Answers to Important Questions Regarding the LaMar's Donuts
Franchise
The following questions and answers are designed to help you accurately assess our franchise and make an informed
decision concerning our business opportunity. We have outlined your costs and responsibilities as a franchise owner, as well as several
of the support systems we provide.
1. What type of franchise is available?
2. What will the franchise cost?
3. What is the total investment?
4. Does LaMar's Donuts offer a finance program?
5. Must I buy equipment and supplies from you?
6. Do I receive guidance on the purchase of inventory and supplies?
7. What is the charge for continuing services and royalty?
8. What about advertising?
9. Where may I locate my LaMar's Donuts business?
10. Will I receive assistance in finding a location for my LaMar's store?
11. Can I open more than one store?
12. Will my territory be protected from another franchise?
13. Do I receive training?
14. Do I receive assistance in opening my business?
15. What form of continuing operational guidance will I receive?
16. How much can I earn as a LaMar's Donuts franchisee?
17. Can I sell my LaMar's Donuts franchise?
18. What is the term of my Franchise Agreement?
19. How long before I can begin operating as a LaMar's Donuts franchise owner?
20. How do I obtain your Franchise Agreement?
21. How do I get started?
- Q. What type of franchise is available?
A. An individual franchise for a single LaMar's Donuts facility
at a designated location or a multi-unit development region. [back to top]
- Q. What will the franchise
cost? [back
to top]
A. The franchise fee is $28,500, payable at the time the Franchise Agreement
is signed.
- Q. What is the total investment?
A. There is a wide range. The estimated costs of owning a LaMar's Donuts franchise
are illustrated on the estimate page. [back to top]
- Q. Does LaMar's Donuts offer a finance program?
A. No. But we will assist you in whatever way we can in arranging financing.
We can in some instances direct you to financing sources. Qualified candidates
may be eligible for complete equipment-leasing packages. However, these are third
parties and their decisions are made independently. [back to top]
- Q. Must I buy equipment and supplies from you?
A. No. Headquarters will provide an approved list of sources for equipment and
supplies. [back to top]
- Q. Do I receive guidance on the purchase of inventory
and supplies?
A. Yes. Headquarters will provide complete specifications and guidance for the
purchasing of all products and supplies. [back to top]
- Q. What is the charge for continuing services and royalty?
A. The continuing services and royalty fee is five (5) percent of your total
gross receipts. [back to top]
- Q. What about advertising?
A. Building recognition of LaMar's Donuts name and reputation is an essential
ongoing objective that benefits everyone. For this purpose, each franchisee contributes
one-and-one-half (1 1/2) percent of gross receipts into the National Media Development
Fund. In addition, franchisees will be required to fund store-opening advertising
and maintain local advertising and promotional activities (equal to three (3)
percent of gross sales) through membership in the National Advertising and Promotion
Association (NAPA). Additional regional advertising may also be required. [back to top]
- Q. Where may I locate my LaMar's Donuts business?
A. One of the advantages of joining a relatively new franchise program is that
choice markets are still available. You may designate where you wish to locate,
so long as the location you select meets the LaMar's Donuts population and demographic
criteria and does not infringe upon any LaMar's Donuts business. [back to top]
- Q. Will I receive assistance in finding a location
for my LaMar's store?
A. While it is each franchisee's contractual responsibility to find a suitable
location, we may voluntarily assist you in this process. We will collectively
review all available options and approve a location that is mutually agreed upon
and meets our criteria. [back to top]
- Q. Can I open more than one store?
A. Yes. We encourage those franchisees who are qualified to
open multiple locations. Based on your application and financial information,
you may be eligible to purchase more than one franchise up front. You may
want to purchase a franchise, become familiar with the business, and then
purchase your second or third franchise. [back
to top]
- Q. Will my territory be protected from another
LaMar's franchise?
A. Yes. Each franchise owner is allotted an area in which no other franchise
is awarded. [back to top]
- Q. Do I receive training?
A. Yes. All franchisees and designated managers, if applicable, must attend and
successfully complete the training program provided by the company at a LaMar's
Donuts facility designated by the franchisor. The cost of the initial training
is included in your franchise fee; however, those costs connected with travel
and lodging will be at your expense. [back to top]
- Q. Do I receive assistance in opening my business?
A. Yes. In addition to your initial training period, Headquarters will send an
Operations Specialist to work with you at your store for a minimum of four (4)
business days during your first month of operation. [back to top]
- Q. What form of continuing operational guidance will
I receive?
A. You will receive the LaMar's Donuts Operating Manual covering
the many important facets of your business operation. As the manual is updated,
revisions will be
made available to you. A LaMar's field representative will periodically visit
your store, consult with you and offer useful advice and counsel on the effective
operation of your LaMar's franchise. You will also receive guidance and support
for all marketing, sales, and promotional activities. Participation in local,
regional, and national advertising campaigns will be available as a franchise
owner. The Franchise Advisory Committee is also an important link. Franchisees
elected and appointed to this Committee work collectively with all franchisees
and corporate management to address changes needed to keep abrest of new
development in today's economy. [back
to top]
- Q. How much can I earn as a LaMar's Donuts franchisee?
A. The income can vary greatly based on the operator, hours of operation, size
of unit, location, and methods of operation. We are prohibited from making earnings
projections for franchised units, but can provide company financials for your
review and analysis. Also, a list of franchisees will be made available for you
to contact. [back to top]
- Q. Can I sell my LaMar's Donuts franchise?
A. Yes. Like any other business, your franchise can be sold to any buyer approved
by the company. There is a transfer fee for administrative, legal, and training
expenses to effect the transfer. [back to top]
- Q. What is the term of my Franchise Agreement?
A. The basic term is 10 years. You may renew for two additional five-year terms
at the then-current agreement terms with no additional franchise fee. [back to top]
- Q. How long before I can begin operating as a LaMar's
Donuts franchise owner?
A. That depends on a number of variables, including financing (if required),
site selection, time spent in training, construction or remodeling time, obtaining
licenses and permits, and the number of prospective franchisees on our waiting
list. Four to six months after signing the agreement is typical. [back to top]
- Q. How do I obtain your Franchise Agreement?
A. Our Franchise Agreement is a confidential document which
we do not indiscriminately distribute. Following the procedure outlined in Question
21, we will be happy
to provide you with a copy of the Franchise Agreement and our Uniform Franchise
Offering Circular. [back
to top]
- Q. How do I get started?
A. First, request and fill out the Franchisee Personal Profile
form and submit it to us. Upon receipt of the application, we will contact you
to set up a personal meeting with a franchise consultant. After we have had an opportunity to meet
and discuss in detail our franchise opportunity, we may proceed to approval and
acceptance. [back to top]
We have attempted to answer
the most commonly asked questions about a
LaMar's Donuts franchise. We are sure you
have a few questions we haven't covered,
so please feel free to ask our representatives
for additional information. You may reach
a representative by calling (402) 420-0203,
toll-free (800) 533-7489 or by filling out
an information request form.
Request More Information
You want to learn more? We want you to learn more! Please take a few moments
to fill out this form. If appropriate, we will send you our brochure packet which
includes a variety of information including the history of LaMar's, answers to
basic questions about franchising, a breakdown of the financial aspects of franchising,
and much more. Also included in the brochure is a Personal Profile Form that
must be completed before further information, such as a UFOC, can be issued.
You may also email us with
detailed
questions or requests. [back to top]
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