McDonald's vs Hot Dog On A Stick Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of McDonald's vs Hot Dog On A Stick 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 | $338,200 - $556,000 |
Franchise Fee |
$45,000 | $15,000 - $25,000 |
Royalty Fee |
4% | 6% |
Advertising Fee |
4%+ | 2% |
Year Founded |
1955 | 1946 |
Year Franchised |
1955 | 1995 |
Term Of Agreement |
20 years | - |
Term Of Agreement |
20 years | - |
Renewal Fee |
$45K | - |
Business Experience Requirements |
Experience |
Industry experience General business experience Marketing skills | - |
Financing Options |
|
In-House/3rd Party | In-House/3rd Party |
Franchise Fees |
No/No | -/- |
Start-up Costs |
No/No | -/- |
Equipment |
No/Yes | -/- |
Inventory |
No/No | -/- |
Receivables |
No/No | -/- |
Payroll |
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: 32.5 hours
Classroom Training: 35.5 hours
Additional Training: At training store
|
Support |
Purchasing Co-ops
Newsletter
Meetings/Conventions
Toll-Free Line
Grand Opening
Online Support
Security/Safety Procedures
Field Operations
Site Selection
Proprietary Software
| Purchasing Co-ops
Newsletter
Meetings/Conventions
Toll-Free Line
Grand Opening
Online Support
Security/Safety Procedures
Field Operations
Site Selection
|
Marketing |
Co-op Advertising
Ad Templates
National Media
Regional Advertising
Social media
SEO
Website development
Email marketing
Loyalty program/app
| Co-op Advertising
Ad Templates
National Media
Regional Advertising
Social media
SEO
Website development
Email marketing
Loyalty program/app
|
Operations |
82% of all franchisees own more than one unit
Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators) | - |
Expansion Plans |
US Expansion |
Yes | Yes |
Canada Expansion |
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 Hot Dog On A Stick
Our first store opened at Muscle Beach, Santa Monica, California in 1946. Our founder, Dave Barham, was a charismatic and enlightened personality who understood the value of treating people to an experience as opposed to a service. In short, he built his business around the concepts of putting people first, and giving them a show.
His approach was extremely successful. By 1990 Hot Dog on a Stick had become an icon in our primary venue, shopping malls, with 60 stores operating in 12 states.
After Dave passed away in 1991, we became an employee owned corporation (ESOP) led by a management team he had mentored over the years. This team has successfully overseen Hot Dog on a Stick's expansion to over 103 stores in 17 states.
Veteran Incentives 25% off franchise fee