TacoTime

Mexican food
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Franchise 500 2023
Franchise 500 Rank
N/R Not ranked last year
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Initial investment
$145K - $637K
Units as of 2020
237 Decrease 13% over 3 years

TacoTime was founded in Eugene, Oregon, by Ron Fraedrick. He started running the first restaurant close to the University of Oregon, at 13th Avenue and High Street, in 1959. The first TacoTime franchise opened in Tacoma, Washington in 1962. TacoTime expanded to over 45 restaurants in seven Western states during the 1970s.  

The first international TacoTime franchise opened in 1978 in Lethbridge, Alberta, Canada. TacoTime Northwest obtained the rights to license, franchise, and operate the TacoTime idea freely in 1979. Taco Time Northwest serves Western Washington to the border between Canada and the United States, as well as Eastern Washington cities.

TacoTime has grown since the late 1970s, holding more than 200 franchises across Canada and the U.S.. In 2003, Kahala Brands of Scottsdale, Arizona, bought the franchise.

Why You May Want to Start a TacoTime Franchise

Restaurant experience is not a must in order to open a TacoTime franchise. Still, you will need to have a demonstrated performance history of managerial experience, an entrepreneurial spirit, and a willingness to follow a well-established business model.

The TacoTime team will advise you through all site selection stages, lease negotiation, construction, training, and the grand opening of your franchise. They will also offer continuing operations process support and marketing, including meetings and conventions, security, field operations, and advertising..

A TacoTime store offers a small range of operations. It makes finding the ideal place for your TacoTime franchise relatively easy, and it makes for a simple store to clean and operate. You will need to hire a staff of at least 15 people, who you will train to keep the quality of TacoTime products as high as possible. At the same time, you will make sure your customers have pleasant experiences in your store with yummy food.

What Might Make TacoTime a Good Choice?

You should make sure you're financially ready with enough liquid capital and net worth available to cover the franchise fee and other startup expenses as a franchisee. These might include continuing royalty percentages and a potential renewal fee. You should also have a good credit score.

In addition, TacoTime charges advertising fees of gross sales. These fees go to national marketing, local restaurant marketing, and brand building. Your TacoTime representative will provide additional information as you operate your location. 

How to Open a TacoTime Franchise

As you decide if you wish to open a TacoTime franchise, make sure you take time to explore the opportunity. Research the business and your local area to see if a franchise would do well in your community and location. While competition is healthy, a location that features other Mexican food restaurants may not be the optimal place to open a TacoTime franchise.

After submitting an inquiry with TacoTime, a franchise representative may call you to evaluate your franchisee requirements and the ideal location for you. If your request is accepted, the franchise representative will talk you through the particulars of the disclosure document.

After being confirmed as a franchisee, you will sign a contract before you start operating a TacoTime franchise. You will spend dozens of hours in the classroom to train for your opening, as well as upwards of 100 hours training on the job to understand how best to operate your store.

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Company Overview

About TacoTime

Industry Food
Related Categories Mexican Food
Founded 1958
Parent Company Kahala Franchising LLC
Leadership Eric Lefebvre, CEO
Corporate Address 9311 E. Via De Ventura
Scottsdale, AZ 85258
Social Facebook, Twitter, Instagram

Business Overview

Franchising Since 1961 (63 years)
# of employees at HQ 227
Where seeking

This company is offering new franchises in the following US states:

This company is offering new franchises in the following international regions:

# of Units 237 (as of 2020)

Information for Franchisees

Here's what you need to know if you're interested in opening a TacoTime 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 Information Circle
$7,500 - $30,000
Initial Investment Information Circle
$144,650 - $636,800
Net Worth Requirement Information Circle
$250,000
Cash Requirement Information Circle
$160,000
Veteran Incentives Information Circle
20% off franchise fee
Royalty Fee Information Circle
6%
Ad Royalty Fee Information Circle
4%
Term of Agreement Information Circle
10 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 TacoTime has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory

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 120 hours
Classroom Training 40 hours
Ongoing Support
Purchasing Co-ops
Newsletter
Meetings & Conventions
Toll-Free Line
Grand Opening
Online Support
Security & Safety Procedures
Field Operations
Franchisee Intranet Platform
Marketing Support
Co-op Advertising
Ad Templates
National Media
Regional Advertising
Social Media
SEO
Website Development
Email Marketing
Loyalty Program/App

Operations

Additional details about running this franchise.

Is absentee ownership allowed? Yes
Can this franchise be run from home/mobile unit? Information Circle
No
Can this franchise be run part time? Information Circle
No
# of employees required to run 15-20
Are exclusive territories available? Information Circle
Yes
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Franchise 500 Ranking History

Compare where TacoTime landed on this year's Franchise 500 Ranking versus previous years.

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Disclaimer
The information on this page is not intended as an endorsement or recommendation of any particular franchise or business opportunity by Entrepreneur Media. Our listings and rankings are solely research tools you can use to compare opportunities. Entrepreneur stresses that you should always conduct your own independent investigation before investing in a franchise or business opportunity. That should include reviewing the company's legal documents, consulting with an attorney and an accountant, and talking to former and current franchisees/licensees/dealers.
Updated: December 12th, 2022