4 Important Info You Need to Know About a Krispy Kreme Franchise

Posted by cetwin on March 10th, 2015

Krispy Kreme enjoys a very good reputation as a top quality fast food chain. It has long been established in the late 1930s and its status as the leader in the fast food industry is undisputed.

This company has figured in many successful mergers and acquisitions in the past. It would certainly be good for you to consider buying a Krispy Kreme franchise because it is a sure way to make big money.

Krispy Kreme Opens New Opportunities for Startup Businesses

Now, with its “Hot Light” app, Krispy Kreme enables financially solvent and progressive minded businessmen to take part in the company’s success. With this app, you can easily locate the nearest Krispy Kreme outlet where ever you are.

Important Info about the Krispy Kreme Franchise

Before finally deciding if a Krispy Kreme franchise is for you or not, you need to know some of the key information that will affect your decision.

1. Commitment to the Krispy Kreme Brand

If approved as a franchisee, you will be considered as a partner with Krispy Kreme. In terms of ownership, Krispy Kreme can take from 33 to 75 per cent of your business. As a partner you will also be required to uphold all the standards of business operations that the company requires. All of these requirements will be delineated in your franchise agreement.

2. Right to Use the Brand Name and Business Model

Upon acceptance as a franchisee, you will be given the right to use the company’s brand name and business model. You will be given the necessary training at the headquarters of Krispy Kreme in North Carolina, and in one of the certified training stores of the company.

As a franchisee, you are entitled to know the complete system by which Krispy Kreme operates its business. So, the company will have to disclose to you all the methods they are using in conducting their business.

3. Financial Liquidity

To sustain the success of its business, Krispy Kreme requires you to be financially solvent. The cost of a new Krispy Kreme franchise can go up to $2 million. This amount is considerably higher than a Subway franchise cost.

If you have the financial solvency to manage upfront costs as well as unexpected expenses, you have a greater chance of being approved as a Krispy Kreme franchises.

4. Restaurant Experience

Krispy Kreme gives a premium to industry experience and customer service. You will be required to prove that you have the ability and experience to operate a restaurant business.

The company wants each of its franchisee to succeed; therefore it only accepts franchisees who can commit to opening 10 facilities at the very minimum.