Featured:
Allergies
Grilling Guide
eHow Now Blog

What Does the Initial McDonald's Franchise Fee Cover?

Operating a franchise allows an entrepreneur to start a business legally using another company's operating processes or brand name. Franchises are common in many industries, with one of the most recognizable brands the Golden Arches of McDonald's.

  1. Facts

    • McDonald's requires individuals to pay a $45,000 initial franchise fee. Franchisees must pay this fee for the opportunity to operate a McDonald's restaurant. This fee does not pay for any specific items in the restaurant.

    Features

    • Franchise owners will usually pay from $1,012,200 to $1,840,000 for starting a new franchise operation. McDonalds requires entrepreneurs to pay 40 percent cash for these restaurant costs, with the remaining portion financed.

    Considerations

    • The initial franchise agreement is good for 20 years. After this agreement ends, franchisees will need to renew their contract and negotiate new fees or costs for the franchised restaurant.

Related Searches:

References

Comments

You May Also Like

  • What Does the Initial Franchise Fee Cover at Quiznos?

    Operating a franchise is an opportunity for an entrepreneur to own her own business while working with a proven system. Most franchises...

  • McDonald's Franchise Information

    McDonald's is internationally recognized as a quick-service fast-food chain, famous for its hamburgers, fries, milkshakes, salads, and breakfast menu. McDonald's has ...

  • How to Start a McDonald's Franchise in Georgia

    There are over 2,400 owner operated McDonald’s franchisees in the United States. Starting a McDonald’s franchise in Georgia is the same as...

  • What Is a Franchise Fee?

    Successful entrepreneurs know they can't be everywhere at once. So, once they've developed a successful concept and mastered the system for operating...

  • How to Purchase a McDonald's Franchise

    In its 2010 rankings, "Entrepreneur" magazine ranks McDonald's as the No. 6 business on its "Fastest-Growing Enterprises" list and No. 2 on...

  • How Much Does It Cost to Start a Franchise?

    All franchises have their own requirements, so all the costs are different. In most scenarios, you pay a franchise fee, building costs,...

  • What Does it Mean to Franchise?

    If you eat at fast-food restaurants like McDonald's, get your muffler fixed at Midas or buy coffee or doughnuts at Dunkin' Donuts,...

  • How to Take the McDonald's Assessment Test

    McDonald's is a world-wide with over 32,000 restaurants in 117 countries as of 2001. It's known for providing flexible schedules to its...

  • About McDonald's Direct Stock Purchase Program

    McDonald's restaurants, with its colorful cast of promotional characters like Ronald McDonald, fast service and reasonable prices, are a favorite of families...

  • How to Buy a McDonald's Franchise

    The "Golden Arches" is one of the most famous and recognizable trademarks in the world. McDonald's open franchises all across the United...

  • The Advantages of Mcdonald's Franchise

    Some entrepreneurs choose to buy into franchises. In doing so, they acquire the right to adopt a brand's image and sell that...

  • What Is a Franchise Fee?

    A franchise fee is the amount of money a person, organization or company pays to the franchise holder to support the knowledge...

  • Define Franchise Fee

    Franchise fees are paid by the investor or franchisee to the franchise. The fee is the initial cost to purchase a franchise...

  • How to Become a Franchisee of McDonald's

    Consider the costs to buy a franchise. McDonald's requires an initial down payment of 40 percent to buy a new restaurant and...

  • How to Own a McDonald's

    McDonald's is one of the most recognized names in the fast food industry, with franchises located throughout the world. Owning your own...

  • What Does the FAFSA Cover?

    Completing the Free Application for Federal Student Aid (FAFSA) is usually the first step in applying for grants, student loans and other...

  • Typical Legal Fees for Starting a Franchise

    The legal fees for starting a franchise vary, depending on the type of business. A tremendous amount of paperwork has to be...

  • What Does a Medical Card Cover?

    Medical cards are available when a person subscribes to a discount medical plan. There are many agencies that offer these discount medical...

  • What Does GU 63 Mean in the NFL?

    In 2008, then executive director of the National Football League Players' Association (NFLPA) and former pro football player Gene Upshaw died from...

Related Ads

thumbnail
Featured