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What do you guys think of the Dunkin Donuts Franchise?

I'm thinking about buying an existing store in Manhattan. Any insight will be greatly appreciated.

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Answers (6)
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The BAF Group LLC
MD

I don't know about the last writer's background, so I can't argue his specific situaiton. But I do not believe all franchises are bad. If you do not have the experience in a given field, a franchise can provide you with the training and support you may need, in order to succeed. There are a LOT of McDonald's owners that started out with no experience at all, and they have done incredibly well. Of course, you can't touch a McDonald's any more, unless you are a muti-millionaire to begin with!) But it definitely depends on the franchise. Some, as the prior writer implies, simply take your money for all of the work and investment YOU have put into it.

As for Dunkin Donuts, my big issue - without saying anything about the franchise itself - is whether you want to deal with a business that is 7 days/24 hours. That gets to be a grind, and getting and keeping help, particularly in the less attractive hours, is horrendously difficult. And if you can't keep them, you know who has to end up working those shifts, don't you?

Jan 26, 2011
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Alpha Cleaning Company
President
Cook County, IL

A few years ago I was considering buying a franchise (not Dunkin Donuts) and I'm glad that I didn't do it. I started my own business and that was the best thing I ever did. I don't recommend buying any franchise. You will have to pay a franchise company percentage every month and you will be very limited in your actions. But of course, it's your own decision.

Jan 26, 2011
Beau Bennett
THECLIP.COM, Inc.
President
Miami-Dade County, FL

I have seen several articles recently in newspapers and online that are bashing 'donuts' as part of the larger healthcare debate. I think there will be a conscious effort to educate Americans better about their diets and preventing obesity and unfortunately donuts fall on the wrong side if those issues. What's hot in the near future? Going green - solar, wind, lighting, etc.

Aug 19, 2009
Andrew Rogerson
Rogerson Business Services
Certified Business Broker
Sacramento County, CA
Premium Broker

To get your best and easiest answer, call a few franchise owners and ask them. Tell them that you are interested in buying one. Be careful that they don't try to sell you there's but in franchising, the horses mouth is the best source of information.

Aug 17, 2009
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Franchise Advisory Group
PA

David,

Dunkin Donuts created a great name for themselves and that is really what you're paying for. They are big on coffee now (in fact when was the last time you saw a commercial for DD that actually advertises that they sell donuts?). Don is right, it is a breakfast business and requires a great deal of overhead to run, however a great location can produce money. There are other concepts out there that are much cheaper and give you a great deal of flexibility. For example, you can open a NY Bagle Cafe Franchise for under $100K and be able to offer breakfast and lunch, coffee, deli, etc and you would need a lot less employees.

Aug 16, 2009
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The BAF Group LLC
MD

There seem to be a lot of them for sale...always a worrying sign. There is also a lot of competition. And companies like Krispy Kreme are having tremendous difficulty. Diet consciousness always causes donut sales to rise and fall. Lots of issues to consider!

Remember, you only have breakfast for the majority of your sales. That is why so many of them are co-branding with ice cream, at the very least. And they have tried lunch entrees, with limited success. That gives them a food offering that provides an afternoon Revenue boost. You may only have concentrated sales activity in the morning with a classic Dunkin Donuts, but you pay for overhead 24 hours a week.

Be careful and monitor the sales activity with extreme care. It could be a good deal, but you need to be wary.

Aug 15, 2009

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