DonutNV Franchisee Turnover Confirmed by 2025 FDD
In this post: A List of DonutNV franchise owners who exited the system; The 2025 DonutNV Franchise Disclosure Document (FDD) (Free Download).
The long-awaited DonutNV FDD confirms reports by franchisees that, despite signing 10-year agreements, many were unable or unwilling to make it past the first year or two. Though unhappy DonutNV franchisees aren’t free to openly share their opinions and experiences, the truth is available… with a little digging. by Sean Kelly
Read our continuing reporting & analysis on DonutNV here: The DonutNV Franchise Report (Index)
(UnhappyFranchisee.Com) The FTC “A Consumer’s Guide to Buying a Franchise” states that speaking to current & former franchisees is the best way to confirm the accuracy of a franchise seller’s representations.
Following the FTC’s guidance is challenging when franchisors, like DonutNV, require NDAs of former franchisees and restrict franchisee participation on social media.
Getting to the truth about the performance of initial DonutNV franchisees has been challenging… to put it mildly.
But the long-awaited 2025 DonutNV Franchise Disclosure Document (FDD) has been released and confirms franchisees’ claims that many exited – or were trying to exit – in the first years of their 10-year agreement.
DonutNV Franchise Disclosure Document (FDD) 2025 (PDF)
Our list of DonutNV franchise resales indicate that while many may be successful and excited to be a part of the mini-donut franchise system, others are eager to get out… even if it means selling at a cost significant lower than their initial investment.
Disclaimer & Invitation: The information we provide should be taken as a starting point for your research. Some of it could be incorrect… not out of sloppiness or lack of care, but because we have compiled this information without the franchisor’s involvement and DonutNV franchisees are prohibited and/or afraid to speak out. Please help by providing corrections, clarifications or additions.
The 2025 DonutNV FDD Validates Claims by Struggling Franchisees
The 2025 DonutNV Franchise Disclosure Document (FDD) confirms franchisees’ reports of notable turnover. In Item 20, DonutNV Franchising discloses that 25 franchises have exited the system, including 19 transfers, 1 Termination, 3 franchises reacquired by the franchisor, and 2 that Ceased Operation – Other Reasons. (For explanations of what constitutes a “transfer” and a “reacquisition,” go to the bottom of the post)
We believe our reporting and questions prompted the disclosure of two franchise exits not disclosed in previous FDDs (Mike Flowers, Panama City, FL, and John Owens, Ocala, FL), though questions about other seemingly undisclosed franchisees (Daryl Poe, Rachelle & Thomas Hughes, among others) remain unaddressed.
In addition, we’ve identified potential franchisee departures made after the reporting term ending 12/31/24 and therefore not required to be disclosed in the 2025 FDD.
These may include:
- James Mazurek (Orlando),
- Jake Hamburger & Jennifer Cain (Omaha)
- Christopher Doran (Advance, NC)
- Jason Scott Wells & Mallory Outlaw (Dina Wells) (Rock Hill, SC)
- Pravesh Mallik (Alexandria, VA)
30+ DonutNV Franchises Representing 50+ Territories Appear to Have Exited
If we include both disclosed and suspected franchise exits, we estimate that 30+ franchises exited the DonutNV system in recent years.
Based on data in the 2023-2024 FDDs, we estimate that the former franchisees had been sold 50+ territories. DonutNV Franchising Inc. reportedly charges a $60,000 fee for the first territory, and $30,000 fee for each subsequent territory. Of those with numbers disclosed, the franchisees who were sold the most initial territories were the Nassifs in NC (4), Matthew & Rebecca Miller in TX (4), Jay Henry in TN (3), & Mohammed Merchant of Frisco, TX (3).
Question for DonutNV Franchising Inc. & attorney David Saulino, Spadea Law: Why do you claim that only one former franchisee (Darlene Ortega) “owned and operated multiple outlets”? Prior FDDs indicate the majority of former owners owned multiple territories with several having paid for 3 or 4 territories.
