About D.P. Dough Franchise
D.P.
Dough is a late night calzone delivery franchise that has become a cult favorite near college campuses and in urban neighborhoods across the country.
The menu features a wide variety of calzones with creative fillings, from classic pepperoni and cheese to specialty options loaded with unique ingredient combinations.
D.P. Dough Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $25,000 | One-time payment upon signing |
| Royalty Fee | 4% of Net Sales, but not less than $200 per Week of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 1% of Net Sales, but not less than $50 (May be increased to 3% of Net Sales upon written notice.) | National brand fund |
| Total Investment Range | $105,980 – $324,910 | Includes build-out, inventory, working capital |
The investment range of $106K–$325K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (4% of Net Sales, but not less than $200 per Week) and marketing fee (1% of Net Sales, but not less than $50 (May be increased to 3% of Net Sales upon written notice.)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $25,000 | $25,000 |
| Rent | $1,200 | $6,500 |
| Security Deposits | $1,200 | $6,500 |
| Leasehold Improvements | $10,000 | $115,000 |
| Architect | $0 | $8,000 |
| Equipment and Fixtures | $25,000 | $65,000 |
| Equipment Install and Set Up | $0 | $13,175 |
| Point of Sale System (including license and equipment) | $3,150 | $3,150 |
| Opening Inventory | $4,000 | $8,500 |
| Start Up Print Package | $1,500 | $2,000 |
| Local Advertising & Grand Opening | $1,500 | $7,975 |
| Insurance | $3,000 | $7,639 |
| Signs | $3,000 | $8,000 |
| Employee Training Labor | $2,500 | $5,000 |
| Travel and Living Expenses During Training | $1,500 | $2,500 |
| Professional Support (Attorneys and Accountants) | $1,000 | $2,500 |
| Permits and Fees | $480 | $600 |
| Utility Deposits | $0 | $3,000 |
| Office Supplies | $250 | $1,500 |
| Phone System | $200 | $1,000 |
| Security System and Cameras | $1,000 | $1,871 |
| Additional Funds for 3 Months of Operating Expenses | $20,500 | $30,500 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $3,000 if transfer is to an existing D.P. Dough franchisee or $5,000 if transfer is to a non-affiliated third party |
| Renewal Fee | $2,500 |
| Technology Fee | $150 per month |
| Audit Fee | Cost of audit, plus twice the deficiency |
| Transferee Training Fee | Up to $5,000 |
| Late Royalty Payment | $100 for each seven day period that the Royalty is late. |
| Financial Information Late Fee | $200 per week or any fraction thereof until franchisee has provided financial information |
| Failure to Provide Documents Fee | $100 per week or any fraction thereof until franchisee has provided requested Documents |
| Relocation Fee | Cost of Relocation Approval Expenses not to exceed $2,500 ($2,500 deposit is paid to us upon your request for relocation) |
| Meeting Non-Attendance Fee | $500 |
| Meeting Fee | Currently $150 per person, but may be increased to as much as $250 per person. |
| Insurance Late Fee | $200 per week after 7 day demand, plus 2% of Net Sales Brand Standards Liquidated Damages if proof of insurance is not provided within fourteen (14) days of Calzone King’s written demand |
| Termination as the result of default | $200 per week for each week remaining during the franchise agreement |
| Brand Standards Fee | $250 per violation, after first receiving written notice |
| Brand Standards Liquidated Damages | 2% of Net Sales after Franchisee has failed to remedy the issue that led to the Brand Standards Fee for a period of five (5) business days |
| Franchisor Equipment Default Return Fees | $400 per day for each 8 hour day that Franchisor is required to travel or move equipment associated with surrender of secured equipment to Franchisor after Franchisee’s breach |
| Gift Card Program Fee | Currently $9.50 per month |
| Operation Upon Death or Disability | $600 per day that Franchisor has to operate your restaurant until a new Owner/Operator can be identified and trained, for up to 90 days. |
| Assumption of Management Upon Default | $600 per day that Franchisor has to operate your restaurant until a new Owner/Operator and Franchisee can be identified and trained, for up to 90 days. |
| Grand Opening Without Calzone King’s Permission Fee | $2,500 per day for each day the Restaurant is open without obtaining written permission from Calzone King for the Grand Opening |
| Unauthorized Employee Fee | $50,000 for each person (who was employed by any D.P. Dough restaurant or Calzone King within the last 365 days) that you or your affiliates hire during or after the term of your Franchise Agreement is over. |
| De-Identification Fee | Actual expenses in removing all D.P. Dough branding from the restaurant, including engaging third parties and/or travel costs |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 10 to 20 days of in-store immersion training, plus online training and at least 15 days of on-site training at your Restaurant. |
