1. business and industrial

Baked Fresh Daily Since 1959
Why not
Franchise?
ity
n
opportu
One is Good,
Two is Better
Buy ONE
TWIN
DONUT
Franchise
Store
and get
the second
Franchise
Store
*
FREE
*Restrictions apply.
Opp
y
t
i
n
u
t
r
o
One Is Good, Two Is Better
Who doesn’t love donuts? It’s an industry that generates more than 12 billion
dollars a year and stands second only to bread in total baked goods sales.
That’s a lot of donuts!
As a franchisee with Twin Donut you get your chance to turn donuts into dollars.
A proven, successful brand with over 50 years in the donut and coffee business,
Twin Donut Inc. is well-suited to introduce franchisees to this fast-paced and
highly profitable industry.
We have a very simple formula for success. Produce a very high quality product,
sell it at a reasonable price, and establish a rewarding experience for our
customers. All packaged into a simple, repeatable model that franchisees can
quickly implement. Our goal is to help you be as successful as possible and give
you the freedom to adapt to your local market.
The Best of Both
Retail Worlds
Owning a Twin Donut franchise is the ticket to the best of both retail worlds–
owning your own business and operating as part of a larger, proven system.
As a business owner, it’s a chance to put to good use your entrepreneurial skills.
What you get out of your business in the form of personal satisfaction, financial
gain, stability and enjoyment will be the sum of what you put into your business.
As a Twin Donut business owner, you can take advantage of over 50 years of
experience and development of a proven brand and sales system, dramatically
lowering your risk over going it alone. Additionally, our ongoing training and
support is always there to promote your continued success, well into the future.
Every Day Is
B G
Day at Twin Donut
More than
10 billion donuts
are made in the
United States
every year
Twin Donut–
Proven and Successful
Twin Donut is dedicated to helping aspiring entrepreneurs start their own
businesses. We take pride in giving our franchisees unprecedented freedoms
in food, equipment, and store location selection. We will never burden a
franchisee with unnecessary or overpriced obligations.
• Established brand Twin Donut is a coffee and donut retailer founded in
1959 by George Psathas in Boston, Massachusetts. Since1960, we have been
licensing franchises primarily in the New York tri-state area. Though freshbaked donuts and great-tasting coffee are a staple of the Twin Donut menu,
over the years we expanded into hot breakfast, hot and cold lunch items,
appetizing baked goods and more.
2
What it Takes to Be a
Successful Twin Donut
Franchisee
Is Twin Donut right for me?
There are a wide variety of franchises available and you need to be sure that
our business matches your personality, goals, and resources. Buying into a
franchise is a major commitment, both financially and physically, and you need
to be 100% vested into making it a success.
• Work required Buying a franchise does not mean that the business
will grow and be successful on its own. A successful Twin Donut franchisee
must be willing to work hard. There is no easy way to make a business or
franchise a success. All startup businesses are hard work, and starting a Twin
Donut franchise, while it has much less risk than a non franchise startup, is
still hard work.
• Investment A Twin Donut franchise requires an investment from
$200,000 to $1,000,000.
This breaks out as follows:
LICENSING FEE – The only donut franchise that offers a BOGO* on
franchise licenses. What better way to get a foothold in your region.
• Buy one full-production store franchise including a full bakery
to produce donuts, and open a second full-production store
franchise at no additional licensee fee cost.
• Buy one satellite store franchise which does not include a full
bakery but needs to be close to a full-production store, and open a
second satellite store franchise at no additional licensee fee cost.
*Restrictions apply.
CONSTRUCTION COSTS
• Estimated $150,000 to $700,000 depending on location, type of
store, architectural and engineering costs, and build-out.
• Ongoing fees
ROYALTY
• 6% of gross sales, per store/paid weekly
MARKETING FUND The fund is administrated by Twin Donut to
create marketing materials and advertising programs to grow and
promote the brand, with the goal of driving customers to your store.
• 4% of monthly gross sales
• Local store marketing Twin Donut will produce regional advertising
programs and supply each store with marketing materials. A successful
Twin Donut franchisee looks for ways to promote his/her store within
their community. We recommend all franchisees allocate at least 1% of
their gross monthly sales toward this activity.
Contact us for details.