Here is a compilation of the franchises that exited the system to date, both disclosed & undisclosed.
TIP: If using a phone or small screen, view table in landscape view (sideways).
DonutNV Franchisees Who May Have Exited – Disclosed & Not Disclosed
| Franchisee | State | Location | # Territories | 2023 FDD | 2024 FDD | 2025 FDD | Notes |
|---|---|---|---|---|---|---|---|
| Douglas Pillsbury | AZ | Anthem | ? | – | Active* | Left System | Terminated. 2024 FDD indicates multiple territories. |
| Jane Zeitz, Michael Zeitz | CT | Ridgefield | ? | – | Active* | Left System | Reacquired by Franchisor. 2024 FDD indicates multiple territories. |
| Nenad Markovic | FL | Clermont 612 Cagan View Rd | – | Active | Active | N/D | With Ana Markovic 2024. Cagan address is the now-closed brick & mortar store. Several franchisees may have owned it prior to its closing |
| Rachelle & Thomas Hughes | FL | Clermont 612 Cagan View Rd | – | – | – | N/D | Never disclosed; Social media indicates they took over Clermont store in 12/23? |
| Ronald Smith | FL | Gotha | – | – | Active | Left System | |
| Patricia & Luis Aviles | FL | Groveland | 2 | Active | Active | Left System | Active in 2022 FDD. |
| Kristen & Corrado Gugliotta | FL | Jacksonville | ? | – | Active* | Left System | With Joyce Frymyer |
| Dana Owens, John Owens | FL | Ocala | – | – | N/D | Left System | Not disclosed in 2024 FDD |
| James & Ludmilla Mazurek | FL | Orlando | ? | – | Active* | Active* | Veteran-owned. Rumored to have ceased operation in 2025. 2024 FDD indicates multiple territories. |
| Michael Flowers | FL | Panama City | – | N/D | N/D | Left System | Not disclosed until we publicly called attention to it |
| Darlene Ortega | FL | Riverview | 2 | Active | Active* | Left System | Active in 2022 FDD |
N/D: Not Disclosed SNO: Sold Not Opened * Bought Multiple Territories
| Franchisee | State | Location | # Territories | 2023 FDD | 2024 FDD | 2025 FDD | Notes |
|---|---|---|---|---|---|---|---|
| Asher Rudolph | FL | Tampa | ? | – | Active* | Left System | 2024 FDD indicates multiple territories. |
| Mary Ann Huffman | GA | Cordele | – | – | – | Left System | |
| Marc Schnobrich | GA | Savannah, GA, Hilton Head Island, SC | 2 | SNO | Active* | Left System | Franchise Sidekick referral |
| Marshall Moore, Elizabeth Moore | GA | Roswell | 2 | SNO | “Sold” | Left System | Territories not disclosed in 2025 FDD |
| Lee Alcorn | GA | Woodstock | ? | – | – | Left System | Veteran-owned. 2024 FDD indicates multiple territories. |
| Tyler Baker | IA | Webster City | 2? | Active* | Active* | Transferred 2 territories? | Selling 2 territories in FL |
| Sean Trumbly | KS | Olathe | – | – | – | – | Open less than 1 year |
| Timothy Raque, Kristina Raque | KY | Louisville | ? | – | Active* | Left System | 2024 FDD indicates multiple territories. |
| Andrew Nessler, Christine Nessler | MN | North Mankato | – | — | “Sold” | Left System | In 2024 FDD as a “transfer” |
| Jacob Hamburger & Jennifer Cain | NE | Omaha | 2 | SNO | Active* | Active* | Franchise Fastlane franchise sellers; Transferred to new franchisee in other market |
N/D: Not Disclosed SNO: Sold Not Opened * Bought Multiple Territories
| Franchisee | State | Location | # Territories | 2023 FDD | 2024 FDD | 2025 FDD | Notes |
|---|---|---|---|---|---|---|---|
| Christopher Doran | NC | Advance | – | – | Active | Active | Early testimonial. with Luis Aviles (2024) SNO 2022 FDD |
