17th October 2019


How much money can you make with a franchise?

According to a report on food franchising by Franchise Business Review, 51.5 percent of food franchises earn profits of less than $50,000 a year; roughly 7 percent top $250,000, with the average profit for all restaurants coming in at $82,033. That doesn't sound too bad, until you factor in the initial investment.

Herein, how much does a McDonald's owner make a year?

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.

What is the cost of a Taco Bell franchise?

Here's what it costs to open a Taco Bell restaurant. The cost of opening a new Taco Bell restaurant is between $1.2 million and $2.6 million. Taco Bell also charges a $45,000 franchise fee, an ongoing royalty fee equal to 5.5% of gross sales, and a marketing fee equal to 4.25% of gross sales.

What is the cheapest fast food franchise to open?

Following the name of each restaurant chain is the total startup costs to obtain franchisee rights and open one new restaurant in the US.
  • Taco Bell: $1.2 million to $2.5 million.
  • Wendy's: $2 million to $3.5 million.
  • KFC: $1.3 million to $2.5 million*
  • McDonald's: $955,708 to $2.3 million.
  • Pizza Hut: $295,000 to 422,000.
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