All the Numbers

SW’s Donut Mill is the franchising extension from Sweetwater’s Donut Mill. 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, 24 hours a day, resembling 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

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 ExpenditureAmount for Franchise AgreementMethod of PaymentWhen DueTo Whom Payment is to be Made
Initial Franchise Fee (Note 1)$35,000Lump sumAt signing of Franchise AgreementUs
Training Expenses (Note 2)$3,500 to $12,000As incurredAs incurredAirlines, Hotels, and Restaurants
Real Estate/Rent (Note 3)$10,000 to $30,000As arrangedAs arrangedLandlord
Utility Deposits$200 to $2,000As arrangedAs ArrangedUtility Companies
Real Estate/Building Improvements (Note 4)$75,000 to $200,000As arrangedAs arrangedGeneral Contractor and other vendors
Furniture, Fixtures, and Equipment, (Note 5)$125,000 to $175,000As arrangedPrior to OpeningVendors designated or approved by Us (See Items 8 and 9)
Insurance$500 to $2,500As arrangedPrior to OpeningInsurance Company approved by Us
Signage$5,000 to $20,000As incurredAs incurredSupplier designated or approved by Us (See Items 8 and 9)
Professional Fees (Note 6)$2,500 to $15,000As incurredAs incurredProfessionals – Attorneys, Accountant, Architect/Engineer
Permits$200 - $2,000As incurredPrior to OpeningLocal or State Government
Point of Sale System (Electronic Cash Register) (Note 7)$4,500 - $8,500As incurredPrior to Opening Supplier designate or approved by Us.
Branded Promotional Materials, and Uniforms (Note 8)$1,500 to $4,000Lump SumPrior to OpeningSupplier designated or approved by Us (See Items 8 and 9)
Initial Inventory and Supplies $4,500 to $8,500As incurredPrior to OpeningSupplier designated or approved by Us (See Items 8 and 9)
Grand Opening Advertising (Note 9)$1,000 to $2,500 As incurredAs incurredSupplier designated or approved by Us (See Items 8 and 9)
System Performance Review Program (Note 10)$0 to $2,000As incurredAs incurredSupplier designated or approved by Us or Us (See Items 8 and 9)
Additional Funds (Note 11)$30,000 to $90,000 (3 Months)As incurredAs incurredEmployees and Suppliers
Delivery Van$20,000 to $30,000As incurredAs incurredSupplier approved by Us
TOTAL (Note 12)$318,400 to $639,000DOES NOT INCLUDE REAL ESTATE COST