McDonald's vs Burger King: Franchise Comparison

Side-by-side analysis using official FDD data

Metric McDonald's Burger King
Initial Investment Range $1,470,500 – $2,642,000 $1,800,000 – $3,300,000
Franchise Fee $45,000 $250
Royalty Rate 5.0% 4.5%
Ad Fund Rate 4.0% 4.0%
Total Fee Burden 9.0% 8.5%
Median Revenue $2,900,000 $1,561,502
Est. Annual Profit $727,900 $179,573
Est. Profit Margin 25.1% 11.5%
Closure Rate 0.8% N/A
Total Units 12,772 5,524
Unit Growth N/A N/A
Franchise Score 81.0/100 73.0/100

Which Is the Better Franchise?

Based on the metrics above, McDonald's leads on 5 metrics, while Burger King leads on 3 metrics.

On paper, McDonald's comes out ahead in this comparison across more key franchise metrics.

The Franchise Breakdown Score — a composite rating factoring in costs, revenue, stability, and risk — gives McDonald's a 81.0/100 and Burger King a 73.0/100.

This comparison is generated from publicly available FDD data and is provided for informational purposes only. It does not constitute investment advice. Always conduct your own due diligence before making any franchise investment decision.

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