How Much To Set Up A Mcdonalds Franchise

McDonald's was the second-ranked company on the 2022 Franchise 500 list, just this yr, it took the acme spot. It's piece of cake to understand why it continues to score high on our list. Not only are yous investing in an established billion-dollar brand, but you are as well buying into a culture that supports you and wants you to succeed.

That said, buying a McDonald'due south franchise might not be for everyone. Depending on your upkeep (costs millions to go a frachisee), location and priorities, it may not be for yous. (If you lot're not certain what yous might want to buy, we take a quick survey hither that tin help yous find a expert franchise fit.)

Notwithstanding, if you know you're interested in McDonald's, here's a quick guide to what goes into buying a franchise, including how much information technology costs and how much training you'll need.

Start the slideshow to learn more.

Related: Quiz: How Much Do Yous Really Know About McDonald's?

Cost

Okay, nosotros're probably going to lose a few people hither. The franchise fee of $45,000 doesn't sound too bad, simply when you add in location, equipment and more than, the initial investment in a McDonald'south costs at least $1 one thousand thousand and as much as $2.ii meg.

You'll need to make an initial downwardly payment of 40 pct of the total cost when you buy a new eating place, or 25 percent for an existing one. That'due south a lot of dough, and it's why McDonald'south requires franchisees to accept a minimum of $500,000 in non-borrowed, liquid resource.

Once you lot accept established the franchise, you will accept to pay a service fee (four per centum of monthly sales) and rent.

That seven-figure toll tag is no joke, merely it's comparable to or even more affordable than similarly successful burger franchises. For instance, a Sonic Bulldoze-In costs $one one thousand thousand to $2.4 1000000 and a Culver's costs $i.eight million to $4.iii 1000000.

Related: Just How Much Does It Cost to Own a Fast-Food Franchise?

Grooming

In addition to the time you'll spend getting your franchise ready to open, you lot'll need to spend some fourth dimension getting yourself ready to run it. Most companies want franchisees to undergo 2 types of training: classroom training -- either at a training facility or visitor headquarters -- and on-location training.

McDonald's offer a lot more training than other franchises. The Golden Arches wants franchisees to get at least 75 hours of classroom training, and then provide half-dozen to 24 months of training on the job. It besides offers additional preparation at a local McDonald's restaurant.

Related: v Things You Need to Know Before Investing in a Chick-fil-A Franchise

Tendency

You might think that tracking the trend for a place like McDonald'southward, which opened its first restaurant in 1940 (and started franchising in 1955), is unnecessary. We beg to differ. It'south important to look at the number of units for any business.

In 2008, there were 31,967 locations across the earth. Past the start of 2022, in that location were 37,011 units, representing a 15.8 per centum growth in well-nigh 10 years. There isn't some big jump in at that place that skews the boilerplate, either. From 2022 to 2022, McDonald's added 507 units, and it's added 1,328 units in the past iii years.

Much of this growth has come outside of the U.S., but the number of American franchises hasn't plateaued. As of 2022, in that location were 13,109 American franchises, which represents a ten-twelvemonth high.

Related: The 5 Best Burger Franchises You Tin Purchase (and How Much They Cost)

Location

Location can exist a tricky slice of criteria for any potential franchisee. If a company is likewise small, it might not be ready to franchise to your surface area, but if information technology is too big, information technology might have already done then. That'southward before you remember about the actual architecture, landscaping and other needs to build a McDonald'due south.

Luckily, McDonald's is still expanding in the U.Due south., from Maine to Alaska and Hawaii to Florida. You lot can utilize this handy map to contact McDonald's representatives who can help effigy out a location for you in your region.

Related: The 10 All-time Franchises to Open in 2022

Support

Other than a sign with golden arches and a color scheme, what exactly are y'all getting when you become a McDonald's franchisee? What does the burger make offer you that will assistance make sure your investment doesn't go to waste?

Well, some of information technology is obvious and some of it might non be. Ongoing back up includes a newsletter, invitations to meetings and conventions, a cost-gratuitous line, a grand opening, online back up, security and prophylactic procedures, field operations, site option, proprietary software and a franchisee intranet platform.

Plus, you become marketing back up with co-op advertising, ad templates, national media, regional advertizement, social media, a loyalty program and app.

Related: 24 Tiptop-Ranked, Affordable Franchises You Can Buy for $25,000 or Less