Mcdonalds Franchise Cost in India

McDonald’s ranks among the most popular fast-food restaurants globally. And in the past few years, it has been one of the favorable destinations for fast food cravings in India. Due to this, various entrepreneurs are looking forward to making some investments by owning a McDonald’s franchise here. But how much would it cost? Are you also thinking of making an investment in McDonald’s? If yes, then you have landed on the right blog. Let’s explore all you need to know about owning a franchise at McDonald’s.

Cost of McDonald’s Franchise in India

The very first thing you need to know is the Mcdonalds franchise cost. It is important to know all the costs that are included in opening a franchise of the same in India.

The original Mcdonalds franchise price in India is around Rs.25lakhs. This is an approximate amount to be paid to the McDonald’s corporation for obtaining the rights to operate a restaurant or fast-food corner of the McDonald’s chain in India. However, it should be noted that this is just a minimal amount to be paid, as after this a huge amount needs to be invested for owning a McDonald’s branch or franchise in India. The total investment might range from around Rs.6 crores to Rs.7 crores. This amount includes all the minor to major expenses like purchasing or leasing a suitable restaurant location, cost of equipment and construction, operational costs like advertising, salaries of the employees, etc.

Here is a detailed table of the cost of McDonald’s Franchise:

Particulars	Cost
Cost of Franchise	Rs.25 lakhs
Cost of Machinery	Rs.35 lakhs
Cost of Civil Work	Rs.10 lakhs
Cost of Furniture	Rs.11 lakhs
Cost of interiors (hoardings, signage, etc.)	Rs.20 lakhs
Cost of Training and Support (marketing and transportation)	Rs.20 lakhs
Cost of Advertisements	3% of the Gross sale
Cost of Royalty	4% of the Gross Sale

It should be noted that this is an approximate cost of investment. The amount might differ according to the state or city where the franchise is to be established and other rules of the particular area. It should also be noted that the minimum space requirement for establishing a franchise of McDonald’s in India is around 1800 sq. ft.

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Process of obtaining McDonald’s Franchise in India:

Ready to know how to get Mcdonald franchise in India? For this, you need to understand the entire process briefly. Here are the essential steps you need to follow for owning a franchise.

Contact McDonald’s

The foremost step to obtain a franchise at Mcdonald’s in India is to contact McDonald’s main branch in India. For this, you need to visit the official website of McDonald’s (Mcdonaldsindia.com or Mcdindia.com). Through the official website, you would be able to get in touch with the authorized franchise team. They would guide you with all the necessary information about having a franchise and would also help you in proceeding with the process.

Submission of Application

The next step is the submission of the application form along with all the necessary documents. The application form is easily available on the official website of Mcdonald’s India. Along with the application form, you shall also have to provide necessary details like financial stability, business experience, location preferences, etc.

Background Check:

Once you have submitted the application form, McDonald’s India will verify your application form and if selected, the company would initiate a background check for evaluating all the details you have provided. This would also help them learn about your eligibility, legal history, financial history, etc. A personal interview would also be conducted along with the background check.

Approval of Agreement and Signing of Contract:

Once the company is satisfied with the background check and finds you eligible for the franchise, you shall receive approval for the same. After getting the approval, you will have to sign an agreement for the franchise with McDonald’s The agreement would include an outline of all the terms and conditions for the partnership with the company in India. You shall be given time to go through the contract and sign it.

Selection of the Site and Construction:

Once the agreement is signed, the next step is getting a suitable location. For this, McDonald’s India would also help you. They would also help with the construction and design of the franchise.

Training and Support:

Once the location is decided, the company shall help you with complete training for opening and handling a Mcdonald’s franchise. You shall also be helped with ongoing support from the team including matters like management, marketing, operations, etc.

Henceforth, the entire process of obtaining the franchise is strictly based on certain standards sets which need to be looked after. No doubt, if the franchise is managed properly, it would help you earn an average revenue of Rs.2.6 crore in India, but it would also be a little challenging.

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