing these costs, potential investors can make knowledgeable decisions about whether or not to invest in a franchise.

The potential rewards of investing in a Dunkin' Donuts franchise can be significant, with the franchise industry experiencing 8.4% growth from 2009 to 2019. With the right knowledge and an understanding of the potential costs that may be associated, any investor can become successful in operating a franchise such as Dunkin' Donuts.

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ncesc-gaming-faq

How much does it cost to open a Dunkin Donuts franchise?

As a Dunkin’ Franchisee, you’ll need to have a minimum of $250,000 in liquid assets and a net worth of $500,000 per restaurant. The total initial investment ranges anywhere from $97,500 to $1,717,103 .

Is it profitable to own a Dunkin Donuts?

Dunkin’ Donuts are profitable franchises: indeed the 23% EBITDA margin is much higher vs. the average profits for a quick-service restaurant. Using the average annual turnover of $1,056,000, the average Dunkin’ Donuts makes about $305,000 in profits per year (EBITDA).

Is it hard to get a Dunkin Donuts franchise?

As a Dunkin’ franchisee, you’ll need to have a $250,000 minimum in liquid assets and a net worth of $500,000 per store, depending on your market. You may also purchase an existing Dunkin’ franchise by meeting the minimum financial requirements for your desired market.

What is the minimum net worth for a Dunkin Donuts franchise?

Dunkin’ Donuts Franchise Cost & Fees

Dunkin’ Donuts minimum initial cash required is $250,000 with a net worth at least $500,000. Food: Baked Goods. Food: Restaurants.

How much does a Chick Fil A franchise cost?

While operating a Chick-fil-A restaurant requires a relatively modest $10,000 initial financial commitment ($15,000 CAD in Canada), it requires a holistic commitment to own and operate the business in a hands-on manner. We are in the restaurant industry – the quick-service restaurant industry, at that.

Businesses that Never Fail? 6 Businesses with Amazingly Low Failure Rates [Backed by Data]

Why is it only $10000 to open a Chick-fil-A?

Startup costs for Chick-fil-A franchises are relatively low. That’s because, unlike other franchises, Chick-fil-A actually purchases the real estate and all of the equipment required to open the business, and then leases them to you via monthly rent payments.

How much does a McDonald’s franchise cost?

McDonald’s franchisee applicants must have a minimum of $500,000 available in liquid assets and pay a $45,000 franchise fee. Those looking to launch a new McDonald’s franchise can expect to shell out between $1,314,500 and $2,306,500. Existing franchise operations can cost upwards of $1 million.

How much can you make a year owning a Dunkin Donuts?

How much does a Dunkin Donuts Franchise make in Los Angeles, California? As of Oct 31, 2023, the average annual pay for a Dunkin Donuts Franchise in Los Angeles is $83,286 a year. Just in case you need a simple salary calculator, that works out to be approximately $40.04 an hour.

What are 3 qualifications to own Dunkin Donuts?

Well, to become a Dunkin’ franchisee, you should have a passion for our brand, a strong entrepreneurial spirit, and the financial capability to invest in a new business venture.

What are three qualifications to own Dunkin Donuts?

What Qualities Does Dunkin’ Look for in a Franchisee? Dunkin’ franchisees have entrepreneurial passion, a background in sales or marketing, and a love for our products. You’re devoted to your customers and know how to lead a strong team of employees.

How can I own my own Dunkin Donuts?

  • Speak with the franchise development team.
  • Review FDD.
  • Interview with the franchise development team.
  • Submit the franchise application form.
  • Sign your franchise agreement and submit your franchise fee.
  • Complete training.

What do you need to open a Dunkin franchise?

Is dunkin 100% franchise.

Equally important to serving our guests, we’ve thrived by focusing on what truly matters – our franchise owners. With a 100% franchisee-owned system, we understand what it takes to create an opportunity that shines for everyone involved.

How much is a Starbucks franchise?

Starbuck’s Franchise (Licensing) Costs

A licensed Starbucks has an initial licensing fee/startup fee of around $315,000. That includes some of the equipment you’ll need to operate your coffee shop. But your total investment tm open a new store will approach $1,000,000.

