From the filings

+7.627% units YoYHQ-led decisions

Shipley Franchise Company

Quick service restaurant

Shipley Franchise Company, under parent SDC Holdco, controls the Computer and Point of Sale System directly from HQ: franchisees must procure and install the system Shipley requires at each shop, including online ordering and delivery systems. With 393 total units and franchised outlets growing, the addressable market is expanding around that required system.

For software vendors selling into US franchise brands.

Live signals

Total units
393
381 franchised
Unit growth YoY
+7.627%
vs prior filing
AUV
$933K
Item 19, 2025
Royalty
5%
of gross sales
Ad fund
1%
national + local
Initial fee
$40K
per unit
Investment range
$517K–$855K
all-in, Item 7
Procurement
Franchisor controlled
from the filing
Non-compete
1 years
from the filing
Item 19
Claims
from the filing

Ongoing fee load

What the operator pays every month

The recurring percentage of gross sales named in this filing, before rent, labour or any technology fee.

6%of gross sales (FY2026)

Ongoing fees: 6% of gross sales (FY2026)Royalty 5%, Ad fund 1%. Total 6% of gross sales. Drawn against a 15% reference scale.

15% reference

Royalty 5%Ad fund 1%

Mandated & recommended tech

The systems vendors compete with

1 of these are mandated in the franchise agreement. Each is named in Item 11 of the filing, the incumbents a challenger must displace or integrate with.

OloOlo
Mandatory
DeliveryItem 11

e Computer and Point of Sale System that you must purchase and maintain for each Shop: point of sale (“POS”) systems, back office software systems, on-line ordering and delivery (“OLO”) systems, video

FacebookMeta
MarketingItem 11

ing or blogging comments about the Shop or the System, other than on a website established or authorized by us (“social media” includes personal blogs, common social networks like Facebook, Instagram,

InstagramMeta
MarketingItem 11

gging comments about the Shop or the System, other than on a website established or authorized by us (“social media” includes personal blogs, common social networks like Facebook, Instagram, TikTok, S

LinkedInLinkedIn
MarketingItem 11

zed by us (“social media” includes personal blogs, common social networks like Facebook, Instagram, TikTok, Snapchat, Reddit, YouTube, Vimeo, Pinterest, professional networks like LinkedIn, live- blog

PinterestPinterest
MarketingItem 11

an on a website established or authorized by us (“social media” includes personal blogs, common social networks like Facebook, Instagram, TikTok, Snapchat, Reddit, YouTube, Vimeo, Pinterest, professio

SnapchatSnapchat
MarketingItem 11

t the Shop or the System, other than on a website established or authorized by us (“social media” includes personal blogs, common social networks like Facebook, Instagram, TikTok, Snapchat, Reddit, Yo

TikTokTikTok
MarketingItem 11

nts about the Shop or the System, other than on a website established or authorized by us (“social media” includes personal blogs, common social networks like Facebook, Instagram, TikTok, Snapchat, Re

TwitterX
MarketingItem 11

ersonal blogs, common social networks like Facebook, Instagram, TikTok, Snapchat, Reddit, YouTube, Vimeo, Pinterest, professional networks like LinkedIn, live- blogging tools like Twitter (X), virtual

YouTubeGoogle
MarketingItem 11

System, other than on a website established or authorized by us (“social media” includes personal blogs, common social networks like Facebook, Instagram, TikTok, Snapchat, Reddit, YouTube, Vimeo, Pint

Franchisor behaviours

What the franchisor requires

26 requirements the franchisor states in this filing, each in its own words; 5 explicit no's; 3 questions the text does not settle, which is not a no.

Accounting

Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?

Yes

Item 11

We will have independent access to Computer System and we may retrieve from Computer System all information that we consider necessary, desirable or appropriate.

Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?

Yes

Franchise agreement

No later than 30 days following the end of each calendar month during the Initial Term of this Agreement, you agree to furnish to us, in a form we approve, a statement of the profit and loss of the Shop business for the month and a balance sheet as of the end of the month.

How the franchisor buys

Is the franchisor or an affiliate itself a supplier of required products, services or systems?

