Taco Bell is operated by Taco Bell Corp., a subsidiary of YUM! Brands, Inc., headquartered in 1 Glen Bell Way. The brand licenses its name, trademarks, and systems to franchisees operating quick-service restaurants that serve inexpensively priced, quality Mexican-style food for take-out and on-premises dining. This disclosure specifically covers licenses for Taco Bell Express Units, smaller-format facilities offered as Custom Facades, Power Pumpers, or In-Lines.
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Taco Bell provides a comprehensive support system designed to guide you from your first day of training through every stage of your business ownership.
From Item 11: Franchisor's assistance, advertising, computer systems and training, including pre-opening obligations, continuing obligations, training program, computer/electronic technology requirements, and advertising fund details.
We will review trade areas and possible sites, consider sites for approval, advise on general procedures for acquiring property, and provide standard plans for building a Unit. OneSource (approx. 4,500 pages) is provided via electronic access including online training courses. We make available an operations training course to the franchisee and one manager. We provide a representative to assist with pre-opening activities and Unit operations during opening week. We develop and present an advertising program for the initial opening of the Unit.
Furnish advice and assistance in managing and operating the Unit including local visits by representatives. Modify the System and OneSource to reflect changes and updates. Develop and administer advertising and sales promotion programs and maintain a marketing fund.
Each location is subject to market plan approval considering factors such as area population, demographics, traffic counts, ingress/egress, existing restaurants, land and construction costs, and operating results of nearby restaurants. Notification of approval/disapproval typically within 30-60 days. Estimated time from initial franchise fee deposit to Unit opening is approximately 18 to 24 months.
Franchisee and one manager must complete training program, minimum 7 weeks (up to 8 weeks depending on size/location), consisting of web-based/e-learning, on-the-job, and classroom training. Training is tuition-free for franchisee and restaurant manager; additional trainees cost $350 per person. Program includes 8 weeks of classroom/on-the-job training covering Team Member Basics, Service Champion, Food Champion, Managing a Shift, Team Trainer, AGM Activities, Leading a Restaurant, Leading Multiple Restaurants, and Food Safety Certification Training. Training supervised by Jamie Harrison, Chief People Officer.
Units must use specified POS (Annspire/Byte POS), Touch Kitchen Display System (TKDS), SmartHub, Speed of Service Timers & Headsets (HME Electronics), Secure Credit Card Payments (Verifone/Fiserv), Digital Menu Boards (Stratacache), Kiosks (EloTouch, VeriFone, Storm Audio), Broadband (Comcast or approved BYOB), Back of House Computer system (Tracks), and Recommended Ordering app. Estimated yearly per restaurant fees up to $6,000 (to Taco Bell/affiliates) and up to $15,500 (to third-party vendors), plus one-time per restaurant fees up to $83,000.
Franchisees must contribute 4.25% of Gross Sales to the Taco Bell National Advertising Fund Administration (NAFA). Company-owned Units also contribute 4.25% of Gross Sales. Marketing fees fund advertising, media placement, and promotional materials. FRANMAC serves in an advisory capacity on advertising and other policies.