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How to Start a Dixie cream donuts franchise – Cost, Fee, & Profit

Are you Interested and looking for a Food and Beverages franchise – Dixie Cream Donuts? Starting a Dixie Cream Donuts franchise will be the best option and would certainly conclude your research for same.

In this guide, we’ll dive deep into the Dixie Cream Donuts franchise with capital requirements, fee, profit, and step-by-step guidelines to get this franchise – and answer some common questions about the chain.

Dixie Cream Donuts Franchise
  • Franchise Fee: $25000
  • Liquid Capital Required: $80000
  • Floor Area: 1500 -2100 sq. ft.
  • Royalty Fee: 6% of Gross sales less sales tax
  • Franchisee Period: 20 Years
  • Total Initial Investment: $146,000 and $413,000

Overview of Dixie Cream Donuts Franchise

Dixie Cream Donuts Franchise cost

Established in 1929, Dixie Cream Donuts is one of the renowned and rapidly growing donut chains in the US. With the expertise of over eighty-plus years in this industry and through serving a variety of delicious donuts and other beverages, this chain has been able to acquire significant market share in the Food and beverage industry- Especially in the Donut segment- as well as expand exponentially across several cities in the United States.

Who doesn’t love Donuts? Everyone does, right? The food and beverage industry has been experiencing tremendous growth in the past few years thanks to a rise in disposable income, frequent eating out habits, and many more.

Dixie Cream Donuts franchise is primarily known to serve items like varieties of Donuts, sandwiches, coffee, beverages, and much more.

The chain has a wide presence across multiple cities in the United States, Saudi Arabia, and Egypt. Furthermore, their robust expansion plan to go internationally would help the interested prospects to join this rapidly growing chain.

Please continue reading if you are passionate about Food and Beverages franchises & this little snippet about the Dixie Cream Donuts franchise excites you.

We will offer comprehensive and well-researched information regarding the Dixie Cream Donuts franchise, along with its price, fees, profit margin, and—most importantly—the reason “Why” you need it.

Dixie Cream Donuts Menu

Below is the range of products that Dixie Cream Donuts caters to,

  • Variety of Donuts
  • Deli-Style Sandwiches
  • Coffee
  • & Other Beverages
Dixie Cream Donuts logo

The Journey of Dixie Cream Donuts Chain

It is one of the oldest bakery brands with a special donut recipe that combines the best ingredients for a soft but flaky flavor. To become one of the most well-known food businesses in the US, it set out on a quest in 1929 to deliver the highest-quality donuts. Daylight Donut Flour Company purchased this brand later in 2005, and in 2009, it joined BBI (Beautiful Brands International) to grow the chain internationally through franchising.

Benefits of Owning a Dixie Cream Donuts Franchise

There could be several benefits of owning a Dixie donuts franchise. However, we will point out some of the major reasons in favor of Dixie Cream franchise.

  • As mentioned earlier, the chain has a wide presence of retail stores across multiple cities in different countries, making it one of the most demandable and branded stores. It would also help new franchisee holders to grab their market share and earn profit in no time.
  • Their expertise and experience of over eighty years would help new franchisee owners to grab the business fundamental seamlessly and add value to the chain, enabling them to understand consumer needs and innovate its menus.
  • The chain is known to offers a range of delicious donuts and having expertise in single product will help them to marketize its food to target consumers.
  • Additionally, the franchise has a loyal customer base, which helps them generate regular and profitable sales.
  • The chain’s partner brand, BBI, has a strong franchise and business network, which aided its international expansion.

Read more: Other QSR franchise

Dixie Cream Donuts Franchise Cost

Dixie Cream chain is actively seeking qualified applicants across the globe to develop between 3-10 locations, and at present, they aren’t offering single franchise opportunities. Despite this, franchises are available for non-traditional locations or small markets without other Dixie retail units nearby.

