McDonald's vs Johnny Rockets Franchise Comparison

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

Start-Up Costs and Fees

 
McDonald's Franchise
Johnny Rockets Franchise
Investment $1,314,500 - $2,306,500$581,000 - $877,000
Franchise Fee $45,000$49,000
Royalty Fee 4%5%
Advertising Fee 4%+-
Year Founded 19551986
Year Franchised 19551987
Term Of Agreement 20 years10 years w/two 5-year options
Term Of Agreement 20 years10 years w/two 5-year options
Renewal Fee $45K-


Business Experience Requirements

 
McDonald's Franchise
Johnny Rockets Franchise
Experience
  • Industry experience
  • General business experience
  • Marketing skills
  • You and/or a business partner(s) must have at least two years restaurant owner/operator experience.

    You and/or a business partner(s) must have a net worth of $500 thousand per unit, and available liquid capital of $200 thousand per unit, or more, (net worth of $1.5 million per unit, and available liquid capital of $500 thousand per unit, or more, outside of the U.S.), in order to qualify for development of up to five units.

    Development of six units or more will be considered on a case by case basis, pending your net worth and available liquid capital.


    Financing Options

     
    McDonald's Franchise
    Johnny Rockets 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
    Johnny Rockets Franchise
    Training On-The-Job Training: 500 hours Classroom Training: 72 hours Additional Training: At local McDonald's restaurant -
    Support Purchasing Co-ops Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Meetings, Grand opening, Field operations/evaluations
    Marketing Co-op Advertising Ad Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/app 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)

    Franchisees required to buy multiple units/master licenses; 95% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 48 - 53

    Absentee ownership of franchise is NOT allowed. (98% of current franchisees are owner/operators)


    Expansion Plans

     
    McDonald's Franchise
    Johnny Rockets Franchise
    US Expansion Yes-
    Canada Expansion NoNo
    International Expansion YesYes

    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 Johnny Rockets

    Johnny Rockets is an international restaurant chain that offers the food, fun and friendliness of classic, timeless, feel-good Americana. Every Johnny Rockets restaurant serves simple, great-tasting food from a menu of all-American favorites, including our juicy hamburgers, crispy American Fries, classic sandwiches and rich, delicious hand-dipped shakes and malts. It's the place to go for friendly service, flavorful food, uplifting music and relaxed, casual fun. With annual sales in excess of $300 million, Johnny Rockets is a time-tested brand with an extraordinarily high awareness level, a loyal customer base and a broad demographic appeal. The all-American theme is one that has proven to be universal and that leaps across all geographic and cultural boundaries. It easily translates into any language and relates to the best concepts of America, around the globe. Throughout the world, people appreciate the stereotypical home-cooked goodness of classic comfort foods; smiling, outgoing service and a bright, clean, cheerful atmosphere.

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