| Edward Nassif, Elizabeth Nassif | NC | Mount Holly | 4 | – | Active* | Left System | 2023 & 2024 FDDs indicate multiple territories. |
| Daryl Poe | PA | Pottstown | – | N/D | N/D | N/D | Celebrated as franchise owner of Pottstown store. Never disclosed in FDDs. |
| Jason Scott Wells & Mallory Outlaw (Dina Wells) | SC | Rock Hill | ? | – | Active* | Active* | Left in 2025? 2024 FDD indicates multiple territories. |
| James “Jay” Henry, Sandra Henry | TN | Rock Spring, GA | 3 | SNO | Active* | Active* | Territories not disclosed in 2025 FDD |
| Christopher Bruckler, Stacey Bruckler | TX | Burnet | – | – | Active | Left System | |
| Mohammed Merchant | TX | Frisco | 3 | SNO | Active | Left System | 2023, 2024 FDDs indicate multiple territories. |
| Matthew Miller, Rebecca Miller | TX | McKinney | 4 | – | Active* | Left System | 2023, 2024 FDDs indicate multiple territories. |
| Stacy Larson, Jonathan Larson | TX | Schertz | ? | – | Active | Left System | 2024 FDD indicates multiple territories. |
| Pravesh Mallik | VA | Alexandria | – | – | Active | Active | Not disclosed as exiting, but location is delisted on website |
| James Russo | VA | Midlothian | ? | – | Active* | Left System | Reacquired by Franchisor per 2025 FDD. 2024 FDD indicates multiple territories. |
…N/D: Not Disclosed SNO: Sold Not Opened * Bought Multiple Territories
DonutNV Disclosed Franchisee Exits by Type (2025 FDD)
| Transfers of Outlets Florida: 8 Georgia: 3 Minnesota: 2 Kansas: 1 North Carolina: 1 Tennessee: 1 Texas: 2 Virginia: 1 TOTAL: 19 | Terminations Arizona: 1 TOTAL: 1 Reacquired by Franchisor Connecticut: 1 Georgia: 1 Virginia: 1 TOTAL: 3 Ceased Operation: Iowa: 2 TOTAL: 2 |
What Constitutes a Franchise “Transfer”?
According to the FTC Compliance Guide:
“Transfer” means the acquisition of a controlling interest in a franchised outlet, during its term, by a person other than the franchisor or an affiliate. It covers private sales of an outlet by the existing franchisee-owner to a new franchisee-owner and the sale of a controlling interest in the ownership of a franchise.
In a transfer, a prospective franchisee buys an existing franchise directly from an existing franchisee, but then may enter into a new franchise agreement with the franchisor…
Some franchise sellers misdirect attention from the number of failed franchisee investments by miscategorizing them as “Transfers” rather than “Ceased operations” or “Reacquisitions.”
What is a Franchise “Reacquired” by the Franchisor?
According to the FTC Compliance Guide, Reacquisition by the Franchisor is defined:
“Reacquisition” means the return of a franchise outlet during its term to the franchisor in exchange for cash or some other consideration, including the forgiveness of a debt. For example, during the course of a franchise agreement, a franchisee may wish to terminate its relationship with the franchisor, and the franchisor may agree to buy back the outlet for cash or to forgive overdue royalty payments.
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Tags: DonutNV 2025 Franchise Disclosure Document, DonutNV, DonutNV franchise, DonutNV franchise failures, DonutNV franchise turnover, Donut franchise, 2025 DonutNV FDD, Mobile Donut Franchise, Franchise Fastlane, Alex Gingold, Amanda Gingold, Jake Hamburger, Attorney Joe Ferris, Attorney Joseph Ferris, Attorney William C. Clements, Klehr Harrison Harvey Branzburg LLP