Foodtastic has signed a master franchising agreement with Inspire Brands to bring Dunkin‘ back to Canada, with plans to open hundreds of locations across the country. The Montreal-based restaurant operator will have exclusive rights to develop the brand nationally through both corporate and franchise-operated locations. The first Canadian Dunkin’ is expected to open in late 2026 or early 2027.
“Bringing Dunkin’ back to Canada is a significant growth opportunity for Foodtastic and our franchise partners across the country,” said Peter Mammas, Foodtastic Founder and CEO. “We are committed to growing the Dunkin’ brand thoughtfully to meet the needs of Canadian guests and communities.”
Foodtastic will manage market development, franchisee recruitment and operations across Canada. The menu will include hot and iced coffees, espresso beverages, teas, donuts, sandwiches and snacks.
Michael Haley, President of International at Inspire Brands, said the decision to partner with Foodtastic was an easy one. “Foodtastic has a proven track record of successfully growing leading restaurant brands, already established with their early progress growing Jimmy John’s. We value the shared commitment, operational expertise, and long-term vision they bring to this partnership.”
Dunkin’ has a complicated history in Canada. The brand once operated more than 200 locations in Quebec alone, but struggled to compete against Tim Hortons and eventually lost its footing in the market. A group of Canadian franchisees sued the company in 2003, claiming it had failed to adequately support and promote the brand and had backed out of a promise to invest $40 million in the Canadian market. In 2016, Dunkin’ was ordered to pay those franchisees close to $18 million in damages. By September 2018, the last three Montreal-area locations had closed, with the final free-standing store in the borough of Verdun converted into an independent shop.
The structure of this new agreement is notably different from the brand’s previous Canadian chapter. Rather than managing the market from the U.S., Inspire Brands is handing full development responsibility to a Canadian operator with deep local roots.
Foodtastic is one of Canada’s largest restaurant franchisors, operating more than 1,200 locations across 27 brands including Second Cup, Freshii, Quesada, Pita Pit and Rotisseries Benny. The company reports $1 billion in annual sales. The Dunkin’ agreement deepens an existing relationship with Inspire Brands. Foodtastic is already the Canadian master franchisor for Jimmy John’s, which opened its first Canadian location in Etobicoke in November 2024 and has since grown to roughly a dozen locations, with long-term plans for 200 stores nationally.
Dunkin’ is returning to a competitive landscape. Tim Hortons holds an estimated 62 percent of the Canadian coffee market and operates close to 4,000 locations nationally. Canada’s overall coffee sector was valued at $23.6 billion in 2024 and is projected to reach $34 billion by 2034, with specialty cold beverages and espresso-based drinks among the fastest growing categories.
Details on the first Canadian location and market rollout will be announced as development progresses. Franchising inquiries can be directed to foodtastic.ca/dunkin.
This is a developing story. 6ixRetail will update this article as more information becomes available.
Dustin Fuhs is the founder and Editor-in-Chief of 6ix Retail, Toronto’s premier source for retail and hospitality industry news. As the former Editor-in-Chief of Retail Insider, Canada’s most-read retail trade publication, Dustin brings over two decades of expertise spanning retail, marketing, entertainment and hospitality sectors. His experience includes roles with industry giants such as The Walt Disney Company, The Hockey Hall of Fame, The Canadian Opera Company, Starbucks Canada and Blockbuster.
Recognized as a RETHINK Retail Top Retail Expert in 2024, 2025 and 2026, Dustin delivers insider perspectives on Toronto’s evolving retail landscape, from emerging brands to established players reshaping the city’s commercial districts.