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Updated RecentlyPepe's Mexican Restaurants vs Rusty Taco Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of Pepe's Mexican Restaurants vs Rusty Taco including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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| Investment | $207,000 - $652,000 | $529,817 - $796,325 |
| Franchise Fee | $10,000 - $15,000 | $25,000 |
| Royalty Fee | 4% | 6% - 4% |
| Advertising Fee | - | 1%local |
| Year Founded | 1967 | 2010 |
| Year Franchised | 1967 | 2011 |
| Term Of Agreement | 20 years | - |
| Term Of Agreement | 20 years | - |
| Renewal Fee | - | - |
Business Experience Requirements |
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| Experience | - | *Liquid Capital of $450,000 + ($150,000 per restaurant) *Existing banking relationship that works with your current restaurant operation *Financial qualifications may vary due to location *Average Initial Investment is $350,000 |
Financing Options |
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| In-House/3rd Party | In-House/3rd Party | |
| Franchise Fees | No/Yes | -/- |
| Start-up Costs | No/Yes | -/- |
| Equipment | No/No | -/- |
| Inventory | No/Yes | -/- |
| Receivables | No/No | -/- |
| Payroll | No/No | -/- |
Training & Support |
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| Training | - | The franchise partner will be responsible for attending a 4 week training program in Dallas, Texas. The goal is to provide you the knowledge and tools to operate a great Rusty Taco restaurant. |
| Support | Newsletter, Meetings, Grand opening, Field operations/evaluations, Purchasing cooperatives | *Support in areas of great people development, operational excellence, and assisting franchisees with their financial fundamentals *Assist you in building on your operational foundation *All products will be sourced from a local distributor. Rusty Taco will ensure all products meet our quality standards and specifications. |
| Marketing | Co-op advertising, Ad slicks, National media, Regional advertising | - |
| Operations |
Franchisees required to buy multiple units/master licenses; 25% of all franchisees own more than one unit Number of employees needed to run franchised unit: 10 Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators) | *Own and operate a minimum of 3 Rusty Taco restaurants |
Expansion Plans |
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| US Expansion | Yes | - |
| Canada Expansion | No | - |
| International Expansion | No | - |
Company Overviews
About Pepe's Mexican Restaurants
Pepe's concept began in 1954 as a taqueria in Chicago. Pepe's Incorporated has been franchising Pepe's Mexican Restaurants since 1967. Pepe's prepares and serves a full menu of Mexican food items for dining-in or carryout. It also operates a 57,000 square foot U.S. commissary where it produces food products for its franchised restaurants and its branded product program. The branded product program sells food products to schools, factories, and office cafeterias, as well as the U.S. Military for use at military bases in the United States and abroad.