Randy's Donuts

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Baked Goods

Randy's Donuts

Food & Beverage
Baked Goods

Randy's Donuts Franchise FDD, Costs & Fees (2025)

Randy's Donuts serves delicious and freshly baked donuts, offering a wide variety of flavors and options for donut enthusiasts to enjoy.

Randy's Donuts is a renowned donut shop that has become an iconic symbol in Los Angeles, California. Founded in 1952, Randy's Donuts is famous for its giant rooftop donut, attracting visitors worldwide and appearing in numerous movies, music videos, and television shows.

The company is headquartered in Inglewood, California, and has expanded to several locations within the state​.

The franchise began its expansion in 2019, offering opportunities for passionate entrepreneurs to open their own Randy's Donuts locations. Known for its handmade donuts that are crafted fresh every morning, Randy's Donuts has earned a reputation for quality and consistency, making it a favorite among locals and tourists alike​.

Randy's Donuts differentiates itself from the competition with its unique branding and commitment to tradition, maintaining the classic recipes that have made it one of the top-rated donut shops in the country.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Randy's Donuts offers 3 types of franchises:

Type of Expenditure Amount
Stand-alone, non-retail commissary production facility $400,000 – $481,000
Drive-Thru Location $478,500 – $607,500
In-Line (Non-Drive-Thru) Location $330,500 – $539,500

‍

We are summarizing below the main costs associated with opening a Drive-Thru Randy's Donuts Location.

For more information on the various types of franchises and its costs, refer to the Franchise Disclosure Document (Item 7).

Drive-Thru Randy's Donuts Location

Type of Expenditure Amount
Initial Franchise Fee $35,000
One Month’s Rent $8,000 – $10,000
One Month’s Security Deposit $8,000 – $10,000
Architect Fee $15,000
Construction / Leasehold Improvements $175,000 – $200,000
Furniture, Fixtures, and Equipment $40,000 – $50,000
Surveillance System $4,000 – $6,000
Signage $12,000 – $18,000
Opening Inventory and Supplies $8,000 – $10,000
Point-of-Sale and Computer Systems $7,000
Market Introduction Program $10,000
Training Expenses $10,000 – $15,000
Travel-Related Expense Reimbursement for On-Site Opening Support $5,000 – $10,000
Insurance (Annual) $6,000 – $9,000
Professional Fees $2,500 – $7,500
Business Licenses and Permits $3,000 – $5,000
Miscellaneous Opening Costs $10,000 – $20,000
Additional Funds – 3 Months $30,000 – $50,000
TOTAL ESTIMATED INITIAL INVESTMENT (Non-Baking Drive-Thru) $388,500 – $487,500
Construction / Leasehold Improvements (Baking Supplement) $25,000 – $50,000
Furniture, Fixtures, and Equipment (Baking Supplement) $50,000
Opening Inventory and Supplies (Baking Supplement) $15,000 – $20,000
TOTAL ESTIMATED INITIAL INVESTMENT (With Baking Supplement) $478,500 – $607,500

Randy's Donuts offers 3 types of franchises:

Type of Expenditure Amount
Stand-alone, non-retail commissary production facility $400,000 – $481,000
Drive-Thru Location $478,500 – $607,500
In-Line (Non-Drive-Thru) Location $330,500 – $539,500

‍

We are summarizing below the main costs associated with opening a Drive-Thru Randy's Donuts Location.

For more information on the various types of franchises and its costs, refer to the Franchise Disclosure Document (Item 7).

Drive-Thru Randy's Donuts Location

Type of Expenditure Amount
Initial Franchise Fee $35,000
One Month’s Rent $8,000 – $10,000
One Month’s Security Deposit $8,000 – $10,000
Architect Fee $15,000
Construction / Leasehold Improvements $175,000 – $200,000
Furniture, Fixtures, and Equipment $40,000 – $50,000
Surveillance System $4,000 – $6,000
Signage $12,000 – $18,000
Opening Inventory and Supplies $8,000 – $10,000
Point-of-Sale and Computer Systems $7,000
Market Introduction Program $10,000
Training Expenses $10,000 – $15,000
Travel-Related Expense Reimbursement for On-Site Opening Support $5,000 – $10,000
Insurance (Annual) $6,000 – $9,000
Professional Fees $2,500 – $7,500
Business Licenses and Permits $3,000 – $5,000
Miscellaneous Opening Costs $10,000 – $20,000
Additional Funds – 3 Months $30,000 – $50,000
TOTAL ESTIMATED INITIAL INVESTMENT (Non-Baking Drive-Thru) $388,500 – $487,500
Construction / Leasehold Improvements (Baking Supplement) $25,000 – $50,000
Furniture, Fixtures, and Equipment (Baking Supplement) $50,000
Opening Inventory and Supplies (Baking Supplement) $15,000 – $20,000
TOTAL ESTIMATED INITIAL INVESTMENT (With Baking Supplement) $478,500 – $607,500

Franchise Disclosure Document

KEY FRANCHISE STATS

All you need to know about this franchise

Started franchising
2019
Franchisees

?