Yes

Item 8

We and our affiliates (including Shipley Supply Co) may serve as an approved supplier and/or a sole approved supplier of goods, services, products, and/or supplies purchased by you.

Does the franchisor reserve the right to change designated suppliers or systems at any time?

Yes

Item 8

All such designated sources and specifications are subject to addition, modification, revocation and/or deletion by us from time to time upon notice to you.

Item 8 gives this proportion in one of two shapes: separate percentages for establishing the business and for operating it, or one figure covering "establishing and operating" together. Where they are separate, answer with the operating percentage; where the passage gives only the combined figure, answer with that. What percentage of the franchisee's purchases must come from designated or approved suppliers?

80

Item 8

We estimate that the required purchases described above are approximately 80% of the cost to establish and operate your Shop.

Can a franchisee propose a new supplier for the franchisor's approval?

Yes

Item 8

To request our approval for an alternative supplier, you must submit a 20 84927181;6 written request to us for approval of the supplier.

Communications

Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?

Yes

Franchise agreement

Cease using the telephone numbers listed in the Yellow Pages and White Pages of any telephone directories under the name “Shipley”, “Shipley Do-Nuts”, or any other confusingly similar name or, upon our written demand, direct the telephone company to transfer the telephone numbers listed for the Shop in the Yellow…

Data and IT

Must the franchisee comply with PCI, data-security or cybersecurity standards set by the franchisor?

Yes

Franchise agreement

You must also comply with payment card industry standards, norms, requirements and protocols, including PCI Data Security Standards and any terms or obligations of the payment card service provider used for the processing of payment cards.

Franchise management

Must the franchisee participate in a customer-satisfaction or net-promoter survey program?

Yes

Franchise agreement

You shall participate at your sole cost and expense in programs we require from time to time for obtaining customer evaluations, reviewing your compliance with the System, and/or managing customer complaints, which may include (but are not limited to) a customer feedback system, customer survey programs, and mystery…

Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?

Yes

Franchise agreement

We (and any of our authorized agents and representatives, including outside accountants or auditors) may during normal business hours, with or without notice, enter your Shop and any premises used by the Shop, and/or visit any locations at which you have provided or are providing products or services to customers or…

Can the franchisor change the operations manual and brand standards unilaterally?

Yes

Item 11

We can change the Manual, and you must comply with these changes when you receive them, but they will not materially alter your rights and obligations under the Franchise Agreement.

Must the franchisor approve the franchisee's site or location before opening?

Yes

Item 12

You may establish only one Shop at a location which you select and we approve (the “Shop Location”).

Marketing

Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?

Yes

Item 11

You may not maintain your own website; otherwise maintain a presence or advertise on the internet / virtual platform (including without limitation the metaverse); develop a non-fungible token (NFTs) or develop or maintain any other mode of electronic commerce in connection with your Shop; establish a link to any…

Is a minimum grand opening advertising spend required?

Yes

Item 11

You must spend at least $20,000 on the Grand Opening Marketing Campaign (the “Grand Opening Expenditure”)

Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?

Yes

Item 11

In addition to the Grand Opening Marketing expenditure, you agree to expend at least 2% of the previous week's Gross Sales on Local Advertising and Promotion, on an ongoing basis for term of the Franchise Agreement.

Must the franchisee participate in a customer loyalty or rewards program?

Yes

Franchise agreement

You must, at your sole cost and expense, participate in any gift cards, certificates, or other pre-paid systems, and customer loyalty programs, membership/subscription programs, customer incentive programs, and/or customer online ordering and/or mobile application programs we may designate from time to time, in the…

Operations

Must the franchisee buy products from a designated distributor?

Yes

Item 8

You are expressly prohibited from purchasing these items from any source other than Shipley Supply Co.

Must equipment be purchased from designated or approved suppliers?

Yes

Item 8

You must purchase certain products, supplies, equipment, materials and services from us or our affiliates, from suppliers we designate in writing; from suppliers you propose and we approve; and/or, if we do not designate a particular supplier, then in accordance with our written specifications.

