If Cilantro Taco Grill had been in business for 3 years, what would Item 21 include?
Cilantro_Taco_Grill Franchise · 2024 FDDAnswer from 2024 FDD Document
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We were formed as a limited liability company in the State of Illinois on December 21, 2022. Our principal business address is 80 West Lake Street, Northlake, Illinois 60164, and our telephone number is 708-223-0422. We do business under our company name, "Cilantro Taco Grill" and its associated design (the "Marks"). We do not own or operate any businesses of the type you will be operating. We have not offered franchises in any other line of business. We only offer franchises which operate under the "Cilantro Taco Grill" Marks. We began offering franchises in June 2023.
The principal business addresses of our agents for service of process are shown on Exhibit A.
Our Parents, Predecessors and Affiliates:
We have no parent company or predecessor.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 51)
What This Means (2024 FDD)
Based on the 2024 Franchise Disclosure Document, Cilantro Taco Grill began offering franchises in June 2023. As Item 21 refers to financial statement information, and the company was formed in December 2022, the FDD would contain financial statements for at least two years of operation.
Item 21 of the FDD typically includes audited financial statements for the franchisor's past three fiscal years, if they have been in business that long. These statements provide prospective franchisees with an overview of the franchisor's financial health and stability. The financial statements include balance sheets, income statements, statements of cash flow, and accompanying notes.
Since Cilantro Taco Grill has been operating since 2013 through affiliates, a prospective franchisee may want to inquire about the financial performance of those affiliate-run locations. While not included in Item 21, this information could offer additional insight into the potential profitability and operational efficiency of the Cilantro Taco Grill franchise model.