McDonald’s vs Tim Hortons
Franchise Comparison 2026
Both McDonald’s and Tim Hortons are quick-service restaurants franchises. McDonald’s requires an investment of $1.5M – $2.8M while Tim Hortons requires $988K – $3.3M. McDonald’s discloses average revenue of $4.1M; Tim Hortons does not report Item 19 data. On SBA loan performance, Tim Hortons has a lower charge-off rate (0.0%) compared to McDonald’s (16.7%). FranchiseVerdict rates McDonald’s A (Strongest tier) and Tim Hortons A (Strongest tier).
| Metric | McDonald’s | Tim Hortons |
|---|---|---|
| Verdict Grade | AStrongest tierStrongest tier | AStrongest tierStrongest tier |
| Investment Range | $1.5M – $2.8M | $988K – $3.3M |
| Franchise Fee | $45K | $50K |
| Royalty Rate | 5.0% | 4.5% |
| Average Revenue (Item 19) | $4.1M | N/A |
| SBA Charge-Off Rate | 16.7% (24 loans) | 0.0% (26 loans) |
| Total Units | 13,706 | 693 |
| Unit Growth (YoY) | N/A | N/A |
| Year Began Franchising | 1955 | 1993 |
| FDD Year | 2026 | 2026 |
Investment Range
$1.5M – $2.8M
$988K – $3.3M
Franchise Fee
$45K
$50K
Royalty Rate
5.0%
4.5%
Average Revenue (Item 19)
$4.1M
N/A
SBA Charge-Off Rate
16.7% (24 loans)
0.0% (26 loans)
Total Units
13,706
693
Unit Growth (YoY)
N/A
N/A
Year Began Franchising
1955
1993
FDD Year
2026
2026