How Much do Franchise Owners REALLY Make?
Do the big-name franchise brands really make as much as people say?
Franchise QSR50 Revenues
I will show you the real revenue numbers of big-name franchise brands, and then we'll contrast with some little known franchises that actually cost a tenth of the price of the big names and can make as much money or even more.
Let's start by looking at big names highest to lowest revenue on the qsr50.
The franchise at the very top? Chick-fil-A. An average Chick-fil-A location generates over $7 million dollars a year. And yes, the franchise fee is only $10,000, but don’t get too excited just yet. Chick-fil-A isn’t a typical franchise. The split of profits is much lower than other models, and getting approved is extremely difficult. They receive tens of thousands of applications every year and open only around 100 new restaurants. We’ve already done a deep dive into the Chick-fil-A franchise model in another video.
Now, on the other end of the spectrum is Subway, which averages under $500,000 a year in revenue per location. That might sound like a lot, but once you subtract rent, salaries, taxes, insurance, and all the rest of your operating costs, many Subway owners have basically just bought themselves a job. Subway has also closed thousands of locations over the last few years. I’ll include a link to our breakdown of that as well.
Your total cost to open a Subway ranges from $238,000 to $536,000. And here’s the kicker.. you still don’t own any real estate.
Let’s look at another popular name: McDonald’s. To open a McDonald’s franchise in 2025, you’re looking at an investment between $1.4 million and $2.7 million, again not including real estate. That’s right, you’re paying millions, and you don’t even own the land. McDonald’s owns the property and charges you rent on top of your startup costs. A huge portion of that investment, sometimes over a million dollars, is spent just on signs, seating, and décor. But in terms of revenue, an average McDonald’s generates over $4 million per year, with top units hitting up to $12 million.
So what about other big food brands? Let’s go through a few quickly. Whataburger averages just under $4 million. Chipotle and Shake Shack each bring in over $3 million per location. Panda Express generates about $2.5 million, while Popeye’s comes in around $1.8 million per store. Some of the lower performers include Pizza Hut at just over $1 million, Little Caesars under $800K, Papa Murphy’s at $667K, Smoothie King at $661K, and Jimmy John’s at $936K.
Lower revenue Franchises
Franchise Brands Profitability
Now, let’s pause for a second. If the cost to open some of these lower-revenue franchises is the same, or even higher, than more profitable ones, why do people keep buying them?
In many cases, they just don’t know better.
A prospective franchisee sees a busy Little Caesars in their area and calls the franchisor, who paints a glowing picture. What they often don’t realize is that, for the same level of investment, they could be making three to four times the revenue with a different brand in a different industry. This is why it’s so important to speak with a broker or industry expert before making any decisions.
But what if you don’t have the millions to invest in big-name food franchises? What are your options?
Here’s the truth: many service-based franchises, businesses in industries like renovation, real estate, painting, cleaning—can be started from a small office, have much lower overhead, and can generate equal or greater income than traditional food franchises.
Franchise Markets
Let’s take senior care, for example. In-home senior care franchises hire caregivers to assist aging clients in their homes. It’s a growing market, especially with the aging baby boomer population. These businesses can be run from a small office, and instead of needing millions in capital, you can get started with as little as $50K, with most investments falling between $100K and $200K total. In one of our previous videos, we highlighted what we found to be the highest-earning franchise ever, a senior care franchise that brought in $55 million a year. For comparison, the top McDonald’s only brings in around $12 million. SBA loans are available for these businesses, often with 10–30% down. The only caveat is that this type of business doesn’t have the same “walk-in traffic” as food, you’ll need to hustle, network, and build your business actively.
Cleaning franchises are another overlooked opportunity. It’s not glamorous—no one brags about running a cleaning business, but they’re incredibly scalable and extremely profitable. You can operate from a small office, hire a team, and scale quickly. Investments typically start at around $50K, and larger name cleaning franchises land in the $100K to $200K range, including working capital. There are even specialty niches like auto detailing, jet cleaning, or crime scene cleanup, all of which can be very lucrative.
Real Estate
Real estate-related franchises are also strong options. You’ve probably heard of We Buy Ugly Houses, a franchise many don’t realize is actually a national brand. Others include property management, where you handle rentals and maintenance for landlords, or inspection services like Pillar to Post. These types of businesses often start around $60K and can be grown into multi-million-dollar operations.
And we saved one of the best for last: master franchising. This is a concept most people haven’t heard of, but it’s one of the most powerful ways to build wealth in franchising. As a master franchisee, you buy the rights to an area and then sell sub-franchises within your territory, effectively becoming a mini-franchise company yourself. One of the most common industries for this model is commercial cleaning. In one example, the average master franchise owner earned $3.3 million, and the top performer made over $8 million a year. Your job is to acquire contracts and then resell them to individual franchisees in your market. You’ve likely seen ads in your area looking for new cleaning franchisees, that’s often a master franchise at work. These investments are typically between $200K and $300K, but the earning potential is huge.
Profitable Franchises
Depending on your skills and what your local market needs, there are several other franchise categories with seven-figure potential. These include staffing (some with average revenue near $6 million), disaster recovery, junk removal, and consulting. Many of these can be run from small offices and come with far lower investment requirements than the typical food franchise.
So what’s the takeaway?
Just because a brand is familiar doesn’t mean it’s profitable, or right for you. The smartest franchise buyers look beyond the logo and into the numbers, support systems, and scalability.
If you’re considering buying a franchise, call a broker first. We’ve got access to hundreds of options and can help you find the perfect fit based on your goals, background, and budget.
Our Services
Unlock exclusive insights and stay ahead in the franchise industry. Gain access to expert analyses and success stories from top franchise owners.
