Chick-fil-A pays for the land, the construction and the equipment. It then rents everything to the franchisee for 15% of the restaurant's sales plus 50% of the pretax profit remaining. Operators, who are discouraged from running more than a few restaurants, take home $100,000 a year on average from a single outlet.
In this manner, how much does it cost to own a subway?
How Much Does It Cost to Open a Subway?
|Name of Fee||Low||High|
|Initial Franchise Fee||$15,000||$15,000|
|Equipment Lease Security Deposit||$4,500||$7,500|
How much money can you make owning a McDonald's?
The average McDonald's restaurant generates $2.5 million in sales annually, making it the second-highest-grossing chain in the US by sales per unit behind Chick-fil-A, according to QSR magazine. But to open a single restaurant, the company requires that potential franchisees have liquid assets of at least $750,000.