The McDonalds Test

• When preparing for rapid expansion or franchise opportunities
• Before seeking Series A or growth-stage funding where scalability is crucial
• When planning to hire and train new teams in different locations
• After achieving product-market fit but before scaling operations
• When considering licensing your business model to partners
• Before automating core business processes to ensure they're replicable
• When preparing to step back from day-to-day operations as a founder

1. Document Every Process: Create comprehensive SOPs for all business operations including customer acquisition, onboarding, service delivery, quality control, and management processes. Include decision trees, checklists, and troubleshooting guides.

2. Identify Critical Dependencies: Map out where founder knowledge, personal relationships, or manual interventions are required. Document these as potential scaling bottlenecks that need automation or systematization.

3. Create Training Materials: Develop complete training programs, video tutorials, and certification processes that could enable a new team to operate independently within a defined timeframe (typically 30-90 days).

4. Select Test Environment: Choose a new location, market segment, or hire a separate team that will operate with minimal founder involvement. This should mirror your intended scaling approach as closely as possible.

5. Execute Replication: Launch operations in the test environment using only documented processes and training materials. Founders should limit involvement to scheduled check-ins rather than daily problem-solving.

6. Measure Performance Gaps: Compare key metrics (quality, efficiency, customer satisfaction, profitability) between the original operation and the replicated version. Document all deviations and their root causes.

7. Iterate and Improve: Refine processes, update documentation, and enhance training based on gaps identified during replication. Repeat the test until performance matches or exceeds original operations.

8. Validate Economic Model: Ensure the replicated operation achieves target unit economics and profitability within expected timeframes, proving the model works without founder subsidization.

Pros

• Provides definitive proof of scalability before major expansion investments
• Identifies critical bottlenecks and dependencies that could limit growth
• Creates valuable operational documentation and training systems
• Reduces founder dependency, enabling delegation and eventual exit strategies
• Validates true unit economics without founder subsidies or shortcuts

Cons

• Extremely time-intensive process that can take 6-12 months to complete properly
• High upfront investment in documentation, training materials, and test operations
• May reveal fundamental business model flaws that require significant pivots
• Success depends heavily on quality of initial documentation and process design
• Can be demoralizing if replication attempts fail multiple times