Receiving Helpdesk

the mcdonalds brothers story

by Myriam Stokes MD Published 4 years ago Updated 3 years ago

Richard McDonald and Maurice McDonald, together known as the McDonald Brothers, were American entrepreneurs who founded the fast food company McDonald's. They opened the original McDonald's restaurant in 1940 in San Bernardino, California, where they created the Speedee Service System to produce their meals, a method that would become the standard for fast food. After hiring Ray Kroc as their franchise agent in 1954, they continued to run the company until they were bought out by Kroc in 1961.

Full Answer

Who were the McDonald brothers and what did they do?

Known as the McDonald Brothers, they were visionary and revolutionary entrepreneurs who were way ahead of their time. They revolutionized the way that very busy workers were nourished and fed when they are away from home.

Did the McDonald brothers really start the Big Mac?

The McDonald brothers may have started the business that led to the Big Mac and countless other fast food items, but it took years for them to get any real credit. Sure, they were mentioned in the occasional news article, but at McDonald's headquarters, they were hardly viewed as founders.

How much are the McDonalds brothers Worth?

The McDonald business today is said to be worth over $100 billion, but the brothers have no shares from that to their name. In fact, the business is now considered as being founded by Ray Kroc. It is not certain what the brothers were worth in their glory days as that was a very long time ago.

What happened to the McDonalds father?

Their father Patrick McDonald had worked as a shift manager at the 20,000-employee G.P. Krafts shoe factory in Manchester when he was laid off after 42 years. The elder McDonald had been told that he was simply too old to do the job any longer and the brothers saw their father face down unemployment after decades of hard work.

What's the Mcdonalds brothers backstory?

The brothers were born into a poor family of Irish immigrants in rural New Hampshire in the early 1900s, and saw their father struggle later in life. Their father Patrick McDonald had worked as a shift manager at the 20,000-employee G.P. Krafts shoe factory in Manchester when he was laid off after 42 years.

Did Ray Kroc betrayed McDonald's brothers?

Did Ray Kroc's deal to buy out the brothers really not include the original McDonald's restaurant in San Bernardino? Yes. Kroc wasn't aware that the agreement excluded the original restaurant, but the McDonald brothers insisted it did.

What mistake did the McDonald's brothers make?

If anything, the McDonald brothers just made a classic business mistake: cashing out too soon. It seems that the McDonald brothers were financially successful even before they met Kroc. In 1954, their single restaurant in San Bernardino netted them $100,000, or $900,000 in today's dollars.

Did Ray Kroc cheated the brothers?

According to the movie, Kroc was one hellava boozer and a rogue franchise salesman who passed himself off as the chain's founder and cheated the McDonald brothers out of their fortune.

Is Marilyn Kroc still alive?

September 11, 1973Marilyn Kroc Barg / Died

Why did Ray Kroc steal McDonald's?

Ray Kroc tore into Richard and Maurice McDonald when they demanded $2.7 million for their company in 1961. He said that he 'hated their guts' and was 'so mad I wanted to throw a vase through a window' because he felt they had tried to make him fail - and were now ripping him off.

Is the founder a real story?

It's the true story told in the new film, “The Founder.” Michael Keaton plays Ray Kroc, the milk shake mixer salesman who takes the McDonald brothers' concept and franchises it across the country. Tracy asked Keaton, “We all kind of think we know McDonald's.

Did the McDonalds brothers get scammed?

The brothers did get a percentage of the profits. The original deal was 1.9 percent of a franchisee's profits. It went to the McDonald's Corporation and 0.5 percent of that went to Dick and Mac McDonald. The falsehood in the movie is that Ray screwed the brothers out of that half a percent.

What happened to the McDonald brothers at the end of the film the founder?

Ray reneged on the handshake deal and the McDonald brothers never received a cent of the 1 percent they were promised, which would have been 200 million a year if it was upheld – for each brother. Ray married Joan Smith (Rollie's wife) and they remained together until his death.

How accurate is the movie the founder?

The final representations, including two full-sized working McDonald's restaurants maintained "absolute high fidelity." You can rest assured that The Founder is a film whose crazy story is in fact pretty darn accurate.

What happened between Ray Kroc and Harry Sonneborn?

Work with McDonald's Corp. Convinced that Kroc was leading the company into trouble, Sonneborn sold his sizable block of McDonald's stock for three million dollars and left the company. Selling off his stock was one of the few financial mistakes he ever made as McDonald's stock split three ways over the next decade.

