Parlor Doughnuts Franchise FDD, Profits & Costs (2025)

Parlor Doughnuts is a fast-growing franchise that reimagines the traditional doughnut with a gourmet twist. Established in 2019 in Evansville, Indiana, the brand is headquartered in its founding city and has quickly built a reputation for its inventive flavors and premium offerings.
The company launched its franchising program in 2020, transforming from a local favorite into a concept with national reach.
What makes Parlor Doughnuts stand out is its focus on an artisan style of preparation. Every doughnut is made with high-quality ingredients and original recipes designed to appeal to a wide range of palates. The menu includes an array of options, from timeless classics to rotating seasonal creations, each presented with careful attention to detail.
Initial Investment
How much does it cost to start a Parlor Doughnuts franchise? It costs on average between $437,000 – $838,000 to start a Parlor Doughnuts franchised restaurant.
This investment covers expenses such as build-out, kitchen equipment, furnishings, initial inventory, and early operating costs. The total required amount can vary based on several factors, including the size and style of the Parlor Doughnuts location, its market area, and whether the franchisee decides to lease or buy the property.
Type of Expenditure | Amount |
---|---|
Initial Franchise Fee | $40,000 for initial franchised business; 75% of the fee for second and third locations; 50% of the fee for fourth and additional locations |
Opening Inventory – boxes, cups, food, coffee, supplies, etc. | $25,000 – $35,000 per location |
Opening Inventory – merchandise for sale (mugs, shirts, stickers, glasses, hats, etc.) | $7,000 – $14,000 per location |
Lease and Utilities | $7,000 – $15,000 per month, per location |
Security Deposit | $7,000 – $15,000 per location |
Design Professional Fees | $10,000 – $30,000 per location |
General Contractor Fees | $25,000 – $50,000 per location |
Build-out of Approved Location (Second Generation) | $125,000 – $250,000 per location |
Signage | $10,000 – $25,000 per location |
Furniture, Fixtures, and Décor | $25,000 – $55,000 per location |
Equipment | $120,000 – $190,000 per location |
Initial Training (including travel expenses) | $2,000 – $9,000 per location |
Pre–Opening and Grand Opening Advertising and Marketing | $5,000 – $10,000 per location |
Legal and Accounting Fees | $2,000 – $5,000 per location |
Computer System, Hardware, Operating System, and Security Systems | $4,000 – $10,000 per location |
Drive Thru Window and Digital Menu (Optional) | $20,000 – $30,000 per location |
Insurance (quarterly estimate) | $3,000 – $5,000 per location |
Additional Funds for Initial Three Months | $20,000 – $50,000 per location |
Total Initial Investment | $437,000 – $808,000 With optional drive thru: $457,000 – $838,000 |
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Frequently Asked Questions
How many Parlor Doughnuts locations are there?
As of the latest data, Parlor Doughnuts has 63 locations across the United States.
What is the total investment required to open a Parlor Doughnuts franchise?
The total investment required to open a Parlor Doughnuts franchise ranges from $437,000 to $838,000.
What are the ongoing fees for a Parlor Doughnuts franchise?
A Parlor Doughnuts franchisee is required to pay a royalty fee of 5% of weekly gross sales, which goes to the franchisor. In addition, there is a national marketing fund contribution of 1% of weekly gross sales, supporting brand-wide promotional efforts.
Franchisees must also spend 1% of monthly gross sales on local advertising and community support, ensuring consistent visibility in their own markets.
Who owns Parlor Doughnuts?
The Parlor Doughnuts franchise is owned by Parlor Doughnuts Franchising, LLC, a company founded in Evansville, Indiana, that oversees the brand’s growth and franchise operations.
Disclaimer
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