McDonald's vs Chester's Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of McDonald's vs Chester's including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
Investment |
$1,314,500 - $2,306,500 | $12,385 - $277,313 |
Franchise Fee |
$45,000 | $3,500 |
Royalty Fee |
4% | - |
Advertising Fee |
4%+ | - |
Year Founded |
1955 | 1952 |
Year Franchised |
1955 | 2004 |
Term Of Agreement |
20 years | 10 years |
Term Of Agreement |
20 years | 10 years |
Renewal Fee |
$45K | - |
Business Experience Requirements |
Experience |
Industry experience General business experience Marketing skills | General business experience |
Financing Options |
|
In-House/3rd Party | In-House/3rd Party |
Franchise Fees |
No/No | No/Yes |
Start-up Costs |
No/No | No/Yes |
Equipment |
No/Yes | No/Yes |
Inventory |
No/No | No/No |
Receivables |
No/No | No/No |
Payroll |
No/No | No/No |
Training & Support |
Training |
On-The-Job Training: 500 hours
Classroom Training: 72 hours
Additional Training: At local McDonald's restaurant
| On-The-Job Training: 30 hours
Classroom Training: 3 hours
Ongoing training as required
|
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
Franchisee Intranet Platform |
Marketing |
Co-op Advertising
Ad Templates
National Media
Regional Advertising
Social media
SEO
Website development
Email marketing
Loyalty program/app
| Ad Templates
Social media |
Operations |
82% of all franchisees own more than one unit
Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators) |
International franchisees required to buy multiple units/master licenses Number of employees needed to run franchised unit: 8
Absentee ownership of franchise is allowed. (50% of current franchisees are owner/operators)
|
Expansion Plans |
US Expansion |
Yes | Yes |
Canada Expansion |
No | No |
International Expansion |
Yes | Yes |
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.
#7 on Franchise Rankings.com
#3 in Canada's top franchises.
#3 in Franchise 500 for 2020
#11 in Franchise 500 for 2021
About Chester's
Chester’s serves Great Tasting Fresh Fried Chicken that’s cooked to perfection, with a unique taste and style. Our secret is a family recipe and process that’s been successful for over 40 years. Chester’s brings you delicious fried chicken, tempting tenders, sandwiches, wraps, salads, breakfast items and more.
And that’s not all we’re known for! Our chicken is complimented by our signature Potato Wedges, Chester’s Original Sauce and delicious biscuits and sides.
We offer a great deal of flexibility in the placement of Chester’s including restaurant-in-store (convenience stores, truck stops, supermarkets), co-branded with other national brands, malls and food-courts, and in-line shopping center locations. And there is variety in our menu formats, including take-out only, take-out and dine-in. We can tailor the restaurant to meet your needs and to properly position Chester’s in your market.
#180 in Franchise 500 for 2020.
#112 in Franchise 500 for 2021.