Franchising
“McDonald’s three-legged stool philosophy attributes the success of McDonald’s to the collaboration and synergy of the three legs: employees, suppliers and franchisees.”
For over 50 years, McDonald's has been giving opportunities to individuals who share the same values and vision of serving great tasting quality food fast through franchising. As the top brand in Entrepreneur’s Franchise 500 in 2018, with more than 90% of its restaurants owned by independent franchisees, McDonald’s continues to lead in franchising and empower local entrepreneurs all over the world through their unique model.
In the Philippines, McDonald's opened its doors to franchising to Filipino entrepreneurs in 1985, and has since expanded its network to over 300 franchised restaurants with more than 100 franchisees, most of whom have been part of the McDonald's Family for 5 to 15 years.
What it's all about
A quick look at the industry
The Philippines has seen a tremendous growth in the franchising business over the past decades. After learning from other international market leaders and developing an ecosystem that allowed franchising to flourish in the country, what started out as a small, almost non-existent player in the franchise market has quickly become a leader in both the local and international sphere.
With over 2,000 local and international franchise concepts in the country, the Philippines has become known as the “Franchise Hub of Asia” and was also among the 2017 top 5 franchise markets in the world.
On a more local scale, McDonald’s Philippines was recognized by the Philippine Franchise Association (PFA) for their outstanding work in the franchising sector during the Franchise Excellence Awards in 2017, bringing home 6 awards: Best CSR Program for Ronald McDonald House Charities (RMHC) Read to Learn program, Best Overall Marketing Campaign under the Food category, International Master Franchise Award, Regional Franchisee Awards for Ray Ordoveza (South Luzon) and Caroline Andrade (Visayas), and National Franchisee Award for Ray Ordoveza.
These achievements serve as motivation for the company to do even better and serve even more Filipinos every single day. But to do this, we need highly-motivated franchisees to be our partners in expanding our business.
We are glad you have taken the time to learn more about our franchise opportunities and hope you will consider joining our family.
Why McDonald's?
Giving you more reasons to say “Love ko ‘to”
McDonald's franchisees, also called Owner Operators, play a major role in the System's success. Choosing McDonald's means joining the force behind one of the world's most successful and most loved brands and becoming part of a global network of successful and motivated entrepreneurs.
As a McDonald's Philippines Owner Operator, you gain the following advantages:
- World class training to deliver world class service and business success
- Extensive support system to cover all aspects of the business, which includes operations, supply chain, and marketing support throughout the entire franchise term
- Access to world class suppliers that provide the necessary goods and services that go into great-tasting food and excellent services that customers enjoy
- 100 percent customer awareness of the world's leading fast food restaurant
- A peer network of more than 100 franchisees locally, and the McDonald's network of over 60,000 employees nationwide
McDonald's continues to be recognized as a premier franchising company around the world. The fact that McDonald's management listens to and collaborates with our Owner Operators has a lot to do with that success.
Our Owner Operators devote full time and best efforts to their restaurant business. Their focus and passion is what makes McDonald's the number one quick service restaurant in the world.
Do you have what it takes?
We are inviting partners with significant business experience, have successfully owned or managed multiple business units/have led multiple departments and have significant financial resources.
McDonald’s Franchise Fast Facts:
Owning a Franchise
- We grant franchise license only to Filipino or former natural born Filipino Citizen
- We award the franchise on a per restaurant basis. We don't offer it on a territorial or geographical basis.
Site Selection
- Application for the site and the franchise is treated and processed separately and independently from each other.
Franchise Terms
- The term of the franchise is good for ten (10) years or the term of the lease whichever is shorter.
Ways to Franchise
The required investment cost on the part of the franchisee will depend on the kind of store or site that will be offered to him by the Company. In relation to this, we basically franchise in three (3) ways:
- The Company awards franchises for a new site or restaurant.
- The Company awards franchises for an existing restaurant owned and operated by the Company.
- The Company awards franchises for an existing restaurant owned and operated by a franchisee who would want to sell his or her McDonald's restaurant.
Cost of Investment
Depending of restaurant size, type, location and features the CAPEX is about $1 million US Dollars or the Philippine Peso equivalent at the time of construction.
This covers the following costs:
- Architectural Planning and Global Design Fees
- Building and leasehold improvements and other relevant site works necessary
- Air-conditioning system, kitchen exhaust and stainless fabs
- Point of sale
- Kitchen equipment, seating, signage and décor
- Other furniture and fixtures
- Government mandated requirement
The above costs depend on the following factors for consideration:
- Restaurant type & size
- Suitability of existing building
- Site location whether provincial or within Metro Manila