3
Are You Right For
Twin Donut?
We want our franchisees to be extremely successful. As the brand grows
and expands, your investment grows in value. To that end, selecting qualified
franchise owners benefits all franchise owners.
Here’s What We Look For:
• Assets One of the major causes of failure for a startup is undercapitalization. Franchisees need flexibility to respond to unforeseen
challenges and opportunities. We encourage partnerships and under
certain circumstances, we will accept combined capital.
- $150,000 liquid capital
- $500,000 net worth
• Strong work ethic We look for full-time commitment of the franchisee’s
time and resources. Although some franchise companies allow absentee
ownership, we believe that success comes from being immersed in your
business. There will always be conflicts that arise in the day-to-day operations,
so we look for individuals with conflict- and problem-solving skills.
• Willingness to follow the franchise system Contrary to popular
belief, a successful franchisee is not someone who wants to invent their own
way of doing things. We have developed a very successful product and system
over 50 years and we expect our franchisees to enthusiastically follow the
plan. Successful franchisees want proven systems of operation—a blueprint
for the best way to do anything associated with the business—and they are
willing to learn from others to avoid making mistakes so they can be more
successful, quickly.
• Experience If a franchisee is willing to follow our plan, it isn’t critical that
they have food service, accounting, or marketing experience. We will provide
the training and support.
• Business plan Planning is essential to success. Even though we provide a
very detailed process and plan to operate a successful business, we expect
our franchisees to develop a thorough business plan and update it regularly.
A business plan will also aid the franchisee in securing financing.
Coffee is really a
fruit; coffee beans
are actually the pits
of berries.
4
Several Operational
Models to Match Your Needs
Not all prospective franchisees are interested in the same type of store.
At Twin Donut, we offer three types of operations.
FULL-PRODUCTION STORE These stores have a complete bakery
operation that can be used to produce donuts on-site. They require a
larger facility.
SATELLITE STORES These stores offer all the same food items as a fullproduction store but the donuts are produced at a central full-production
store and delivered fresh-baked each day. These stores can be much smaller.
KIOSK – These stores are similar to a satellite store with a more limited
menu. Built in specialized locations such as malls, airports, shopping centers,
and shared-use stores.
• Proven, successful concept and systems Offering Twin Donut
franchises allows entrepreneurs the opportunity to start their own
businesses but lower the risk of startup by utilizing a proven business model.
These systems have developed over 50 years and ensure the customer
consistent quality, no matter what Twin Donut they visit, while maximizing
success for the franchisee. For the franchisee to succeed, Twin Donut must
maintain their franchise image and marketing presentation.
OPERATIONS We provide a complete system of operation including
food preparation, rotations, storage, display and maintenance.
PRODUCTS We are constantly striving to provide new and exciting
menu items while maintaining consistency with our popular classics.
PHYSICAL FACILITIES All aspects of the physical facility have been
optimized for maximum effectiveness, including store layout, traffic
patterns, design, furniture and fixtures. Twin Donut has a standard store
furniture and fixture package that will not be altered. A store package
includes all kitchen and production machinery and equipment; chairs and
tables; countertops and seating; donut displays; and coffee machines.
5
PRICING Franchisees own their own businesses and are allowed to set
their own prices. However, Twin Donut has been marketing donuts for 50
years and has a very clear insight into pricing strategies; we highly suggest
franchisees follow our price recommendations.
POS SYSTEMS We specify state-of-the-art point-of-sale systems that
allow franchisees to track all aspects of business, including sales, inventory,
payroll, and marketing.
HUMAN RESOURCES Managing a Twin Donut franchise is closely linked
to managing people. To assist you in this area, we have clear and precise
methods for recruiting, hiring and retaining dedicated employees and a full
plan on how to handle all personnel issues.
LOCAL STORE MARKETING PLAN Most franchisees are not marketing
experts. Creating and maintaining an effective local marketing program is
key to your success. Twin Donut has developed a full package of materials,
guidelines and plans that can be adapted to your unique needs. Through
our contacts with professional marketing companies, we will help guide you
through the process of building the Twin Donut brand in your community
and drive business to your store.
