Join FunTrivia for Free: Hourly trivia games, quizzes, community, and more!
Fun Trivia
Ask FunTrivia: Questions and Answers
Answers to 100,000 Fascinating Questions
Welcome to FunTrivia's Question & Answer forum!

Search All Questions


Please cite any factual claims with citation links or references from authoritative sources. Editors continuously recheck submissions and claims.

Archived Questions

Goto Qn #


What was the start-up cost of purchasing a McDonald's franchise in the 1950's?

Question #63965. Asked by elzhere.
Last updated Sep 30 2016.

Eolena
Answer has 3 votes
Currently Best Answer
Eolena
20 year member
73 replies

Answer has 3 votes.

Currently voted the best answer.
According to this .pdf file that I found on the McDonald's Canada website, Ray Kroc travelled around in the 1950s selling franchises for $950.

[http//mcdonalds.ca/pdfs/history_final.pdf -- this link is broken]

Google provides a way to see an HTML version of the contents of the .pdf:

[http/72.14.203.104/search?q=cache:sUhzfM3IC_8Jmcdonalds.ca/pdfs/history_final.Ray+Kroc+franchise+1950s+McDonald%27s&hl=en&gl=us&ct=clnk&cd=9 -- this link is broken]

The last paragraph of the second page reads:

"Kroc’s agreement with the McDonald brothers was to limit the franchise fee to $950 per restaurant and charge a service fee of only 1.9 percent of restaurant sales – with 0.5 percent of that going back to the McDonald brothers. In addition, Kroc decided early on that the McDonald’s system would not be in the business of selling franchise owners their equipment, their supplies, or their food. The company did, however, purchase or lease much of the real estate the restaurants were located on, a program that soon produced a valuable competitive asset in its own right."

Response last updated by Nammage on Sep 30 2016.
Mar 27 2006, 12:39 PM
free email trivia FREE! Get a new mixed Fun Trivia quiz each day in your email. It's a fun way to start your day!


arrow Your Email Address:

Sign in or Create Free User ID to participate in the discussion