Great Clips vs McDonald's Franchise Cost 2026
Great Clips runs $183K–$382K. McDonald's runs $1.3M–$2.3M. The gap at midpoint: $1.5M.
Great Clips
$183K–$382K
total investment
Investment Difference
$1.5M
Great Clips costs less
McDonald's
$1.3M–$2.3M
total investment
Cost Breakdown
| Category | Great Clips | McDonald's | Lower Cost |
|---|---|---|---|
| Total Investment | $183K–$382K | $1.3M–$2.3M | Great Clips |
| Franchise Fee | $20,000 | $45,000 | Great Clips |
| Royalty Rate | 6.0% | 4.0% | McDonald's |
| Ad Fund Fee | 5.0% | 4.0% | McDonald's |
| Net Worth Required | $300K | $500K | Great Clips |
| Liquid Capital | $75K | $500K | Great Clips |
| Est. Break-Even | 20.2 yr | 14.1 yr | McDonald's |
Great Clips Profile
- Category
- beauty
- Total Investment
- $183K–$382K
- Franchise Fee
- $20,000
- Royalty
- 6.0%
- Est. Annual Revenue
- $350K
McDonald's Profile
- Category
- food
- Total Investment
- $1.3M–$2.3M
- Franchise Fee
- $45,000
- Royalty
- 4.0%
- Est. Annual Revenue
- $3.2M
Bottom Line
Great Clips 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.