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Opening a major restaurant franchise is impossible for the average American. McDonald's usually requires $750,000 of non-borrowed personal resources before considering an application, according to its website. Taco Bell requires net worth of $1 million, while Burger King requires $1.5 million. The franchisee controversy is the latest in a string of problems for McDonald's. Employees were striking for better wages last week.
Owning a McDonald's franchise can be a lucrative business, but it requires a lot of cash. 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. Startup costs, which include construction and equipment expenses, average between $955,708 and $2.3 million, according to McDonald's.