How to open a McDonald's: conditions for buying a franchise, completing the necessary documents and drawing up a business plan

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

The most popular fast food restaurant in the world is McDonald's. Every day, a huge number of people eat here, which bring huge profits to shareholders. The network of restaurants spread all over the world, even in our country there are more than five hundred such establishments. It is worth noting that McDonald's is an excellent investment object, because it is almost impossible to burn out here. If an aspiring entrepreneur wants to develop in the fast food industry and has enough money, you should consider buying a franchise. In this article, we will talk about how to open a McDonald's in Russia, what difficulties businessmen will face, and also draw up an approximate business plan with calculations.

General information

We will not go deep into the topic and talk about the history of the formation of thismarket giant, the object of study in this case is a fast food chain in Russia. Today there are more than half a thousand restaurants. All of them work according to the franchising system, which dates back to 2012. Until that time, McDonald's LLC managed all the establishments. The franchise was pioneered by Rosinter, whose goal was to open food outlets at airports and railway stations.

Now the organization "McDonald's" is actively promoting its network through the franchise system. The plans are to raise the level to twenty percent of the total number of franchises in Russia by 2020. Assessing the profitability and efficiency of a business, one should not pay attention to disagreements with the United States. The reality is this: the network of establishments is firmly on its feet and has a huge demand. It is not easy to open a McDonald's franchise, because, in addition to money, there are a number of requirements for applicants.

Partnership Benefits

Currently, the sphere of investments is actively developing. Even if you do not have enough funds, you can find people willing to invest in the business. Opening a franchise has a lot of advantages over starting your own restaurant:

1. Brand. There are few people who do not know about the most popular fast food chain. It will take minimal time to spin up, which will greatly facilitate the work.
2. Advertising. You will not need to advertise your restaurant, as there is a centralized promotion from the headcompanies. Franchised McDonald's deduct four percent of revenue for this service.
3. Ready-to-use technologies. You won't need to reinvent the wheel. All standards have already been introduced and tested, it is only necessary to ensure that the instructions are followed clearly.
4. Training and support. The company has one of the most effective training systems, from senior management to ordinary employees.

How much?

The cost of the franchise changes every year, the dollar exchange rate and other factors affect the price. To date, the entrepreneur will have to pay about three million rubles. The agreement is concluded for twenty years with the possibility of extending cooperation. The system is quite loyal, because you do not need to immediately pay the entire amount. It is enough to pay twenty-five percent, and the rest - in the next seven years.

Among other things, mandatory contributions are set, such as roy alties, advertising, etc. The amount of payments depends on the turnover, these are variable costs.

Requirements for an entrepreneur

As already noted, it is quite difficult to open a McDonald's franchise in Russia. The company makes a number of stringent requirements for the buyer. Confirmation of financial viability will not be enough, you need to have an impeccable reputation and the necessary experience. The entrepreneur goes through many interviews and, in case of a positive decision, is sent for long-term training.

Let's take a closer look at the requirements for the franchisee:

• successfulbusiness experience in the food industry;
• an impeccable reputation and credit history;
• a well-written business plan, confirming a high level of professionalism;
• confirmation of financial solvency;
• high degree of sociability, life experience, leadership skill;
• successful completion of all tests and interviews, the ability to leave a positive impression.

A positive decision on the candidate is not enough to open a McDonald's restaurant. The future manager is sent to a nine-month course. As an additional motivation, the company requires a deposit of ten thousand dollars, which is returned upon successful completion of the course.

The future leader learns network technology, including the practical development of many stages. In addition, special attention is paid to the marketing policy of McDonald's. Participation in various charity events is a prerequisite.

Requirements for the premises

The company's specialists will also evaluate potential premises for a restaurant. First of all, the throughput is analyzed, an important factor is the location and patency. Only after a positive verdict of experts can you open McDonald's. What do you need to know about room requirements?

Let's go through the standards: four hundred square meters for the premises itself, about two thousand square meters for the site. Please note that sizes may vary.depending on the specific situation. Location requirements are high: crowded areas or main traffic routes are needed.

Documentation

How to open McDonald's in your city? The first step is to apply for a franchise. This can be done in several ways: through the official website, by sending an e-mail, etc. Most often, businessmen choose the legal form of an individual entrepreneur (individual entrepreneur). Registration is very simple, you only need to submit the relevant documents to the tax office, pay fees and fill out an application.

After all the previous steps have been completed, the franchise buyer becomes a member of the McDonald's global organization. If you do not take into account the prestige and the opportunity to work in one of the most popular restaurant chains, the entrepreneur receives the following benefits:

1. Corporate training. "McDonald's" pays great attention to training.
2. Supply and interior. All standards have long been invented and confirmed, the supply chain has been established, and the uniform uniform of employees.
3. Dishes. Recipes and cooking technologies have been worked out. No need to guess people's needs, the company took care of it.
4. Advertising and promotion.

Costs

How to open McDonald's? A business plan, which will reflect all the necessary information, must be drawn up first. Consider the initial investment and monthly expenses.

Acquisition of a franchise will cost three million rubles. Add to this about fifty thousand for paperwork. The purchase of the premises will cost about forty million rubles. The purchase of equipment and an irreducible supply of products in total will amount to approximately two and a half million rubles. In total, forty-five million fifty thousand rubles will be needed to open the institution.

We should not forget about the average monthly costs, both fixed and variable. McDonald's has a roy alty of twelve percent and advertising spend of four percent. In addition, you need to pay five percent of your income to participate in the system. Other expenses are related to food, wages of employees, utilities and amount to about a million rubles.

Payback

Above we talked about how to open a McDonald's. Is this event profitable? We will make a payback forecast based on the average visitor flow and check amount. An average restaurant, as practice shows, with a good level of attendance and the presence of two thousand customers a day pays off in one year.

If the average check is two hundred and fifty rubles, two thousand people pass a day, then the profit is five hundred thousand rubles. It is easy to calculate the revenue for the year: it will amount to one hundred and eighty million rubles.

All expenses for the year will amount to approximately ninety-five million rubles. In total, it turns out that in the first year of its existence, the restaurant earned a gross profit ofeighty-five million rubles.

There are also disadvantages

On the example of already functioning fast food restaurants, one can also highlight the disadvantages of buying a franchise. In the capital of our country, a lot of such establishments are open. On the map you can see which McDonald's are open in Moscow.

Almost all of them have a good profit, but not a single restaurant did without difficulties.

So, disadvantages:

1. Big expenses. Not everyone can afford to spend fifty million rubles to create a business. In addition, it takes time to master all the nuances of technology and company culture.
2. High demands. The opening of the institution is only the beginning of the tension in terms of work. To achieve success, you need to invest a lot of effort and be patient.
3. Direct dependence on the number of visitors. The restaurant will pay off only in case of high traffic.
4. Dependence on needs. Recently, the culture of a he althy lifestyle has been actively flourishing. Revenue will drop significantly if word of mouth works against the establishment.

Conclusion

Despite the confrontation of external factors, the restaurant business remains a profitable business area. A recognizable and proven brand with an average cost of products will not allow an entrepreneur to go broke. We talked about how to open McDonald's, now the choice is yours. One thing is for sure: through hard daily worksooner or later, this idea will certainly give a positive result.