Cost, returns, ongoing investment.
Find out what to expect.

If you’re thinking of becoming a Franchisee, here’s everything you need to know.


Typical* Annual Sales £2.0 million - £5.8 million

From January to December 2023, 80% of all McDonald’s UK franchised restaurants had sales between £2.0m and 5.8m.

To invest in a McDonald’s Franchise, the minimum financial requirement is 25% of the total investment in unencumbered funds.

The remaining 75% investment can be funded by a bank and Franchisees may wish to use banks with which McDonald’s has a relationship since these provide very competitive rates.

Those interested in becoming a Franchisee will need to invest circa. £125k in unencumbered funds

Of restaurants franchised in 2023, the cost of purchasing the franchise rights and equipment was between £500k and £1.85 million*. This was valued on profitability over a ten year period using a projected future cash flow.

The opportunity to own and operate a McDonald’s restaurant may come from a direct purchase from McDonald's or via one of our existing Franchisees.

*Typical payment needed to obtain the right to purchase the franchise rights and equipment for a first restaurant. In certain circumstances, McDonald’s may be able to offer alternative financial arrangements.

Typical Rent, Advertising and Royalty

The monthly rent payable by 80% of restaurants franchised between January 2023 and December 2023 ranged between 8% and 18% of that restaurant’s net sales. Typically, this rent is fixed for 20 years on the initial term. Rent is calculated over a ten year period factoring in projected sales and profitability.

There is an additional monthly royalty of 5% of the net sales for the use of the McDonald's system as well as a contribution to the marketing fund which is currently set at 4.3% of net sales.

Typical Annual Cash Flow after first year: £120k-£400k

Cash flow is the money left in your business before you have taken a personal draw, and paid any loans or tax payments that may be outstanding.

Typical return on investment (ROI) over 20 Years 20%-25%

ROI is modelled such that a Franchisee may have the potential to generate 20% - 25%* annually, over their term. Note that this doesn't take account of any future investments you will make into your business during the 20-year term.

*The ROI range may vary based on future business performance and how individual restaurants are operated.

Banking Support

McDonald’s has long-standing relationships with well-established banks, who can offer competitive rates and support to Franchisees.

Ready to take the next step?

Make sure you read our step-by-step guide to the Franchisee application process.

Explore more

Our Support

How McDonald’s supports Franchisees.


Your most common questions answered.

Our Franchising Events

Learn even more at our next event.

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