Cilantro Taco Grill

The technology fee is $0 monthly, significantly below the $200-$500 range typical for fast casual restaurants. What technology systems are included in your franchise package, and how are technology costs and updates funded?

Your contract includes 25 termination causes, which is above the typical range of 15-23 for this category. Can you provide a detailed list of these 25 causes and clarify which are immediately non-curable versus those allowing cure periods?

The non-compete clause restricts any Mexican cuisine restaurant business for 36 months within 20 miles post-termination. How strictly has this been enforced, and are there documented cases where former franchisees challenged this restriction?

Your system has grown from 10 to 14 units in 3 years with zero documented exits, terminations, or transfers. Can you explain the circumstances of how each of the 2 new units in the past year were added (new development, transfer from existing franchisee, etc.)?

The binding arbitration clause requires individual-only proceedings and prohibits class actions. Have any franchisees filed arbitration claims against the franchisor, and if so, what were the outcomes?

Franchisees must purchase equipment, fixtures, inventory, and supplies from designated suppliers. Can you provide the complete list of approved suppliers for each major category and explain how pricing is determined relative to market rates?

The franchise agreement requires personal guarantees with joint and several liability for all principals. If a franchisee's business fails, can the franchisor pursue multiple principals individually for the full outstanding debt?

You require remodeling and repairs as a condition of renewal. What are typical remodeling costs franchisees have incurred at renewal, and are these costs capped or estimated in advance?

Item 19 shows average gross sales of $1,400,017. How many franchisees reported this figure, and what is the range of sales performance (median, 25th percentile, 75th percentile)?

The territory is protected but non-exclusive. Can you clarify exactly what 'protected' means and under what circumstances you might approve a second location near an existing franchisee?

With a 5-day cure period for defaults, what specific violations would trigger immediate (non-curable) termination without opportunity to remedy?

Has the franchisor ever enforced the personal guarantee against franchisees' personal assets, and if so, how many times and under what circumstances?

The termination causes list is substantially longer than industry typical. Are some of these causes overlapping or redundant, or do they represent genuinely distinct violation categories?

What disputes have arisen between the franchisor and franchisees regarding territory protection or encroachment, and how were they resolved through arbitration?

Can you provide historical data on franchisees who chose not to renew their agreements and their stated reasons for exit?

The initial franchise fee is $35,000. What specific training, site selection support, equipment, and pre-opening marketing are included in this fee versus additional costs?

If a franchisee fails to meet the 7 specified conditions for renewal, what happens to their business status and remaining lease obligations?

How does the franchisor monitor supplier pricing and compliance? Are there any rebate or kickback arrangements between the franchisor and approved suppliers?

With zero litigation in company history, has the franchisor ever settled disputes confidentially with franchisees, and if so, how many and under what general categories?

Given the 2-year/20-mile non-compete is significantly longer than many competitors, what business activities exactly are prohibited, and has this restriction been litigated or challenged?