D Spot Dessert CaféFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A D Spot Dessert Café franchise requires a total initial investment of $785K – $1.8M, including a $35K franchise fee and an ongoing 5.0% royalty[2]. The 2026 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: D. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $785K – $1.8M
- 93rd pct Service Resta…
- Avg gross sales
- N/A
- 59th pct Service Resta…
- Royalty
- 5.0%
- 13th pct Service Resta…
- Units
- 0
- 0th pct Service Resta…
- SBA default
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = >15% above Quick-Service Restaurants avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Started franchising in 2023. Newer systems carry more uncertainty but may offer better territories.
Bottom line
- Total investment $785K – $1.8M including a $35K franchise fee, 5.0% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict D (Below Average) with a risk score of 75/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- D Spot Franchising USA Inc.
- Parent company
- D Spot Holdings USA, Inc.
- Incorporated in
- DE
- HQ
- 30 Bertrand Avenue, Unit C5, Toronto, Ontario Canada M1L 2P5
- Auditor
- Tronconi Segarra & Associates LLP
- Audited financials
- Franchisor revenue
- $0
- vs $0 prior year
Affiliated brands
- D Spot Holdings
- the Canadian franchisor of Stores
Other brands the franchisor or its parent operates (Item 1).
Overview
About
D Spot Dessert Café franchisees operate quick-service dessert retail locations, serving specialty cakes, pastries, coffee, and beverages. Daily operations include food preparation, inventory management, point-of-sale transactions, and customer service in a café setting, likely targeting foot traffic in shopping centers or high-visibility locations.
- CEO
- Samir Desai
- Founded
- 2023
- FDD year
- 2026
- States available
- 0
FDD Item 7 · 2026 filing · 19 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $35K | $35K | |
| Real Estate/Rent - 3 months | $24K | $60K | |
| Insurance | $250 | $800 | |
| Utilities | $1K | $4K | |
| Initial Training | $3K | $10K | |
| Hardware and Software Feenot refundable | $10K | $20K | |
| Inventory | $40K | $60K | |
| Furniture, Fixtures, and Equipment | $210K | $440K | |
| Grand Opening | $10K | $10K | |
| Licenses and Permits | $2K | $5K | |
| Professional Fees | $5K | $10K | |
| Memberships to Local Organizations | $200 | $2K | |
| Construction and Real Estate Improvements | $550K | $1.0M | |
| Miscellaneous Operating Costs | $20K | $40K | |
| Pre-opening Staffing Costs | $5K | $15K | |
| Signage | $20K | $50K | |
| Uniforms | $2K | $4K | |
| Security System | $5K | $8K | |
| Additional Funds - 3 months | $60K | $70K | |
| Total initial investment | $1.0M | $1.8M |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $785K – $1.8M
- Below avg, review vs category
- Liquid capital req'd
- $30K – $70K
- Below avg, review vs category
- Franchise fee
- $35K – $35K
- Near category avg vs category
- Royalty
- 5.0%
- Gross Sales · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 7.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Transfer fee | $25K |
| Renewal fee | $10K |
| Total fee load | 7.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Quick-Service Restaurants averages
How D Spot Dessert Café Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 0
- Opened
- 0
- Last reporting year
- Closed
- 0
- Company-owned
- 0
- Corporate units in the system
3-year detail · Item 20
- Opened (3yr)
- 0
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 2
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 4 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- N/A
- Amount data pending
- Median loan
- N/A
- Charge-off rate
- N/A
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 0
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
D Spot presents extreme risk due to zero operating units, going concern warning, and complete absence of financial performance data, making this an unvalidated investment in a potentially distressed franchisor.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Largest disclosed settlement: $50,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Tronconi Segarra & Associates LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 75 / 100 rating
- 01HIGHGoing Concern warning indicates franchisor financial distress or viability questions
- 02MINORZero operating units reported — either brand-new (unproven) or system collapsed/dormant
- 03MINORNo Item 19 financial performance disclosure — cannot validate $785K-$1.8M investment claims
- 04MINORWide investment range ($1.058M spread) suggests undefined unit economics or inconsistent buildout costs
- 05MED5% royalty on undisclosed average revenue makes ROI impossible to model
- 06MINOR10-year term is lengthy commitment to unproven, non-operating franchise system
- 07HIGHNo disclosed litigation does not eliminate legal/operational risk given going concern status
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 1 |
| Territory type | radius |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 10 days |
| Termination groundsℹ | 2 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Illinois |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 12 hrs
- On-the-job training
- 307 hrs
- Training location
- On-site and corporate
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
59 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
D Spot Dessert Café · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a D Spot Dessert Café franchise?
The total investment to open a D Spot Dessert Café franchise ranges from $785K – $1.8M, with an initial franchise fee of $35K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do D Spot Dessert Café franchise owners earn?
D Spot Dessert Café does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is D Spot Dessert Café's franchise failure rate?
SBA 7(a) loan charge-off data is not available for D Spot Dessert Café (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
Is D Spot Dessert Café a good franchise to buy?
FranchiseVerdict rates D Spot Dessert Café as a D-grade franchise with a risk score of 75 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.