In this exclusive Franchise Chatter FDD Talk post, you’ll learn the following:

Section I – Estimated initial investment (franchise costs) for a Fuzzy’s Taco Shop franchise, based on Item 7 of the company’s 2023 FDD

Section II – Initial franchise fee, royalty fee, and marketing fee for a Fuzzy’s Taco Shop franchise, based on Items 5 and 6 of the company’s 2023 FDD

Section III – Number of franchised and company-owned Fuzzy’s Taco Shop outlets at the start of the year and the end of the year for 2020, 2021, and 2022, based on Item 20 of the company’s 2023 FDD

Section IV – News updates on the Fuzzy’s Taco Shop franchise opportunity

Section V – Presentation and analysis of Fuzzy’s Taco Shop’s financial performance representations (average revenues and/or profits), based on Item 19 of the company’s 2023 FDD, including information on the:

• 2022 average, median, lowest, and highest gross sales for the 118 Fuzzy’s Taco Shop traditional restaurants that had been open and operating for at least 3 calendar months as of the beginning of the 2022 fiscal year, and which operated on a continuous basis during the entire 2022 fiscal year

Section VI – Key ratios, comparables, computations, and analyses for the Fuzzy’s Taco Shop franchise opportunity (exclusive content for Platinum subscribers)

Section I – Fuzzy’s Taco Shop Franchise Costs

• Fuzzy’s Taco Shop (traditional restaurant) franchise costs, based on Item 7 of the company’s 2023 FDD:

• Initial Franchise Fee:  $40,000
• Rent, Security Deposits (1-2 months), Utility Deposits, and Business Licenses:  $10,000 to $20,000
• Architect and Design Fees:  $10,000 to $18,000
• Leasehold Improvements:  $300,000 to $900,000
• Furniture, Fixtures, and Signage:  $44,000 to $95,000
• Equipment and Smallwares:  $112,500 to $300,000
• Point-of-Sale, Computer, and Security Systems:  $32,000 to $46,100
• Office Equipment and Supplies:  $1,000 to $2,500
• Professional Fees:  $2,500 to $15,000
• Initial Sauce Inventory:  $400 to $600
• Other Initial Inventory:  $27,600 to $42,400
• Insurance:  $12,000 to $25,000
• Pre-Opening Training Expenses:  $8,000 to $25,000
• Grand Opening Advertising:  $15,000
• Additional Funds (3 months):  $20,000 to $70,000
• Total Estimated Fuzzy’s Taco Shop Franchise Costs:  $635,000 to $1,614,600

Section II – Fuzzy’s Taco Shop’s Initial Franchise Fee, Royalty Fee, and Marketing Fee

• Fuzzy’s Taco Shop’s initial franchise fee, royalty fee, and marketing fee, based on Items 5 and 6 of the company’s 2023 FDD:

• Initial Franchise Fee:  $30,000 to $40,000
• Royalty Fee:  5% of Gross Sales
• Development Fund:  2% of Gross Sales
• Advertising Cooperative:  amount determined by majority vote of cooperative (each Restaurant getting one vote, including company and affiliate-owned Restaurants)

Section III – Number of Franchised and Company-Owned Fuzzy’s Taco Shop Outlets

Franchised

2020

• Outlets at the Start of the Year:  136
• Outlets at the End of the Year:  135
• Net Change:  -1

2021

• Outlets at the Start of the Year:  135
• Outlets at the End of the Year:  134
• Net Change:  -1

2022

• Outlets at the Start of the Year:  134
• Outlets at the End of the Year:  134
• Net Change:  0

Company-Owned

2020

• Outlets at the Start of the Year:  10
• Outlets at the End of the Year:  5
• Net Change:  -5

2021

• Outlets at the Start of the Year:  5
• Outlets at the End of the Year:  3
• Net Change:  -2

2022

• Outlets at the Start of the Year:  3
• Outlets at the End of the Year:  3
• Net Change:  0

Section IV – News Updates on the Fuzzy’s Taco Shop Franchise

• NRD Capital Announces Agreement to Sell Fuzzy’s Taco Shop to Dine Brands

• IHOP Parent Dine to Buy Fuzzy’s Taco Shop From NRD

• Dine Brands Acquiring Fuzzy’s Tacos for $80M

• Fuzzy’s Taco Shop Announces Nick Booras as Senior Vice President of Franchise Sales

• Fuzzy’s Taco Shop Ranked No. 487 on Entrepreneur’s 2023 Franchise 500 List

Section V – Financial Performance Representations (Average Revenues and/or Profits) for the Fuzzy’s Taco Shop Franchise (Item 19, 2023 FDD)

• The annual data reported below reflects information for the time period from January 2, 2022 to January 1, 2023 (Fuzzy’s Taco Shop’s “2022 Fiscal Year”) for the 118 Traditional Restaurants that had been open and operating for at least 3 calendar months as of the beginning of the 2022 Fiscal Year, and which operated on a continuous basis during the entire 2022 Fiscal Year (“Reporting Units”).

• Fuzzy’s Taco Shop includes data only for Traditional Restaurants that have been open for the entirety of the 2022 Fiscal Year.

• All Reporting Units are Traditional Restaurants. The numbers below are not intended to reflect the operations of a Taqueria Restaurant, which could be materially different than the numbers reported below, due to the smaller footprint and limited menu offered by Taqueria Restaurants. Fuzzy’s Taco Shop does not currently provide any financial performance representations regarding the performance of Taqueria Restaurants.

• Other than as necessary to comply with governmental orders and safety guidelines, Fuzzy’s Taco Shop has not materially changed the operational standards for a Restaurant in response to the COVID-19 pandemic.

Annual Gross Sales

• The data reported below reflects Gross Sales for Reporting Units for the 2022 Fiscal Year.

118 Reporting Units

• Average:  $1,804,777
• Number of Units Above Average:  47 (40%)
• Median:  $1,606,986
• Lowest:  $631,393
• Highest:  $4,830,259

• Some outlets have earned this amount. Your individual results may differ. There is no assurance that you will earn as much.

Section VI – Fuzzy’s Taco Shop Franchise Ratios, Comparables, Computations, and Analyses (Exclusive Content for Platinum Subscribers) ⬇️