It's actually $10k and you're correct. The reason it's so cheap is because the franchisees/operators don't own the land/building/or equipment.. CFA Inc owns all that. But the nice thing is they also don't have to pay for major repairs, facility upgrades, equipment upgrades and replacement.. Basically they have almost no major capital expenses through their career. Whether that's major remodels, equipment replacement or upgrades, refresh packages like new dining room furniture/paint, or even entire scrape/rebuilds when the building gets too old (20 years ish), CFA Inc pays for it. Some of these projects are $4mil+.
They get over 100k applications for franchisees a year (I think it's closer to 150k now) and only select about 100. It's really hard to get in.
The average free standing franchisee/operator made over $600k last year (which is why it's such an attractive opportunity). They are 100% paid based on profits only. There's no salary or hourly contractual commitments associated with being an Operator but it is expected that an operator is actively engaged in growing and managing the business and not just a passive investment.