Planning to open a donut shop? Need Advice and experiences (health insurance, wholesale)

[skwcal]

Hi Everyone,

I am thinking about opening a donut shop in the next 6 months to a year and was wondering how much Net Income can be generated from selling Donut, what are the different types of cost and expenses involved, and how to make sure your donut product is a good product.

If anyone has worked or owned a donut shop, your advice and experiences are greatly appreciated.

Thanks.

[Rocco Barbosa]

Originally Posted by skwcal

Hi Everyone,

I am thinking about opening a donut shop in the next 6 months to a year and was wondering how much Net Income can be generated from selling Donut, what are the different types of cost and expenses involved, and how to make sure your donut product is a good product.

If anyone has worked or owned a donut shop, your advice and experiences are greatly appreciated.

Thanks.

What city are you in? I can do a search and see if there are any for sale in your area. Buy one and build it up more.

[skwcal]

Houston. What site are you using to do the search?

Thanks.

[mathjak107]

make sure you have good medical coverage. i hear you can get cruller blind all to easily in that business.

[jm1982]

It's interesting as I had just been thinking about donut shops. I read that donuts are one of the highest profit margin foods. I've read it costs 12 cents to make a donut.

This site is interesting
Expert Donut Making/About The Donut Business

Looks like they are kind of consultants for the donut business .

Donuts do seem to be pretty trendy now. I would probably try to create a 'brand' rather than just a generic donut shop.
Not sure if you have heard of Voodoo Donuts in Portland...I haven't been there but it's a big craze there and they have several locations I believe. It's become a destination type place it sounds like.

In L.A I saw that someone is selling donuts out of a storage container. for $2 each.
Donut Box LA Sells $2 Doughnuts From a South LA Shipping Container - Eater LA

I dont know much about the donut business. I had a friend in college and her parents owned a donut shop. She was cambodian, a lot of the donut shops in L.A are owned by cambodians it sounds like.

I read an interesting article about these people that own a bunch of Dunkin' Donuts stores. You might find it interesting.

It mentions one guy whose family firm (which owns many Dunkin' locations) grosses $250milllion...a YEAR!
I think many would be surprised about the possibilities.
On that note you might want to just look into becoming a Dunkin donuts franchise owner!..and adding locations.
The secret world of the Dunkin’ Donuts franchise kings - Magazine - The Boston Globe

Another idea to consider is to do a wholesale business and sell to places that don't have donuts. In Florida, I saw Krispy Kreme donuts being sold at a CVS. Certain restaurants or shops might want to sell donuts, but not want to make them themselves.
I could see delivering to office buildings being profitable too.
The delivery van/vehicle should definitely have a really cool design on it.

I think something like this is really cool. People seem to love anything that is 'old fashioned' these days
Selling ice cream could be a good idea too
http://bakingbites.com/2013/08/the-h...ulver-city-ca/

[mathjak107]

get good health insurance . i was once in the donut business and it left me cruller blind . my eyes just kind of get glazed over .