How much does it cost to open a Subway franchise?

What is the estimated initial investment for Subway Franchise ownership? The estimated initial investment for a Subway restaurant ranges from $229,050 – $522,300,* depending on various factors such as building size, configuration, and location (not including real estate).

How much do McDonald’s owners make a year?

How much does a McDonald’s franchise owner make a year? The average McDonald’s restaurant franchise owner in an existing restaurant makes $150,000/year. However, this figure can vary depending on several factors, such as the location of the restaurant and the owner’s level of experience.

What is Chick-fil-A royalty fee?

The initial franchise fee for a Chick-Fil-A franchise is $10,000. In addition to the initial franchise fee, you must pay to the franchisor a royalty fee of 15.0% of revenues.

How much is a Burger King franchise?

The Burger King franchise fee is $50,000, and requires a total investment of anywhere between $316,100 and $2,660,600. Burger King franchise agreements include an additional royalty fee of 4.5%. Franchise incomes vary by location.

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In-n-out expands menu with 2 new options, america runs faster on dunkin' with new energy drink.

energy drinks

Dunkin’ is rolling out a new energy drink Wednesday, one of several items in the chain’s spring menu collection. A Breakfast Empanada, Churro Donut, Banana Chocolate Chip Bread and cinnamon-flavored lattes are also part of the launch.

SPARKD’ Energy is Dunkin’s entry into the burgeoning energy drink category, The iced beverage, available in Berry Burst and Peach Sunshine flavors, provides vitamins, minerals and a kick of caffeine to get customers off to a running start. Berry Burst is a blend of raspberry and strawberry, while Peach Sunshine combines peach and lychee flavors.

“America turns to Dunkin’, from sunrise to sunset, to help them power through their day,” said Beth Turenne, Dunkin’s VP of Category Management, in a statement. “With the introduction of SPARKD’ Energy by Dunkin’, we set out to create a deliciously unique option for our guests. It’s not just another energy drink; it’s a totally new way to run on Dunkin’, incorporating the flavors that we know our fans enjoy.”

Energy drinks have been increasing share of the beverage menu in several coffee concepts. Dutch Bros is one of the earliest and most active in this category, boasting an entire branded  line called Blue Rebel that now accounts for 24% of its sales . Tim Horton’s and Biggby Coffee are more recent coffee players to enter the “drinks with benefits” game.

Chains that aren’t necessarily coffee focused are also joining in. When McDonald’s CosMc’s opened its first location in December , the Sour Cherry Energy Slush and Blueberry Ginger Boost were featured beverages, along with energy shots that could be added to any drink. Even Taco Bell debuted an energy drink in the fall, teaming up with Mountain Dew on its Baja Blast Charged Berry.

But Dunkin’ guests who prefer to power up with straight caffeine have a couple of new choices, too. Debuting Wednesday is a new espresso drink, the Churro Cinnamon Latte. It’s available both iced and hot, infused with sweet churro flavor and topped with whipped cream, caramel drizzle and a dusting of cinnamon-sugar. There’s also iced or hot Cinnamon Vanilla Coffee.

churro and latte

Churros inspire a donut and latte.

On the food side of the menu, Dunkin’s Churro Donut pairs with the flavor profile of the new latte. The deep-fried cake donut is rolled in cinnamon-sugar for a sweet, crunchy exterior to contrast with its fluffy interior.

For savory seekers, the Boston-based chain is introducing its first Breakfast Empanada, a portable handheld for those on the go. The empanada encloses scrambled eggs, sausage and melted cheddar cheese inside a flaky, buttery crust.  

empanada

Dunkin's new empanada is geared for breakfast or snacking on the go.

And to coincide with National Banana Bread Day on Friday, Dunkin’ is offering Banana Chocolate Chip Bread for a limited time. It’s also geared to grab-and-go, pre-packaged to keep it fresh.

Large chains seem to be leaning into snacking lately, developing menu items targeted to all-day eating on the go. Dunkin’s empanada and sweet treats are the latest example, but Taco Bell recently released an empanada too, priced more like a snack than a meal at $3.49. And McDonald’s franchisees are calling for the return of the Snack Wrap .

