The Dunkin' franchise requires a total investment of $527K – $1.83M and operates 8,499 units in the QSR category. This report analyzes the full Franchise Disclosure Document including unit economics, fee structure, growth trends, and risk indicators to help you evaluate the cost of investing in Dunkin'.
Critical issues identified from FDD analysis that warrant serious consideration before investing.
Composite quality score based on growth, stability, efficiency, fees, transparency, and system size.
Estimated initial investment range as disclosed in the most recent FDD.
| Line Item | Low Estimate | High Estimate |
|---|---|---|
| Franchise Fee | $40,000 | $90,000 |
| Buildout | $180,000 | $600,000 |
| Buildout | $13,000 | $350,000 |
| Legal Accounting | $12,000 | $90,000 |
| Equipment | $189,000 | $300,000 |
| Technology | $65,000 | $118,000 |
| Other | $3,500 | $7,500 |
| Real Estate | $0 | $0 |
| Inventory | $8,000 | $20,000 |
| Other | $9,500 | $70,000 |
| Other | $400 | $3,000 |
| Insurance | $4,500 | $16,000 |
| Training | $2,000 | $50,000 |
| Other | $0 | $10,000 |
| Working Capital | $0 | $108,000 |
| Total | $526,900 | $1,832,500 |
Financial performance data as disclosed in FDD Item 19.
| Metric | Value | Unit | Cohort | Period |
|---|---|---|---|---|
| 1st Quartile AUV | $2,073,245 | USD | Top 25% | FY2024 (Jan 1 - Dec 29, 2024) |
| 2nd Quartile AUV | $1,426,011 | USD | 2nd Quartile (25-50%) | FY2024 (Jan 1 - Dec 29, 2024) |
| 3rd Quartile AUV | $1,070,961 | USD | 3rd Quartile (50-75%) | FY2024 (Jan 1 - Dec 29, 2024) |
| 4th Quartile AUV | $646,650 | USD | Bottom 25% | FY2024 (Jan 1 - Dec 29, 2024) |
| All Restaurants AUV | $1,304,217 | USD | All Units | FY2024 (Jan 1 - Dec 29, 2024) |
| 1st Quartile Median | $1,955,573 | USD | Top 25% | FY2024 (Jan 1 - Dec 29, 2024) |
| 1st Quartile Highest | $5,720,770 | USD | Top 25% | FY2024 (Jan 1 - Dec 29, 2024) |
| 1st Quartile Lowest | $1,633,960 | USD | Top 25% | FY2024 (Jan 1 - Dec 29, 2024) |
| 2nd Quartile Median | $1,421,785 | USD | 2nd Quartile (25-50%) | FY2024 (Jan 1 - Dec 29, 2024) |
| 2nd Quartile Highest | $1,633,629 | USD | 2nd Quartile (25-50%) | FY2024 (Jan 1 - Dec 29, 2024) |
| 2nd Quartile Lowest | $1,240,951 | USD | 2nd Quartile (25-50%) | FY2024 (Jan 1 - Dec 29, 2024) |
| 3rd Quartile Median | $1,072,984 | USD | 3rd Quartile (50-75%) | FY2024 (Jan 1 - Dec 29, 2024) |
| 3rd Quartile Highest | $1,240,700 | USD | 3rd Quartile (50-75%) | FY2024 (Jan 1 - Dec 29, 2024) |
| 3rd Quartile Lowest | $905,015 | USD | 3rd Quartile (50-75%) | FY2024 (Jan 1 - Dec 29, 2024) |
| 4th Quartile Median | $700,889 | USD | Bottom 25% | FY2024 (Jan 1 - Dec 29, 2024) |
| 4th Quartile Highest | $905,001 | USD | Bottom 25% | FY2024 (Jan 1 - Dec 29, 2024) |
| 4th Quartile Lowest | $4,877 | USD | Bottom 25% | FY2024 (Jan 1 - Dec 29, 2024) |
| All Restaurants Median | $1,240,107 | USD | All Units | FY2024 (Jan 1 - Dec 29, 2024) |
| All Restaurants Highest | $5,720,770 | USD | All Units | FY2024 (Jan 1 - Dec 29, 2024) |
| All Restaurants Lowest | $4,877 | USD | All Units | FY2024 (Jan 1 - Dec 29, 2024) |
| Northeast/Mid-Atlantic AUV | $1,308,535 | USD | Northeast/Mid-Atlantic Region | FY2024 (Jan 1 - Dec 29, 2024) |
| Northeast/New England AUV | $1,448,073 | USD | Northeast/New England Region | FY2024 (Jan 1 - Dec 29, 2024) |
| Midwest/East North Central AUV | $1,257,075 | USD | Midwest/East North Central Region | FY2024 (Jan 1 - Dec 29, 2024) |