Did Ray Kroc steal McDonald's idea?

The brothers asked Ray why he did not simply steal their idea and build this out on his own. Why did he want to partner with the McDonald brothers. Ray's answer was, “The name McDonald's”. It is a nice sounding All-American name.

What did the McDonald's brothers do?

The McDonald’s brothers produced a limited menu, concentrating on just a few items – burgers, fries and beverages – which allowed them to focus on quality and quick service. They were looking for a new franchising agent and Kroc saw an opportunity.

When did McDonald's start?

In 1955, he founded McDonald’s System, Inc., a predecessor of the McDonald’s Corporation, and six years later bought the exclusive rights to the McDonald’s name and operating system. By 1958, McDonald’s had sold its 100 millionth hamburger.

What did Ray Kroc want?

Ray Kroc wanted to build a restaurant system that would be famous for providing food of consistent ly high quality and uniform methods of preparation. He wanted to serve burgers, fries and beverages that tasted just the same in Alaska as they did in Alabama .

What is McDonald's passion?

McDonald’s passion for quality meant that ingredients were tested, tasted and perfected to fit the operating system. Kroc shared his vision of McDonald’s future, selling his early suppliers on future volumes. They believed in him and the restaurant boomed.

Did Ray Kroc stop working at McDonald's?

The Legend Lives On. Right up until he died on January 14, 1984, Ray Kroc never stopped working for McDonald’s. His legacy continues to this day, providing McDonald’s customers with great tasting, affordable food; crew and franchisees with opportunities for growth; and suppliers with a shared commitment to provide the highest quality ingredients ...

Where were the McDonald brothers born?

Early life. The McDonald brothers were born in Manchester, New Hampshire, to Patrick J. McDonald and Margarete McDonald, Irish immigrants who came to the United States as children.

Who played Richard McDonald in The Founder?

In the 2016 film The Founder, a biopic about Ray Kroc and his business relationship with the McDonald brothers, Richard McDonald is played by Nick Offerman, and John Carroll Lynch portrays Maurice McDonald. The first McDonald's, according to the California Route 66 Association, is owned by Albert Okura and is a museum.

When did McDonald's start franchising?

The McDonald brothers' restaurant was a success, and with the goal of making $1 million before they turned 50, the McDonald brothers began franchising their system in 1953, beginning with a restaurant in Phoenix, Arizona, operated by Neil Fox. In 1954, the McDonald brothers partnered with Ray Kroc.

Who was the first cook of a McDonald's hamburger?

The franchiser took 1.9 percent of the gross sales, of which the McDonald brothers got 0.5 percent. On November 30, 1984, Richard McDonald, the first cook behind the grill of a McDonald's, was served the ceremonial 50 billionth McDonald's hamburger by Ed Rensi, then-president of McDonald's USA, at the Grand Hyatt hotel in New York City.

How did Maurice McDonald die?

Maurice McDonald died from heart failure at his home in Palm Springs, California, on December 11, 1971, at the age of 69. He was buried at the Desert Memorial Park, in Cathedral City, California.

Why did the McDonald brothers move to California?

The McDonald Brothers. Dick and Mac McDonald moved to California to seek opportunities they felt unavailable in New England. Failing in the movie business, they subsequently proved successful in operating drive-in restaurants. In 1948 they took a risk by streamlining their operations and introducing their Speedee Service System featuring 15 cent ...

When did McDonald's start using mansard roofs?

McDonald’s introduced the new Mansard Roof Design in 1969 in Matteson, Illinois. Initially, many franchisees remodeled their existing Red and White buildings to reflect the new design. McDonaldland Parks (Play Places) and the Drive-Thru were added to the restaurant during the 1970s.

Why did Dick and Mac McDonald move to California?

Visit McDonald's Restaurants. Dick and Mac McDonald moved to California to seek opportunities they felt unavailable in New England. Failing in the movie business, they subsequently proved successful in operating drive-in restaurants. In 1948 they took a risk by streamlining their operations and introducing their Speedee Service System featuring 15 ...

How many McDonald's are there in the world?

Yet, McDonald’s continued to grow and expand into international markets beginning in 1967 opening in Canada and Puerto Rico. Today, the company has over 36,000 restaurants in over 100 nations. The most recent opening in Kazakhstan in 2016.

