Lowest royalty rates (percent of sales)

Brands ranked by their disclosed base royalty as a percentage of sales (Item 6).

How this list is built. Metric: Base royalty % of sales. Source: each brand’s FDD (Items 6, 7, 19 and 20), as recorded on its profile with citations. Brands without the required disclosure are listed separately below rather than ranked with a guessed value. A low royalty can be offset by required purchases, rent, technology fees or profit-sharing structures. Brands whose royalty is not a percentage of sales (per-student, profit-based, gross-profit-based) are excluded from this ranking and described on their profiles.

#BrandCategoryBase royalty % of salesInvestment (Item 7)AUVEvidence
1Meineke Car Care CentersAutomotive3.0% royalty + 8.0% ad fund$225K–$1.2M$971KHigh
2Molly MaidHome services3.0% royalty + 2.0% ad fund$144K–$204Kno annual avg.High
3PuroCleanHome services3.0% royalty + 2.0% ad fund$109K–$277K$942KHigh
4ServproHome services3.0% royalty + 3.0% ad fund$263K–$386Kno Item 19High
5Budget BlindsHome services3.5% royalty$101K–$211K$775KHigh
6Jiffy LubeAutomotive4.0% royalty + 1.5% ad fund$232K–$520K$1.11MHigh
7McDonald'sFood & QSR4.0% royalty$1.47M–$2.81M$4.06MHigh
8Batteries PlusRetail5.0% royalty + 1.0% ad fund$285K–$537K$955KHigh
9Eggs Up GrillFood & QSR5.0% royalty + 1.6% ad fund$822K–$1.14M$1.37MHigh
10Once Upon A ChildRetail5.0% royalty$356K–$486K$1.27MHigh
11The UPS StoreBusiness services5.0% royalty + 2.5% ad fund$222K–$606K$724KHigh
12Domino's PizzaFood & QSR5.5% royalty + 4.0% ad fund$231K–$744K$1.42MHigh
13Taco BellFood & QSR5.5% royalty + 4.3% ad fund$1.86M–$4.31Mno annual avg.High
14Dunkin'Food & QSR5.9% royalty + 5.0% ad fund$532K–$1.83M$1.37MHigh
15European Wax CenterPersonal services6.0% royalty + 3.0% ad fund$332K–$777K$902KHigh
16FASTSIGNSBusiness services6.0% royalty + 2.0% ad fund$231K–$386K$1.09MHigh
17Firehouse SubsFood & QSR6.0% royalty + 5.0% ad fund$405K–$876K$974KHigh
18Great ClipsPersonal services6.0% royalty + 5.0% ad fund$188K–$420K$411KHigh
19Jimmy John'sFood & QSR6.0% royalty + 4.5% ad fund$366K–$734K$1.01MHigh
20Massage EnvyPersonal services6.0% royalty + 2.0% ad fund$696K–$1.05M$1.21MHigh
21Minuteman PressBusiness services6.0% royalty + 0.0% ad fund$138K–$216K$770KHigh
22Mr. Rooter PlumbingHome services6.0% royalty + 2.0% ad fund$153K–$299K$2.09MHigh
23Scooter's CoffeeFood & QSR6.0% royalty + 2.0% ad fund$1.16M–$1.35M$1000KHigh
24Sport ClipsPersonal services6.0% royalty + 5.0% ad fund$237K–$581K$419KHigh
25Teriyaki MadnessFood & QSR6.0% royalty + 4.0% ad fund$393K–$1.12M$1.11MHigh
26Tint WorldAutomotive6.0% royalty + 6.0% ad fund$250K–$480K$812KHigh
27Two MaidsHome services6.0% royalty + 2.0% ad fund$93K–$150Kno annual avg.High
28Valvoline Instant Oil ChangeAutomotive6.0% royalty + 2.0% ad fund$192K–$640K$1.84MHigh
29WingstopFood & QSR6.0% royalty + 5.5% ad fund$310K–$1.05M$2.01MHigh
30Jersey Mike's SubsFood & QSR6.5% royalty + 5.0% ad fund$436K–$1.16M$1.37MHigh
311-800 WATER DAMAGEHome services7.0% royalty + 2.0% ad fund$143K–$312K$770KHigh
32F45 TrainingFitness & wellness7.0% royalty + 2.0% ad fund$362K–$858K$481KHigh
33Merry MaidsHome services7.0% royalty + 1.3% ad fund$127K–$169K$391KHigh
34Mr. HandymanHome services7.0% royalty + 2.0% ad fund$162K–$215K$774KHigh
35Take 5 Oil ChangeAutomotive7.0% royalty + 5.0% ad fund$912K–$2.05M$1.24MMedium
36The Joint ChiropracticPersonal services7.0% royalty + 2.0% ad fund$245K–$543K$564KHigh
371-800-GOT-JUNK?Home services8.0% royalty + 8.0% ad fund$182K–$304Kno annual avg.High
38Club PilatesFitness & wellness8.0% royalty + 2.0% ad fund$413K–$1.03M$988KHigh
39CrumblFood & QSR8.0% royalty + 2.0% ad fund$849K–$1.47M$1.14MHigh
40Orangetheory FitnessFitness & wellness8.0% royalty + 3.0% ad fund$765K–$1.1M$802KHigh
41SubwayFood & QSR8.0% royalty + 4.5% ad fund$263K–$630Kno Item 19High
42ZiebartAutomotive8.0% royalty + 2.0% ad fund$450K–$924K$1.41MHigh
43MidasAutomotive10.0% royalty$385K–$940Kno annual avg.High

Other brands in our directory

These brands do not meet this ranking’s criteria or lack the required comparable disclosure. Open a profile for its figures and caveats.

7-Eleven, Anytime Fitness, Big O Tires, Christian Brothers Automotive, Express Employment Professionals, Kumon, Planet Fitness

Other rankings: Franchises Under $250K Total Investment · Franchises With Starting Investment Under $100K · Highest Disclosed AUV Franchises (Item 19) · Franchises With the Highest Sales-to-Investment Ratio · Fastest-Growing Franchise Systems (Item 20) · Franchises With the Lowest Unit Attrition (Item 20) · Franchises That Disclose Profit or Cost Data (Item 19)