4 ms·

I'd be surprised if the average McDonald's franchiser is making anything close to $100,000 per year. I'd guess that it's around $60,000 in a good location and y

I'd be surprised if the average McDonald's franchiser is making anything close to $100,000 per year. I'd guess that it's around $60,000 in a good location and year. McDonalds is known to be especially bad at fleecing franchise owners. I worked at a chain grocery store one summer and had observations pretty similar to Barbara Ehrenreich's in Nickel and Dimed. "Four digits" (per week) was considered to be rarefied compensation. The #3 man in the store was making around $50k, and this was a huge store with about 150 employees.

netcan 18y ago
Would you? Down here (Australia) it takes $0.5m-$1.5m to start one. I'd expect more thent 100k
- time_management 18y ago
  Took a glance at some numbers. It appears that I'm wrong. I had management and franchisee ownership compensation conflated in my mind for some reason.
  - mikeyur 18y ago
    The managers (2nd tear) may be in the $60k range but the owner would be on the 'Board of Dealers' while all the employees make minimum wage.
    - netcan 18y ago
      The owner (the franchisee) is the local head dealer.
- mattmaroon 18y ago
  It's $1m+ in America now, if you're lucky enough to find a spot where you can even open one. There are so many of them that the geographic restrictions make that hard. They're also a lot pickier about who they'll let open one than they used to be.
- gravitycop 18y ago
  The McDonald's site has some ballpark franching-cost figures for the U.S.: http://www.mcdonalds.com/corp/franchise/purchasingYourFranchise/newRestaurants.html http://www.mcdonalds.com/corp/franchise/purchasingYourFranch... The costs associated with new restaurants are as follows: Initial Costs $45,000 Initial Fee paid to McDonald's Equipment and Pre-Opening Costs Typically these costs range from $905,200 to $1,746,000. [...] The new Owner/Operators must pay forty percent (40%) cash of the total costs of a new restaurant, and may finance the remainder from traditional sources. http://wiki.answers.com/Q/How_much_do_McDonalds_franchise_owners_earn http://wiki.answers.com/Q/How_much_do_McDonalds_franchise_ow... The average McDonalds franchise owner will make $240,000 per year for each restaurant owned. The average McDonalds restaurant will have sales of 1.9 million per year.
  - netcan 18y ago
    That's not to shabby.

netcan 18y ago

Would you? Down here (Australia) it takes $0.5m-$1.5m to start one. I'd expect more thent 100k

time_management 18y ago
Took a glance at some numbers. It appears that I'm wrong. I had management and franchisee ownership compensation conflated in my mind for some reason.
- mikeyur 18y ago
  The managers (2nd tear) may be in the $60k range but the owner would be on the 'Board of Dealers' while all the employees make minimum wage.
  - netcan 18y ago
    The owner (the franchisee) is the local head dealer.
mattmaroon 18y ago
It's $1m+ in America now, if you're lucky enough to find a spot where you can even open one. There are so many of them that the geographic restrictions make that hard. They're also a lot pickier about who they'll let open one than they used to be.
gravitycop 18y ago
The McDonald's site has some ballpark franching-cost figures for the U.S.: http://www.mcdonalds.com/corp/franchise/purchasingYourFranchise/newRestaurants.html http://www.mcdonalds.com/corp/franchise/purchasingYourFranch... The costs associated with new restaurants are as follows: Initial Costs $45,000 Initial Fee paid to McDonald's Equipment and Pre-Opening Costs Typically these costs range from $905,200 to $1,746,000. [...] The new Owner/Operators must pay forty percent (40%) cash of the total costs of a new restaurant, and may finance the remainder from traditional sources. http://wiki.answers.com/Q/How_much_do_McDonalds_franchise_owners_earn http://wiki.answers.com/Q/How_much_do_McDonalds_franchise_ow... The average McDonalds franchise owner will make $240,000 per year for each restaurant owned. The average McDonalds restaurant will have sales of 1.9 million per year.
- netcan 18y ago
  That's not to shabby.