When did Kroc open his first McDonald's?

Kroc opens his first McDonald's in Des Plaines, Illinois on April 15. The attention getting red and white tiled building with the Golden Arches was designed by architect Stanley Meston in 1953. First day sales are $366.12.

Where was the first Ronald McDonald House?

The first Ronald McDonald House opens in Philadelphia, Pennsylvania. In 1973, Fred Hill, a football player with the Philadelphia Eagles, had the need for such a facility at Children's Hospital in Philadelphia, where his child was being treated for leukemia. Hill’s dilemma led to the first Ronald McDonald House.

Where is McDonald's in San Bernardino?

Dick and Mac McDonald open McDonald's Bar-B-Q restaurant on Fourteenth and E streets in San Bernardino, California. It is a typical drive-in featuring a large menu and car hop service.

Who is the founder of McDonald's?

Ray Kroc , who transformed a small burger joint into a global fast food giant, is already a household name for many Big Mac fans, but The Founder —a movie that opened on limited release Friday—tells the story behind the origins of McDonald’s and how Kroc rewrote history to call himself the founder of the company.

Where was the first McDonald's franchise?

In the book, he named the first franchise he opened—in Des Plaines, Ill.— as the first McDonald’s restaurant ever opened. “Up until the time we sold, there was no mention of Kroc being the founder,” Dick McDonald told the Wall Street Journal in 1991. ”If we had heard about it, he would be back selling milkshake machines.”.

How many restaurants did Dick and Mac own before they met Kroc?

Contrary to the narrative of The Founder, which shows Kroc giving the brothers the idea to franchise, Dick and Mac had franchised about six restaurants before they met Kroc.

How much did Ronald McDonald's make in 1960?

By 1960, the restaurants were grossing $56 million annually. Kroc, however, was dissatisfied with his small cut of the profits.

Did McDonald's honor Kroc?

Indeed, the company honored him on its Founder’s Day (and wouldn’t include the McDonald brothers until 1991). Kroc’s version of the story upset the McDonald brothers after the publication of his 1992 autobiography Grinding it Out: The Making of McDonald’s.

Why was McDonald's so successful in the 1960s?

McDonald's success in the 1960s was in large part due to the company's skillful marketing and flexible response to customer demand. In 1962, the Filet-O-Fish sandwich, billed as "the fish that catches people", was introduced in McDonald's restaurants. New Zealand's first McDonald's restaurant, in Porirua.

When did McDonald's open?

The first McDonald's Express locations opened in 1991. These are smaller-scale prototypes, usually constructed in prefabricated buildings or urban storefronts, that do not feature certain menu items such as milkshakes and Quarter Pounders.

How did Jim Cantalupo die?

2004: Chairman and CEO Jim Cantalupo dies suddenly at the age of 60 in his hotel room of an apparent heart attack while attending the annual franchisee convention in Orlando, FL on April 19. A 30-year veteran of the organization, Cantalupo had previously served as President and CEO of McDonald's International.

Where is McDonald's located in Finland?

A McDonald's in Finland, located on Hämeenkatu in central Tampere. The first McDonald's restaurant in Finland was located at the Commerce House near the Keskustori market square but has since been shut down.

When did McDonald's open in New York City?

1972: The first McDonald's in New York City opens on Manhattan's Upper West Side, dubbed "Townhouse" (to reflect that it was not a drive-in) and serves a record 100,000 hamburgers in its first week. 1974: On November 13, the first McDonald's in the United Kingdom opens in Woolwich, southeast London.

Where is McDonald's ice cream?

A McDonald's soft drink/ice cream stand in Sanya, Hainan, China. The first McDonald's in Mainland China opened in Dongmen, Shenzhen in October 1990. The Extra Value Meal, a burger, fries and drink combination deal, was introduced from 1993, originally as part of a Jurassic Park -themed tie-in.

When did the Big Mac come out?

The Big Mac hamburger made its debut in 1968. In the early 1960s, McDonald's really began to take off. The growth in U.S. automobile use that came with suburbanization and the interstate highway system contributed heavily to McDonald's success.

Who were the McDonald brothers?

Known as the McDonald Brothers, they were visionary and revolutionary entrepreneurs who were way ahead of their time.

Why did Ray and the McDonald's brothers give him the franchise?