12
+
140%
140%
Franchise fee

?

$35,000
Investment

?

$241,000 - $608,000
Revenue (AUV)

?

Undisclosed
Upgrade

$1,026,000

+
n.a.
n.a.
Operating Profit

?

Upgrade

n.a.

Home based

?

No
Upgrade
No
Passive investment

?

No
Upgrade
No
FDD
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Competitors

Below are some of

Randy's Donuts

key competitors in the

Baked Goods

sector.

Franchise
Franchisees
Initial fee
Total investment
Revenue
Upgrade
Gross Profit
Upgrade
EBITDA
Upgrade

12

New
+
140%
140%

$35,000

$241,000

$608,000

n.a.

$1,026,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

389

New
+
21%
21%

$40,000

$62,000

$712,000

n.a.

$727,000

$xxx,xxx

79.1%

xx%

n.a.

16.5%

xx%

n.a.

8

New
+
n.a.
n.a.

$35,000

$233,000

$553,000

n.a.

$877,000

$xxx,xxx

71.8%

xx%

n.a.

n.a.

xx%

n.a.

15

New
+
-17%
-17%

$35,000

$504,000

$825,000

n.a.

$1,101,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

62

New
+
3%
3%

$40,000

$448,000

$2,254,000

n.a.

$2,344,000

$xxx,xxx

72.4%

xx%

n.a.

6.6%

xx%

n.a.

143

New
+
794%
794%

$59,500

$190,000

$273,000

n.a.

$124,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

143

New
+
29%
29%

$40,000

$469,000

$691,000

n.a.

$500,000

$xxx,xxx

72.6%

xx%

n.a.

n.a.

xx%

n.a.

6

New
+
n.a.
n.a.

$45,000

$352,000

$519,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

42

New
+
8%
8%

$45,000

$164,000

$477,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

8465

New
+
5%
5%

$90,000

$211,000

$1,833,000

n.a.

$1,240,000

$xxx,xxx

72.3%

xx%

n.a.

n.a.

xx%

n.a.

280

New
+
-6%
-6%

$35,000

$648,000

$1,951,000

n.a.

$1,045,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

5901

New
+
1%
1%

n.a.

$14,000

$606,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

60

New
+
2%
2%

$27,500

$66,000

$229,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

25

New
+
-17%
-17%

$49,000

$101,000

$506,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

24

New
+
0%
0%

$40,000

$121,000

$235,000

n.a.

$227,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

1002

New
+
8%
8%

$30,500

$29,000

$1,100,000

n.a.

$491,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

643

New
+
40%
40%

$45,000

$667,000

$907,000

n.a.

$1,355,000

$xxx,xxx

76.1%

xx%

n.a.

21.4%

xx%

n.a.

32

New
+
-18%
-18%

$40,000

$1,090,000

$2,335,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

55

New
+
-2%
-2%

$45,000

$92,000

$454,000

n.a.

$361,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

24

New
+
-14%
-14%

$25,000

$122,000

$339,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

13

New
+
n.a.
n.a.

$49,500

$162,000

$428,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

4

New
+
n.a.
n.a.

$40,000

$725,000

$1,310,000

n.a.

$1,796,000

$xxx,xxx

79.0%

xx%

n.a.

22.2%

xx%

n.a.

75

New
+
9%
9%

$30,000

$90,000

$345,000

n.a.

$195,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

12

New
+
-29%
-29%

$30,000

$273,000

$688,000

n.a.

$762,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

1058

New
+
53%
53%

$50,000

$816,000

$1,443,000

n.a.

$1,303,000

$xxx,xxx

74.1%

xx%

n.a.

18.6%

xx%

n.a.

144

New
+
-14%
-14%

$25,000

$109,000

$386,000

n.a.

$453,000

$xxx,xxx

78.2%

xx%

n.a.

n.a.

xx%

n.a.

2

New
+
n.a.
n.a.

$30,000

$498,000

$814,000

n.a.

$987,000

$xxx,xxx

69.3%

xx%

n.a.

14.1%

xx%

n.a.

355

New
+
9%
9%

$40,000

$503,000

$1,025,000

n.a.

$849,000

$xxx,xxx

73.0%

xx%

n.a.

