McDonald's

Is it a service fee or a royalty? To McDonald's franchisees, the difference is huge

By Jonathan Maze on Sep. 24, 2023

The burger chain's operators say their cash flow has not kept pace with inflation and the higher royalty on new units and acquisitions will make matters worse. But they say a term change is the bigger problem.

Financing

McDonald's plans to increase its U.S. royalty fees by 25%

By Jonathan Maze on Sep. 22, 2023

The burger giant plans to start charging its franchisees 5% of revenue on new locations or acquisitions of corporate restaurants starting next year in the U.S. and Canada, up from 4%.

Financing

McDonald's franchisees are angry over the California compromise

By Jonathan Maze on Sep. 15, 2023

Some operators say they were left out of discussions on a matter that could hurt per-store cash flow by $250,000 in the state. But the company said the deal will protect the franchise model without a costly fight.

Operations

McDonald's is getting rid of its self-serve drink stations

By Jonathan Maze on Sep. 11, 2023

The burger giant is ditching self-serve soft drinks by 2032 to “create a consistent experience” across its different ordering channels.

Premium

Financing

McDonald's restaurant valuations come back down to earth

By Jonathan Maze on Sep. 05, 2023

The Bottom Line: Franchisee valuations are “plummeting,” according to the head of the chain’s independent franchisee association. The company has not been able to get many new franchisees into the system. But the market is just different now.

Financing

McDonald's makes some changes in its franchisee inspections

By Jonathan Maze on Aug. 14, 2023

The burger giant is making some modest changes in the controversial program following pushback from franchisees. It will temporarily cut Sunday inspections and give operators a break on equipment delayed by supply chain problems.

Financing

Krispy Kreme ponders expansion amid a successful McDonald's test

By Jonathan Maze on Aug. 10, 2023

Six months after it started selling doughnuts at 160 McDonald’s restaurants in Kentucky, Krispy Kreme said the test is proving to be valuable. But it needs more production capacity.

Marketing

McDonald's latest promotion highlights its television and film appearances

By Jonathan Maze on Aug. 09, 2023

The burger giant, which is about to make an appearance in Marvel Studios’ Loki Season 2, is coming out with the “As Featured In Meal,” which features multiple tie-ins and special packaging.

Operations