McDonald’s vs Wendy's
Franchise Comparison 2026
Both McDonald’s and Wendy's are quick-service restaurants franchises. McDonald’s requires an investment of $523K – $2.6M while Wendy's requires $410K – $3.1M. In terms of revenue, McDonald’s reports higher average unit revenue at $4.0M. On SBA loan performance, McDonald’s has a lower charge-off rate (0.0%) compared to Wendy's (1.3%). FranchiseVerdict rates McDonald’s A (Excellent) and Wendy's A (Excellent).
| Metric | McDonald’s | Wendy's |
|---|---|---|
| Verdict Grade | AExcellentExcellent | AExcellentExcellent |
| Investment Range | $523K – $2.6M | $410K – $3.1M |
| Franchise Fee | $45K | $50K |
| Royalty Rate | 4.0% | 4-6% of Gross Sales depending on restaurant type and development program (4% traditional/Groundbreaker, 5% Pacesetter, 6% military/Build-to-Suit) |
| Average Revenue (Item 19) | $4.0M | $2.1M |
| SBA Charge-Off Rate | 0.0% (12 loans) | 1.3% (99 loans) |
| Total Units | 13,457 | 7,397 |
| Unit Growth (YoY) | N/A | N/A |
| Year Began Franchising | 1955 | 1971 |
| FDD Year | 2024 | 2026 |
Investment Range
$523K – $2.6M
$410K – $3.1M
Franchise Fee
$45K
$50K
Royalty Rate
4.0%
4-6% of Gross Sales depending on restaurant type and development program (4% traditional/Groundbreaker, 5% Pacesetter, 6% military/Build-to-Suit)
Average Revenue (Item 19)
$4.0M
$2.1M
SBA Charge-Off Rate
0.0% (12 loans)
1.3% (99 loans)
Total Units
13,457
7,397
Unit Growth (YoY)
N/A
N/A
Year Began Franchising
1955
1971
FDD Year
2024
2026