How much does it cost to open a McDonald's?

The franchise fee for opening a McDonald's is $45,000. To purchase a new restaurant, McDonald's requires an initial down payment that's 40% of the total initial cost.

For an existing franchisee with a track record, McDonald's only requires 25% of the total cost. Funds for the down payment must be obtained through non-borrowed personal resources, such as cash on hand, debentures, bonds, securities, vested profit sharing, and real estate or business equity exclusive from your personal residence.

Furthermore, there are other expenses to consider besides the basic financial requirements; these include:

• Average Rent Percentage - 10.7%

• Service Fee - 4% on gross sales

• Purchase of an existing franchise - 25% of the total cost

• Purchase of a new franchise - 40% of the total cost

• Required for payment - 25% of the down payment must be cash