Food & Beverage · FDD 2024 · HQ MA

Dunkin' Franchise

A Inspire Brands brand operating in the food & beverage sector, franchising since 1955. Financial profile from publicly filed FDDs.

$229K – $1.7M
Initial investment
5.9%
Royalty rate
9,579
Total locations
$1.2M
Avg unit revenue (Item 19)

The verdict

Dunkin' needs $229K–$1.7M to open and charges a 5.9% royalty - an entry cost below the typical food & beverage franchise.

$40K
Franchise fee (Item 5)
5.9%
Royalty of gross sales (Item 6)
5.0%
Ad-fund contribution
9,579
Locations (Item 20)

Figures from Dunkin''s publicly filed Franchise Disclosure Document (2024).

Investment Overview

Investment Range $229K – $1.7M
Total Investment
$229K – $1.7M
Franchise Fee
$40K
Royalty Rate
5.9%
Ad Fund Rate
5.0%

Revenue Data (Item 19)

Item 19 Disclosed Franchisor provided financial performance data
Average Revenue
$1.2M
gross revenue per location

* Revenue figures are gross revenue (sales), not profit. Actual profitability depends on operating costs, location, market conditions, and management.

Network Size & Growth

9,579
Total Locations
9,579
Franchised
+350
Opened (Last Year)

Net Growth Rate

Year-over-year unit change

1.57% growth

200 locations closed in the last reporting year

Quick Facts

Subsector
coffee tea
Founded
1950
Franchising Since
1955
Headquarters
MA
FDD Year
2024
Item 19
Disclosed

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Important Notice

Data sourced from publicly available FDD filings. Not financial advice. Consult a franchise attorney and accountant before investing. Past performance does not guarantee future results.

What the Dunkin' FDD Reveals

Dunkin', a Inspire Brands franchise, has been franchising since 1955 - 5 years after the concept was founded in 1950 , currently with 9,579 total locations in the food & beverage sector, headquartered in MA. According to the 2024 FDD, the total initial investment ranges from $229K to $1.7M, with the 637% low-to-high spread driven mainly by site size, market, and how extensive the buildout runs. That total bundles the franchise fee of $40K together with equipment, leasehold buildout, and the working capital needed to get through ramp-up.

Royalty payments here are set at 5.9% of gross sales with an additional 5.0% national advertising fund contribution, bringing the combined ongoing cost to 10.9% of every dollar in sales. Worth noting: Dunkin' is among the roughly one-third of U.S. franchisors that voluntarily disclose financial performance data in Item 19. The reported average gross revenue per location is $1.2M, meaning the typical unit pays roughly $71K per year in royalty alone. Revenue is not profit, actual franchisee take-home depends on rent, labor, cost of goods, and local demand.

Network momentum is currently positive: Dunkin' added units at a 1.6% net rate year-over-year (350 openings, 200 closures). Growing networks tend to signal healthy unit economics for prospective operators, though it is worth distinguishing organic demand from an aggressive franchise-sales push.

Frequently Asked Questions

How much does a Dunkin' franchise cost?
Budget $229K to $1.7M in total initial investment to open a Dunkin' franchise. That includes an initial franchise fee of $40K. Ongoing royalties are 5.9% of gross sales.
What is the ROI for a Dunkin' franchise?
Dunkin' reports average revenue of $1.2M per location. Revenue and profit are different questions: actual take-home depends on operating costs, location, market conditions, and management quality. Request the underlying financial performance data and speak with current franchisees to gauge real ROI.
How many Dunkin' locations are there?
Dunkin''s network totals 9,579 locations (9,579 franchisee-owned). Year-over-year, the unit count is up 1.6%.
What are the ongoing fees for a Dunkin' franchise?
Dunkin''s ongoing royalty is 5.9% of gross sales. On top of that, a 5.0% ad-fund contribution applies. These ongoing fees are in addition to the initial franchise investment. Actual total ongoing costs vary by location, franchisees should review Items 6 and 7 of the FDD for complete fee details.
Is Dunkin' a good franchise to buy?
Whether Dunkin' is a good investment depends on multiple factors including your financial situation, market conditions, and business goals. The system's year-over-year trend is growth of 1.6%. Key due diligence steps include reviewing the full FDD, speaking with current and former franchisees (Item 20), validating financial claims, and consulting a franchise attorney.

How Dunkin' compares to the Food & Beverage sector

Dunkin''s costs vs the average across 69 food & beverage brands tracked here.

Initial investment (low)
$229K
Sector avg $769K · -70%
Royalty rate
5.9%
Sector avg 5.5% · +0.4 pts
Franchise fee
$40K
Sector avg $35K · +13%

Sector averages computed across all tracked food & beverage brands from FDD Items 5–7 (FDD year 2024).

Understanding franchise investment (click to expand)
Data sourced from official state franchise disclosure registries and FDD filings. See our methodology for details. Retrieved and formatted by PlainFranchise Editorial

Source: Franchise Disclosure Documents (FDDs) Initial investment, franchise fee, royalty, and Item 19 revenue data from FDD Items 5-7 and 19 · 2024

Every figure on PlainFranchise is rendered directly from Franchise Disclosure Document (FDD) source data, no number is typed in by an editor. This page draws directly on Franchise Disclosure Document (FDD) source data, no figure is typed in by an editor. See our editorial standards & corrections policy, the methodology behind these numbers, or report a data error.