APPROVED VENDORS We require all franchisees to order food, paper,
and plastic items from an approved vendor. This ensures that all Twin Donut
stores have the best quality possible while allowing maximum savings. Upon
approval, Twin Donut may also allow franchisees to offer certain products
that can only be found in their particular market.
What is a Twin Donut BOGO?
Twin Donut BOGO
• TWIN DONUT offers BUY ONE Donut,
Get the SECOND Donut FREE–Every Day!
• Buy 1 dozen donuts, get a baker’s dozen (13).
• Buy 2 dozen donuts, get 26.
• BOGO Donut offer is not available for other foods or drinks.
Twin Donut Franchise BOGO
• Twin Donut offers a BUY ONE Franchise and Twin Donuts will waive the
Franchise License Fee for a second franchise.
• Franchise fee for second franchise must be equal or less than original
franchise fee.
• All other fees apply.
• Franchise must be purchased within 6 months of original franchise
purchase to receive the discount.
• The Twin Donut Franchise BOGO discount cannot be shared,
distributed, sold or exchanged.
• Discount is only available to the original franchise purchaser/licensee.
• One time only.
• Restrictions apply.
National Twin Day
is August 4-5.
Two days!
6
Ten Steps to Ownership
1. Complete the confidential application After a preliminary
interview, if you wish to proceed with our process. We will forward an
application to you to complete. There is no obligation on your part for
completing and submitting this application.
If you have any questions regarding any section of the application, please
contact us. You may return your application through email, postal mail, or fax.
Be sure to complete the entire application to the best of your ability.
You will need to return the original application to our office signed by you,
your partners, or authorized persons of your company. If you are applying to
be an area developer, please provide information on your operating company
and your partners in a separate document and forward it to our office.
2. Review of application by Twin Donut and initial approval
A company representative will review your application to ensure you meet
the basic requirements to own a Twin Donut franchise.
3. Store meeting If you are initially approved, we will arrange a store
meeting. At this meeting, you will have an opportunity to try out all our
products and receive an initial view into our operations. In addition, we will
provide you with the Franchise Disclosure Document (FDD). This is an
official, government-regulated document that discloses extensive information
about the franchisor and the franchise organization, which is intended to give
the potential franchisee enough information to make educated decisions
about their investments.
4. Review of FDD by prospective franchisee There is no cost
to you or obligation by you to receive our FDD. You need to thoroughly
review the FDD and should have an attorney and/or accountant review it
as well. You will need to acknowledge receipt of the Twin Donut FDD by
signing and notarizing the receipt at the end of the FDD before we can
have further discussions.
5. Arranging for financing While the final application process is being
reviewed, we recommend you begin searching for an initial capital source
to build and operate your first store. You should have at least 35% of the
capital required in liquid assets to finance your store. Twin Donut does
offer qualified franchisees potential financing opportunities.
7
The biggest
donut ever made
was 16 feet long
and 16 inches tall
6. Training at New York City training store Upon acceptance
of your application, you will need to come to our operations training
store in New York City. At this meeting, you will meet the owners and
executive staff of Twin Donut; tour the facility and taste products; and
receive comprehensive training on all operations and systems.
7. Site selection All site selections are made by the franchisee through
your own resources in your local market and must be presented to Twin
Donut for approval. Drive-thrus are preferred as they increase business
opportunities and provide high traffic visibility.
8. Store construction Although Twin Donut will provide support and
consultation, the store construction is managed and overseen by the
franchisee. You will have to hire a local architect and all plans must meet all
local laws and standards and need to be approved by Twin Donut.
In addition, you must use bonded, licensed, insured contractors that provide
written proposals that must be approved by Twin Donut. Once the plans
have been approved, the store must be built and operational within 90 days.
9. Site approvals Before the store can begin operations, the franchisee
must obtain a Certificate of Occupancy.
10. Grand opening plan The first few weeks of a store’s life is critical to
its success. To help franchisees implement a successful launch, Twin Donut
provides a step-by-step grand opening plan along with predesigned grand
opening marketing materials.
8
Frequently Asked Questions
Q: Where are franchises available?
A: It is important that all stores are somewhat in proximity to each other to
maximize purchasing, delivery and marketing efficiencies. We are currently
looking for franchisees in the following states:
• New York • New Jersey • Connecticut
Q: What’s the basic franchise fee to own a Twin Donut location?
