McDonald's Franchise
Food Service franchise opportunity
At a Glance
About McDonald's
McDonald's operates in the restaurant and food service space and franchises its brand to independent owners. The quick-service and casual dining category remains one of the more active corners of franchising, and McDonald's competes within it with a defined operating model.
Opening a McDonald's franchise calls for an estimated total investment of $1,472,000–$2,807,000. That figure includes an initial franchise fee of $45,000, along with costs such as equipment, buildout, signage, initial inventory, and working capital.
McDonald's includes a financial performance representation (Item 19) in its current FDD, meaning the franchisor discloses figures on unit-level sales or earnings. Reviewing Item 19 alongside validation calls with existing franchisees is the best way to gauge realistic performance.
Use Franchat to review McDonald's's numbers, download the current FDD, and benchmark it against comparable food service franchises before you invest.
Financial Performance (Item 19)
McDonald's Item 19 discloses system-wide average unit volumes (AUVs) for domestic traditional restaurants: for the 12,212 franchised restaurants open at least 1 year as of 12/31/2025, average annual sales were $4,057,000, median $3,887,000, with a range of $1,063,000 to $20,421,000. Pro forma P&L statements at three illustrative sales levels ($3.0M, $3.2M, $3.4M) show cost of sales around 28.4-28.6%, other operating expenses around 46-47%, and resulting Operating Income Before Occupancy Costs (excluding rent, royalty, D&A, interest, and taxes) of $732,000 (24.4%), $795,000 (24.8%), and $864,00
Frequently Asked Questions
Similar Franchises
McDonald's FDD
Request the latest Franchise Disclosure Document (FDD) for McDonald's.