Duck Donuts Holdings, LLC Franchise
Cost, fees, owner earnings, closure rate and litigation for a Duck Donuts Holdings, LLC franchise — pulled from the franchisor's own public FDD (2026), not its sales material.
Disclosure honesty
Duck Donuts Holdings, LLC discloses earnings (Item 19) — but the grade is how honestly. We graded it C.
What their own earnings claim actually says
2025 gross sales data for 105 franchised + 1 affiliate outlet open full year. Top 25%: $792,989; Middle 50%: $466,950; Bottom 25%: $306,498. Cherry-picking: excluded 42 outlets, 6 food trucks, 1 arena, 16 international.
What a Duck Donuts Holdings, LLC franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $40,000 | Item 5 — paid up front, before you open |
| Royalty | 6% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 3% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 9% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $394,150 – $628,700 | Item 7 — franchisor's own low/high estimate |
Royalty 6%, Brand Fund 2-3%, Local Marketing 1%, Digital Transaction $0.61/order, $150/mo tech, $250/mo POS.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Duck Donuts Holdings, LLC system size and owner turnover
| Total outlets | 146 |
| Ceased operations | 14 |
| Terminated by franchisor | 6 |
| Transferred to new owners | 16 |
| Closure rate | 9.6% of outlets |
14 ceased operations in 2025; 6 terminations; closure rate elevated.
From Item 20 of the FDD 2026. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is Duck Donuts Holdings, LLC worth it? — how it compares to 32 similar franchises
| Ongoing fees | 9% of sales | steeper than 63% of coffee & donuts franchises |
| Startup cost | from $394,150 | about average (median $350,000) |
| Disclosure honesty | Grade C | typical for the category |
| Closure rate | 9.6% of outlets | worse than 66% of peers |
| Disclosed lawsuits | 1 | more litigious than 75% of peers |
Benchmarked against every coffee & donuts franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.
Owner take-home for a Duck Donuts Holdings, LLC
The franchisor's framing: 2025 gross sales data for 105 franchised + 1 affiliate outlet open full year. Top 25%: $79… We reconstruct what an owner actually keeps, from their own FDD.
- Reconstructed owner P&L — net take-home after royalty, ad fund, rent, labor & debt
- Break-even timeline + cash-on-cash ROI
- Full fee stack + required-purchase markups
- Decoded real failure / closure rate
- How it ranks vs comparable franchises
- Validation-call playbook — the exact questions to ask
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Duck Donuts Holdings, LLC franchise — frequently asked
- How much does a Duck Donuts Holdings, LLC franchise cost?
- The FDD lists a total initial investment of about $394,150–$628,700, including a $40,000 initial franchise fee.
- How much do Duck Donuts Holdings, LLC franchise owners make?
- 2025 gross sales data for 105 franchised + 1 affiliate outlet open full year. Top 25%: $792,989; Middle 50%: $466,950; Bottom 25%: $306,498. Cherry-picking: excluded 42 outlets, 6 food trucks, 1 arena, 16 international. We grade this disclosure C for honesty.
- What are the Duck Donuts Holdings, LLC franchise fees?
- Duck Donuts Holdings, LLC's FDD discloses a $40,000 initial franchise fee, a 6% royalty on gross sales, a 3% advertising-fund contribution, for roughly 9% of gross sales in recurring fees before rent, labor, or debt service. Royalty 6%, Brand Fund 2-3%, Local Marketing 1%, Digital Transaction $0.61/order, $150/mo tech, $250/mo POS.
- What is the Duck Donuts Holdings, LLC franchise profit margin?
- Duck Donuts Holdings, LLC does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: 2025 gross sales data for 105 franchised + 1 affiliate outlet open full year. Top 25%: $792,989; Middle 50%: $466,950; Bottom 25%: $306,498. Cherry-picking: excluded 42 outlets, 6 food trucks, 1 arena, 16 international. Recurring fees alone take about 9% of gross sales, before rent, labor, food or debt service. Margin has to be reconstructed from the disclosure, not read off it.
- What is the Duck Donuts Holdings, LLC franchise failure rate?
- 14 ceased operations in 2025; 6 terminations; closure rate elevated.
- How many Duck Donuts Holdings, LLC locations are there?
- Duck Donuts Holdings, LLC's FDD reports 146 total outlets, with 14 that ceased operations in the most recent reporting year and 16 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Duck Donuts Holdings, LLC have complaints or lawsuits?
- Duck Donuts Holdings, LLC discloses 1 legal matter in Item 3 of its FDD. Item 3 covers the franchisor's litigation history, which is the closest thing to a public record of how it treats franchisees — read the case descriptions, not just the count.
- Is a Duck Donuts Holdings, LLC franchise worth it?
- It depends on the numbers, not the pitch. Duck Donuts Holdings, LLC scores C on disclosure honesty, carries about 9% of sales in ongoing fees, and discloses 1 legal matters. Get the real owner take-home before you sign.
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Source: WI DFI Franchise Registration (2026). FranchiseValidate is independent and not affiliated with Duck Donuts Holdings, LLC or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.