McDonald's vs Culver Franchise Comparison

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

Start-Up Costs and Fees

 
McDonald's Franchise
Culver Franchise
Investment $1,314,500 - $2,306,500$2,349,000 - $5,356,000
Franchise Fee $45,000$55,000
Royalty Fee 4%4%
Advertising Fee 4%+2.5%
Year Founded 19551984
Year Franchised 19551988
Term Of Agreement 20 years15 years
Term Of Agreement 20 years15 years
Renewal Fee $45K$30K


Business Experience Requirements

 
McDonald's Franchise
Culver Franchise
Experience
  • Industry experience
  • General business experience
  • Marketing skills
  • -

    Financing Options

     
    McDonald's Franchise
    Culver Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/NoNo/Yes
    Start-up Costs No/NoNo/Yes
    Equipment No/YesNo/Yes
    Inventory No/NoNo/Yes
    Receivables No/NoNo/Yes
    Payroll No/NoNo/Yes

    Training & Support

     
    McDonald's Franchise
    Culver 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 Newsletter, Meetings, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives
    Marketing Co-op Advertising Ad Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/app 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)

    30% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 40 - 50

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


    Expansion Plans

     
    McDonald's Franchise
    Culver 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 Culver

    After working with his parents in their restaurants, Craig Culver decided it was time to open one for himself. In 1984 Culver, with the help of his wife Lea and parents George and Ruth, transformed the A&W his parents owned since the sixties into Culver's Frozen Custard. Its founder's family inspired the menu for the initial Sauk City, Wisconsin, restaurant. When Culver's mother made hamburgers, she would put a dab of butter on the crown of the hamburger buns before toasting them; something her children felt made them taste better. Today, employees at each Culver's location use the same technique when making their ButterBurgers. There are Culver's locations in twelve states. All Culver's franchisees are owner/operators.
     
    We’re looking for leaders with the initiative and skills to take a team of people and operate a Culver’s according to our high standards. You need energy and enthusiasm. You have to be willing to work hard. You have to love people and believe, as we do, that having a great heart is also good business.

    Culver’s has grown to over 500 restaurants in 22 states.

    Culver's is leading the way in the industry and in our communities. If you are craving a restaurant business made to order for you, where your financial success is directly related to how well you and your team execute against Culver’s mission that every guest who chooses Culver’s leaves happy, we invite you to consider becoming a Culver’s franchisee.

    Seeking new franchise units in: Alabama, Arkansas, Arizona, Colorado, Florida, Georgia, Iowa, Idaho, Illinois, Indiana, Kansas, Kentucky, Michigan, Minnesota, Missouri, Nebraska, North Carolina, North Dakota, Ohio, South Carolina, South Dakota, Tennessee, Texas, Utah, Wisconsin and Wyoming

    "Entrepreneur


    #9 in Franchise 500 for 2020.
    #5 in Franchise 500 for 2021