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Financial Requirements 3

Financial Requirements

The financial investment to successfully operate a Krispy Kreme franchise varies by market and will depend on factors such as:

  • Cost of real estate
  • Size and type of store
  • Construction costs in the market
  • Labor and operating expenses in the market
  • Availability of local ingredients and importation costs

All Krispy Kreme franchisees are required to pay an up-front territorial/exclusivity fee, which is determined based on the size of the market and the number and type of stores to be developed. Additionally, a franchise fee is paid prior to opening each store:

  • Flagship Factory Store - $25,000
  • Fresh Shop - $10,000
  • Kiosk - $10,000

In addition, an ongoing royalty of 6% of net sales and a brand fund contribution of .50% are also paid to Krispy Kreme. Franchisees are also required to spend 3% of sales on local store marketing. Krispy Kreme’s franchise support team will work with prospects to evaluate the opportunity and prepare business plan proposals on a market specific basis.

Flagship Factory Store

Flagship Factory Store

Fresh Shop

Fresh Shop

Kiosk

Kiosk

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