How to Franchise: McDonald’s in the Philippines



Love to have your own franchise of McDonald’s in the Philippines?

Everything you need to know about the McDonald’s franchise — from franchise fee to the investment package inclusions to the contact details — is here. Read below to gain relevant information that can help you begin your McDonald’s franchising journey.

(See also: How much is the franchise fee of Jollibee?)

About the McDonald’s Franchise

franchise-logo-mcdonaldsAll over the world, more than 80% of McDonald’s restaurants are owned by franchisees.

McDonald’s started franchising in the Philippines in 1985, and has since expanded to build a network of over 200 franchised restaurants nationwide in recent years.

In the Philippines, the owner of and Master Franchiser of McDonald’s is Golden Arches Development Corporation.

McDonald’s franchisees are called Owner/Operators and play a major role in the global success of this world-renowned brand.

Benefits of Franchising McDonald’s

As a McDonald’s Philippines Owner/Operator, franchisees gain the following advantages:

  • Extensive support system to cover all aspects of the business, which includes operations, supply chain, and marketing support throughout the entire franchise term
  • World class training to deliver world class service and business success
  • 100% customer awareness of the world’s leading fast food restaurant
  • Access to world class suppliers that provide the necessary goods and services that go into great-tasting food and excellent services that customers enjoy
  • A peer network of franchisees and the McDonald’s network of over 27,000 employees nationwide

Main Products and/or Services Offered

  • Burger McDo
  • Big Mac
  • Big n’ Tasty
  • Quarter Pounder
  • Chicken McDo
  • Fillet-o-Fish
  • Pepper Burger Steak
  • McSpaghetti
  • McNuggets
  • McFlurry
  • Caramel Sundae
  • McCafe
  • McDo Kids’ Happy Meal
  • Twister Fries

Total Franchise Fee and Investment

How much does it cost to acquire a McDonald’s franchise in the Philippines?

The franchise fee typically ranges from P30 million to P50 million, depending on the store location and store layout. McDonald’s requires restaurants to be placed in locations or land that are owned or leased by the franchisee.

The total franchise investment may vary depending on the following factors:

  • Restaurant size
  • Suitability of existing building
  • Site location whether provincial or within Metro Manila
  • Equipment specifications involved based on the kind of menu offering (regular or limited menu line). In all cases, however McDonald’s specifies and approves the menu offerings.

Standard Package Inclusions

The franchise fee already covers the following package inclusions:

  • Architectural Planning and Design Fees
  • Building and leasehold improvements and other relevant site works necessary
  • Kitchen, air-conditioning and exhaust equipment
  • Cash registers
  • Emergency generators
  • Seating, signages and decor
  • Other furniture and fixtures

Franchising Terms and Conditions

The franchise contract is good for ten (10) years or lease contract of the land, whichever is shorter. The franchise agreement is renewable depending on the performance of the store.

McDonald’s grants franchises to an individual on a sole proprietorship basis. In the Philippines, franchises are also awarded on a per restaurant basis. Franchises are not awarded on a territorial or geographical basis.

Site Selection

blank

As regards site selection, McDonald’s conducts feasibility study on the proposed site. The location is thoroughly studied and evaluated, including the store’s possible traffic count.

Application for the site and application for the franchise are treated and processed separately and independently from each other.

Contact Details

If you’re interested to be a McDonald’s franchisee / owner / operator, contact:

The Franchising Department
McDonalds Philippines
17th Floor, Citibank Center Bldg.
8741 Paseo de Roxas St.,Makati City

Telephone Number: 8888-500 local 5000

Cellphone Number: 09199112553

Email Address: franchising@ph.mcd.com

You might also be interested in other franchising opportunities here: Complete list of Philippine companies available for Franchising

See also: How to franchise Jollibee in the Philippines or abroad

About the Author

blank

Official SWIFT Code of BDO, BPI, Metrobank, Philippine banks

When sending cash remittances or wire transfer to a bank account in the Philippines (such as BDO, BPI, Metrobank, Landbank, DBP, etc.), you’ll surely need the SWIFT Code of the bank. Look no further because you can find all the SWIFT Codes you need in this list! Make sure you’re using the right bank code ... Read more
blank

How to Waive your Credit Card Annual Fee (BDO, BPI, Metrobank, RCBC, Citibank, UnionBank)

Without a doubt, one of the most annoying fees that credit cardholders have to pay is the annual fee. Majority of cardholders are familiar with this fee and majority of us likely pay this grudgingly year after year after year. In the case of my credit card with BPI (Bank of the Philippine Islands), I’m ... Read more
blank

