What Is My Donut Shop Worth?

Donut shops are a classic small business acquisition — straightforward operations, loyal morning customers, and consistent demand. The early morning hours factor into the lifestyle calculation for buyers, which can affect the pool of interested parties.

Typical Valuation Ranges

Most donut shops sell for 1.5x to 2.5x SDE.

Factors that push toward the higher end: Wholesale accounts (offices, catering, restaurants), high-traffic location with drive-through, revenue above $400K, strong morning foot traffic, specialty or artisan positioning, long-term lease.

Factors that push toward the lower end: Owner bakes and works every shift (3am–noon lifestyle), walk-in only without wholesale, commodity product without differentiation, short remaining lease, declining foot traffic.

Key Value Drivers

Wholesale and catering revenue creates B2B recurring income beyond walk-in retail. Shops supplying offices, event caterers, and restaurants have diversified and more valuable revenue.

Location and traffic drive the walk-in business. Morning commuter routes, visible signage, and parking access matter enormously.

Transferable recipes and processes ensure product quality continues without the current owner.

How to Increase Your Value

1. Build wholesale accounts. Approach offices, caterers, and local businesses for standing orders.
2. Document recipes. Every recipe and process should be written and teachable.
3. Add specialty products. Artisan donuts, seasonal offerings, and premium items justify higher prices.
4. Hire bakers. Remove yourself from the 3am shift.
5. Secure your lease. Location drives the business.

Browse the valuation multiples guide for industry data, or schedule a free call for a confidential valuation.