Looking for a bold, flavor-forward donut franchise? Hurts Donut Company is a rising star, reinventing the classic with creative toppings and edgy branding. Here’s everything you need to know before investing.
🍩 What Is Hurts Donut Company?
Founded in 2013 by Tim and Kas Clegg in Springfield, Missouri, Hurts has carved out a unique niche as the “rebel of all donuts.” The brand stands apart with:
- Extensive menu of experimental flavors and toppings
- A satirical, fun-loving brand image
- 24/7 operating format in many locations
As of 2025, the company has grown to 22 locations—20 franchised and 2 company-owned—with continued development across the U.S.
💲 Startup Costs Breakdown
Opening a Hurts Donut location requires significant investment:
| Category | Estimate (USD) |
|---|---|
| Franchise Fee | $35,000 |
| Total Initial Investment | $502,000 – $825,000 |
| — Rent & Security Deposit | $10,000 – $15,000 |
| — Leasehold Improvements | $200,000 – $350,000 |
| — Equipment, Fixtures, Inventory | $160,000 – $235,000 |
| — Signage, Merchandise, Training | ~$50,000 |
📈 Revenue & Profit Potential
- Average Unit Volume (AUV): ~$946,000 – $1,022,000/year
- Estimated EBITDA margin: ~15%
- Estimated Operating Profit: ~$142,000+ annually per store
These numbers outperform many mid-size baked-goods franchises, offering strong returns for engaged operators.
🧩 Fees & Franchise Terms
- Royalty Fee: 7% of gross sales
- Marketing Fee: 2% of gross sales
- Franchise Term: Typically 10 years with renewal options
- Net Worth Requirement: $500,000 (with at least $150,000 in liquid assets)
🚀 Growth Model & Support System
Hub-and-Spoke or Standalone?
Hurts operates individual shops, supporting commissary supply networks. Franchisees benefit from supply chain support and scalable vendor relationships.
Training & Operations:
- Multi-week training program (onsite + in-store)
- Operations manuals, HR guides, and marketing toolkits
🤔 Is Hurts Right for You?
Pros:
- High AUV with strong profit margins
- Bold brand with international appeal
- 24/7 model captures unique demand windows
Cons:
- High upfront investment (~$500K–$825K)
- Requires active, location-based ownership
- No guaranteed territory exclusivity
🏁 Final Take: A Franchise with Bite
Hurts Donut Company offers an aggressive entry into the gourmet donut space—with innovative products and healthy returns. Ideal for entrepreneurs ready to manage operations hands-on and invest in a standout brand with growth momentum.
👥 Launching Your Donut Empire?
At DonutFranchiseMaster.com, we guide you through:
- Comparing franchise options like Hurts, Krispy Kreme, Shipley, Duck Donuts
- Location analysis and lease negotiation
- Financial modeling and ROI projections
- Menu development and operations training
Contact us today to explore whether Hurts is the right fit—or to build your own artisan donut concept from scratch.