Dixie Cream Donuts Franchise Fee

The chain does charge an initial license fee of $25000 for the Dixie Cream Donuts franchise. Furthermore, the total initial Investment to setup a Dixie Cream donuts outlet will be between $146,000 and $413,000 for an In-line restaurant of approximately 1500-2100 sq. ft.

Cost Break up & On-going expenses

Types of CostCost and its description
Franchise Fee$25000
Liquid Capital Required$80000
Floor Area1500 -2100 sq. ft.
Royalty Fee6% of Gross sales less sales tax
Franchisee Period20 Years
Total Initial Investment$146,000 and $413,000

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Dixie Cream Donuts Franchise Profit Margin

There isn’t much information available on its profitability. Nevertheless, assessing its growth, brand presence through global expansion, and expertise would help franchisee owners to make good chunks of profit from this chain.

Furthermore, Based on our assumption, one may anticipate a gross profit margin of over 30% and a net profit margin of 12-15% with a payback period of 24-36 months.

Dixie Cream Donuts Franchise Support

Owning and running a franchised outlet without the brand’s support might burden the unitholders but No worries!!. Dixie franchise team offers extended support to its franchisee to operate hassle-freely.

The franchising process entails phases such as choosing an appropriate location, designing, purchasing equipment, building, decorating, and other essential support. Depending on the stores’ availability in the area, the complete application procedure may take 45 to 60 days.

Below are the details of a few prominent support offered by the chain;

  • Site Planning and designing.
  • Fixtures, equipment, and leasehold improvements.
  • Assistance with lease negotiations and site selection.
  • Corporate Training support for Owner/Operator and other key members.
  • Kitchen/back of the house workflow design.
  • On-going updates on profitability.
  • Products with high industry demands.
  • Favorable National Contracts for suppliers of goods and services.
  • Operating manuals, policies, procedures, and business management systems.

How to Get a Dixie Cream Donuts Franchise

Please follow the below steps to own a Dixie cream Donuts outlet.

  1. Visit their official website, the highlighted link will navigate you to the franchising page.
  2. Call on 888-66-DIXIE or 888-66-34943.

For further processing, a franchise agent will get in touch with you. Please be aware that the chain does provide a franchising option according to your financial situation and provides financial support if necessary.

Conclusion

Considering its development potential, brand recognition, and more than 80 years of experience in this sector, opening a Dixie Cream Donuts franchise will prove profitable to the interested aspirants.

Furthermore, The chain is also seeking qualified applicants from other parts of the globe, which would help them to expand globally and interested candidates to join in the ever-growing industry.

With an Initial investment of $146,000 and $413,000 and franchise fee of $25000, Dixie cream donuts offers a reasonable profit margin to its unitholders.

Good Luck!! Happy Franchising!!

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FAQ

  1. How much does the Dixie Cream Donuts franchise cost?

    Ans: To setup a Dixie Cream Donuts outlet, one would need to require a investment of $146,000 and $413,000 as a total Initial cost.

    Franchise Fee: $25000
    Liquid Capital Required: $80000
    Floor Area: 1500 -2100 sq. ft.
    Royalty Fee: 6% of Gross sales less sales tax
    Franchisee Period: 20 Years
    Total Initial Investment: $146,000 and $413,000

  2. Is Dixie Cream Donuts franchise profitable?

    Ans: Definitely, Yes! Considering Dixie cream’s global presence, rapid expansion plan, and expertise would add value to the chain and ultimately help the interested aspirants to be a part of the specialized food industry.

  3. How much does Dixie Cream donuts owners make?


    Ans:
    Numerous variables, including location (city and nation), might affect the unit’s profitability. However, if you have the intention to build a business on a busy street in your city with the necessary funding, no one can stop you from being successful.

  4. What is the term period for Dixie Cream franchise?

    Ans: Currently, the chain is seeking qualified applicants across the globe to develop at least three locations and the term period for the same will be for 20 years.

FranchiseGoal Admin
FranchiseGoal Adminhttps://franchisegoal.com
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