McDonald’s Mystery: The Dark History and Forgotten Legacy Of Everyone’s Beloved Burger Joint
Getting Only A Drop From The Ocean
In 1961, the McDonald’s chain was acquired by Ray for $2.7 million, a deal that looked simple but had complex undertones. The initial franchise agreement involved a $950 fee and a 1.9% service fee on food sales. Of this, 0.5% was meant as a royalty for the McDonald brothers.
However, after failing to get the original San Bernardino restaurant, Ray allegedly stopped paying this royalty, a sum that would’ve amounted to $15 million annually by 1977. By 1960, McDonald’s had expanded to 228 franchises, grossing $56 million a year. Both parties became wealthy from the deal, but Ray became exceedingly rich.
Next: Someone got played.
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