Donatos
Pizza, subs, salads
- 2023 Franchise 500 Rank
-
#171 Ranked #180 last year
- Initial investment
-
$392K - $751K
- Units as of 2022
-
170 7.6% over 3 years
Looking to grab a slice of a hot restaurant franchise opportunity? Donatos might be your chance!
Founded in 1963, Donatos is a pizza maker that has stood the test of time and strives to create consistently delicious pizza. There are several company-owned restaurants across the United States, as well as over 100 franchises. Since beginning to franchise in 1991, Donatos has developed a solid base of loyal customers in Alabama, Florida, Georgia, Illinois, Indiana, Kentucky, Michigan, Minnesota, North Carolina, Ohio, South Carolina, Tennessee, Vermont, West Virginia, and Wisconsin.
Why You May Want to Start a Donatos Franchise
Donatos prides itself on efficient kitchen layouts created in order to maximize sales. As you are planning your restaurant, you can choose add-on options like patios and drive-through windows to streamline your customer service. In addition, Donatos has a great app that makes placing orders as simple as possible. This creates a more enjoyable, faster experience for your clients.
The Donatos menu is continuously innovated in order to meet clients' trends and tastes, encouraging them to come back for more. You will also receive ongoing training and support from the franchise, providing you with a winning recipe and fresh ingredients for your pizza.
You can serve many clients within the Donatos' customer reach, whether they prefer to dine-in, pick-up, or have their pizza delivered to them. The drive-up window and catering during events are options for customers, as well.
What Might Make Donatos Franchise a Good Choice?
Donatos values franchisees who are invested in their communities. They look for franchisees with strong management skills and a passion for pizza and providing quality service. If you fall in this category, Donatos might be a place for you to set up shop.
To make sure you meet the financial requirements for opening a Donatos franchise, be sure to have a secured net worth and liquid capital on hand. Also, be prepared to make an initial investment that will include a franchise fee and additional startup costs. You should be willing to open multiple restaurant locations from the start as a part of your franchise.
Included in the franchise fee is access to the Donatos systems, technology, operational support, building plans, and your own training. The ongoing fees you will pay are a royalty fee, advertising fee, and a National Marketing Fund contribution, which will usually come out of a small percentage of your net sales.
How Do You Open a Donatos Franchise?
During the process, you will have the opportunity to speak to a Donatos Franchise Development team member and get information to guide you in your business decisions. You will likely attend a program review webinar to brief you on the Donatos franchise opportunity, company culture, market, and finances. This is the perfect opportunity to talk about franchise availability in your area, the number of locations you want to open, and the experiences of other franchisees.
The company will invite you to a discovery day at Donatos' headquarters in Columbus, Ohio. This will let you meet the operations team and get hands-on experience at a local Donatos restaurant. If you qualify, you can sign a franchise development agreement and pay the franchise fee.
After this, voilà! You are an official Donatos franchisee! The only thing you'll have left to do is to plan your grand opening.
Company Overview
About Donatos
Business Overview
- Franchising Since
- 1991 (2023-1991 years)
- # of employees at HQ
- 85
- Where seeking
-
This company is offering new franchisees in the following US states: Alabama, Florida, Georgia, Illinois, Indiana, Kentucky, Michigan, Minnesota, North Carolina, Ohio, Pennsylvania, South Carolina, Tennessee, Virginia, Wisconsin, West Virginia
- # of Units
- 170 (as of 2022)
Information for Franchisees
Here's what you need to know if you're interested in opening a Donatos franchise.
Financial Requirements & Ongoing Fees
Here's what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.
- Initial Franchise Fee
- $30,000
- Initial Investment
- $391,500 - $750,747
- Net Worth Requirement
- $1,000,000
- Cash Requirement
- $200,000
- Royalty Fee
- 4%
- Ad Royalty Fee
- to 5%
- Term of Agreement
- 20 years
- Is franchise term renewable?
- Yes
Financing Options
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
- Third Party Financing
- Donatos has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll
Training & Support Offered
Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.
- On-The-Job Training
- 306 hours
- Classroom Training
- 4 hours
- Ongoing Support
-
Purchasing Co-opsNewsletterMeetings & ConventionsGrand OpeningOnline SupportSecurity & Safety ProceduresField OperationsSite SelectionProprietary SoftwareFranchisee Intranet Platform
- Marketing Support
-
Co-op AdvertisingAd TemplatesNational MediaRegional AdvertisingSocial MediaSEOWebsite DevelopmentEmail MarketingLoyalty Program/App
Operations
Additional details about running this franchise.
- Is absentee ownership allowed?
- No
- Can this franchise be run from home/mobile unit?
- No
- Can this franchise be run part time?
- No
- Are exclusive territories available?
- Yes
Interested in ownership opportunities like Donatos? Request a free consultation with a Franchise Advisor now.
Franchise 500 Ranking History
Compare where Donatos landed on this year's Franchise 500 Ranking versus previous years.
Additional Rankings
Curious to know where Donatos ranked on other franchise lists? Find out below.
Ranked #171 in 2023
Entrepreneur’s 44th annual Franchise 500® ranking shines a light on the unique challenges and changes that have shaped the franchise industry over the last year—and how franchisors have adapted and evolved to meet them.
Ranked #6 in Pizza in 2022
Our annual list of the top restaurant and other food franchises, divided up by category, is the perfect place to start if you’re craving a food-based business opportunity.
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