Thinking of opening a donut franchise? You’re not alone — donut businesses are consistently among the most affordable and profitable in the food sector. But how much does it really cost?
In this post, we break down the actual investment figures — including franchise fees, buildout costs, equipment, royalties, and more — using real data from popular U.S. donut franchise brands.
🧾 Common Donut Franchise Cost Components
Here’s what typically makes up the total investment in a donut franchise:
| Expense Category | Estimated Range |
|---|---|
| Franchise Fee | $20,000 – $40,000 |
| Equipment & Fixtures | $50,000 – $150,000 |
| Store Buildout & Lease | $75,000 – $300,000+ |
| Initial Inventory | $5,000 – $15,000 |
| POS System | $2,000 – $10,000 |
| Training & Opening Support | $10,000 – $25,000 |
| Working Capital | $25,000 – $75,000 |
| Total Investment Range | $150,000 – $1,200,000+ |
🔍 Real Examples from Popular Donut Franchises
1. Shipley Do-Nuts
- Total Investment: $250,000 – $500,000
- Franchise Fee: $35,000
- Royalty Fee: 5%
- Marketing Fee: 2%
👉 Known for its classic Southern menu and strong community following.
2. Duck Donuts
- Total Investment: $350,000 – $600,000
- Franchise Fee: $40,000
- Royalty Fee: 5%
- Marketing Fee: 2%
👉 Offers made-to-order gourmet donuts — perfect for Instagram appeal.
3. Daylight Donuts
- Total Investment: $150,000 – $400,000
- Franchise Fee: $10,000
- Royalty Fee: 0%
- Marketing Fee: None (independent support model)
👉 Great for entrepreneurs seeking low-cost flexibility.
4. DonutNV (Mobile)
- Total Investment: $174,000 – $274,000
- Franchise Fee: $29,000
- Model: Fully mobile donut trailer
👉 Perfect for events, weddings, food truck markets — no brick-and-mortar lease needed.
5. Krispy Kreme (multi-unit only)
- Total Investment: $300,000 – $1.2 million+
- Franchise Fee: $25,000
- Royalty Fee: 4.5%
- Marketing Fee: 2%
👉 Major global brand — open to experienced franchise groups only.
🏷️ Budget Categories for Donut Franchise Seekers
| Budget Range | Suggested Brands |
|---|---|
| Under $250K | Daylight Donuts, DonutNV, Dapper Doughnut (mobile) |
| $250K–$400K | Shipley Do-Nuts, Parlor Doughnuts, Peace Love & Little Donuts |
| $400K+ | Duck Donuts, Krispy Kreme, Stan’s Donuts & Coffee |
📈 Are Donut Franchises Profitable?
Most donut franchisees report net profits between $75,000 – $150,000/year, depending on location, format (retail vs. mobile), and traffic. High-margin menu items like coffee, upsells (e.g., catering), and brand recognition play a big role.
Key Profit Factors:
- Location (mall, strip plaza, mobile)
- Staff size & wage costs
- Royalty + marketing deductions
- Donut production model (fresh vs. frozen)
🎁 Get Our Free Franchise Investment Guide
We’ve created a free downloadable PDF that includes:
- Side-by-side brand comparison tables
- Low-cost vs premium donut options
- Questions to ask before signing a franchise deal
👉 Download the Free Donut Franchise Guide »
📬 Still Confused? Let’s Talk.
We help aspiring entrepreneurs every day figure out which donut brand fits their goals — and budget.
👉 Contact us for a free consultation »
📝 Final Thoughts
Opening a donut franchise isn’t just about sugar and sprinkles — it’s a serious business with startup costs ranging from $150K to over $1M. But with smart brand selection and good operations, the returns can be just as sweet.