A: That depends on the type of store. Please contact us for more details.
Q: Does Twin Donut provide training for managing and
operating a store?
A: Yes, we provide extensive training at our corporate store in New York City.
Q: What is a Franchise BOGO and how does it work?
A: A Franchise BOGO is our offer to new franchisees. Contact us for details.
Q: Does Twin Donut provide ongoing training and support?
A: Yes, our commitment to you is to be your ongoing business consultant
Q: How much money can I make owning a Twin Donut store?
A: We are not permitted to forecast store sales volume or net profit from
stores as stipulated in the FDD. Much of the success of any store depends on
the effort put into it. To help you understand the potential of a Twin Donut
franchise, we would be happy to refer you to the performance of other stores.
Q: Do I order my supplies from Twin Donut vendors?
A: To maintain quality and maximize purchasing discounts, all food, paper and
plastic items are purchased through our approved vendors.
Q: What are the basic financial requirements?
A: $150,000 liquid assets
$500,000 net worth
Q: What does it cost to build a Twin Donut store?
A: These costs can vary significantly, depending on size and other factors.
Q: Do I hire my own contractors?
A: Yes., however, all contractors must meet our criteria and experience level.
Q: How much is the royalty fee?
A: 6% of gross sales, per store/paid weekly
Q: How much is the marketing and advertising fee?
A: 4% of gross sales, per store/paid monthly
Q: How is the marketing and advertising fee used?
A: All funds are administered by Twin Donut and are used to expand the brand
and provide marketing support such as in-store marketing materials, signage,
social media programs, regional advertising campaigns and PR programs.
9
Q: Do I have to have food service experience to be become a
Twin Donut franchisee?
A: No, however, we strongly encourage you to hire staff that has extensive
food service experience.
Q: Does Twin Donut permit franchisees to offer local
food products?
A: Twin Donut is always open to your suggestions. Offering local food
products must be approved in advance by Twin Donut.
For more information, contact us at
914-779-7100 or info@twindonut.com
The record for
most donuts eaten
at one sitting is
49 glazed donuts in
8 minutes.
We Want You to Succeed
• Training To ensure your success, Twin Donut has a comprehensive
training program that covers all aspects of management, operations,
marketing, and human resources.
• Ongoing support As a Twin Donut franchisee you will have complete
access to the corporate management team for ongoing business consultation
and performance analysis. You are never left on your own to find your own
way. We want you to be successful and we will be there with you at
every step.
• Commitment to growth Expansion Plans – As a Twin Donut franchise
owner, you are part of a growing chain of stores. We look for franchisees
that will help us grow in existing and new markets. Our goal is to double
our stores within 1 year and reach 100 stores within 5 years. Of course, the
larger the network of stores, the more recognizable our brand will become,
which ultimately helps drive more customers into your store.
• Professional marketing program We have employed a professional
advertising agency with extensive experience in food service to help us grow
our brand and provide our franchisees with effective marketing tools.
From in-store merchandising and social media programs to regional advertising
campaigns and public relations, Twin Donut is creating stand-out marketing
programs that will distinguish us from our competition.
10
Baked Fresh Daily Since 1959
For more franchise information
914-779-7100 or
info@twindonut.com
35 East Grassy Sprain Road
Yonkers, New York 10710
p: 914.779.7100 f: 914.779.2426
twindonut@twindonut.com
FRANCHISE APPLICATION
This Application does not obligate you in any way, nor does it constitute an Agreement by which Twin Donut is
obligated to grant you a franchise.
