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Long-time Operators Try Hand at Factory Donuts Launch


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David Restituto and his wife, Heather, are launching Factory Donuts.

David and Heather Restituto spent a long time in the Checkers Drive in Restaurants, Meineke and Rita’s Italian Ice brands as franchisees, becoming the largest Rita’s franchisee in the system, and they’re now pivoting to launch Factory Donuts as a franchisor.

“We said, we’ve developed those brands, we’ve sat on the board and during the tenure with each of those brands I’m proud to say we were very, very successful. We had 11 concepts at once we were running, and I said we can develop some more or we can develop our own brand,” said David Restituto at the Franchise Times Finance & Growth Conference in Las Vegas last week.

Why donuts? “Donuts and coffee are two of the highest profit margins out there. We settled on donuts because of the simplicity of the concept and the void in the market,” he said. Dunkin’, he noted, dropped the ‘Donuts’ from the name last year “and they’re now focused on coffee.” Also, “the concept of fresh, made-to-order donuts is very, very big right now.”

Indeed, Duck Donuts and Donutology, to name just two, are among those flooding the space. 

Restituto says his background as a franchisee informs his insistence on simplicity. Factory Donuts is a “high profit margin, simple concept,” he said. “In my belief, simplicity is what makes you money. Don’t overcomplicate the process.” Factory Donuts has 14 stores in development.

For full coverage and all presentations at the Franchise Times Finance & Growth Conference May 6-8, see the special digital edition that will publish July 1.

 

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The latest news, opinions and commentary on what's happening in the franchise arena that could affect your business.

Tom KaiserTom Kaiser is senior editor of Franchise Times. He can be reached at 612.767.3209, or send story ideas to tkaiser@franchisetimes.com.
 
Beth EwenBeth Ewen is senior editor of Franchise Times. She can be reached at 612.767.3212, or send story ideas to bewen@franchisetimes.com.
 
Nicholas UptonNicholas Upton is restaurants editor at Franchise Times. He can be reached at 612.767.3226, or send story ideas to nupton@franchisetimes.com.
 
Laura MichaelsLaura Michaels is editor of Franchise Times. She can be reached at 612.767.3210, or send story ideas to lmichaels@franchisetimes.com.
 
Mary Jo LarsonMary Jo Larson is the publisher of Franchise Times Magazine and the Restaurant Finance Monitor.  You can find her on Twitter at
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