Taco Bell Franchise For Sale - Restaurant

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Taco Bell Franchise Opportunities


Taco Bell is an American chain of fast food restaurants based out of Irvine, California and a subsidiary of Yum! Brands, Inc. The restaurants serve a variety of Tex-Mex foods that include tacos, burritos, quesadillas, nachos, novelty and specialty items, and a variety of "value menu" items. As of 2018, Taco Bell serves more than 2 billion customers each year at 7,000 restaurants, more than 80 percent of which are owned and operated by independent franchisees and licensees.

How much does Taco Bell franchise cost?

Taco Bell has the franchise fee of up to $20,000, with total initial investment range of $525,100 to $2,622,400.

Initial investments: $525,100 - $2,622,400
Net-worth Requirement: $1,500,000
Liquid Cash Requirement: $750,000

Taco Bell Estimated Initial Investment

Name of FeeLowHigh
Application & Background Check Fee (per person)$350$600
Initial Franchise Fee $25,000$45,000
First Unit Construction Services $27,175$27,175
Optional Real Estate Services $0$37,175
Permits, Licenses, Security Deposits$74,000$74,000
Real Property$20,000$1,400,000
Building/Site Construction$177,000$900,000
Equipment/Signage/Decor/ POS$150,000$320,000
Initial Inventory$7,000$10,000
Grand Opening Expense$5,000$5,000
Additional Funds - 3 months$40,000$60,000
Estimated total:$525,525$2,851,775

*The Taco Bell estimated initial investment range covers multiple variations of new “Traditional” restaurant types. Please see FDD for more details.

Purchase of Existing Restaurants from the Franchisor or an Affiliate

Name of FeeLowHigh
Initial Franchise Fee$25,000$45,000
Building, Equipment, Signs and Inventory$150,000$1,755,000 or more
Any Leasehold or Other Real Property interestsVariesVaries
Total purchase price:$175,000$1,800,000 or more

Ongoing Fees

Initial Franchise Fee: $25,000
Ongoing Royalty Fee: 5.5%
Ad Royalty Fee: $4.25%

Taco Bell - Restaurant Franchise

Support Options

On-The-Job Training: 400 hours
Classroom Training: 8 hours
Additional Training: Additional training available

Taco Bell regions of the presence: en.wikipedia.org
Taco Bell Franchise Info: www.tacobellfranchise.com/
Taco Bell Reviews: www.indeed.com/cmp/Taco-Bell/reviews

Taco Bell website: www.tacobell.com

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Other Fees

Type of FeeAmount
Grand Opening Expense$5,000 to be spent by franchisees for advertising and promoting the opening of the Unit.
Period Franchise Fee5.5% of the Unit's Gross Sales.
Period Marketing Fee4.25% of the Unit's Gross Sales.
Late ChargesThe lesser of 18% per annum or the highest rate permitted by New York law, plus the then-customary administrative charge.
Back of House (BOH) & Support Services$2,078 per year
Front of House (FOH) & Support Services$1,480 per year
All Access Fee$1,500 per year
Additional Trainee Fee$350 per person
Training MaterialsAs established by the franchisor.
Cost of Audit of the Franchisee’s BooksAny and all costs incurred in connection with the inspection or audit, including reasonable accounting and legal fees.
Transfer FeeA transfer of all or a portion of the franchisee’s interest in any Unit is subject to a transfer fee. Minimum fees are listed below and are subject to increase for costs incurred by the franchisor, including but not limited to outside counsel fees, in connection with reviewing and effecting the transfer.
- 3rd party transfers: 1-5 units: $7,500/unit, 6 or more units: $1,500/unit
- 3rd party transfers involving private equity: Greater of non-private equity transfer fee or $150,000
- Entity restructures: $2,500 total unless changes to the franchise agreements are required, in which case the transfer fee shall be the third party transfer fee.
Additionally, unique or complex restructures may necessitate a higher fee.
Reimbursement of Insurance ExpenseActual cost of insurance.
Mid-Term Upgrade$122,000 unless franchisees enter into an In-Line Franchise Agreement with a 10 + 10 Addendum in which case the cost is $25,750.
Successor FeesFor Traditional Units and Power Pumpers, the greater of $22,500 or ½ of then current initial franchise fee for the applicable type of Unit. For In-Lines and End-Caps, the greater of $12,500 or ½ of applicable then current initial franchise fee. Additionally franchisees will be required at their expense to complete an offset, scrape/rebuild, or major remodel of the Unit as a condition to obtaining successor agreement.
Extension Fee$750 for a 3 month extension; $2,250 for a 6 -month extension plus $1,000 for each additional month beyond 6 months.
De-Identification CostsActual cost of de-identifying Unit.
Attorneys' FeesPrevailing party in any litigation is entitled to reasonable attorneys' fees and costs paid by the other party. Outside counsel fees may also be due in connection with review and approval of a transfer of interest.
Liquidated DamagesIf the Franchise Agreement is terminated for certain specified reasons, franchisees must pay liquidated damages equal to the greater of 11% of Unit's gross sales for last 12 months of operation or $100,000.
Development Fee (Development Agreement)If franchisees purchase existing Units from the franchisor and enter into a Development Agreement, and fail to timely open required Units, they must pay Taco Bell $45,000 and periodic payments of $4,231 until the actual opening date of each new Unit or 10 years from the missed opening date, whichever first occurs.
  • Starting investments from:
    525 100 $
  • Company type:
    Restaurant
  • Company foundation year
    1962
  • Year of launching the franchise
    1964
  • Franchise enterprises (2017):
    6,686
  • Corporate Address:
    1 Glen Bell Wy. Irvine, CA 92618, USA
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Information provided: the information is provided from public sources on the Internet
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