Name: _____________________________________________________________________________________________________________
Address: ___________________________________________________________________________________________________________
City: _________________________________________ State: _______ Zip:_____________ How many years at address?: __________
Telephone Number (Day): _____________________ (Evening): ___________________ E-mail: ________________________________
Previous Address: ___________________________________________________________________________________________________
Social Security Number: ____________________________ DOB: __________________ Place of Birth: __________________________
US Citizen?: _______________________ If not what is your immigration status: _____________________________________________
Marital Status: ___________________ Spouses Name: ____________________________________ Number of Dependants:_______
Education: High School: _____________________ College/University: _________________________ Degree: __________________
Present Occupation: _______________________________________________________________________________________________
Firm Name and Address: ____________________________________________________________________________________________
Dates of Employment: _____________________________ Position and Responsibilities: ____________________________________
____________________________________________________________________________________________________________________
Previous Experience:
1. Firm Name and Address: __________________________________________________________________________________________
Dates of Employment: _______________________________ Summary of Duties: ____________________________________________
____________________________________________________________________________________________________________________
2. Firm Name and Address: __________________________________________________________________________________________
Dates of Employment: _______________________________ Summary of Duties: ____________________________________________
____________________________________________________________________________________________________________________
3. Firm Name and Address: __________________________________________________________________________________________
Dates of Employment: _______________________________ Summary of Duties: ____________________________________________
____________________________________________________________________________________________________________________
Have you ever been self-employed?: _______________ If yes, please explain: ___________________________________________
____________________________________________________________________________________________________________________
Dates: __________________ Have you ever had a business partner?: ____________________________________________________
Have you ever filed for bankruptcy?: _________________ Chapter 7?: __________________ Chapter 11? __________________
Has any business owned or operated by you been adjudged bankrupt?: _____________________________________________
Continued on next page
Are you an officer or partner in any other business? If so please explain: _______________________________________________
____________________________________________________________________________________________________________________
Have you ever purchased or been involved with a franchise?: ________________________________________________________
How involved do you plan to be with this franchise opportunity?: _____________________________________________________
Do you have an operator available to manage your franchise?: ______________________________________________________
Do you or your operator have any relevant experience?: _____________________________________________________________
Do you have any equity partners? If so what percentage?: ___________________________________________________________
How many stores are you considering investing in?: ____________ Any specific areas?: __________________________________
What kind of Return on Investment would you like to see?: ____________________________________________________________
When will you be ready to begin operating your franchise?: __________________________________________________________
How did you hear about Twin Donut?: _______________________________________________________________________________
PERSONAL FINANCIAL INFORMATION
ASSETS:
LIABILITIES:
Cash on hand
_______________________________
Securities
_______________________________
Value of profit
_______________________________
Mortgages
_______________________________
Home
_______________________________
Personal items
_______________________________
Autos
_______________________________
Real estate
_______________________________
Other real estate _______________________________
Installment loans
_______________________________
Business
________________________________
Other liabilities
_______________________________
Other assets
________________________________
_______________________________
________________________________
_______________________________
Total Assets:
________________________________
Notes payable
_______________________________
_______________________________
Total Liabilities:
_______________________________
How much liquid capital do you have available for this investment?: _________________________________________________
What is your approximate net worth?: _______________________________________________________________________________
ALL INFORMATION CONTAINED IN THIS APPLICATION IS STRICTLY CONFIDENTIAL.
I (we) acknowledge Twin Donut’s right to investigate my (our) personal and financial background.
Twin Donut acknowledges my (our) right to disclose their investigative results to me (us).
DATED: ____________________ I (we) swear that the information supplied on this application is true and accurate to the
best of my (our) ability.
Signed by: _________________________________________________________________________________________________________
Print: _______________________________________________________________________________________________________________
©2014 Twin Donut Inc.
35 East Grassy Sprain Road
Yonkers, New York 10710
p: 914.779.7100 f: 914.779.2426
twindonut@twindonut.com
TEN STEPS TO OWNERSHIP
1. Complete the confidential application After a preliminary interview, if you wish to proceed with our process.
We will forward an application to you to complete. There is no obligation on your part for completing and
submitting this application. If you have any questions regarding any section of the application, please
contact us. You may return your application through email, postal mail, or fax. Be sure to complete the entire
application to the best of your ability. You will need to return the original application to our office signed by
you, your partners, or authorized persons of your company. If you are applying to be an area developer,
please provide information on your operating company and your partners in a separate document and
forward it to our office.
2. Review of application by Twin Donut and initial approval A company representative will review your
application to ensure you meet the basic requirements to own a Twin Donut franchise.
3. Store meeting If you are initially approved, we will arrange a store meeting. At this meeting, you will have an
opportunity to try out all our products and receive an initial view into our operations. In addition, we will
provide you with the Franchise Disclosure Document (FDD). This is an official, government-regulated
document that discloses extensive information about the franchisor and the franchise organization, which
is intended to give the potential franchisee enough information to make educated decisions about their
investments.
