Investment
Everything you need to know about our investment.
Everything you need to know about our investment.
How we help you find your location and build.
We support our franchisees every step of the way.
Answers to some of the most popular franchising questions we receive at Del Taco.
The total estimated initial investment range is $1,312,200 - $3,085,000 and includes the initial franchise fees, training costs, inventory, build-out expenses, computer hardware and software, insurance and three months working capital. The investment varies for each Del Taco location depending on the market you choose. Please refer to Items 5 and 7 in our Franchise Disclosure Document (FDD) for a clear representation of the total fees and investment needed.
We are looking for a special kind of franchisee — one who wants to be part of our iconic brand and invest in growth! The ideal candidate/group will be well-capitalized and have knowledge of the local real estate market, an understanding of development as well as multi-unit restaurant experience, and have a passion for getting involved in the local community. We are looking for candidates/investment groups who are pioneers and who are willing and eager to start off by developing new stores to build their empire.
Del Taco requires minimum liquidity of $500,000 and a minimum net worth of $1 million. The number of restaurants you’ve committed to developing and the size of your territory will determine your total financial requirements.
Today's competitive quick-serve restaurant industry calls for ownership groups with strong restaurant operational backgrounds. In order to qualify, your group must have at least one person with recent multi-unit restaurant operations experience and the ability and desire to enrich people’s lives through exceptional customer service, guest experience, and employee satisfaction. This operating partner must live in the market and have at least a 10% ownership in the Del Taco operations.
The ongoing royalty fee is 5% of net sales and the marketing fee is 4% of net sales.
Use of the Del Taco® brand name, systems, logo, and store design.
A comprehensive Training Program designed to prepare you for daily operation of your restaurant.
Site selection support.
Construction & design support. Conceptual floor plans and site plans are provided. These must be sealed by an approved architect before submitting them to local government entities.
Franchise development support and a step-by-step guide through the process of new-store layout, ordering of equipment, furniture, and fixtures.
Support and training assistance in pre-opening and opening.
Ongoing support from: Franchise Business Consultants, Culinary & Innovation Team, and R&D. Plus, purchasing, distribution, and marketing support for local store.
We prefer multi-unit agreements, but there are circumstances in which we may consider smaller (one or two unit) agreements.
Yes, Del Taco offers an incentive for multi-unit franchisees who choose to sign up for three or more stores under our Development Incentive Program.
Under the Development Incentive Program for qualified buyers, if you sign a Development Agreement for a minimum of three (3) restaurants to be developed and opened under the development schedule during the time frames specified in the Development Agreement, and certain other requirements are met, you may be eligible for the following incentive:
The Royalty (which is currently 5% of Gross Sales) will be reduced to: (i) 1% of Gross Sales for the first year; (ii) 2% of Gross Sales for the second year; (iii) 3% of Gross Sales for the third year; (iv) 4% of Gross Sales for the fourth year; and (v) 5% of Gross Sales for all subsequent years.
Based upon Federal Trade Commission guidelines, we are precluded from providing earnings estimates or profit potential. We encourage prospective franchisees to conduct significant due diligence prior to committing to a new business venture. We provide names and phone numbers of existing franchisees in the Franchise Disclosure Document (FDD). A pro forma financial statement that shows the operating performance of our company owned locations is included in the FDD for your review. At the end of the day, you are in control of this question. Your willingness to adhere to our operating system and your dedication to customer service are the key factors in answering this question.
At Del Taco, we can go as fast as you are willing to go. The process to become a franchisee with Del Taco typically ranges from 90 - 120 days.
Del Taco does not provide financing; however, we do provide a list of banks/financing institutions that have expressed an interest in lending to Del Taco franchisees. To facilitate financing, Del Taco is listed on the SBA Registry.
To learn more about becoming a Del Taco franchisee, please complete this form and a member of our team will contact you!
Del Taco is based out of beautiful Orange County, California and has had a long and prosperous track record of opening successful stores in the Western region of the United States. In recent years, Del Taco has successfully opened new markets in states including Oklahoma, Georgia, Florida, Michigan etc. and is looking to carry on this tremendous momentum in selected markets throughout the United States. We are currently looking for capable, franchise partners to bring our superior product to markets where there is a need for a fresher alternative for Mexican fast food. Click here to review our map of available markets.
