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Below is an in-depth analysis and side-by-side comparison of Cinnamon City vs Factory Donuts including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $79,900 - $119,900 | $213,300 - $341,300 |
Franchise Fee | $25,000 | $20,000 |
Royalty Fee | 6% | 5% |
Advertising Fee | - | 2.5% |
Year Founded | 1992 | 2017 |
Year Franchised | 1996 | 2017 |
Term Of Agreement | 5 years | 10 years +10 |
Term Of Agreement | 5 years | 10 years +10 |
Renewal Fee | - | - |
Business Experience Requirements |
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Experience | - | |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | -/- |
Start-up Costs | No/No | -/- |
Equipment | No/No | -/- |
Inventory | No/No | -/- |
Receivables | No/No | -/- |
Payroll | No/No | -/- |
Training & Support |
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Training | - | - |
Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Field operations/evaluations | - |
Marketing | Co-op advertising, Ad slicks, National media, Regional advertising | - |
Operations |
Number of employees needed to run franchised unit: 4 Absentee ownership of franchise is allowed. (90% of current franchisees are owner/operators) | Most Factory Donuts will employ 10-20 employees |
Expansion Plans |
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US Expansion | - | Yes |
Canada Expansion | No | - |
International Expansion | Yes | - |
Factory Donuts is more than just a business of making great tasting donuts and coffee. It’s a culture. At Factory Donuts you will be part of a family; whether it’s as an employee or as a franchise partner. The founders' background and their beliefs for a well operated, highly efficient, and value oriented business strategy make Factory Donuts a stand out business model that others strive to be.
The business model at Factory Donuts is about simplicity and efficiency. Donuts are a billion dollar industry and growing. The idea of a fresh, made to order donut along with premium coffee drinks is a segment that Factory Donuts will fill.