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Franchise 500 2023
2024 Franchise 500 Rank
#1 Ranked #1 last year
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Initial investment
$576K - $3.4M
Units as of 2023
8,320 Increase 12.4% over 3 years

From a hot chalupa to their signature sauce, Taco Bell is the largest purveyor of Mexican cuisine in the world.  As one of the top quick-service restaurant franchises, Taco Bell is known for serving Mexican-style food quickly and at a low price. You can get their tasty tacos at over 7,000 locations across 30 different countries.

Taco Bell is a subsidiary of Yum! Brands, Inc., which also owns several other recognizable franchises. Yum! Brands Inc. operates over 43,000 restaurant locations across 135 nations and territories. 

Taco Bell was founded in 1962 and began franchising two years later. It has since grown into one of the most recognizable brands in the world.

Why You May Want to Open a Taco Bell Franchise

Taco Bell may be one of the best franchises to own. To qualify to open a Taco Bell franchise, you need to meet the company’s minimum net worth and liquid capital requirements. You should also prepare yourself for an initial investment made up of a franchise fee and other startup costs. In addition, you need not forget about ongoing fees that will include royalty and advertising fees.

What May Make a Taco Bell Franchise a Good Choice?

Taco Bell has been ranked near the top of Entrepreneur’s Franchise 500 list many times in recent decades. This ranking is based on an evaluation of more than 150 data points in the areas of costs and fees, size and growth, franchisee support, brand strength, and financial strength and stability. 

Taco Bell is one of the most popular and recognizable brands in the U.S., which means that you may have a leg up on the competition. They're also aggressively expanding into the global market, which may create a great opportunity for entrepreneurs around the world to open a Taco Bell franchise close to home. Whether you live in or outside of the U.S., Taco Bell may be one of the best franchise organizations to open.

How Do You Open a Taco Bell Franchise?

First, you have to submit your application. If you're approved, then you'll participate in the Taco Bell franchise training program. This program will likely take several weeks. After that, they will begin construction on the new building. Taco Bell locations can require multiple months to complete construction. 

Once your Taco Bell franchise location is ready to go, you'll be responsible for ensuring everything runs smoothly leading up to the opening of the restaurant. You can hire a manager to handle these duties, but if you decide to manage it yourself, one of the most important steps is staffing your restaurant.

Taco Bell may be easy to hire for. Because of this, many of your employees are likely to be young and new to the workforce. With the caveat that ages differ in some states, you can hire employees as young as 16 in most places in the U.S. After hiring some staff, you can begin preparing for your grand opening.

And that's it! Taco Bell strives to make opening a new franchise as seamless as possible. Once you have your restaurant staffed and open for business, you can proudly call yourself the owner of a brand new Taco Bell franchise. 

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Company Overview

About Taco Bell

Industry Food
Related Categories Mexican Food
Founded 1962
Parent Company Yum! Brands Inc.
Leadership Sean Tresvant, CEO
Corporate Address 1 Glen Bell Wy.
Irvine, CA 92618
Social Facebook, Twitter, LinkedIn, Instagram, YouTube, Pinterest

Business Overview

Franchising Since 1964 (60 years)
# of employees at HQ 704
Where seeking

This company is offering new franchises throughout the US.

This company is offering new franchises in the following international regions: Asia, Australia/New Zealand, Middle East, Europe (Eastern), Europe (Western), Central America, Canada, South America

# of Units 8,320 (as of 2023)

Information for Franchisees

Here's what you need to know if you're interested in opening a Taco Bell 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
$25,000 - $45,000
Initial Investment Information Circle
$575,600 - $3,370,100
Net Worth Requirement Information Circle
$5,000,000
Cash Requirement Information Circle
$2,000,000
Royalty Fee Information Circle
5.5%
Ad Royalty Fee Information Circle
4.25%
Term of Agreement Information Circle
25 years
Is franchise term renewable? No
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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 Taco Bell has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll

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 400 hours
Classroom Training 8 hours
Ongoing Support
Newsletter
Meetings & Conventions
Toll-Free Line
Grand Opening
Online Support
Security & Safety Procedures
Field Operations
Site Selection
Proprietary Software
Franchisee Intranet Platform
Marketing Support
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? No
Can this franchise be run from home/mobile unit? Information Circle
No
Can this franchise be run part time? Information Circle
No
Are exclusive territories available? Information Circle
No
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Franchise 500 Ranking History

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

Additional Rankings

Curious to know where Taco Bell ranked on other franchise lists? Find out below.

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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
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