Follow Us x
All the Numbers
SW's Donut Mill is the franchising extension from the famous donut shop in Kalamazoo, MI. This is a full service Donut business with approximately 70% - 80% of revenues coming from retail sales and 20% - 30% revenues coming from wholesale accounts. The business is 7 days a week and the process resembles most production/manufacturing environments, but with the diversity of a business to consumer business. Because of this business model, SW's Donut Mill has a sustainable profitable model that helps insulate against varying economic trends.
Required Monetary Resources
The interest and resources to purchase multi-unit development opportunities. You'll need a minimum of $80,000 in non-borrowed liquid assets and a net worth of at least $300,000. The total cost of each unit varies by size and location. Donut Mill Franchisees pay an initial franchise fee of $35,000. Royalty Fees are 6.5% of Gross sales. There is a Marketing Fund fee of 1% with an additional requirement of Local Advertising at 2%.
Estimated Initial Investment
| Type of Expenditure | Amount for Franchise Agreement | Method of Payment | When Due | To Whom Payment is to be Made |
| Initial Franchise Fee (Note 1) | $35,000 | Lump sum | At signing of Franchise Agreement | Us |
| Training Expenses (Note 2) | $3,500 to $12,000 | As incurred | As incurred | Airlines, Hotels, and Restaurants |
| Real Estate/Rent (Note 3) | $10,000 to $30,000 | As arranged | As arranged | Landlord |
| Utility Deposits | $200 to $2,000 | As arranged | As Arranged | Utility Companies |
| Real Estate/Building Improvements (Note 4) | $75,000 to $200,000 | As arranged | As arranged | General Contractor and other vendors |
| Furniture, Fixtures, and Equipment, (Note 5) | $125,000 to $175,000 | As arranged | Prior to Opening | Vendors designated or approved by Us (See Items 8 and 9) |
| Insurance | $500 to $2,500 | As arranged | Prior to Opening | Insurance Company approved by Us |
| Signage | $5,000 to $20,000 | As incurred | As incurred | Supplier designated or approved by Us (See Items 8 and 9) |
| Professional Fees (Note 6) | $2,500 to $15,000 | As incurred | As incurred | Professionals - Attorneys, Accountant, Architect/Engineer |
| Permits | $200 - $2,000 | As incurred | Prior to Opening | Local or State Government |
| Point of Sale System (Electronic Cash Register) (Note 7) | $4,500 - $8,500 | As incurred | Prior to Opening | Supplier designate or approved by Us. |
| Branded Promotional Materials, and Uniforms (Note 8) | $1,500 to $4,000 | Lump Sum | Prior to Opening | Supplier designated or approved by Us (See Items 8 and 9) |
| Initial Inventory and Supplies | $4,500 to $8,500 | As incurred | Prior to Opening | Supplier designated or approved by Us (See Items 8 and 9) |
| Grand Opening Advertising (Note 9) | $1,000 to $2,500 | As incurred | As incurred | Supplier designated or approved by Us (See Items 8 and 9) |
| System Performance Review Program (Note 10) | $0 to $2,000 | As incurred | As incurred | Supplier designated or approved by Us or Us (See Items 8 and 9) |
| Additional Funds (Note 11) | $30,000 to $90,000 (3 Months) | As incurred | As incurred | Employees and Suppliers |
| Delivery Van | $20,000 to $30,000 | As incurred | As incurred | Supplier approved by Us |
| TOTAL (Note 12) | $318,400 to $639,000 | DOES NOT INCLUDE REAL ESTATE COST | ||