| Midwest/West North Central AUV | $996,410 | USD | Midwest/West North Central Region | FY2024 (Jan 1 - Dec 29, 2024) |
| South/East South Central AUV | $1,138,601 | USD | South/East South Central Region | FY2024 (Jan 1 - Dec 29, 2024) |
| South/South Atlantic AUV | $1,260,990 | USD | South/South Atlantic Region | FY2024 (Jan 1 - Dec 29, 2024) |
| South/West South Central AUV | $953,320 | USD | South/West South Central Region | FY2024 (Jan 1 - Dec 29, 2024) |
| West/Mountain AUV | $1,148,506 | USD | West/Mountain Region | FY2024 (Jan 1 - Dec 29, 2024) |
| West/Pacific AUV | $1,327,756 | USD | West/Pacific Region | FY2024 (Jan 1 - Dec 29, 2024) |
| Traditional/Free-standing Pad or Building AUV | $1,534,772 | USD | Traditional/Free-standing | FY2024 (Jan 1 - Dec 29, 2024) |
| Traditional/Other AUV | $1,212,602 | USD | Traditional/Other | FY2024 (Jan 1 - Dec 29, 2024) |
| Non-traditional/SDO-Gas or C-store AUV | $1,071,111 | USD | Non-traditional/Gas or C-store | FY2024 (Jan 1 - Dec 29, 2024) |
| Non-traditional/SDO-Airport AUV | $1,527,194 | USD | Non-traditional/Airport | FY2024 (Jan 1 - Dec 29, 2024) |
| Non-traditional/SDO-Casino AUV | $1,305,515 | USD | Non-traditional/Casino | FY2024 (Jan 1 - Dec 29, 2024) |
| Non-traditional/SDO-Other AUV | $723,001 | USD | Non-traditional/Other | FY2024 (Jan 1 - Dec 29, 2024) |
| Drive-Thru AUV | $1,508,901 | USD | Traditional with Drive-Thru | FY2024 (Jan 1 - Dec 29, 2024) |
| No Drive-Thru AUV | $1,082,835 | USD | Traditional without Drive-Thru | FY2024 (Jan 1 - Dec 29, 2024) |
Estimated using industry benchmarks for the QSR category. Actual costs vary significantly by location, operator, and market.
| Line Item | Amount | % of Revenue |
|---|---|---|
| Gross Revenue | $4,877 | 100% |
| COGS | $-1,463 | 30% |
| Labor | $-1,366 | 28% |
| Occupancy | $-488 | 10% |
| Marketing | $-195 | 4% |
| Other Costs | $-390 | 8% |
| Royalty Fee (franchisor) | $-0 | 0% |
| Ad Fund Fee (franchisor) | $-0 | 0% |
| Owner's Profit | $975 | 20.0% |
Model your personal financial scenario by adjusting the assumptions below.
Automated risk indicators based on FDD data analysis.
Franchise unit trajectory based on FDD Item 20 data.
| Year | Start | Opened | Closed | Transferred | End | Closure Rate | Net Growth |
|---|---|---|---|---|---|---|---|
| 2022 | 8010 | -- | -- | -- | 8087 | -- | +77 |
| 2023 | 8087 | -- | -- | -- | 8265 | -- | +178 |
| 2024 | 8265 | -- | -- | -- | 8465 | -- | +200 |
How Dunkin' compares to peer brands in the QSR category.
Ratio = Investment midpoint ÷ median annual revenue. Lower is better. A 0.5x ratio means the initial investment equals half of one year's gross revenue. Does not account for operating costs, margins, or time value of money.
| Brand | Total Units | Investment Range | Median Revenue | Royalty | Inv/Rev Ratio |
|---|---|---|---|---|---|
| Subway | 19502 | $3K – $630K | No Item 19 | -- | -- |
| McDonald's | 12772 | $1.47M – $2.64M | No Item 19 | 5.0% | -- |
| Dunkin' | 8499 | $527K – $1.83M | $1.43M | -- | 0.8x |
| Domino's Pizza | 7043 | -- | $24K | 5.5% | -- |
| Burger King | 6701 | -- | No Item 19 | -- | -- |
| Wendy's | 5552 | $393K – $2.99M | $2.23M | 4.0% | 0.8x |
| Little Caesars | 3705 | $446K – $1.82M | No Item 19 | 6.0% | -- |
| KFC | 3558 | $135K – $3.77M | $1.27M | 5.0% | 1.5x |
| Papa John's | 3291 | $261K – $853K | No Item 19 | 5.0% | -- |
| Popeyes Louisiana Kitchen | 3177 | $505K – $3.92M | No Item 19 | 5.0% | -- |
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