Randy's Donuts -NY and VA renewal registrations 2026Randy's Donuts vs Papa Murphy's

Papa Murphy’s is the stronger software-sales opportunity right now, and it’s not close. The dimension that wins is TAM — total addressable market. With 1,119 franchised units, you’re looking at a base of 1,119 potential software seats, each generating recurring revenue. Randy’s Donuts has 12 franchised units. Even if you closed every single one, you’d barely move the needle. The tradeoff is unit health: Papa Murphy’s AUV is $680K vs. Randy’s $964K, and Papa Murphy’s is shrinking at -2.3% YoY. That means you’re selling into a fleet that’s under pressure, so your value prop has to be ironclad on cost savings or revenue lift. But volume cures a lot of sins in B2B software — a 10% attach rate at Papa Murphy’s is 112 deals; a 100% attach rate at Randy’s is 12.

Budget and timing reinforce the TAM advantage. Papa Murphy’s franchisees are writing bigger checks just to open ($367K–$670K investment range), so a software line item is less likely to get squeezed. And the overdue FDD filing is actually a buying signal — it often means the franchisor is distracted or under-resourced, which creates an opening for a vendor to sell directly to franchisees who are hungry for operational help corporate isn’t providing. Randy’s 100% unit growth looks sexy, but it’s a base of 12 units — that’s a rounding error, not a pipeline. The higher AUV and fresher FDD don’t compensate for a total unit count that caps your revenue at a few thousand MRR.

Terrain is the only place Randy’s has a real edge: a smaller, growing system means you can land a franchisor-level deal and shape the tech stack from the ground up. That’s a nice narrative, but it’s a bet on future units that may never open. Papa Murphy’s gives you a large, established base you can start mining today. The meaningful tradeoff is scale now vs. potential later — and in software sales, scale now wins every time.

Verdict: Papa Murphy’s is the clear pick — 1,119 units in decline still beats 12 units doubling, because software revenue compounds on seat count, not growth rates.