Hurts Donut Franchise
Cost, fees, owner earnings, closure rate and litigation for a Hurts Donut franchise — pulled from the franchisor's own public FDD (2026), not its sales material.
Disclosure honesty
Hurts Donut discloses little or no owner-earnings data (Item 19) — the franchisor won't put real profit in writing.
What their own earnings claim actually says
No financial performance representations disclosed. Franchisor explicitly states it makes no representations about franchisee future performance or past outlet performance.
What a Hurts Donut franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $35,000 | Item 5 — paid up front, before you open |
| Royalty | 7% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 2% 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 | $504,000 – $825,000 | Item 7 — franchisor's own low/high estimate |
7% royalty + 2% marketing fee (future implementation). Multiple compliance penalties up to $1,000. Sign package and vehicle wrap paid to affiliate.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Hurts Donut system size and owner turnover
| Total outlets | 18 |
| Ceased operations | 1 |
| Terminated by franchisor | 0 |
| Transferred to new owners | 0 |
| Closure rate | 5.6% of outlets |
4 net outlets lost 2023-2024; 1 ceased operations 2025; 3 non-renewals. System contracted then slightly recovered.
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 Hurts Donut worth it? — how it compares to 32 similar franchises
| Ongoing fees | 9% of sales | steeper than 63% of coffee & donuts franchises |
| Startup cost | from $504,000 | pricier than 77% of peers |
| Disclosure honesty | Grade F | less honest than most of the category |
| Closure rate | 5.6% of outlets | about average |
| Disclosed lawsuits | 0 | fewer than most |
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 Hurts Donut
The franchisor's framing: No financial performance representations disclosed. Franchisor explicitly states it makes … 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
See a full sample report → · 30-day guarantee
Hurts Donut franchise — frequently asked
- How much does a Hurts Donut franchise cost?
- The FDD lists a total initial investment of about $504,000–$825,000, including a $35,000 initial franchise fee.
- How much do Hurts Donut franchise owners make?
- Hurts Donut discloses little or no earnings data (Item 19) — meaning the franchisor won't put real owner profit in writing. That's a red flag worth questioning.
- What are the Hurts Donut franchise fees?
- Hurts Donut's FDD discloses a $35,000 initial franchise fee, a 7% royalty on gross sales, a 2% advertising-fund contribution, for roughly 9% of gross sales in recurring fees before rent, labor, or debt service. 7% royalty + 2% marketing fee (future implementation). Multiple compliance penalties up to $1,000. Sign package and vehicle wrap paid to affiliate.
- What is the Hurts Donut franchise profit margin?
- Hurts Donut discloses no Item 19 earnings representation, so no profit margin can be derived from the FDD at all. Any margin figure quoted elsewhere is an estimate, not a disclosure.
- What is the Hurts Donut franchise failure rate?
- 4 net outlets lost 2023-2024; 1 ceased operations 2025; 3 non-renewals. System contracted then slightly recovered.
- How many Hurts Donut locations are there?
- Hurts Donut's FDD reports 18 total outlets, with 1 that ceased operations in the most recent reporting year and 0 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Hurts Donut have complaints or lawsuits?
- Hurts Donut discloses no material litigation in Item 3 of the filing we reviewed. That's a positive signal, though it covers only what the franchisor is required to report.
- Is a Hurts Donut franchise worth it?
- It depends on the numbers, not the pitch. Hurts Donut scores F on disclosure honesty, carries about 9% of sales in ongoing fees. Get the real owner take-home before you sign.
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Compare Hurts Donut to similar franchises
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Source: MN CARDS 35965-202604-07 (Clean FDD 2026). FranchiseValidate is independent and not affiliated with Hurts Donut or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.