Franchise System
The Donut Baker Fees and Investment RequirementsThe Donut Baker uses a standard international franchise fee structure by charging an upfront franchise fee based on the number of stores a franchisee is considering opening, monthly royalty payments equal to a percentage of net sales, and marketing fees as a percentage of sales that are either managed by the franchisee or by the corporate office for countries where The Donut Baker has a corporate presence.
Franchise fees:
The franchise fee is a one time payment made by the franchisee when the franchise is granted. The initial franchise fee covers the cost of approving a location, designing the store, supporting with supply chain management and import requirements, and training the management of the franchisee.
Royalty fees:
Royalty fees, a percentage of net monthly sales, are paid monthly by the Franchisee during the entire term of the agreement.
Marketing fees:
Marketing fees are used to market and advertise the franchise system. An advertising fee is based upon a percentage of net sales. Under a Master Franchise agreement the Franchisee is responsible for managing the national advertising fund.
A Global Franchise Architects BrandBased in Geneva (Switzerland), Global Franchise Architects (GFA) specializes in building, operating, and franchising a select portfolio of specialty food service brands.
Over the past decade, GFA has built a proven track record in successfully developing brands and adapting them to local markets in several countries.
GFA brands are built to have a universal appeal, offer quality at value, and cater to a wide range of customers with different cultures, ages, and/or background.
GFA is fanatical about the customer experience, and has a highly developed Quality Management System that focuses on innovation to constantly improve the customer experience at any of its stores.
GFA has a world class infrastructure to support its international franchisees, as it clearly understands its success is based on the success of its partners.
| The Donut Baker | Store with Micro Kitchen |
| Franchise Fees | US $20,000 |
| Equipment | US $30,000 |
| Construction, furniture and fixtures | US $40,000 to US $50,000 |
| Total Investment | US $90,000 to US $100,000 |
| Marketing Fees | 2% of net sales for National Marketing 2% for local store marketing |
| Commissary Setup fees | US $25,000 |
| The Donut Baker | Standard store (No Kitchen) |
| Franchise Fees | US $20,000 |
| Equipment | US $10,000 |
| Construction, furniture and fixtures | US $35,000 to US $45,000 |
| Total Investment | US $65,000 to 75,000 |
| Marketing Fees | 2% of net sales for National Marketing 2% for local store marketing |
| Commissary Setup fees | US $25,000 |
| The Donut Baker | Satellite Store |
| Franchise Fees | US $20,000 |
| Equipment | US $10,000 |
| Construction, furniture and fixtures | US $20,000 to US $25,000 |
| Total Investment | US $40,000 to 45,000 |
| Marketing Fees | 2% of net sales for National Marketing 2% for local store marketing |
| Commissary Setup fees | US $25,000 |
Note
* The above costs will vary based on specific site location and the country of operation.