The current push for value and flexibility is putting snacking in the spotlight.

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business plan for dunkin donut franchise

El Paso Times

New El Paso businesses Dunkin Donuts, Pizza Hut, Olly's Italian Ice focus on drive-thru

Several new franchises, with a focus on drive-thru business, have opened this month in El Paso.

The businesses range from a donut shop and pizza franchise to a shaved ice cream shop, Olly's, which is new to El Paso. Olly's has a small seating area plus a drive-thru service. The Pizza Hut on the East Side does not have dining in.

Other established businesses continue to make changes in pursuit of better success. Blazing Tree Brewery announced this past week that it is closing its business but will open in a new location.

Here are more details in this business roundup for February.

Dunkin Donuts unveils first drive-thru only in El Paso

El Paso's Westside has the first Dunkin Donuts that is drive-thru only. The donut franchise opened on Jan. 31 at 7721 Paseo del Norte Blvd.

This is the 12th location for the franchise in El Paso.

Olly's Italian Ice

A new franchise, Olly's Italian Ice, has opened on the East Side. El Pasoans got to try the new iced treats at a pre-opening celebration Feb. 3 at 3150 Trawood Drive. Open daily from 10 a.m. to 11 p.m.

The franchise offers 16 iced flavors, including root beer, mango, cotton candy, coconut and other fruit flavors. Optional toppings include mixed nuts, fresh fruit, M&Ms, chamoy and Tajin powder.

We tried a medium Italian Ice (around $7) with two scoops of coconut ice and one scoop of pineapple, and a dollop of soft serve vanilla ice cream in between. The ice is smooth, easy to eat and no brain freeze. It's a refreshing treat.

The shop also carries gelati, soft-serve and coffee.

Pizza Hut on far East Side opens

The Pizza Hut, 13647 Eastlake Blvd., is now open for business. The business focuses on delivery and online orders with a drive-thru lane.

Store hours are 10 a.m. to midnight, Sunday through Thursday, and 10 to 1 a.m. Friday and Saturday.

The menu offers all your favorite pizzas, including Pepperoni Lover's, pasta and pizza combinations and the new hot honey boneless wings, which might be good to try for the Super Bowl.

We tried the drive-thru lane and ordered a Pepperoni Lover's Melt. It took a few minutes to get the order, but it was freshly made. The Melt is like two big slices of pizza folded in half so that you get crust on both ends. The crust on top is crunchy, while the cheese and pepperoni inside are melded and oozing out, nice and hot. Dip it in the marinara sauce on the side for extra goodness.

It's a good deal for lunch, for $6.99 plus tax.

Blazing Tree Brewing moving locations

The owners of Blazing Tree Brewing, 11426 Rojas Drive, Space A-13, announced on their Instagram account that they are moving locations. They have been in business for seven years on the East Side.

The brewery will have one last event before closing, from 11 a.m. to midnight Feb. 17.

No details on where they will be moving to, so stay tuned.

Chase the Taste announces move to West Side

Chase the Taste, the popular El Paso eatery in the Northeast has announced it is moving.

The restaurant, at 10771 Gateway Blvd S., Ste N107, has been in the news media over the past few months over water bill issues with the El Paso Water Company.

On its Facebook page, the restaurant announced it is moving to The Substation, on Sunset Road and Doniphan Drive, at the end of March.

"We are extremely grateful for everyone's support through our journey. Hope to see you at our new location," the owner, Randy Garcia, posted.

The restaurant started as a food truck before entering brick and mortar.

More: Dave's Hot Chicken set to open late February; Deadbeach Brewery offers new flavorful menu

María Cortés González may be reached at 915-546-6150; [email protected], @EPTMaria on Twitter; eptmariacg on TikTok.  

This article originally appeared on El Paso Times: New El Paso businesses Dunkin Donuts, Pizza Hut, Olly's Italian Ice focus on drive-thru

A new franchise, Olly's Italian Ice, has opened on the East Side. El Pasoans got to try the new iced treats at a pre-opening celebration Feb. 3 at 3150 Trawood.

