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Duck Donuts partners with local entrepreneurs to open 3 stores in P.R.

Pennsylvania-based Duck Donuts has partnered with local entrepreneurs Juan Carlos Piñero and Jorge Ramos to open three locations in Puerto Rico in as many years, the company announced.

The Puerto Rico stores will join a chain of about 80 franchise locations of the made-to-order donut shops already operating across 24 states. The chain got its start in 2006 in the town of Duck, North Carolina, founded by current CEO Russell A. DiGilio, who was in Puerto Rico recently to sign the franchise agreements.

By 2011, Duck Donuts had expanded to four Outer Banks locations and the donut business was so successful that DiGilio was continuously approached about franchise opportunities by fans who begged for a Duck Donuts in their community, according to the company’s website.

The first franchise opened in Williamsburg, Virginia, in 2013, and there are now 78 open franchise locations and

“Our mission is to serve a warm, edible ring of happiness around the globe and our decision to expand to Puerto Rico allows us to be one step closer to attaining this goal,” said DiGilio
told the Central Penn Business Journal.

According to the report, the first Duck Donuts location in Puerto Rico will be in the San Juan area. Local franchisee Duck Donuts Puerto Rico LLC, responsible for the brand’s expansion in Puerto Rico, is based in Cataño, according to its incorporation documents.

Duck Donuts specializes in warm, made-to-order donuts. Customers can create their own donut combination by choosing from a variety of coatings, toppings and drizzles, including traditional favorites such as chocolate icing with sprinkles and more adventurous creations such as maple icing with bacon.

The family-friendly stores offer a viewing area where children and adults alike can watch their donuts being made, according to its website. Duck Donuts also sells coffee, tea, donut breakfast sandwiches and now offers online ordering in many locations.

To purchase a Duck Donuts franchise license, the parent company requires a minimum of $150,000 in liquid funds (cash, savings, mutual funds, stocks, etc.) and a minimum of $500,000 in total net worth, according to its website.

The initial franchise fee is $30,000 with discounts for purchasing multi-unit options, the company noted. The estimated cost of opening a Duck Donuts franchise store will range between $348,350 – $568,000, depending on the location and size of the space. This includes the costs of construction, equipment, signage, initial advertising and the franchise fee, it added.

Duck Donuts has been on an expansion track in recent months, announcing plans to open outside the United States in countries including Chile, Mexico, Canada and the Dominican Republic, according to the story in the Central Penn Business Journal.

There are more than 145 additional contracts in 25 states and two countries underway, the company confirmed.

In Puerto Rico, Duck Donuts will compete in a market that includes Krispy Kreme, Master Donuts, Kudough’s Donuts & Coffee Bar, among others.

Author Details
Author Details
Business reporter with 30 years of experience writing for weekly and daily newspapers, as well as trade publications in Puerto Rico. My list of former employers includes Caribbean Business, The San Juan Star, and the Puerto Rico Daily Sun, among others. My areas of expertise include telecommunications, technology, retail, agriculture, tourism, banking and most other segments of Puerto Rico’s economy.

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