11.5%

xx%

n.a.

49

New
+
-2%
-2%

$25,000

$307,000

$685,000

n.a.

$613,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

159

New
+
-6%
-6%

$35,000

$298,000

$980,000

n.a.

$823,000

$xxx,xxx

n.a.

xx%

n.a.

16.1%

xx%

n.a.

146

New
+
74%
74%

$40,000

$718,000

$1,600,000

n.a.

$1,727,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

1

New
+
n.a.
n.a.

$40,000

$660,000

$1,021,000

n.a.

$3,145,000

$xxx,xxx

63.3%

xx%

n.a.

n.a.

xx%

n.a.

1105

New
+
1%
1%

$35,000

$1,267,000

$4,651,000

n.a.

$2,596,000

$xxx,xxx

68.7%

xx%

n.a.

12.1%

xx%

n.a.

155

New
+
-5%
-5%

$35,000

$104,000

$530,000

n.a.

$525,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

1182

New
+
4%
4%

$35,500

$115,000

$1,133,000

n.a.

$832,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

103

New
+
1044%
1044%

$35,000

$189,000

$336,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

146

New
+
-3%
-3%

$35,000

$135,000

$407,000

n.a.

$471,000

$xxx,xxx

74.0%

xx%

n.a.

n.a.

xx%

n.a.

2

New
+
-33%
-33%

$35,000

$165,000

$1,152,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

54

New
+
500%
500%

$40,000

$437,000

$838,000

n.a.

$838,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

8

New
+
n.a.
n.a.

$29,500

$302,000

$707,000

n.a.

$856,000

$xxx,xxx

n.a.

xx%

n.a.

18.0%

xx%

n.a.

154

New
+
-7%
-7%

$30,000

$37,000

$186,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

80

New
+
57%
57%

$40,000

$241,000

$527,000

n.a.

$351,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

48

New
+
-8%
-8%

$35,000

$694,000

$1,227,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

354

New
+
-4%
-4%

$25,000

$110,000

$512,000

n.a.

$525,000

$xxx,xxx

74.7%

xx%

n.a.

n.a.

xx%

n.a.

0

New
+
n.a.
n.a.

$55,000

$235,000

$712,000

n.a.

$579,000

$xxx,xxx

76.0%

xx%

n.a.

n.a.

xx%

n.a.

63

New
+
13%
13%

$35,000

$555,000

$1,031,000

n.a.

$1,086,000

$xxx,xxx

75.6%

xx%

n.a.

n.a.

xx%

n.a.

24

New
+
-8%
-8%

$45,000

$65,000

$401,000

n.a.

$213,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

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Training 

Randy's Donuts Franchise provides comprehensive training to its franchisees to ensure they are well-prepared to operate their locations successfully. 

  1. Initial Training at Headquarters: Franchisees undergo comprehensive training at the company's headquarters in Inglewood, California. This training takes place during the construction of the new franchisee’s store and covers all aspects of running a Randy’s Donuts location, including daily operations, customer service, and management.
  2. Hands-on Training: The initial training is hands-on, ensuring that franchisees are familiar with the practical aspects of donut preparation, store operations, and maintaining the quality standards set by Randy's Donuts.
  3. New Store Opening Support: For the first two store openings, Randy’s Donuts provides a dedicated new store opening team. This team assists franchisees with setup and operations during the critical early days of opening, offering on-site guidance and support.

Territory Protection

Randy's Donuts franchise offers territory protection to its franchisees, ensuring that each franchisee has an exclusive area where no other Randy's Donuts franchise will be established. 

This territorial exclusivity helps protect franchisees' investment by minimizing direct competition from other franchisees within a certain geographical area. The size and specifics of the protected territory are determined during the franchise agreement process, based on factors such as market potential and local demographics.

The franchise agreement outlines the terms and conditions under which territory protection is granted. This includes the duration of the exclusivity and any conditions that could lead to changes in the protected area.

Competitors

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154
+
-7%
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Investment

?

$37,000 - $186,000
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24
+
-14%
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Investment

?

$122,000 - $339,000
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Philly Pretzel Factory

Philly Pretzel Factory specializes in freshly baked, hand-twisted pretzels and a variety of dips, delivering authentic Philly flavors in a fast-casual setting.

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146
+
-3%
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Investment

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$135,000 - $407,000
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+
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H&H Bagels

H&H Bagels provides authentic New York-style bagels, offering a variety of flavors and spreads, with a focus on traditional methods and fresh ingredients.

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n.a.
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Investment

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$660,000 - $1,021,000
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Corner Bakery Cafe

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32
+
-18%
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Investment

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$1,090,000 - $2,335,000
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