Why Filipinos do not become business owners or entrepreneurs

For a majority of Filipinos, entrepreneurship does not seem to be a typical, expected path. This is not surprising, considering that in school, students are primarily taught to become employees after graduation. Students train for years to become staff workers, reporting to a supervisor, and just waiting to receive their wages or salaries every month. ... Read more
blank

My experience investing in Mutual Funds in the Philippines

I started investing in mutual funds when I was 22 years old. As an Overseas Filipino Worker (OFW) then, I was fortunate to be able to save some money at that young age because of my work abroad. One time while I was on vacation in the Philippines, I saw a large billboard in EDSA ... Read more
blank

Income Tax Tables in the Philippines (2022)

The Philippines’ new tax reform bill, known as TRAIN or Tax Reform for Acceleration and Inclusion, was signed into law on December 19, 2017 and its implementation began on January 1, 2018. What are the new income tax rates under the TRAIN law? How will TRAIN affect income taxes of individuals and corporations? How is the ... Read more
blank

PSE Stocks Performance under each Philippine President (1987-2021)

Did you know that Philippine stocks were able to achieve an astounding growth of 800% in a span of 30 years? From 1987 until 2018, the Philippine Stock Exchange index (PSEi) rose from 1,000 points to a peak of 9,000 points — generating a return of 800% over 30 years. (The PSEi is an index ... Read more
blank

SSL 2022: Salary Increases for Teachers, Nurses, Gov’t Employees

Good news to all government employees! There’s a new round of salary increases beginning January 1, 2022! Millions of employees of the Philippine government — including public school teachers, nurses and staff of government hospitals, and workers in local and national government agencies, etc. — will be getting an automatic salary adjustment this 2022 under ... Read more
blank

PSE Trading Hours in 2022: What time open, when closed?

Before you take the plunge into stock trading and investing, make sure you understand what stocks are and how the Philippine Stock Exchange (PSE) operates. Unlike other investments that are relatively safe, stock trading is risky and loss of money is a possibility. So before you deep dive into the exciting world of stock trading, ... Read more

Price Floor and Price Ceiling of PSE Stocks

Trading bands in the PSE come in two forms: Price Ceiling, or the upper price limit, and Price Floor, or the lower price limit.
blank

How to Use the PSE Board Lot Table

How much do you need to start trading stocks in the Philippine Stock Exchange (PSE)? How many shares of Globe Telecom (GLO), Ayala REIT Inc. (AREIT), DITO CME Holdings (DITO), or Megaworld (MEG) can you buy or sell at any given time? You probably don’t know it, but these questions can be answered by simply ... Read more

7 thoughts on “How to Franchise: McDonald’s in the Philippines”

  1. Say you sell P5M of food products a month, that’s P60M a year. Account for food costs and costs of operating the Store (labor, utilities, royalties, rent, etc.), you might get cash flows from that annual Sales by 10%, or P6M per year. Without taking to account inflation, some growth on your Sales, and taxes, it would approximately take you a minimum of 5 years to recover the cheapest investment in the range declared above, which is P30M. This projected payback would be longer as the initial investment increases or as the assumptions of our computations become more realistic.

    2 years of recovery means either A) you could sell P13M a month, B) you are so thrifty you earn 25% cash flows (which would entail sacrificing a lot of quality), C) you bought a very cheap site, say, worth P12M (is this a food stall?), or D) you won’t pay taxes and/or other expenses, or a combination or all of these.

    ***Some approximation only***

    Reply
  2. Good day to everyone. I am Celso M Solis from Mataasnakahoy, Batangas. I would like to offer to anyone my corner lot for long term lease or rent.This lot has an area of 1000 sq mtrs.more or less and the frontage alone side the main road is 40 mtrs.The lot is very nice. And good for convenient store or food chain. Any body who is interested may contact me any time. Thank you very much.

    Reply
  3. I am selling our property here in Bo.Barretto Olongapo City..less than 800sqm. With a wide frontage… ideal place if you are looking for a bussiness site/comercial place for building a Mc Donalds or otjer bussiness you like… for more info this is my contact # 0917 703 3658 or email me mrfloresmendoza@yahoo.com

    Reply
  4. good day everyone, I’m here to introduce our for sale land located at CALAPE, BOHOL. The land total measures of 4,990 sqm and per sqm meter will be sold 3,500 Php. Papers are all good, the tax has no problem too. kindly contact me.

    Reply

Leave a Comment