McDonald's franchise or Burger King franchise, which is better?

If you're thinking about investing in a food chain franchise and you have a lot of capital, you've probably already thought about the two big fast-food chains that dominate the market. However, it is possible that you have not yet decided which is more advantageous: McDonald's franchise or Burger King franchise.

In this post, we talk a little about this topic. However, it is worth remembering that the concept of “better” is something very subjective. This means that each person, that is, each investor, has different objectives, capital and styles in mind. Therefore, we separate some factors that may be worthy of your consideration before choosing one or another franchise to acquire.

If you want to invest in a McDonald's franchise or a Burger King franchise, you should consider the criteria below!

McDonald's Franchise Initial Investment Value

To invest in a McDonald's franchise, you should be prepared to spend between one and two million reais. Everything will depend on factors to be agreed with the company, so these values can vary a lot for more or less.

On the other hand, Burger King franchises are a little more expensive. However, everything will depend on the type of franchise you are going to manage. Prices vary between 1 and 3 million reais. Will this information lead you to choose your McDonald's franchise or Burger King franchise?

Total investment payback time

Despite the very high investment, those who buy a McDonald's franchise can expect the total return on their investment in a time that varies approximately between 1 and 5 years. In the case of Burger King, the expectation is to obtain this return in up to 3 years of operation.

Percentage paid on top of royalties

In the case of McDonald's, 5% of your monthly income must be used to pay royalties. On the other hand, in the case of Burger King, it is estimated that each franchisee pays a monthly fee of 100,000 reais in addition to 10% of monthly income for investments in marketing and advertising.

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average monthly income

The monthly income of a McDonald's franchise is usually very high. Thus, it is evident that, in this case, the investment pays off. Each franchise earns around R$80,000 per month. In the case of Burger King, it is estimated that each franchise has an average income of 50 thousand reais per month.

And then? Based on the information we've given you, which franchise is best for you? The McDonald's franchise or the Burger King franchise? We hope that our post has helped you to think about a good decision.