Dunkin’ announces spring menu, with its first-ever caffeinated energy drinks

  • Updated: Feb. 22, 2024, 1:43 p.m. |
  • Published: Feb. 22, 2024, 1:37 p.m.

Dunkin' Spring Menu 2024

Dunkin' has dropped its spring menu for 2024 with six new items, including SPARKD’ Energy drinks, the Churro Donut and the Churro Signature Latte. Dunkin'/Canva

As Panera Bread is reeling from various lawsuits over its Charged Lemonades , another food franchise, Dunkin’, has unveiled its own energy drink.

SPARKD’ Energy by Dunkin’ is an iced drink that comes in two flavors: Berry Burst and Peach Sunshine. The company’s press release says that the drinks are made with “vitamins, minerals and a kick of caffeine.”

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  4. Dunkin' Donuts Franchise Financial Model

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  6. Business Plan for Dunkin Donuts Expansion

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COMMENTS

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    Articles & Insights March 20, 2022 12 min to read Drive down any city street in America and you're bound to see countless coffee shops—with two major brands attracting the most attention: Starbucks and Dunkin' (formerly Dunkin' Donuts).

  4. Business Plan Template for Dunkin Donuts

    ClickUp's Business Plan Template for Dunkin' Donuts is designed specifically for franchisees and entrepreneurs who want to create a roadmap to success. With this template, you'll be able to: Outline your goals and objectives for your Dunkin' Donuts location. Create financial projections and budgets to secure funding and attract investors.

  5. Dunkin' Donuts

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  6. Dunkin's Quick Service Restaurant Franchise Opportunities

    Dunkin' has emerged as the reigning champion in the realm of coffee and baked delights. Our commitment to delivering high-quality, delectable food and beverages has earned us the admiration of fans far and wide. #. 1. coffee chain for customer loyalty for 17 years. - Brand Keys. #. 1. in the US for hot and iced coffee, donuts, muffins, and ...

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  9. How to Open a Dunkin' Donuts Franchise

    1 Ensure you have adequate capitalization. In order to open a Dunkin' Donuts franchise, you must have a net worth of $500,000 and at least $250,000 in liquid assets. [2] Having the necessary capital available is essential for applying to become a Dunkin' Donuts franchise owner. [3]

  10. Explore Our Seamless Steps to Franchise Ownership Today

    2. 3. First Name (Required) Last Name (Required) Email (Required) (Required) (Required) Take your next steps towards business ownership with Dunkin' today. We make it easy for you to follow our seamless steps to franchise ownership.

  11. Dunkin' Donuts Business Model

    The Dunkin' Donuts business model is a franchise-based business model, meaning that most Dunkin' Donuts locations are owned and operated by independent franchisees rather than company-owned.

  12. Dunkin' Donuts Franchise Costs

    To begin operating a Dunkin' Donuts franchise, you'll need to invest between $121,400 and $1,787,700 upfront. ... Business plan and financial review. Meet with the Dunkin' team, conduct due diligence and gain insights from existing franchisees. ... If you do proceed with opening a Dunkin' franchise, be sure to celebrate your new ...

  13. Dunkin' Donuts Franchise

    What does a Dunkin' Donuts Franchise Cost? Dunkin' Donuts has an initial investment between $109,700 and $1,637,700. Additional funds are required for real estate and vary on the number of restaurants acquired, restaurant size, and construction costs associated. Franchise fees vary based on the market chosen. Commitment to multi-unit ownership ...

  14. Dunkin' Franchise Review

    Dunkin' (formerly Dunkin' Donuts) was founded in 1947 as Open Kettle by Bill William Rosenberg in Quincy, Massachusetts. Rosenberg wanted to start a restaurant that focused on selling donuts and coffee after noticing they were the two most popular items out of the food he sold in factories and at construction sites.

  15. Dunkin Donuts Franchise Cost & Opportunities 2024

    The total liquid capital required to open a Dunkin' Donuts franchise is $125,000 and Dunkin' Donuts franchise fees are $40,000 to $90,000. The minimum net worth of a Dunkin' Donuts franchise is $250K. Dunkin' Donuts Franchise Business Opportunities: Other Information

  16. Dunkin' Donuts Franchise Cost, Fees & Earning Stats [2024]

    All Dunkin' franchisees must undergo an approval process, which includes a financial review and an evaluation of the business plan, and lastly, the signing of the franchise agreement. If approved, they must then complete a training program.

