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Fast Food Franchise


One fast food franchise coming right up

It's true; Americans love their fast food. Books like Fast Food Nation and films such as Supersize Me illustrate the country's love affair with quick, cheap, ready-made food. But the fast food franchise has moved beyond the McDonald's monopoly; today customers can find as much variety in the drive-thru as in the finest dining room.


The fast food franchise has changed dramatically as Americans have embraced new food ethnicities. Hungry patrons how have a selection other than the usual fried Americana . Now you can find Italian, Mexican, Japanese, Greek, Chinese, Mediterranean and Southwestern. Bored with the regular old burger and fries? Try a franchise featuring seafood, Buffalo wings, fruit smoothies, low-carb options, sandwich wraps and/or healthy fare.

If you're thinking about owning a fast food franchise, know that the days of fryers and Formica tables are long gone. You can franchise an upscale chain such as the a café-style Panera Bread Company or Camille's Sidewalk Café.

The cost of setting up a fast food franchise depends on the company you choose and the type of operation you plan to run. Successful, well-known franchises such as McDonald's and Arby's cost anywhere from $333,700 to $2.3 million. The popular (and still growing) Taco Bell demands $236,700 to $465,700 in development fees, and the relatively unknown Made In Japan Teriyaki Experience costs $183,000 to $300,000 .

The total investment, royalty fee, franchise fee, terms, availability of financing and franchisee qualifications all depend on each individual brand's franchise policy. The amount of time required to have your fast food franchise dishing up meals-to-go also depends on the individual brand and size of the franchise.

The pros of opening a fast food franchise:

  • Proven success! Fast food will never go out of fashion
  • It's relatively easy to change with the times and keep up with trends. For example, many franchises now list 'healthy fare' offerings alongside traditional menu options
  • There's a wide variety of choice and different levels of quality
  • Fast food franchise are moderately priced when compared to full-service restaurant franchises

And the cons:

  • The need for a permanent site. The franchisee must purchase and renovate an existing location or build new, measure that drive up the price
  • Remember, labor costs increase with the complexity of your franchise
  • Verify that there is a market for your franchise; competition is stiff!
  • Franchisees must maintain and secure a large amount of inventory
  • There is a high staff turnover rate