How many Cilantro Taco Grill franchised outlets were not renewed in 2023?
Cilantro_Taco_Grill Franchise · 2024 FDDAnswer from 2024 FDD Document
| State | Column 2 | Outlets at Start of Year | Outlets Opened | Terminations | Non- renewals | Reacquired by Franchisor | Ceased Operations - Other Reasons | Outlets at End of the Year |
|---|---|---|---|---|---|---|---|---|
| Year | ||||||||
| None | 2021 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| 2022 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |
| 2023 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |
| Total | 2021 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| 2022 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |
| 2023 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 49–51)
What This Means (2024 FDD)
According to Cilantro Taco Grill's 2024 Franchise Disclosure Document, there were no non-renewals of franchised outlets in 2023. The provided table, which summarizes the status of franchised outlets from 2021 to 2023, indicates zero non-renewals for the year 2023. This suggests that all Cilantro Taco Grill franchises that were up for renewal in 2023 were successfully renewed.
This information is favorable for prospective franchisees as it indicates a stable franchise system where existing franchisees are likely to continue their agreements. A high number of non-renewals could signal issues with franchisee profitability, support, or overall satisfaction. The absence of non-renewals in 2023 suggests that Cilantro Taco Grill has a healthy relationship with its franchisees and that the business model is sustainable.
It is important to note that this data only reflects a snapshot of the franchise system's performance over the past three years. While the lack of non-renewals in 2023 is a positive sign, prospective franchisees should still conduct thorough due diligence, including speaking with current and former franchisees, to gain a comprehensive understanding of the franchise system's strengths and weaknesses. They should also inquire about the criteria and process for franchise renewal to fully understand their obligations and the factors that could impact their ability to renew their franchise agreement in the future.