Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

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FDD Talk Daily: Average Sales and Operating Expenses of Del Taco’s Company-Owned Restaurants

by Franchise Chatter on November 19, 2012

in Franchise Earnings, Mexican Restaurant Franchise



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Highlights of Del Taco’s Item 19 Financial Performance Representations (2012 FDD)

  • The total investment necessary to begin operation of a Del Taco franchise for each type of restaurant and location offered, excluding the cost to purchase or lease your real estate, but including initial fees of $46,700 to $47,500 (consisting of the $35,000 initial franchise fee, $10,000 promotional fee, and technical support costs which are estimated to range from $1,700 to $2,500) that you must pay to the franchisor, ranges as follows:
  • Standard Prototype (56 seats):  $997,700 to $1,535,500
  • Expanded Prototype (72 seats):  $1,082,700 to $1,620,500
  • Conversion Prototype (47 seats):  $772,700 to $1,207,500
  • End Cap Prototype (44 seats):  $797,700 to $1,132,500
  • Inline Prototype (44 seats):  $672,700 to $1,007,500
  • The following amounts represent the average sales and operating expenses of all freestanding company-operated Del Taco restaurants for the 52 weeks ended January 3, 2012 and December 28, 2011 that the company has operated for at least one year.
  • At the end of the company’s 2011 fiscal year, Del Taco had a total of 287 company-owned restaurants. Of those, 279 were freestanding restaurants, and 273 of which the company has operated for more than one year.
  • In fiscal year 2011, of the 273 restaurants, 131 restaurants (48%) had sales in excess of $1,187,564 and 142 restaurants (52%) had sales less than the average. The restaurants operate in Arizona (3), California (235), Nevada (34), and Texas (1).
  • In fiscal year 2010, of the 271 restaurants, 133 restaurants (49%) had sales in excess of $1,193,594 and 138 restaurants (51%) had sales less than the average. The restaurants operate in Arizona (4), California (234), and Nevada (33).

Average Sales and Operating Expenses of Del Taco’s Company-Owned Restaurants (2011 and 2010)

2011



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