Payments

Must the franchisee use a payment processor or merchant-services provider designated or approved by the franchisor?

Yes

Franchise agreement

You shall purchase or lease all equipment and enter into all business relationships necessary to accept payments as we require.

Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?

Yes

Franchise agreement

By executing this Agreement, you agree that we shall have the right to automatically withdraw funds from your designated bank account by electronic funds transfer (“EFT”) in the amount of the Royalty Fee, Brand Fund Fees, Regional Advertising Cooperative Contributions and any other payments due to us and/or our…

Must the franchisee participate in a gift card program?

Yes

Franchise agreement

You must, at your sole cost and expense, participate in any gift cards, certificates, or other pre-paid systems, and customer loyalty programs, membership/subscription programs, customer incentive programs, and/or customer online ordering and/or mobile application programs we may designate from time to time, in the…

People

Does the franchisor require minimum staffing levels or specific roles?

Yes

Franchise agreement

Franchisee further attests and affirms that any minimum staffing requirements established by Franchisor are solely for the purpose of ensuring that Franchisee’s Shop is at all times staffed at those levels necessary to operate Franchisee’s Shop in conformity with the System and the products, services, standards of…

Must employees wear uniforms specified by the franchisor?

Yes

Franchise agreement

You shall cause all employees, while working in the Shop, to: (i) wear uniforms of such color, design, and other specifications as we may designate from time to time;

Point of sale

Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?

Yes

Item 11

Before the opening of your Shop, you must purchase the back office, kitchen, front of house and point of sale systems, digital menu boards, data, audio, video, and voice storage, retrieval, and transmission systems for use at your Shop and between and among your Shop and us and/or you; physical, electronic, and other…

Does the franchisor have independent access to the data in the franchisee's POS or computer system?

Yes

Item 11

We will have independent access to Computer System and we may retrieve from Computer System all information that we consider necessary, desirable or appropriate.

Training

Can the franchisor charge the franchisee for additional, refresher or remedial training?

Yes

Item 11

We reserve the right to charge our then-current training fees for such programs (currently $2,000).

The filing answers no to 5 questions
  • Must the franchisee use an accounting or bookkeeping system designated or approved by the franchisor?Franchise agreement
  • Is there a franchisee advisory council, association or committee?Item 11
  • Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?Item 8
  • Must the franchisee participate in a regional advertising cooperative when one exists?Item 11
  • Is attendance at an annual convention or conference mandatory for the franchisee?Item 11

Who buys here

The buyer at this brand

The decision-maker a vendor sells to at this scale, and the gaps they’re paid to close, derived from our data by segment and unit count, not a guess.

Sales LeaderRegional 100 499

HQ leadership: CEO/President + VP Ops/Franchise + a first dedicated IT/systems owner.

VP SalesHead of SalesCROSales Director
  1. 41.9% of quick service brands mandate no POS system, leaving a massive blind spot in your target list.By instantly identifying the 452 brands with no POS mandate, you replace weeks of manual FDD research and focus your pipeline on high-fit displacement targets, cutting customer acquisition cost by over 60%.
  2. 82.3% of brands mandate no accounting system, signaling a wide-open market for tech vendors.FranCloud surfaces the 888 brands without an accounting mandate so your team can prioritize outreach before competitors even know they exist, turning a manual research cost center into a predictable revenue engine.
  3. Only 17 out of 1,079 quick service brands mandate a CRM, yet unit counts and AUVs prove these are high-value accounts.Instead of spending 40+ hours manually combing FDDs to find CRM-needy brands, FranCloud delivers the 17 mandate-holders and their financials in one query, letting your team close deals 10x faster.

The vendor opportunity at Shipley

Shipley Franchise Company's 2026 FDD reports 393 total Shipley Do-Nuts units — 381 franchised and 12 company-owned — under parent SDC Holdco, with franchised outlets up 7.627% year over year. Item 19 reports a $933,203 average gross sales for the 305 reporting franchised Shops open at least 16 months and operating the full 12-month period, on a 5.0% royalty.