  17. Dunkin' Donuts Franchise Financial Model

    12,000+ Downloads since 2020 Fully editable Excel financial plan template with pre-built 5-year financial projections specifically designed for Dunkin' Donuts franchises.

  18. Dunkin' Donuts Franchise for Sale

    In order to open a Dunkin' Donuts coffee shop franchise, you must have a net worth of more than $250,000. Appreciate the investment required for a franchise. You will need to consider real estate costs, the cost of equipment and signs, the costs of licenses and permits, the cost of uniforms, the cost of insurance, etc.

  19. How Much Does Dunkin' Donuts Franchise Cost?

    Also, don't forget about additional costs or, in other words, about commissions. They apply not only to Dunkin' but to all other franchises of any level. Financial requirements to join Dunkin': All investments: from 97 thousand to 1.7 million dollars. Initial franchise fee: $ 40,000 to $ 90,000.

  20. Key Element Of Dunkin Donuts Franchise Strategy

    Dunkin' Donuts has aligned its development strategy to support the growth opportunities and consumer needs of each individual market. As a result, franchising opportunities range from single units to multi-store development agreements. According to Benson, "Dunkin' Donuts is proud to energize Americans and keep the honest, hard-working ...

  21. Dunkin Donuts franchise reveal the one secret to their success

    Shopping Center or Store-front Franchise Cost is $ 228,000 to $1,202,800. Gas Or Convenience Store Franchise Cost is $ 120,000 to $ 781,100. Airports/Colleges or alternative non-traditional is $ 97,500 to $ 547,700. Dunkin Donuts Franchise Initial and On-going Franchise Cost. Dunkin Donuts Franchise Fee.

  22. Dunkin' Donuts Franchise: Operating Costs Explained

    One-Page Business Plan SWOT Canvas Introduction According to the International Franchising Association, in 2019 the estimated sales of the U.S. franchisors were $334 billion. From 2009 to 2019, the franchise industry experienced an 8.4% increase, showing tremendous growth potential and potential business opportunities.

  23. Dunkin'

    About Us. Franchise. Careers. Proudly serves handcrafted coffee, delicious donuts, sandwiches and other baked goods along with our cold beverages.

  24. How much does it cost to open a Dunkin Donuts franchise?

    As a Dunkin' Franchisee, you'll need to have a minimum of $250,000 in liquid assets and a net worth of $500,000 per restaurant. The total initial investment ranges anywhere from $97,500 to $1,717,103. Is it profitable to own a Dunkin Donuts? Dunkin' Donuts are profitable franchises: indeed the 23% EBITDA margin is much higher vs. … How much does it cost to open a Dunkin Donuts franchise?

  25. America runs faster on Dunkin' with new energy drink

    Dunkin' is rolling out a new energy drink Wednesday, one of several items in the chain's spring menu collection. A Breakfast Empanada, Churro Donut, Banana Chocolate Chip Bread and cinnamon-flavored lattes are also part of the launch. SPARKD' Energy is Dunkin's entry into the burgeoning ...

  26. New El Paso businesses Dunkin Donuts, Pizza Hut, Olly's Italian ...

    El Paso's Westside has the first Dunkin Donuts that is drive-thru only. The donut franchise opened on Jan. 31 at 7721 Paseo del Norte Blvd. This is the 12th location for the franchise in El Paso.

  27. Dunkin' announces spring menu, with its first-ever ...

    Dunkin' has dropped its spring menu for 2024 with six new items, including SPARKD' Energy drinks, the Churro Donut and the Churro Signature Latte. Dunkin'/Canva Subscribers can gift articles to ...

  28. Dunkin' is adding Ben Affleck's go-to coffee order on its menu

    A career in music isn't in Ben Affleck's future, but at least his go-to drink at his favorite coffee chain — Dunkin' — is getting easier to order. Beginning Monday, Dunkin' is ...