factual

What is the minimum number of General Managers that a Cilantro Taco Grill franchisee must employ?

Cilantro_Taco_Grill Franchise · 2024 FDD

Answer from 2024 FDD Document

The Franchise Agreement does not require that you personally supervise your Cilantro Taco Grill outlet, although we recommend it. During the entire term of the Franchise Agreement and any renewals, you must consistently employ and designate a minimum of one General Manager and two Managers who will be the main individuals responsible for the supervision, management and operation of the Franchised Business. The General Manager and Managers must devote their full time and reasonable efforts the day-to-day operations of the Franchised Business. You must also employ additional personnel needed to operate and to manage the Franchised Business. We require General Managers and Managers to satisfy our educational and business criteria. They must be individuals acceptable to us and must satisfy our training requirements, including successful completion of the HQ Initial Training Program.

A Principal can be the General Manager or Manager if they have at least three years of previous restaurant management or restaurant ownership experience. The Designated Controlling Principal may not be the General Manager or Manager. If a General Manager or Manager cannot serve in the position or does not meet the requirements, then he or she must be replaced within 60 days from the date they are no longer able to serve the position or do not meet the requirements. We do not require that your General Manager or Managers have an ownership interest in you. If the franchisee is a business entity, your general manager is not required to have an equity interest in the franchisee entity. Your manager must devote full time to the job and cannot have an interest or business relationship with any of our competitors.

Source: Item 15 — OBLIGATIONS OF THE FRANCHISEE TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD page 37)

What This Means (2024 FDD)

According to the 2024 Cilantro Taco Grill Franchise Disclosure Document, while personal supervision by the franchisee is recommended, it is not required. However, throughout the term of the Franchise Agreement, a franchisee must employ and designate at least one General Manager and two Managers. These individuals are responsible for the supervision, management, and daily operations of the Cilantro Taco Grill franchised business.

The General Manager and Managers must dedicate their full time and reasonable efforts to the business's day-to-day operations. The franchisor, Cilantro Taco Grill, also requires that these managers meet specific educational and business criteria and be acceptable to them. This includes satisfying training requirements and successfully completing the HQ Initial Training Program.

A Principal can fulfill the role of General Manager or Manager if they possess a minimum of three years of prior restaurant management or ownership experience. However, the Designated Controlling Principal is not eligible to be the General Manager or Manager. If a General Manager or Manager is unable to fulfill their duties or does not meet the requirements, they must be replaced within 60 days. Cilantro Taco Grill does not require that the General Manager or Managers have an ownership interest in the franchise. The manager must devote full time to the job and cannot have an interest or business relationship with any of Cilantro Taco Grill's competitors.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.