A McDonald's Franchise In-Depth Review

Owning a McDonald's franchise can be one of the most rewarding experiences of your life if you know what you're doing, if you have the resources to qualify and if you do it the right way. However, before you do your share of serving billions and billions of hamburgers worldwide, there's a few things you need to be aware of in order to make the right decision.

McDonald's franchise has been in existence since 1955 and the franchisees themselves have played a major role in the success of the company. Today, there are roughly over 30,000 restaurants spanning the globe in over 100 countries.

If you were to consider buying a McDonald's franchise, there are 2 scenarios to choose from. You can either purchase an existing restaurant from the company or another franchisee (which is the most common practice) or you can purchase a new restaurant that is built from the ground up. In either case, you must have a minimum of $300,000 down payment that can NOT be borrowed. You must have it and that's just the down payment.

Other factors in opening a McDonald's franchise include having significant business experience, good management skills, the ability to manage finances well, you must be able to execute and deliver on a business plan, you have to maintain exceptional customer service and you have to have a good credit history. Without these things, you might be looking at a different franchise altogether.

It is widely agreed upon by most experts that if you can break even in the first 7-10 years then you're doing a great job running your McDonald's franchise. Part of the ongoing expenses include royalties of roughly 4% of gross monthly sales and the traditional business costs including rent, utilities, inventory, etc. What's not well known is that the McDonald's corporation usually owns the land and you pay your rent to the corporation. As a matter of fact, McDonald's corporation is one of the largest holders of real estate in the world. If you think about it, they are really in the real estate business and not the hamburger business.

Bottom line is that owing a McDonald's franchise is not for the timid. You have to have considerable net worth, a good track record and still get approval by the company. Not all franchises are this way and if you don't qualify for a McDonald's franchise, then there are plenty of other viable options for you.

For information on a franchise with NO royalties, NO territory restrictions, NO advertising fees, NO building or office required, NO credit check, NO analysis of your net worth & is 100% scalable, visit BizziBiz Franchise or contact Gerek Allen to get more information. Gerek Allen is an entrepreneur, Internet marketer and digital marketing franchise owner.