Dunkin’ Franchise Costs, Fees & FDD

Year Business Began: 1954

Franchising Since: 1955

Headquarters: Atlanta, Georgia

Estimated Number of Units: 13,790

Franchise Description: The franchisor is Dunkin’ Donuts Franchising LLC. Inspire Brands is the ultimate parent company. The franchisor develops, operates and franchises retail restaurants utilizing the Dunkin’ system. Franchised restaurants sell doughnuts, coffee, espresso, bagels, muffins, croissants, breakfast sandwiches, and related bakery items, as well as other food and beverage products. In addition to Dunkin’ restaurants, the franchisor and its affiliate, Baskin-Robbins Franchising LLC, grant franchises to develop and operate combo restaurants under the Dunkin’ system and the Baskin-Robbins system.

The restaurant types offered are 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.
• Special Distribution Opportunity (SDO): These restaurants and any cart or kiosk locations are sometimes referred to as special distribution opportunities or non-traditional outlets, and may be located within another host establishment, such as a stadium or another retail facility.

Training Overview: Franchisees must always manage their Dunkin’ restaurant with at least two individuals, one of whom must be the franchisee or another owner, and the other must be a designated representative, both of whom must have successfully completed the required initial training program. The “Dunkin’ Training Program” takes a minimum of 19 days to complete the virtual, classroom, and instructional phases, not including travel time, orientation and pre-requisite online course modules. The Dunkin’ Training Program is offered a minimum of 8 times a year virtually or in a training-certified franchisee restaurant. In addition to the Dunkin’ Training Program, the franchisor may require franchisees to participate for up to 10 days in the opening of another restaurant before they may open their first restaurant. Franchisees must attend and require their employees to attend further training as the franchisor may require. This training may require travel to a certified training restaurant. In addition, the franchisor’s field-based training team supports on-going operations and training of brand initiatives in the franchisee’s area.

Territory Granted: Franchisees will operate the restaurant at a specific location that the franchisor first must accept. Franchisees will not receive an exclusive territory. Franchisees also do not have any type of nonexclusive territory. Franchisees may not distribute products other than menu items at and through their restaurant, including alternative channels of distribution.

Obligations and Restrictions: Franchisees must devote continuous best efforts to the development, management and operation of their business, which includes the devotion of sufficient time and resources to ensure full and complete compliance with their obligations to the franchisor under the Franchise Agreement. Franchisees must develop and operate the restaurant in compliance with the franchisor’s standards. Franchisees may not conduct any other business or activity at the restaurant without the franchisor’s prior written approval. Franchisees may only offer or sell products approved by the franchisor and they must offer for sale the full menu required by the franchisor.

Term of Agreement and Renewal: The length of the initial franchise term is 20 years. Renewal is for an additional term of 20 years if renewal conditions are met.

Financial Assistance: The franchisor does not offer direct or indirect financing. The franchisor does not guarantee a franchisee’s note, lease, or obligation.

Estimated Initial Investment

Name of Fee	Low	High
Initial Franchise Fee	$10,000	$90,000
Building Costs	$51,000	$600,000
Site Development Costs	$0	$350,000
Additional Development Costs	$5,000	$90,000
Equipment, Fixtures and Signs	$112,000	$300,000
Restaurant Technology System	$12,000	$118,000
Licenses, Permits, Fees and Deposits	$500	$7,500
Real Estate Costs	Varies
Opening Inventory	$4,000	$20,000
Miscellaneous Opening Costs	$9,500	$70,000
Uniforms	$400	$3,000
Insurance	$4,500	$16,000
Travel and Living Expenses While Training	$2,000	$50,000
Marketing Start-Up Fee	$0	$10,000
Additional Funds for First 3 Months of Operation	$0	$108,000
ESTIMATED TOTAL* (doesn’t include real estate costs)	$210,900	$1,832,500

*The estimated initial investment range covers the multiple variations of restaurant types referenced above. Please see FDD for more details.

 
Other Fees

Type of Fee	Amount
Continuing Franchise Fee	5.9% of gross sales.
Continuing Advertising Fee	5% of total gross sales
The Center Annual Subscription Fee	Currently, $340.
Additional Training Fee	Currently, $4,000 per person.
Training Cancellation Fee	$1,000 per person if cancellation occurs 8-14 days before training. $2,000 per person if cancellation occurs 7 days or less days before training.
Loyalty Program Contribution Payment	Currently, 1.4% of loyalty program sales.
Taxes	Varies.
Late Fee and Interest	Currently, 1.5% per month or highest rate permitted by law, whichever is less.
Collection Costs	Varies.
Relocation Fee	Varies.
Insurance	If franchisees fail to obtain insurance, the franchisor may obtain coverage at their expense.
Indemnification	Varies.
Transfer Fee (Within First 3 Years of Operation)	An amount based upon the gross sales of the restaurant for the 12 months preceding the date of the contract of sale, plus $12,500 for a Dunkin’ restaurant or $20,000 for a combo restaurant.
Transfer Fee (After First 3 Years of Operation)	An amount based upon the gross sales of the restaurant for the 12 months preceding the date of the contract of sale.
Fixed Documentation Fee	Currently, $2,000 per transferee.
SDA Transfer Fee (majority interest)	$10,000
Enforcement Expenses	Varies.
Immigration Status Review Costs	The franchisor’s out-of-pocket costs to hire attorneys or others.
Reimbursement of Costs Incurred to Test Samples from Additional Supplier(s)	Varies, typically between $1,000 to $10,000.
Lease Costs	Varies.

The above information has been compiled from the FDD of Dunkin'. Year of FDD: 2025.

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