McAlister's Deli charges a royalty fee of 5.0% of gross sales (2025 FDD). This ongoing fee is typically paid weekly or monthly to the franchisor for continued use of the brand and support systems.

The total ongoing fee rate for a McAlister's Deli franchise is approximately 7.0% of gross sales (2025 FDD). This includes the royalty fee, a 2.0% marketing/advertising fund contribution, a $351/month technology fee, and other recurring charges.

McAlister's Deli has been involved in 3 litigation cases over the past 3 years (2025 FDD). There are no class action lawsuits pending.

No, the McAlister's Deli franchisor has no bankruptcy filings in their disclosure history (2025 FDD).

McAlister's Deli offers protected territory rights to its franchisees (2025 FDD). The franchise agreement includes encroachment protection, preventing the franchisor from placing another unit in your territory. Online sales rights are shared between the franchisor and franchisee.

McAlister's Deli currently operates 560 locations (2025 FDD) (524 franchised, 36 company-owned). The system grew by 3.9% over the past year. The 3-year compound annual growth rate is 2.2%.

The 1-year franchisee turnover rate for McAlister's Deli is 3.8% (2025 FDD). This includes closures, terminations, non-renewals, and transfers. A lower turnover rate generally indicates higher franchisee satisfaction and system stability.

According to the McAlister's Deli FDD Item 19 financial performance representation (2025 FDD), the median gross sales per unit is $1.8M (average: $1.9M).

The initial franchise agreement term for McAlister's Deli is 20 years (2025 FDD). Franchisees can renew 1 time for 20-year periods. The total potential term is 40 years.

McAlister's Deli's post-termination non-compete clause restricts former franchisees from operating a competing business for 1 year within 3 miles of the former location (2025 FDD).

Yes, McAlister's Deli's franchise agreement requires mandatory arbitration for dispute resolution (2025 FDD).

McAlister's Deli provides 300 hours of initial training over approximately 5 weeks (2025 FDD). The cost of training is covered by the franchisor (travel and lodging are typically the franchisee's responsibility). Ongoing field support is provided on a as-needed basis.

Yes, McAlister's Deli provides site selection assistance to help franchisees find the right location (2025 FDD). The franchisor also provides technology support and systems.