Tio Juan's Margaritas Mexican Restaurant
Margaritas Franchising Corp.
Company Information
273 Locust Street Suite 200 Dover, NH 03820
MFC is a Delaware corporation, incorporated on October 27, 2008, whose principal business address is 273 Locust Street, Suite 200, Dover, New Hampshire 03820. We are an affiliate of Margaritas Management Group, Inc. ('MMGI'). MMGI has the same principal address as MFC. We do business under the name 'Tio Juan's Margaritas Mexican Restaurant' and 'Margaritas Mexican Restaurant & Watering Hole.' We do not operate any Margaritas Restaurants. MMGI has operated Margaritas Restaurants since 1984. As of December 31, 2021, MMGI operated 18 Margaritas Restaurants. Our agents for service of process in various states are listed in Exhibit A. In April 2009, we began offering franchises for Margaritas Restaurants. As of December 31, 2021, there were seven franchised Margaritas Restaurant open. We have not previously offered franchises in any line of business, and we do not engage in any business not described in this Item 1. MMGI does not provide products or services to our franchisees. MMGI has never offered franchises in this or in any other line of business. Except as identified in this Item 1, we have no parents, predecessors or affiliates.
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Franchise Rating
Franchimp Summary Rating
2/10
Earning Transparency
1/10
Investment Accessibility
3/10
Franchise System Development
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Distribution of Tio Juan's Margaritas Mexican Restaurant Franchisee
Employee Contact Database
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Summary of Investment Costs
Upfront Franchise Fees
Minimum: $85,000 Maximum: $125,000
Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.
These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.
While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.
Total Investment Costs
Minimum: $488,800 Maximum: $2,932,600
Ongoing Fees
Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.
These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.
Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.
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