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Below is an in-depth analysis and side-by-side comparison of Carl's Jr vs Taco Palace including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $1,603,000 - $2,168,000 | $53,200 - $133,100 |
Franchise Fee | $25,000 - $35,000 | $33,950 |
Royalty Fee | 4% | 0-4% |
Advertising Fee | 6% | - |
Year Founded | 1945 | 1985 |
Year Franchised | 1984 | 1996 |
Term Of Agreement | 20 years | 1 year+ |
Term Of Agreement | 20 years | 1 year+ |
Renewal Fee | Varies | - |
Business Experience Requirements |
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Experience | ||
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | No/No |
Start-up Costs | No/No | No/No |
Equipment | No/No | No/No |
Inventory | No/No | No/No |
Receivables | No/No | No/No |
Payroll | No/No | No/No |
Training & Support |
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Training | Available at franchisee's location, 12 weeks of management training & at grand opening | - |
Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Field operations/evaluations, Purchasing cooperatives | Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives |
Marketing | Co-op advertising, Ad slicks, National media, Regional advertising | Ad slicks |
Operations |
Franchisees required to buy multiple units/master licenses; 100% of all franchisees own more than one unit
Absentee ownership of franchise is NOT allowed. |
0% of all franchisees own more than one unit Number of employees needed to run franchised unit: 12 Absentee ownership of franchise is allowed. (80% of current franchisees are owner/operators) |
Expansion Plans |
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US Expansion | Yes | - |
Canada Expansion | No | No |
International Expansion | Yes | Yes |
Carl's Jr. is known all through the Western U.S. as the place to go for premium quality burgers, specifically its 100% Angus hamburger Six Dollar Burger line.
At Hardee's® and Carl's Jr.® our brand sets us
apart from the competition. Our advertisements are created to be so bold
and memorable that they've been known to crash internet video servers.
Our taglines deliver bold statements and our visuals are designed to
keep viewers wanting more. EAT LIKE YOU MEAN IT.
Hardee's® and Carl's Jr.® have a strong track
record of successfully developing new premium products to lead the
category in taste, quality, and innovation. As an industry leader, we
have consistently out-delivered all other quick-service restaurants in
product development since our founding. Staying on top requires that we
continue to lead the way in the products we serve through taste,
quality, and innovation.
Husband-and-wife team Larry and Sandi Faria bought Taco Palace from Kirk Davison in 1985. The Farias had previously owned a pair of Chevron Oil Co. franchises and brought to Taco Palace 16 years of franchise experience. In developing Taco Palace's franchise program, the Farias were driven by the goal to develop a franchisee-friendly system. Taco Palace franchisees are not required to pay a franchise fee and are strongly encouraged to rent or lease an existing building and then dress it up, rather than construct a new one, a practice that helps to lessen start-up costs. The privately held company is headquartered in Monett, Missouri, and has a co-branding relationship with Kentucky Fried Chicken.