Parlor Doughnuts Franchise FDD, Costs & Fees (2024)
KEY FRANCHISE STATS
All you need to know about this franchise in a snapshot
Initial franchise fee
$40,000
Investment required
$398,000 - $732,000
Parlor Doughnuts: Redefining Gourmet Doughnuts with Artisanal Flair
Parlor Doughnuts is a distinctive franchise specializing in gourmet doughnuts that deliver a unique twist on a classic treat. Founded in 2019 in the vibrant city of Evansville, Indiana, this innovative doughnut chain is headquartered there and has quickly gained recognition for its creative and high-quality offerings.
Parlor Doughnuts began franchising in 2020, marking its expansion from a popular local favorite to a nationwide presence.
The franchise sets itself apart from the competition by emphasizing an artisanal approach to doughnut-making, using premium ingredients and unique recipes that cater to diverse tastes. Their menu features a variety of flavors, from classic favorites to seasonal and specialty options, all crafted with a focus on both taste and presentation.
Parlor Doughnuts’ commitment to exceptional quality and customer experience helps it stand out in a crowded market, appealing to doughnut enthusiasts and casual consumers alike.
Initial investment
Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.
| Type of Expenditure |
Amount |
| Initial Franchise Fee |
$40,000 for initial franchised business, 75% of the Initial Franchise Fee for second and third franchised businesses, 50% of the Initial Franchise Fee for the fourth and additional franchised businesses |
| Opening Inventory – boxes, cups, food, coffee, supplies, etc. |
$25,000 - $35,000, |
| Opening Inventory – merchandise for sale (mugs, shirts, stickers, glasses, hats, etc.) |
$10,000 - $15,000, |
| Lease and Utilities |
$7,000 - $15,000 per month, |
| Security Deposit |
$7,000- $10,000, |
| Design Professional Fees (Drawings for Permitting or Drawings for Construction) |
$10,000 - $30,000, |
| Build-out of Approved Location (Second Generation) |
$125,000 - $250,000, |
| Signage |
$10,000 - $25,000, |
| Furniture, Fixtures, and Décor |
$25,000 - $50,000, |
| Equipment |
$105,000 - $180,000, |
| Initial Training (Your Travel Costs/Expenses) |
$2,000 - $7,000, |
| Pre–Opening and Grand Opening Advertising and Marketing |
$3,000 - $5,000, |
| Legal and Accounting Fees Related to Startup Assistance |
$2,000 - $5,000, |
| Computer System and Required Hardware and Operating System plus Recommended Security Systems |
$4,000 - $10,000, |
| Drive Thru Window and Digital Menu (Optional) |
$20,000 - $30,000 |
| Insurance (quarterly estimate) |
$3,000 - $5,000 |
| Additional Funds for Initial Three Months |
$20,000 - $50,000, |
| TOTAL INITIAL INVESTMENT UNDER THE FRANCHISE AGREEMENT |
$398,000-$732,000 |
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Franchise Disclosure Document
Training
Parlor Doughnuts offers a comprehensive training program for its franchisees to ensure consistency and high quality across all locations. The training typically includes:
- Operational Training: Franchisees receive detailed instruction on daily operations, including doughnut preparation, inventory management, equipment use, and maintaining hygiene standards. This ensures that every location adheres to the franchise’s high standards of quality and service.
- Customer Service Training: Emphasis is placed on providing exceptional customer service, including training staff on effective communication, handling customer inquiries, and creating a welcoming atmosphere in the store.
- Marketing and Sales Training: Franchisees learn about the brand’s marketing strategies, promotional campaigns, and sales techniques to effectively attract and retain customers. This training includes guidance on local store marketing, social media engagement, and community involvement.
- Business Management Training: Training covers essential aspects of business management, such as financial tracking, budgeting, and staff management. This helps franchisees run their operations efficiently and effectively.
- Ongoing Support: Beyond initial training, Parlor Doughnuts provides ongoing support to franchisees through regular updates, additional training sessions, and access to a dedicated support team to address any operational or business challenges.
Territory Protection
Parlor Doughnuts provides territory protection to its franchisees, ensuring that each location operates in a defined and exclusive geographic area. This protection prevents new franchises from opening within the protected territory, allowing franchisees to maximize their market potential without direct competition from other Parlor Doughnuts stores.
The franchise’s territory protection policy is designed to support franchisees in building a strong customer base and achieving sustainable growth. By limiting the number of stores in a given area, Parlor Doughnuts helps franchisees maintain a competitive edge and enhance their profitability.
