Guide on McDonald’s Franchise Cost & Application Process
MCDONALD’S FRANCHISE COST – Here is a guide in franchising this international fastfood chain and the amount that you might need.
Undeniably, the competitor of Jollibee in the Philippines is McDonald’s. These two (2) fastfood chains are usually compared. Meanwhile, both have their delicious offers that set them apart from each other.
McDonald’s is not only popular in the Philippines but in several other countries abroad. This American multinational fastfood chain is operating for decades already since 1940 when it was founded by Richard and Maurice McDonald in San Francisco, California.
McDonald’s allows franchising. The American multinational fastfood chain awards franchises for:
- a new site or restaurant
- an existing restaurant owned and operated by the Company
- an existing restaurant owned and operated by a franchisee who would want to sell his or her McDonald’s restaurant
Undeniably, the fastfood chain has gained the trust of countless people worldwide. However, the McDonald’s franchise cost also requires a huge amount of money. It can be as much as $1 million or its equivalent in Philippine Peso using the prevailing exchange rate.
Who are qualified to apply for a McDonald’s franchise? Here are the qualifications set by the popular fastfood chain:
- has a significant business experience
- a Filipino or former natural born Filipino Citizen
- has successfully owned or managed multiple business units
- has significant financial resources
The McDonald’s franchise cost is dependent on the size and type of the store that will be put up as well as the location and the CAPEX features of the branch you wish to built. The following may also be contributing factors with regards to the total cost for franchising:
- Restaurant type & size
- Suitability of existing building
- Site location whether provincial or within Metro Manila
What does a McDonald’s franchise includes? Here are part of the inclusions of the franchise that is good for ten (10) years or the term of the lease whichever is shorter.:
- Architectural Planning and Global Design Fees
- Building and leasehold improvements and other relevant site works necessary
- Air-conditioning system, kitchen exhaust and stainless fabs
- Point of sale
- Kitchen equipment, seating, signage and décor
- Other furniture and fixtures
- Government mandated requirement
