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Below is an in-depth analysis and side-by-side comparison of El Pollo Loco vs WingHouse including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $900,000 - $1,755,000 | $928,000 - $1,926,000 |
Franchise Fee | $40,000 | $50,000 - $135,000 |
Royalty Fee | 2%-3%-4% | - |
Advertising Fee | - | - |
Year Founded | 1975 | - |
Year Franchised | 1980 | - |
Term Of Agreement | 20 years | - |
Term Of Agreement | 20 years | - |
Renewal Fee | - | - |
Business Experience Requirements |
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Experience | We require a minimum of five years of experience as an owner/operator within the restaurant industry. You must also live in the area of development in order to manage the restaurant on a daily basis. | To be successful as an owner of a WingHouse Restaurant, you need to be passionate about the WingHouse concept; you must embrace the WingHouse Culture & Mission Statement; yourself or your operating partner must have previous full service restaurant operations and ownership experience. At least one of the owners of the WingHouse restaurant must have prior experience operating full service restaurants. The minimum ownership of the operating partner must be at least 10% of the business. |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | -/- |
Start-up Costs | No/No | -/- |
Equipment | No/No | -/- |
Inventory | No/No | -/- |
Receivables | No/No | -/- |
Payroll | No/No | -/- |
Training & Support |
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Training | * Seven weeks pre-opening training for franchisee and restaurant managers * Franchise training consultants offering ongoing training programs for crew and management * Complete restaurant-opening support | - |
Support | Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations | Restaurant Operations - Benchmarking and Key Operating Metrics; Cost Controls and Operating Manuals Restaurant Technology & Information Systems - Point-of-Sale; Back-of-House Reporting; Remote Access & Monitoring Training - Opening; Staffing; Food Preparation; Policy & Procedures Restaurant Development - Market Planning; Site Selection and Negotiation; Concept Plans; Project Scheduling |
Marketing | Has a proven history of successful marketing Is aligned with award-winning advertising agencies Utilizes a strategic approach to building a strong brand Is focused on driving traffic and sales profitably We provide a full array of targeted advertising tools and marketing plans to build awareness and drive customers into our restaurants through: Innovative marketing and advertising campaign Development and execution of bilingual promotional strategies Product innovation to fuel sustained growth Support for grand openings Marketing plans tailored to each market's needs Effective communication and support of franchisees' needs Access to El Pollo Loco's online LSM toolkit (at franchisees disposal) | Extensive media library using multiple formats to drive guest traffic, average check and repeat guests |
Operations |
Franchisees required to buy multiple units/master licenses; 40% of all franchisees own more than one unit Number of employees needed to run franchised unit: 25 Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators) | - |
Expansion Plans |
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US Expansion | Yes | Yes |
Canada Expansion | No | - |
International Expansion | No | - |
In 1975, Juan Ochoa opened a roadside chicken stand in Guasace, Mexico, he called El Pollo Loco. Ochoa served chicken the same way his mother did, hand-marinating using an old family recipe and flame-broiling. The stand quickly grew in popularity, and over the next four years, Ochoa's family opened 85 restaurants in Northern Mexico. The chain moved into the United States in 1980 with the first restaurant opening on Alvarado Street in Los Angeles, California. El Pollo Loco featured an authentic recipe of fresh chicken marinated in
special herbs, spices and citrus juices, and then fire-grilled to
perfection. The restaurant quickly became a local favorite. Over the years, El Pollo Loco has added tacos, burritos and salads to its menu, all featuring the Ochoa family's chicken. In 1995, the chain entered into a joint venture with Foster's Freeze to offer soft-serve treats at El Pollo Loco restaurants. Today, the tradition continues with signature dishes that satisfy
consumers’ desire for flavorful food that fits well with today's active
lifestyles. We're currently fire-grilling marinated chicken in about 400
company and franchise-owned El Pollo Loco restaurants.
Franchise fees apply to new and existing franchisees with
multi-unit development agreements in new markets through March 31, 2018.
The initial franchise fee has been cut to $30,000 for the first
restaurant and $20,000 for each additional restaurant. The standard
franchise fee is $40,000, and $30,000 for secondary units. The initial
franchise fee for any restaurant opened in the calendar year ahead of
the year in their development schedule will be cut by 50%. And any
restaurants opened beyond the multi-development agreement will be
eligible for a zero dollar initial franchise fee. Royalty fees have also
been reduced for the first time in three years: 2% for the first year,
3% in the second year, and 4% in the third year. The standard royalty
fee is 5%.
WingHouse is a full-service, casual dining restaurant. Founded in 1994, the keys to our success have been a focus on excellence in restaurant operations and customer service. Each successful WingHouse location will have the following attributes: Brilliant on the Basics - Highly-Satisfied Repeat Guests The WingHouse Girl - Attractive, Polite and a Big Smile "The Girl Next Door" The Food - High-Quality, Oversized Portions at a Great Value The Atmosphere - Fun, casual, friendly environment The Management - Hands-on Managers that interact with guests and staff. The "mayor" of their market. Our company’s mission statement is to be brilliant on the basics. In our business that means highly satisfied guests. We believe in repeat customers that frequent our establishment often. We emphasize over-sized entrees and a great value. We provide a very casual and relaxed atmosphere, with continuous music throughout our establishment. We operate in a clean and safe environment with strict adherence to our policies and procedures. A main attraction to our store is the "World Famous WingHouse Girl." "The Girl Next Door" that is always polite and always smiling with a great positive outlook on life. If we execute all these ingredients and are "Brilliant on the Basics," we feel that the WingHouse will be a success in any neighborhood.