factual

If a Del Taco franchisee develops advertising materials, who bears the cost?

Del_Taco Franchise · 2025 FDD

Answer from 2025 FDD Document

We oversee all advertising and promotional programs, with sole discretion to approve or disapprove the creative concepts, materials and media use in the programs and their placement and allocation. We generally work with an advertising agency in developing advertising for print, radio or television. Media coverage may be local, regional, or national. You may develop advertising materials for your own use, at your cost and according to our standards and requirements. We must approve any advertising materials in writing in advance of their use, including, without limitation, any website, home page, or other cyberspace content that you propose to place on the World Wide Web or other computer network, including without limitation, the use of our trademarks or trade names in any electronic media. If you do not receive written approval within 15 days after we receive the materials, you must consider us to have disapproved the materials. You may not use any advertising or promotional materials that we have disapproved.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 31–38)

What This Means (2025 FDD)

According to the 2025 Del Taco Franchise Disclosure Document, if a franchisee chooses to develop their own advertising materials, they will bear the cost. However, these materials are subject to Del Taco's standards, requirements, and prior written approval. Franchisees must submit any advertising materials, including website content, for approval, and if no response is received within 15 days, the materials are considered disapproved. Franchisees are prohibited from using any advertising or promotional materials that Del Taco has disapproved.

Del Taco maintains control over all advertising and promotional programs, including creative concepts, materials, media use, and placement. While Del Taco generally works with an advertising agency for print, radio, or television advertising, franchisees have the option to create their own advertising at their own expense, provided it meets the brand's standards and receives prior approval. This ensures that all advertising aligns with the overall brand image and marketing strategy of Del Taco.

This requirement is fairly standard in franchising, as franchisors typically want to maintain brand consistency across all locations. By requiring franchisees to bear the cost of their own advertising materials and obtain approval, Del Taco ensures that local advertising efforts are aligned with the overall marketing strategy and brand standards, while still allowing franchisees some flexibility to promote their specific location.

Disclaimer: This information is extracted from the 2025 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.