| Classroom Training | 24-30 hours |
| On-the-Job Training | 150-225 hours |
| Training Location | A designated D.P. Dough location for immersion training, online, and at your Restaurant. |
| Additional Training | Franchisor may require attendance at seminars and additional training programs during the term, with fees not exceeding $1,000 in any calendar year. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Exclusive |
| Exclusive Territory | Yes |
| Territory Size | Generally within a radius of three (3) miles of your Restaurant, with size based on population density. |
| Description | Franchisees are granted an exclusive territory, typically a three-mile radius around their D.P. Dough Restaurant. The exact size of this territory is determined by the population density of the city where the restaurant is located. The franchisor is restricted from soliciting or accepting orders within this territory, but may sell pre-packaged, frozen calzones or operate non-traditional locations (e.g., stadiums) within it. Franchisees are prohibited from soliciting orders from other franchisees' protected territories. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | One option of 10 years |
| Renewal Fee | $2,500 |
| Renewal Conditions | Franchisee must not have committed a material breach during the final five years of the initial term. A new franchise agreement with potentially different provisions may be required, but the territory boundaries will remain the same. The continuing royalty rate will not exceed the rate for new franchisees at that time. |
| Transfer Fee | $3,000 if transfer is to an existing D.P. Dough franchisee or $5,000 if transfer is to a non-affiliated third party |
| Transfer Conditions | The proposed transferee must meet franchisor's qualifications, complete training, pay the transfer fee, and cure any outstanding defaults. Franchisor has a right of first refusal to acquire the business. The new franchisee will be required to sign the then-current franchise agreement. |
| Termination for Cause | Franchisor can terminate the Franchise Agreement if the franchisee defaults. Causes for termination include unauthorized use of trademarks, failure to pay royalties or other fees, abandonment of the restaurant, material misrepresentation, conduct reflecting unfavorably on the brand, felony conviction, imminent danger to public health, dissolution, insolvency, failure to operate, violation of non-compete covenants, failure to maintain insurance, or unauthorized transfer or assignment. |
| Non-Compete Period | 3 year period |
| Non-Compete Details | During the term of the franchise and for a consecutive 3-year period after its expiration, termination, or transfer, the franchisee (and owners) may not be involved in any competing business (selling pizza or calzones, offering delivery services, or customarily operating past midnight) within 60 miles of their former Restaurant, any college or university with over 8,000 undergraduates, or any D.P. Dough Restaurant. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The franchisee, or an approved Owner Operator, must be personally involved in the conduct and operation of the Restaurant. If the Owner Operator is not on-site, a trained manager under their supervision must be present during business hours. If the franchisee is a legal entity, an individual with at least a 10% ownership interest must be the designated Owner Operator, and this individual cannot be changed without franchisor consent. The Owner Operator and managers may be required to complete additional training and certification programs. |
| Required Suppliers | Centro for Point of Sale Software System. Approved distributors for all food and beverage ingredients and supplies (e.g., cheese, meat, vegetables, dough balls, boxes, flour, sauce, bags, cups, napkins, straws, drinks, beverage supplies, menus, and salad containers). |
| Supply Restrictions | Franchisor may require purchases from designated suppliers for other goods and services in the future. Franchisees may suggest new distributors for approval, but must pay for product testing. Franchisor reserves the right to approve or disapprove alternative distributors. |
| Franchisor Revenue from Suppliers | In 2021, Calzone King, LLC received a total of $427,695 in administration fees and rebates from franchisee food purchases. |
D.P. Dough Franchise Earnings — Item 19
Past financial performance does not guarantee future results. Individual results will vary.
D.P. Dough Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
D.P. Dough System Growth
D.P. Dough currently operates 48 franchised locations and 4 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 4 | 4 | 40 |
| 2021 | 16 | 3 | 52 |
| 2022 | 4 | 14 | 52 |
Transfers: 1 | Closures: 7
State Registrations
Registered in 6 states: Illinois, Maryland, Minnesota, New York, Virginia, Michigan
Franchisor Financials (Item 21)
Audited by Independent Auditors for year ending December 31.
D.P. Dough Franchise — FAQ
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