4. Review of FDD by prospective franchisee There is no cost to you or obligation by you to receive our FDD. You
need to thoroughly review the FDD and should have an attorney and/or accountant review it as well. You will
need to acknowledge receipt of the Twin Donut FDD by signing and notarizing the receipt at the end of the
FDD before we can have further discussions.
5. Arranging for financing While the final application process is being reviewed, we recommend you begin
searching for an initial capital source to build and operate your first store. You should have at least 35% of the
capital required in liquid assets to finance your store. Twin Donut does offer qualified franchisees potential
financing opportunities.
6. Training at New York City training store Upon acceptance of your application, you will need to come to our
operations training store in New York City. At this meeting, you will meet the owners and executive staff of
Twin Donut; tour the facility and taste products; and receive comprehensive training on all operations and
systems.
7. Site selection All site selections are made by the franchisee through your own resources in your local market
and must be presented to Twin Donut for approval. Drive-thrus are preferred as they increase business
opportunities and provide high traffic visibility.
8. Store construction Although Twin Donut will provide support and consultation, the store construction is
managed and overseen by the franchisee. You will have to hire a local architect and all plans must meet all
local laws and standards and need to be approved by Twin Donut. In addition, you must use bonded,
licensed, insured contractors that provide written proposals that must be approved by Twin Donut. Once the
plans have been approved, the store must be built and operational within 90 days.
9. Site approvals Before the store can begin operations, the franchisee must obtain a Certificate of Occupancy.
10. Grand opening plan The first few weeks of a store’s life is critical to its success. To help franchisees implement a
successful launch, Twin Donut provides a step-by-step grand opening plan along with predesigned grand
opening marketing materials.
©2014 Twin Donut
35 East Grassy Sprain Road
Yonkers, New York 10710
p: 914.779.7100 f: 914.779.2426
twindonut@twindonut.com
FREQUENTLY ASKED QUESTIONS
Q: Where are franchises available?
A: It is important that all stores are somewhat in proximity to each other to maximize purchasing, delivery and
marketing efficiencies. We are currently looking for franchisees in the following states:
• New York • New Jersey • Connecticut
Q: What’s the basic franchise fee to own a Twin Donut location?
A: That depends on the type of store. Please contact us for more details.
Q: What is a Franchise BOGO and how does it work?
A: A Franchise BOGO is our offer to new franchisees. Contact us for details.
Q: How much money can I make owning a Twin Donut store?
A: We are not permitted to forecast store sales volume or net profit from stores as stipulated in the FDD. Much of
the success of any store depends on the effort put into it. To help you understand the potential of a Twin Donut
franchise, we would be happy to refer you to the performance of other stores.
Q: What are the basic financial requirements?
A: $150,000 liquid assets
$500,000 net worth
Q: What does it cost to build a Twin Donut store?
A: These costs can vary significantly, depending on size and other factors.
Q: Do I hire my own contractors?
A: Yes, however, all contractors must meet our criteria and experience level.
Q: How much is the royalty fee?
A: 6% of gross sales, per store/paid weekly
Q: How much is the marketing and advertising fee?
A: 4% of gross sales, per store/paid monthly
Q: How is the marketing and advertising fee used?
A: All funds are administered by Twin Donut and are used to expand the brand and provide marketing support
such as in-store marketing materials, signage, social media programs, regional advertising campaigns and
PR programs.
Q: Do I have to have food service experience to be become a Twin Donut franchisee?
A: No, however, we strongly encourage you to hire staff that has extensive food service experience.
Q: Does Twin Donut provide training for managing and operating a store?
A: Yes, we provide extensive training at our corporate store in New York City.
Q: Does Twin Donut provide ongoing training and support?
A: Yes, our commitment to you is to be your ongoing business consultant
Q: Do I order my supplies from Twin Donut vendors?
A: To maintain quality and maximize purchasing discounts, all food, paper and
plastic items are purchased through our approved vendors.
Q: Does Twin Donut permit franchisees to offer local food products?
A: Twin Donut is always open to your suggestions. Offering local food products must be approved in advance
by Twin Donut.
For more information, contact us at 914-779-7100 or info@twindonut.com
©2014 Twin Donut