McD's McMakeover Revisited

Four years after its announcement to make over its restaurant chain to look more like a cappuccino cafe (think of the McCafe concept that was born and developed in Australia) and a deep recession later, a recent internal memo highlights McDonald's collaborative efforts to assist franchises.

The Oak Brook-based hamburger chain is attempting to speed up the remake of its U.S. restaurants into cozier places to linger and spend money, according to an outside expert. Richard Adams, a franchise consultant, said a 2010 pilot program offers a higher level of corporate financial assistance to McDonald’s franchisees willing to revamp their restaurants inside and out... Normally, McDonald’s prevails upon franchisees to remodel when their contracts are up for renewal. That occurs with 300 to 400 restaurants nationwide each year, Adams said.

But the company is sweetening its typical financial contribution in an effort to bring another 400 to 600 restaurants into the remodeling pipeline, said Adams, citing an internal McDonald's memo that spelled out terms of assistance. The revamps could boost a restaurant's annual sales from $2.3 million to $3.1 million in four to five years, the memo stated....Adams estimates that a franchisee's cost might range from $600,000 for remodeling to $1.5 million for rebuilding. This comes shortly after franchisees retooled to handle coffee drinks, at a cost of up to $100,000 per restaurant. - Chicago Tribune

McDonald's Corp is famous for its collaborative culture between franchisor and franchisee, and now here is evidence.

Does anyone have a copy of the McD memo spelling out the terms of financial assistance for a franchise?