Lies that Kroc "stole" from the brothers....

I'm tired of this overall lie from stupid people that Kroc stole anything from the brothers. They were grown men with above average intelligence and good legal representation. Everything they did they agreed to and signed off on.

1. The franchise agreement. This was signed by Ray Kroc but the terms were dictated by the brothers. Their lawyers wrote up the contract. They paid Kroc a salary and a small percentage of gross sales for the stores he helped start. By 1961 Kroc has established 223 new McDonalds locations.
Liars and idiots act like he went off on his own starting these restaurants without permission when he never did any such thing. The brother's were receiving .5% of gross sales from all of those restaurants.

2. Kroc's standards were 99% par with the brothers. It's not like he was starting taco joints named McDonalds. He knew that the formula that worked so well in San Bernadino needed to be duplicated and did that. Those 228 restaurants were something they could be proud of.

3. The problem with selling all your interest in a fast growing business. This is the one that irks me the most. Once you sell 100% of your interest in a company you will benefit nothing from any future growth if that company duh! If I own shares of a stock and sell it and then I would not expect to profit of that company grows 10X bigger in the next 10 years.

You have a company that is doubling in size every 2.5 years it might be a good idea to take some of that payment in stock not just cash. Colonel Sanders did the exact same thing. The brothers should have taken less cash and held on to 5-10% of the company. Then when it went public and was worth 10X as much they would have made a fortune. This is especially important to Dick McDonald who lived another 35 years.

4. There was no 1% deal. It makes no sense and neither brother in their lifetime complained about this. There were no lawsuits to that effect to get that money either. The issue did not come up until the brothers were dead. As owners they only received .5% of gross sales from those stores why would they expect 1% of profits AFTER selling out.

5. The reality corp. This had nothing to do with the brothers because ownership of the land these stores sat upon was not their interest. They made no money off the rents and had no say about where the stores were located and who owned the lots. It was a brilliant move by Kroc to give him more revenue and control but it did not hurt the brothers in any way.