FranchiseBudget

Domino's Pizza vs McDonald's Franchise Cost 2026

Domino's Pizza runs $164K–$536K. McDonald's runs $1.3M–$2.3M. The gap at midpoint: $1.5M.

Domino's Pizza

$164K–$536K

total investment

Investment Difference

$1.5M

Domino's Pizza costs less

McDonald's

$1.3M–$2.3M

total investment

Cost Breakdown

Category Domino's Pizza McDonald's Lower Cost
Total Investment $164K–$536K $1.3M–$2.3M Domino's Pizza
Franchise Fee $25,000 $45,000 Domino's Pizza
Royalty Rate 5.5% 4.0% McDonald's
Ad Fund Fee 6.0% 4.0% McDonald's
Net Worth Required $250K $500K Domino's Pizza
Liquid Capital $75K $500K Domino's Pizza
Est. Break-Even 76.2 yr 14.1 yr McDonald's

Domino's Pizza Profile

Category
food
Total Investment
$164K–$536K
Franchise Fee
$25,000
Royalty
5.5%
Est. Annual Revenue
$920K
Full Domino's Pizza Cost Breakdown →

McDonald's Profile

Category
food
Total Investment
$1.3M–$2.3M
Franchise Fee
$45,000
Royalty
4.0%
Est. Annual Revenue
$3.2M
Full McDonald's Cost Breakdown →

Bottom Line

Domino's Pizza costs $1.5M less to open at the midpoint. That difference goes toward working capital or a second location. McDonald's also wins on royalty rate.