Tim Hortons vs McDonald’s
Franchise Comparison 2026
Both Tim Hortons and McDonald’s are quick-service restaurants franchises. Tim Hortons requires an investment of $988K – $3.3M while McDonald’s requires $1.5M – $2.8M. 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 Tim Hortons A (Strongest tier) and McDonald’s A (Strongest tier).
| Metric | Tim Hortons | McDonald’s |
|---|---|---|
| Verdict Grade | AStrongest tierStrongest tier | AStrongest tierStrongest tier |
| Investment Range | $988K – $3.3M | $1.5M – $2.8M |
| Franchise Fee | $50K | $45K |
| Royalty Rate | 4.5% | 5.0% |
| Average Revenue (Item 19) | N/A | $4.1M |
| SBA Charge-Off Rate | 0.0% (26 loans) | 16.7% (24 loans) |
| Total Units | 693 | 13,706 |
| Unit Growth (YoY) | N/A | N/A |
| Year Began Franchising | 1993 | 1955 |
| FDD Year | 2026 | 2026 |
Investment Range
$988K – $3.3M
$1.5M – $2.8M
Franchise Fee
$50K
$45K
Royalty Rate
4.5%
5.0%
Average Revenue (Item 19)
N/A
$4.1M
SBA Charge-Off Rate
0.0% (26 loans)
16.7% (24 loans)
Total Units
693
13,706
Unit Growth (YoY)
N/A
N/A
Year Began Franchising
1993
1955
FDD Year
2026
2026