Dunkin' Brands
Three Glenlake Parkway
Baskin-Robbins Franchising LLC is a Delaware limited liability company that was formed on March 15, 2006. Their principal place of business is 130 Royal Street, Canton, Massachusetts 02021.
While we do not operate businesses of the type being franchised, certain of our affiliates have operated Restaurants in some markets in the past. If you sign a franchise agreement, you will operate a Restaurant. Under our franchise agreement, we grant our franchisees the right (and they accept the obligation) to operate a Restaurant, selling doughnuts, coffee, espresso, breakfast sandwiches, bagels, muffins, compatible bakery products, croissants, snacks and other sandwiches and beverages that we approve. We may periodically make changes to the systems, menu, standards, and facility, signage, equipment and fixture requirements. You may have to make additional investments in the franchised business periodically during the term of the franchise if those kinds of changes are made or if your Restaurant’s equipment or facilities wear out or become obsolete, or for other reasons (for example, as may be needed to comply with a change in the system standards or code changes). All Restaurants must be developed and operated to our specifications and standards. Uniformity of products sold in Restaurants is important, and you will have no discretion in the products you sell. The franchise agreement is limited to a single, specific location, and we have the right to operate or franchise or license others who may compete with you for the same guests. The distinguishing characteristics of the Dunkin’ System include, for example, distinctive exterior and interior design, decor, color and identification schemes and furnishings; special menu items; standards, specifications and procedures for operations, manufacturing, distribution and delivery; quality of products and services offered; management programs; training and assistance; and marketing, advertising and promotional programs, all of which we may change, supplement, and further develop. The typical Restaurant depends upon serving a large number of guests for its success and is generally located in heavily populated areas. Most products are purchased primarily for off-premises consumption: "take-out" is estimated at 70-100% of sales, which may vary by region. Dunkin’ encourages you to develop a network of Restaurants within a targeted area or areas under the Store Development Program. In some markets, you may elect to support your Restaurant or your network by becoming a member in a co-operative manufacturing facility to source your bakery products. In some markets, you may have access to a third-party manufacturer as a source of your bakery products to support your Restaurant or your network. A network may consist of a manufacturing Restaurant that supplies bakery products to one or more satellite Restaurants. For most markets, another option for donut supply is the just baked donut product, which many Restaurants use to maintain a supply of inventory throughout the day. Satellite Restaurants typically cost less to develop than manufacturing Restaurants (though satellite Combo Restaurants can cost as much, or more, to develop than some manufacturing Restaurants). Developing and operating a network of Restaurants is generally more challenging than developing and operating a single Restaurant. Periodically, franchisees sell existing Restaurants at varying prices and terms. Also, we may periodically sell existing franchised Restaurants we have bought or taken back from franchisees or our affiliate, DBI Stores. Many factors affect the sales price and terms for existing Restaurants, such as location, age, length of remaining occupancy and franchise rights, rent, physical condition, operating history, whether the purchase price is paid in cash or financed over time, the prices and terms on which comparable Restaurants have been sold in the market and the negotiations of the parties. If you agree to buy an existing Restaurant from a franchisee, we may exercise our right of first refusal. If we do not, then you and the seller must comply with the transfer provisions of the seller's franchise agreement, such as obtaining our approval of the terms of sale and of your qualifications to be a franchisee, correcting any defects in the condition of the Restaurant, paying a transfer fee, signing a new franchise agreement, and other conditions in the franchise agreement. You may also have to comply with transfer provisions of the seller's lease. You may not achieve potential economies of scale until you have a number of Restaurants operating in the store development area and the timing and phasing of overhead and related expenses is critical to your early financial performance. You should have sufficient working capital to cover potential operating losses and development costs. In the past, Dunkin’ offered (and its predecessors entered into) franchises for both wholly owned and cooperatively owned CMLs in selected markets. We may pursue opportunities to convert similar businesses operating under different trade-names to one of our systems. We may provide conversion incentives to those businesses. The terms of conversion incentives vary depending on factors such as the number of outlets to convert, perceived competitive advantage of the outlets, their location, physical condition and age, length of remaining occupancy and franchise rights, rent, the outlets' production or satellite capability, access, visibility, demographic profile, hours of operation, operating history, the prices and terms on which comparable outlets have been sold in the market, our then current conversion policy, the negotiations of the parties, among others. We may offer a “Contract for Development and Construction” (the “CDC”) (in addition to our standard form of Franchise Agreement and related contracts) in certain markets and to prospective franchisees that we determine are qualified for this purpose. Under the terms of a CDC, among other things: (1) we would assume your obligation to pay for the initial cost of constructing your Restaurant, as specified in the CDC; (2) we would lease (or sublease) the Restaurant premises (the “Premises”) to you (as described in the CDC); and (3) you would pay us rent under the lease or sublease, which would include, among other things, payment for the expenses we incurred related to the construction and/or build out of the Premises. Please see the CDC for additional terms and information.
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Franchimp Summary Rating
5/10
Earning Transparency
7/10
Franchise Attrition
6/10
Investment Accessibility
2/10
$1,389,594 / unit
Average Revenue During 2019Quick Service Restaurants (QSR)
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Upfront Franchise Fees
Minimum: $28,300 Maximum: $34,250
Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.
These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.
While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.
Total Investment Costs
Minimum: $307,400 Maximum: $622,600
Ongoing Fees
Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.
These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.
Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.
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