McDonald's vs Sport Clips Franchise Cost 2026
McDonald's runs $1.3M–$2.3M. Sport Clips runs $266K–$439K. The gap at midpoint: $1.5M.
McDonald's
$1.3M–$2.3M
total investment
Investment Difference
$1.5M
Sport Clips costs less
Sport Clips
$266K–$439K
total investment
Cost Breakdown
| Category | McDonald's | Sport Clips | Lower Cost |
|---|---|---|---|
| Total Investment | $1.3M–$2.3M | $266K–$439K | Sport Clips |
| Franchise Fee | $45,000 | $25,000 | Sport Clips |
| Royalty Rate | 4.0% | 6.0% | McDonald's |
| Ad Fund Fee | 4.0% | 5.0% | McDonald's |
| Net Worth Required | $500K | $400K | Sport Clips |
| Liquid Capital | $500K | $200K | Sport Clips |
| Est. Break-Even | 14.1 yr | 22.1 yr | McDonald's |
McDonald's Profile
- Category
- food
- Total Investment
- $1.3M–$2.3M
- Franchise Fee
- $45,000
- Royalty
- 4.0%
- Est. Annual Revenue
- $3.2M
Sport Clips Profile
- Category
- beauty
- Total Investment
- $266K–$439K
- Franchise Fee
- $25,000
- Royalty
- 6.0%
- Est. Annual Revenue
- $400K
Bottom Line
Sport 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.