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El Pollo Loco

Flame-grilled chicken meals & Mexican entrees

Background

Founded: 1975 Franchising since: 1980
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 in Los Angeles.

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.

3535 Harbor Blvd., #100
Costa Mesa, California 92626
Phone:
(714)599-5000


Franchisor is a privately-held company with 100 employee(s); 15 employee(s) in franchise department.

Franchise Growth
Year U.S. Franchises Canadian Franchises Foreign Franchises Company Owned
2009 250 0 0 169
2008 245 0 0 165
2007 212 0 0 159
2006 194 0 0 145
2005 187 0 0 139

Where Seeking Franchisees
In the U.S. Arizona, California, Nevada, Texas

Exclusive territories available.
Territory size: Varies by market

Costs and Fees

Total investment: $416.9K-739.9K
Franchise fee: $40K
Ongoing royalty fee: 4 %
Term of agreement: 20 years, renewable


Type of Financing Available
In-House Third Party
Franchise Fee No No
Startup Costs No No
Equipment No No
Inventory No No
Accounts Receivable No No
Payroll No No

Qualifications
Net worth requirement: $1M
Cash liquidity requirement: $400K
Business Experience:
  • Industry experience
  • General business experience
  • Marketing skills
  • Food-service franchise background

Operations
  • 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)

Training and Support

Training
  • Available at headquarters: 6 weeks
  • At franchisee's location: 2 weeks
  • At certified training stores : 6 weeks

Ongoing Support
  • Meetings
  • Toll-free phone line
  • Grand opening
  • Internet
  • Security/safety procedures
  • Field operations/evaluations
  • Purchasing cooperatives

Marketing Support
  • Ad slicks
  • Regional advertising

Rankings

Franchise 500® rank:
#150 (2009); #172 (2008); #400 (2006);

Fastest-Growing Franchises:
#95 (2009);


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