McDonald's vs The HoneyBaked Ham Company & Cafe Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of McDonald's vs The HoneyBaked Ham Company & Cafe including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees
 
McDonald's Franchise
The HoneyBaked Ham Company & Cafe Franchise
Investment $1,314,500 - $2,306,500$292,900 - $567,600
Franchise Fee $45,000$30,000
Royalty Fee 4%6%
Advertising Fee 4%+3.25%
Year Founded 19551957
Year Franchised 19551998
Term Of Agreement 20 years7 years
Term Of Agreement 20 years7 years
Renewal Fee $45K-


Business Experience Requirements
 
McDonald's Franchise
The HoneyBaked Ham Company & Cafe Franchise
Experience
  • Industry experience
  • General business experience
  • Marketing skills

  • Industry experience
  • General business experience
  • Marketing skills
    		•

    Financing Options
     
    McDonald's Franchise
    The HoneyBaked Ham Company & Cafe Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/NoNo/No
    Start-up Costs No/NoNo/No
    Equipment No/YesNo/No
    Inventory No/NoNo/No
    Receivables No/NoNo/No
    Payroll No/NoNo/No

    Training & Support
     
    McDonald's Franchise
    The HoneyBaked Ham Company & Cafe Franchise
    Training On-The-Job Training: 500 hours Classroom Training: 72 hours Additional Training: At local McDonald's restaurant Comprehensive two-week training, both in-store and in a classroom. Ongoing training through conferences and webinars. On-The-Job Training: 97 hours Classroom Training: 25 hours
    Support Purchasing Co-ops Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet Platform
    Marketing Co-op Advertising Ad Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/app Co-op advertising, Ad slicks, National media, Regional advertising
    Operations 82% of all franchisees own more than one unit

    Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators)

    		 25% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 7 - 10

    Absentee ownership of franchise is allowed. (100% of current franchisees are owner/operators)

    Expansion Plans
     
    McDonald's Franchise
    The HoneyBaked Ham Company & Cafe Franchise
    US Expansion YesYes
    Canada Expansion NoNo
    International Expansion YesNo

    Company Overviews

    About McDonald's

    Ray Kroc, a milkshake mixer salesman, ventured to California in 1954 to visit McDonald's hamburger stand, where he heard they were running eight mixers at once. Kroc was impressed by how rapidly customers were served and, seeing an opportunity to sell many more milkshake machines, encouraged brothers Dick and Mac McDonald to open a chain of their restaurants. Kroc became their business partner and opened the first McDonald's in Des Plaines, Illinois in 1955.
    McDonald's brand is in 122 countries around the world. Thirty thousand locations serve 51 million customers each day. More than 70 percent of McDonald's restaurants around the world are owned and operated by independent local business people. Most standalone McDonald's restaurants offer both counter and drive-through service, with indoor and sometimes outdoor seating. The Drive-Thru, Auto-Mac, or McDrive as it is known in many countries, often has separate stations for placing, paying for, and picking up orders, though the former two steps are frequently combined. In some countries "McDrive" locations near highways offer no counter service or seating. In contrast, locations in high-density city neighborhoods often omit drive-through service.


    "Top   ""  "Entrepreneur

      "franchiserankingscom"                                                                                                                         
    #7 on Franchise Rankings.com                                                                                                                                                            
    #3 in Canada's top franchises.
    #3 in Franchise 500 for 2020
    #11 in Franchise 500 for 2021










    About The HoneyBaked Ham Company & Cafe

    After inventing the spiral slicer, Harry Hoenselaar founded The HoneyBaked Ham Co. and Cafe in 1957. Family-owned and operated for three generations, the company has more than 300 locations in the United States. Incorporated in 1974, the Atlanta-based company has a catalog division, corporate sales businesses and a temporary holiday store system. The company purchased The Hickory Ham Co. and its 40 franchise stores. In addition to its sweetly glazed ham, the company offers HoneyBaked turkey breast, side dishes, cheesecake, key lime pie and sandwiches. HoneyBaked Ham offers a corporate gift-giving program, employee recognition options, and catered meals for holidays and business functions.

    The total investment necessary to begin operation of a HoneyBaked Ham Store ranges from $292,900 to $567,600. This includes initial fees of $45,900
    to $50,500 that must be paid to the franchisor or their affiliate(s).
    If you sign an Area Development Agreement to develop multiple HoneyBaked Ham Stores, you will pay a Development Fee to the franchisor in the amount of $10,000 for each Store that you agree to develop.
    Veteran Incentives  $10,000 off first-store franchise fee
    "Entrepreneur
    #173 in Franchise 500 for 2020.
    #257 in Franchise 500 for 2021.