Whether you decide on a new free-standing building or a conversion of an existing building, we have flexible restaurant footprints to help you gain access to many real estate opportunities. Del Taco has a sophisticated in-house Real Estate Department that works hand in hand with franchisees and preferred commercial brokers. This team will work to create a market plan map and identify key trade areas to ultimately find suitable real estate locations for each future Del Taco. Through sophisticated site selection and market planning support, as well as an in-house construction and design team, we support you every step of the way.
Yes! Franchisees are assigned a Construction Manager who will support them throughout the construction process.
Yes, we allow franchisees to use their own real estate brokers with several exceptions. For all third-party brokers and agents, we require an internal vetting process with our Real Estate Leadership Team to ensure they have the experience required to find and identify commercial real estate that meets the standards for Del Taco franchise restaurants.
Today's competitive quick-serve restaurant industry calls for ownership groups with strong restaurant operational backgrounds. To qualify, your group must have at least one person with recent multi-unit restaurant operations experience and the ability and desire to enrich people’s lives through exceptional customer service, guest experience, and employee satisfaction. This operating partner must live in the market and we prefer they have at least a 10% ownership in the Del Taco operations. For franchise candidates that meet our business acumen standards, we may allow this person to be designated once you get closer to opening your locations.
We use a multi-pronged approach to help you find real estate for your markets. Our team can give you a comprehensive market analysis utilizing various tools. This will give you a better understanding of options to build your restaurant.
Industry Leading GIS Software: We utilize sophisticated GIS software to help identify potential market points using dozens of data points to narrow down your search for great potential locations.
Boots-on-the-Ground: Additionally, we also employ a traditional "boots on the ground" approach by having our internal Real Estate Development Managers visit markets to confirm what our GIS software shows as potential locations.
Leveraging Third Parties: In some cases, we will work with third-party brokers to provide additional insights to expand on our digital and physical site identification tools.
At Del Taco, we are here to support you with all your real estate needs.
Yes, we do! Our flexible design allows us to adapt our model to fit in areas such as stadiums, airports, college campuses, and many others!
From high school seniors to senior citizens, Del Taco has broad appeal in communities with these characteristics:
Population: 25,000+ residential population with 10,000+ daytime population in primary trade area
Median Household Income: Average $65,000
Age Groups: Prefer areas with higher concentrations of 18 – 49-year-olds
Ethnicity: Menu appeals to broad consumer audience
Traffic: Minimum 25,000+ cars per day at intersection
As a franchisee, you will be required to purchase or lease the property where your restaurants are located. We have an entire real estate and leasing team here to help you find available real estate and assist with lease negotiations.
Our professional and experienced operations support team is with you before and after you open your doors. In addition to extensive hands-on management and crew training before you open your store, as well as new store opening support, Del Taco franchisees receive ongoing assistance from a dedicated Franchise Business Consultant and Franchise Marketing Manager. You will benefit from ongoing management/crew training, state-of-the-art POS systems, 24-hour technical support and powerful marketing materials to help grow your Del Taco business.
Our franchise partners enjoy the benefits of customized marketing plans designed to support successful restaurant openings and maintain awareness, as well as dedicated field marketing managers who work alongside franchisees on a regular basis to coordinate and execute local marketing initiatives.
All social media accounts at Del Taco must be managed by Corporate. Per the Franchise Agreement, franchisees are not permitted to establish their own social media pages, websites, etc.
At Del Taco, we use McLane for all of our distribution.
Your overall employee count will vary based on multiple factors including (but not limited to) hours of operation, sales volume, ratio of full-time and part-time employees.
We have an approved Kitchen Equipment Consolidator that will bid your project. They provide a one-stop shop for your equipment package, including small wares. You can utilize alternative suppliers, but you must use equipment that meets our specifications.
Yes, we have approved specifications for all our menu items and you must purchase from our supplier.
All of our franchisees have access to our 24/7 help desk along with our restaurant support team.
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