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Franchise Deep Dive: Doughnuttery Franchise Costs, Fees, Profit and Data

This mini doughnut franchise known for its hot and fresh, exclusively flavored sugar donuts seeks motivated business professionals to contribute to its growth.

By Erica InmanStaff Writer
1:13PM 10/03/23

LAST UPDATED: September 12, 2023

FRANCHISE WEBSITE: https://www.doughnuttery.com/franchisenext 

NUMBER OF LOCATIONS: 7

REPORTED COST TO GET IN: $175,400 - $321,700.

REPORTED ROI (Item 19): N/A

Doughnuttery is known for its proprietary sugar blends and exclusive doughnut flavors, made in front of the customer and served hot and fresh. 

Prospective franchisees who want to serve these sweet treats will also have affordable startup investment costs, flexible location criteria and a simple operating model. Doughnuttery offers three revenue streams: in-shop sales, delivery and catering services. 

How Many Doughnuttery Locations Are There?

There are currently seven Doughnuttery locations. Doughnuttery opened its first permanent location inside Chelsea Market in New York City in October 2012. By November 2013, Doughnuttery opened multiple holiday markets around New York City, including Bryant Park and Union Square. 

The second permanent location opened in April 2016, with the third location following quickly behind in November. Three years later, in November again, the Doughnuttery opened its first franchise location. 

In 2021, the franchise openings continued, with the notable addition of a Milwaukee-area location. In September 2022, Doughnuttery signed an international master franchise to develop 16 locations in Chile and Peru. 

What Is the Doughnuttery Business Model?

Doughnuttery sells hot, fresh sugared mini-doughnuts, using its selection of over 25 custom-flavored sugars to offer over 100 exclusive flavor options. As mentioned, the doughnuts are prepared in front of the customers, adding a source of entertainment to the experience. 

Americans consume over 10 billion doughnuts annually, reports Franchise Dictionary Magazine. The current industry, estimated at $60 billion annually, is predicted to expand in the U.S. by almost $5.7 billion by 2024. 

While mini doughnuts are the main attraction for this brand, Doughnuttery also serves a range of dipping sauces for its doughnuts, along with seasonal beverages. 

Doughnuttery operates three different store formats: in-line counter, kiosk and storefront. Doughnuttery location opportunities include, but are not limited to, college towns and campuses, airports, sports arenas, urban streets, food halls, shopping malls, rest stops and casinos. Regardless of location or store format, only a small space is required for this franchise, ranging from 150 to 500 square feet. 

Catering and delivery programs supplement in-shop sales and offer more opportunities to earn.

How Much Can Doughnuttery Franchise Owners Make?

This brand does not have a publicly available Item 19. To learn more, contact the team about reading the Franchise Disclosure Document (FDD), which will state the total earnings of any company or franchise-owned unit as a reference.

How Much Does It Cost to Open a Doughnuttery Franchise?

The estimated total investment needed to open a Doughnuttery Franchise ranges from $175,400 to $321,700. 

Other costs and requirements include:

  • Single Unit Franchise Fee: $30,000
  • Royalty: 6% of gross sales
  • Marketing: 2% advertising fund contribution
  • Personal Requirements: $5,000 net worth and $250,000 liquid capital

What Is the Franchise Fee for Doughnuttery?

The Doughnuttery franchise fee is $30K. This is the upfront fee that must be paid when opening a Doughnuttery franchise. 

Who Is the Leadership of Doughnuttery?

What Helpful Articles Can I Read to Learn More About Doughnuttery?

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