When is the Development Fee due for a Del Taco Development Agreement?
Del_Taco Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Amount | Method of payment | When Due | To Whom Paid | |
|---|---|---|---|---|---|
| Development Fee | $45,000 | $45,000 | Lump Sum | Due when you sign the Development Agreement | Us |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 21–28)
What This Means (2025 FDD)
According to Del Taco's 2025 Franchise Disclosure Document, the Development Fee, which ranges from $45,000 to $45,000, is due when you sign the Development Agreement with Del Taco. This fee is paid as a lump sum to Del Taco.
This means that a prospective franchisee must have the full $45,000 available at the time of signing the agreement to develop Del Taco restaurants. This fee is non-refundable, so it's crucial to carefully consider the terms of the Development Agreement before signing.
Understanding the payment schedule for fees like the Development Fee is a critical part of assessing the financial requirements of investing in a Del Taco franchise. Prospective franchisees should factor this immediate cost into their initial investment calculations.