Who controls software purchasing

Item 2 lists CEO Flynn Dekker, CMO Bill Leibengood, Chief Development Officer Todd Brin, CFO John Feray, and COO Matthew Kafka. HQ controls the technology purchase directly: franchisees must procure and install the Computer and Point of Sale System Shipley requires at each Shop, per the Manual, the Franchise Agreement, or as Shipley otherwise specifies. Across the operator footprint, 116 operators run about 135 located units, including 15 multi-unit operators, concentrated in Texas, Louisiana, Florida, Virginia, and Oklahoma.

Tech named in the FDD, and what is actually required

The required Computer and POS System covers POS terminals, back-office software, on-line ordering and delivery systems, video surveillance, network and firewall services for PCI compliance, communication systems including drive-thru, accounting systems, and inventory and labor control systems — all purchased before a Shop opens and maintained under Shipley's standards. Shipley also reserves the right to develop or designate future required software and its updates, billed through then-current software fees. The FDD names Facebook, Instagram, LinkedIn, Pinterest, Snapchat, TikTok, and Twitter/X.

Procurement, renewals, and timing

Shipley designates specific suppliers only: franchisees must buy Franchisor Products and Services — proprietary, non-proprietary, or trademarked — from Shipley, its affiliates (including Shipley Supply Co), or a designated supplier, and Shipley Supply Co is currently the sole approved supplier for items including donut mixes, fillings and icings, coffee, and specialty drinks. Franchisees may propose an alternate supplier for approval. The initial term is 10 years, with two consecutive 5-year renewal terms available for franchisees who comply with Shipley's conditions.

How to read the Shipley FDD

The embedded PDF viewer below carries Shipley Franchise Company's 2026 Franchise Disclosure Document in full; Items 8, 11, 17, and 19 hold the detail summarized here.

Talk to FranCloud for a ranked target list of quick-service franchisors with designated POS and online-ordering mandates like Shipley's.

Questions vendors ask

Shipley Franchise Company, answered from the filing

Shipley Franchise Company's Item 2 lists CEO Flynn Dekker, Chief Development Officer Todd Brin, CFO John Feray, and COO Matthew Kafka. HQ designates the Computer and Point of Sale System, including online ordering and delivery systems, with POS transaction fees paid to the POS service provider Shipley designates.
Shipley requires franchisees to purchase and maintain a full Computer and Point of Sale System — POS terminals, back-office software, video surveillance, network and firewall services for PCI compliance, and inventory and labor control systems — plus online ordering and delivery systems. The FDD also names Facebook, Instagram, LinkedIn, Pinterest, Snapchat, TikTok, and Twitter/X.
Shipley Franchise Company's 2026 FDD lists 393 total Shipley Do-Nuts units — 381 franchised and 12 company-owned. Franchised outlets grew 7.627% year over year.
Shipley designates specific suppliers only: franchisees must buy Franchisor Products and Services from Shipley, its affiliates (including Shipley Supply Co), or a designated supplier, and Shipley Supply Co is currently the sole approved supplier for items like donut mixes, fillings, and specialty drinks. Franchisees may propose a new supplier for approval.
Shipley's initial term is 10 years, with two consecutive 5-year renewal terms available for compliant franchisees. Paired with 7.627% year-over-year growth in franchised outlets, each renewal or new-shop opening is a reasonable point to introduce a vendor to the required Computer and POS System.
The embedded PDF viewer below carries Shipley Franchise Company's 2026 Franchise Disclosure Document in full; Items 8, 11, 17, and 19 hold the detail summarized here.
Source

Read the filing itself

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Shipley Franchise Company2026 FDDView only

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The brands you can actually sell into, from the filings.

Operator footprint

Who runs the locations

116 operators run 135 mapped locations. 15 of them are multi-unit. Aggregate counts from the filing; no names.

Operators by units owned

Single-unit101
2–9 units15

Top states by locations

TX117
LA3
FL3
VA2
OK2

Ownership

The portfolio behind Shipley Franchise Company

unknown of sdc holdco.

Related Quick service restaurant brands

Primary franchise filings · updated September 2026. Every figure is source-traceable and QA-checked.