The Dunkin Donuts franchise costs between $97,500 – $1.7 million. This includes the franchise fee ($40,000 – $90,000), startup costs, equipment, and more. You’ll need $500,000 minimum net worth and $250,000 liquid capital to qualify.
Rent and Industry Growth
The rent for your Dunkin’ franchise depends on location. Rent in Manhattan could cost over $80,000/month versus under $1,000/month in Florida or Tennessee. According to Statista, the doughnut industry grew from $12.2 billion in 2017 to $14 billion in 2020.
Sales and Profitability
The average Dunkin’ franchise brings in $620,000–$1.3 million in yearly sales. This gives franchise owners around a $124,000 average yearly salary. Dunkin’s startup costs are less than competitors like Krispy Kreme at $440,500–$4,115,000.
Financing Options
While advantageous, Dunkin’ does not offer in-house financing. You may need to find alternate lending sources if needing financing help.
Is it profitable to own a Dunkin Donuts? Dunkin’ Donuts franchises earn $124,000 annually, 70% higher than the average franchise. The 23% EBITDA margin is much higher than average quick-service restaurants.
Ongoing fees include around 5% royalties and 2-6% advertising on gross sales. These recurring expenses directly impact profits but the nationwide brand benefits often outweigh the costs. With 12,600 global locations and 14 straight years as top coffee brand, Dunkin’ targets 18-54 year-olds who lead busy, healthy lifestyles. Store size, location and profitability affect the $124,000 average earnings. Applicants need minimum liquid assets and net worth.