Mcdonalds Franchise Cost Information
McDonalds is so popular that a lot of people who have money to invest try hard to buy a franchise. Who can blame them? If you will consider that this fast casual chain is earning annual revenues of approximately $28.11 billion worldwide, you will also want to get a franchise in your locality.
But since McDonalds is extremely successful, getting a franchise is really not for those who are thinking of small scale business ideas . For one, a McDonalds franchise cost is really very hefty.
The McDonaldss Corporation requires a minimum of $250,000 of non-borrowed personal resources to consider a request for a franchise. That means you have to present this amount in spot cash to McDonalds for them to even consider your application for a franchise operation.
Some investors who wished to take advantage of the McDonalds franchise did so by buying an existing McDonalds restaurant, either from an owner/operator or from the company itself.
Buying an existing McDonalds franchise is the most frequent way in entering a McDonalds franchise. There are two ways of doing this: the first one is to buy an existing store from a McDonalds operator, and the second one is to buy an existing restaurant operated by McDonalds itself.
The other and less frequent way of entering the McDonalds franchise system is to obtain license rights to start a new McDonalds restaurant. This option is not popular because its provisions are not very profitable for operators.
In many instances, McDonalds provides the land and building of the restaurant. The franchisee or the operator just pays McDonalds rent for the use of the facilities. This is the thing that differ McDonalds from other food franchises. Other companies allow their operators to own the land and the building where the restaurant stands.
Aside from the very important financial aspect, McDonalds is also looking for other qualifications before it grants a franchise to any individual. Applicants for franchises need to be adept in managing their finances, able to motivate and train their people, are prepared to complete a comprehensive training program and commit themselves to operating their franchise on a full-time basis.
However this cost should not stop those who are successful in operating the most profitable small businesses in the country. If they could arrange for the sale of a real estate property worth the initial franchise amount and present a feasibility study that justifies this kind of investment, they should pursue the idea. It is one of the most effective ways in earning sure money.
But since McDonalds is extremely successful, getting a franchise is really not for those who are thinking of small scale business ideas . For one, a McDonalds franchise cost is really very hefty.
The McDonaldss Corporation requires a minimum of $250,000 of non-borrowed personal resources to consider a request for a franchise. That means you have to present this amount in spot cash to McDonalds for them to even consider your application for a franchise operation.
Some investors who wished to take advantage of the McDonalds franchise did so by buying an existing McDonalds restaurant, either from an owner/operator or from the company itself.
Buying an existing McDonalds franchise is the most frequent way in entering a McDonalds franchise. There are two ways of doing this: the first one is to buy an existing store from a McDonalds operator, and the second one is to buy an existing restaurant operated by McDonalds itself.
The other and less frequent way of entering the McDonalds franchise system is to obtain license rights to start a new McDonalds restaurant. This option is not popular because its provisions are not very profitable for operators.
In many instances, McDonalds provides the land and building of the restaurant. The franchisee or the operator just pays McDonalds rent for the use of the facilities. This is the thing that differ McDonalds from other food franchises. Other companies allow their operators to own the land and the building where the restaurant stands.
Aside from the very important financial aspect, McDonalds is also looking for other qualifications before it grants a franchise to any individual. Applicants for franchises need to be adept in managing their finances, able to motivate and train their people, are prepared to complete a comprehensive training program and commit themselves to operating their franchise on a full-time basis.
However this cost should not stop those who are successful in operating the most profitable small businesses in the country. If they could arrange for the sale of a real estate property worth the initial franchise amount and present a feasibility study that justifies this kind of investment, they should pursue the idea. It is one of the most effective ways in earning sure money.
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