Units as of 2020
586 (3 years)
7.7%
2020 Franchise 500 Rank
#127 Ranked #206 last year
79
Initial investment
$860K - $2.1M

Company Overview

Ed Hackbarth opened the first Del Taco restaurant in Barstow, California, in 1964. A few months later, he added a second restaurant with a drive-thru window in Corona, California. Locations eventually spread across California and many parts of the United States.

Del Taco restaurants offer items including a value menu of tacos and burritos priced under $1, a Mexican menu of burritos, nachos, tacos and quesadillas, and an American menu featuring hamburgers, fries and shakes.

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About Del Taco

Industry
Food
Related Categories
Mexican Food, Food,
Founded
1964
Parent Company
Del Taco Restaurants Inc.
Leadership
John Cappasola Jr., CEO
Ticker Symbol
TACO

Franchising Overview

Franchising Since
1967 (54 years)
# of employees at HQ
176
Where seeking
Franchisor is seeking new franchise units in the following regions/states:
Alabama, Arizona, California, Colorado, Florida, Indiana, Kentucky, Michigan, Ohio, Oregon, South Carolina, Tennessee, Washington, Wyoming
# of Units
586

Franchisor Information

Corporate Address
25521 Commercentre Dr., #200
Lake Forest, CA 92630

Information for Franchisees

Here’s what you need to know if you’re interested in opening a Del Taco franchise.

Financial Requirements & Ongoing Fees

Here’s what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.

Initial Franchise Fee
$35,000 - $35,000
Initial Investment
$859,700 - $2,116,500
Net Worth Requirement
$1,000,000
Cash Requirement
$500,000
Royalty Fee
5%
Ad Royalty Fee
4%
Term of Agreement
20 years
Is franchise term renewable?
Yes

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Financing Options

Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.

Third Party Financing
Del Taco has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll

Training & Support Offered

Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.

On-The-Job Training
240 hours
Additional Training
At training store
Ongoing Support
Newsletter
Meetings & Conventions
Toll-Free Line
Grand Opening
Online Support
Security & Safety Procedures
Field Operations
Site Selection
Proprietary Software
Franchisee Intranet Platform
Marketing Support
Co-op Advertising
Ad Templates
Regional Advertising
Social Media
SEO
Website Development
Email Marketing
Loyalty Program/App

Operations

Additional details about running this franchise.

Is absentee ownership allowed?
No
Can this franchise be run from home/mobile unit?
No
Can this franchise be run part time?
No
# of employees required to run
50
Are exclusive territories available?
Yes

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Franchise 500 Ranking History

Compare where Del Taco landed on this year’s Franchise 500 Ranking versus previous years.

Additional Rankings

Curious to know where Del Taco ranked on other franchise lists? Find out below.

Ranked #127

In Franchise 500 Ranking

Ranked #133

In Fastest-Growing Franchises

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The Franchise 500 is not intended to endorse, advertise, or recommend any particular franchise. It is solely a research tool you can use to compare franchise operations. Entrepreneur stresses that you should always conduct your own independent investigation before investing money in a franchise.
Updated: October 23rd, 2020
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