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Del Taco
Mexican-American fast-food restaurant. Second largest Mexican brand in U. S. sales.
Franchisor Background
Year Established: 1961Franchising Since: 1967IFA Member
Operating Units: Franchised Units: 238 45.3% Company-Owned Units: 287 54.7% ______ _____ Total Operating Units: 525 100% Geographic Distribution: U.S.: 513 100% In 13 States Canada: 0 0% In 0 Canadian Provinces International: 0 0% In 0 Foreign Countries ______ _____ Total: 513 100% North America: States/Provinces with the largest number of operating units: Density Units 1. California 355 2. Arizona 47 3. Nevada 35
Registered in Following Registration States: California, Florida, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island, South Dakota, Virginia, Washington, Wisconsin, District Of Columbia, Alberta Financial Requirements
Investment: Minimum Net Worth: $750K Cash Investment: $300K Total Investment: $583-1,108K Average Total Investment: $846K Fees: Initial Franchise Fee: $25K Average Franchise Fee: $25K On-Going Royalty: 5% Average Royalty: 5% Advertising Fee: 4%
Average Number of Employees: 2 Full-time, 24 Part-timeSpace Needs (in square footage): 2,100Preferred Sites: Free-standing BuildingOther Sites: Encourage Conversions? NoEarnings Claims Provided? YesListed in the SBA Registry? NoSupport and Training
International Franchise Association: Yes Canadian Franchise Association: No Franchisee Association/Member: No Size of Corporate Staff: 110 Site Selection Assistance? Yes Lease Negotiation Assistance? No Financial Assistance? No Marketing Support: Co-Op Advertising: No National Advertising: No Regional Advertising: No Local Advertising: Yes Marketing Materials: None Specified Additional Services: None Specified Other Marketing Support: None Specified On-Going Support: Central Data Processing: Not Applicable Central Purchasing: Not Applicable Field Operation Evaluation: Included in Fees Field Training: Not Applicable Initial Store Opening: Included in Fees Inventory Control: Not Applicable Franchisee Newsletter: Included in Fees Regional or National Meetings: Included in Fees 800 Telephone Hotline: Not Applicable Training: 1. Certified Training Restaurant 4 Weeks 2. Corporate Headquarters 1 Week
Franchisee Qualifications
Ranked from 1 (unimportant) to 5 (important): Financial Net Worth: 5 General Business Experience: 3 Specific Industry Experience: 5 Formal Education: 2 Psychological Profile: 3 Personal Interview(s): 5
Minority Representation
Units Owned by Minorities: African-American: 1 Asian-American: 5 Hispanic: 8 Native American: N/A Other: N/A Specific Minority: Although we strongly support the objectives of the NMFI, we do not yet have any specific programs in place at this time.
Terms of Contract
Term of Initial Contract: 20 Year(s) Term of Renewal Period: 15 Year(s) Passive Ownership: Allowed Area Development Agreements? Yes, for 1 Year(s) Sub-Franchising Contracts? No Franchisees Allowed to Expand Within Territory? Yes
Expansion Plans
Projected New Units Over Next 12 months: 28
U.S.: Yes Canada: No Overseas: No
