New McDonald's Locations Face Higher Franchise Royalty Fees in 2024
McDonald's will raise the franchise royalty fees for U.S. restaurants from 4% to 5% for operators opening new locations, effective January 1st, 2024. This is the first increase in royalty fees in nearly 30 years. Existing franchisees and those who take over existing locations will not be affected by the increase. McDonald's U.S. business has been booming with strong same-store sales growth and increasing franchisee cash flows in recent quarters, according to the company's financial reports.
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00:00 It's Benzinga and here's what's on the block.
00:02 McDonald's will raise the franchise royalty fees for U.S. restaurants from 4% to 5% for
00:07 operators opening new locations effective January 1, 2024.
00:12 This is the first increase to the royalty fees in nearly 30 years.
00:16 Existing franchisees and those who take over existing locations will not be affected by
00:19 the increase.
00:20 McDonald's U.S. business has been booming with strong same-store sales growth and increasing
00:25 franchisee cash flows in recent quarters, according to the company's financial reports.
00:29 For all things money, visit Benzinga.com.
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