Randy's Donuts serves delicious and freshly baked donuts, offering a wide variety of flavors and options for donut enthusiasts to enjoy.
KEY FRANCHISE STATS
Franchisees
?
15
+
150%
150%
Franchise fee
?
$35,000
Investment
?
$253,000 - $721,000
Revenue (AUV)
?
Undisclosed
$580,000
+
n.a.
n.a.
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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.
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The initial investment required for a Randy's Donuts franchise is
$253,000 - $721,000.
That is the total cost you would need to finance if you were to start this franchise.
These costs are provided by the franchisor in the Franchise Disclosure Document.
Randy’s Donuts provides six eligible standalone Shop configurations in Item 7, covering in-line and drive-thru locations with different baking capabilities.
Shop Format
Initial Investment Range
Non-Baking In-Line Location
$252,500 - $451,500
In-Line Location – Bake at Shop for Shop’s Own Required Inventory
$354,500 - $563,500
In-Line Location – Commissary Production Shop Baking for Multiple Shops
$479,500 - $717,500
Non-Baking Drive-Thru Location
$400,500 - $499,500
Drive-Thru Location – Bake at Shop for Shop’s Own Required Inventory
$532,500 - $661,500
Drive-Thru Location – Commissary Production Shop Baking for Multiple Shops
$577,500 - $720,500
The following table presents the estimated expenditures for a Non-Baking In-Line Location.
For further details concerning the listed costs, refer to the Franchise Disclosure Document (Item 7).
Type of expenditure
Amount
Initial Franchise Fee
$35,000
One Month’s Rent
$3,000 - $7,000
One Month’s Security Deposit
$3,000 - $7,000
Architect Fee
$5,000
Construction / Leasehold Improvements
$75,000 - $175,000
Furniture, Fixtures, and Equipment
$50,000 - $55,000
Surveillance System
$1,000 - $6,000
Signage
$4,000 - $18,000
Opening Inventory and Supplies
$10,000 - $12,000
Point-of-Sale and Computer Systems
$5,000
Market Introduction Program
$10,000
Training Expenses
$10,000 – $15,000
Travel-Related Expense Reimbursement for On-Site Opening Assistance
$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
$5,000 - $20,000
Additional funds – 3 months
$20,000 - $50,000
Total Estimated Initial Investment
$252,500 - $451,500
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Randy’s Donuts provides six eligible standalone Shop configurations in Item 7, covering in-line and drive-thru locations with different baking capabilities.
Shop Format
Initial Investment Range
Non-Baking In-Line Location
$252,500 - $451,500
In-Line Location – Bake at Shop for Shop’s Own Required Inventory
$354,500 - $563,500
In-Line Location – Commissary Production Shop Baking for Multiple Shops
$479,500 - $717,500
Non-Baking Drive-Thru Location
$400,500 - $499,500
Drive-Thru Location – Bake at Shop for Shop’s Own Required Inventory
$532,500 - $661,500
Drive-Thru Location – Commissary Production Shop Baking for Multiple Shops
$577,500 - $720,500
The following table presents the estimated expenditures for a Non-Baking In-Line Location.
For further details concerning the listed costs, refer to the Franchise Disclosure Document (Item 7).
Type of expenditure
Amount
Initial Franchise Fee
$35,000
One Month’s Rent
$3,000 - $7,000
One Month’s Security Deposit
$3,000 - $7,000
Architect Fee
$5,000
Construction / Leasehold Improvements
$75,000 - $175,000
Furniture, Fixtures, and Equipment
$50,000 - $55,000
Surveillance System
$1,000 - $6,000
Signage
$4,000 - $18,000
Opening Inventory and Supplies
$10,000 - $12,000
Point-of-Sale and Computer Systems
$5,000
Market Introduction Program
$10,000
Training Expenses
$10,000 – $15,000
Travel-Related Expense Reimbursement for On-Site Opening Assistance
$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
$5,000 - $20,000
Additional funds – 3 months
$20,000 - $50,000
Total Estimated Initial Investment
$252,500 - $451,500
Franchise Disclosure Document
Below is Randy's Donuts's 2026 Franchise Disclosure Document. Sign up for free to view the document.
Number of units
Randy's Donuts had 27 total units in 2026, of which 15 were franchised-owned and 12 company-owned.
Randy's Donuts Franchise provides comprehensive training to its franchisees to ensure they are well-prepared to operate their locations successfully.
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.
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.
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.
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