McDonald’s Franchisee Group Pushes Back Against ‘Detrimental’ Fee Hike
September 25, 2023
McDonald’s decision to increase its royalty fee for the first time in three decades is facing resistance from the National Owners Association (NOA), a franchisee advocacy group representing about 1,000 McDonald’s franchisees. The NOA calls the fee hike “detrimental” to the brand, asserting that operators are currently making less money than they were in 2010. McDonald’s plans to implement the new rate, raising the fee from 4% to 5% of gross sales, starting Jan. 1, applicable only to new and relocated restaurants or locations previously company-owned but now franchised.
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