Ray convinced the brothers to give him the franchise of their entire business concept so he can expand the McDonald’s Fast Food business all over America; the brothers agreed to the deal which would have the franchiser take a 1.9% “cut” of Gross Sales of the Franchise outlet – while paying the McDonald brother a 0.5% royalty from it.

Why did the brothers sell their movie theater?

The Brothers ( Image Source) Their first business was operating a movie theater which failed because of the great depression at the time, so they sold it off and opened a barbecue/hot dog shop – because they realized that the food business was the only thriving business in their neighborhood.

When did the brothers open their own hamburger shop?

So in 1937, they opened their own hamburger shop in the United States (Monrovia, California), ...

How did Maurice die?

Maurice died on December 11, 1971. He had suffered a severe heart attack that claimed his life on that fateful day. Richard died several years later – on July 14, 1998. He spent his last days in a nursing home located in Manchester, New Hampshire. Ray Kroc on the other hand, died on January 14, 1984.

When was McDonald's founded?

If you believe the official version on the McDonald's website, the business was founded in 1955, the year that Kroc opened his first restaurant in Des Plaines, Illinois. But by that stage the McDonald brothers had been serving happy customers from their first outlet 15 years.

Where was the first McDonald's franchise?

Dick and Mac McDonald set up the very first McDonald's in San Bernardino, California, in 1940 and made it a success. Ray Kroc, a high-school dropout, was so impressed he went to see them and volunteered to franchise it for them.

How much money did Richard McDonald have when he died?

When Richard McDonald died his total estate was just $1.8million, not exactly poverty, but nothing like what Kroc would go on to earn. The will shows that the bulk of Richard's money was in investments, including $20,000 worth of McDonald's shares.

Why did Kroc take over McDonald's?

In an interview with Daily Mail Online, the brothers' nephew Ronald McDonald said that Kroc took over the business because he was all about 'ego, ego, ego'.

How did Mac McDonald die?

Mac McDonald died of heart failure and his brother left just over $1.8 million - along with a collection of McDonald's memorabilia.

How long did it take for McDonald's to make a billion dollars?

It has become the stuff of legend in the fast food industry, and could hardly have been fun for the McDonald brothers to watch. After 22 years in business the new company made its first billion dollars, a feat that IBM took 46 years to achieve.

Why did Richard never criticize Kroc?

Ronald said that in public Richard never criticized Kroc because he wanted to keep the peace and protect his family.

Who plays the McDonald brothers?

The real McDonald brothers, Dick and Maurice (bottom), weren't interested in selling franchises themselves, so they decided to give the job to Ray Kroc . Nick Offerman and John Carroll Lynch (top) portray Dick and Maurice (Mac).

Who is the founder of McDonald's?

For years, McDonald's celebrated Founder's Day by honoring "founder Ray Kroc.". However, in 1991, the company decided to honor the McDonald brothers in addition to Kroc. "They are founders, they founded the concept," said Fred Turner, McDonald's then senior chairman.

How old was Kroc when he found McDonald's?

Kroc was 52 when he found success with McDonald's. When teased that he was an overnight success at the age of 52 , Kroc reminded people of the long road it took to get there, "I was an overnight success alright, but 30 years is a long, long night.".

When did Ray Kroc buy McDonald's?

In 1954, Kroc got wind that the brothers were looking for help expanding, so he offered to buy the U.S. franchise rights. -Sun Journal. An ad that appeared in the Des Plaines Journal on April 14, 1955 announces the opening of Ray Kroc's first McDonald's (the ninth overall).

Why did Bill Tansey quit McDonald's?

The previous franchising agent, Bill Tansey, quit due to health issues. In 1955, Kroc founded the Franchise Realty Corporation (a predecessor of the McDonald's Corporation), which helped to facilitate the restaurant's expansion while giving Kroc a healthier return on his efforts.

Where did McDonald's originate?

Kroc reinforced his claim of being the founder in his 1977 biography, Grinding It Out: The Making of McDonald's, in which he largely traces McDonald's origins to his own first McDonald's restaurant in Des Plaines, Illinois (it was actually the ninth restaurant overall).

Who started the franchise Realty Corporation?

Kroc started the Franchise Realty Corporation in order to execute the plan. -Ray Kroc: The Vision that Revolutionized the World. Like B.J. Novak's character does in the movie (right), the real Harry Sonneborn (left) helped Ray Kroc create the Franchise Realty Corporation.

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z 1 2 3 4 5 6 7 8 9