Tio Juan’s Margaritas Mexican Restaurant Franchise FDD, Costs & Fees (2025)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Franchisees

?

7
+
0%
0%
Investment required

?

$1,376,000 - $2,879,000
Revenue (AUV)

?

$2,150,000
Undisclosed
Pro
+
n.a.
+
xx%
-xx%
n.a.
Initial franchise fee

?

$40,000
Royalty fees

?

5.00%
+
2% to 4%
Operating Profit

?

10.8%

Pro
Franchisees

?

7
+
0%
0%
Investment required

?

$1,376,000 - $2,879,000
Franchise fee

?

$40,000
Royalty fees

?

5.00%
+
2% to 4%
Revenue (AUV)

?

$2,150,000
Undisclosed
Pro
+
n.a.
+
xx%
-xx%
n.a.
Operating Profit

?

10.8%

Pro

Tio Juan’s Margaritas Mexican Restaurant: A Taste of Mexico in Every Bite

Founded in 1985 by John Pelletier in Concord, New Hampshire, Tio Juan’s Margaritas Mexican Restaurant brings the vibrant flavors and culture of Mexico to the United States.

The franchise is headquartered in Dover, New Hampshire, and began offering franchise opportunities in 2009. Since then, it has expanded to over two dozen locations across northeastern states, including Pennsylvania, New Hampshire, New Jersey, Massachusetts, Maine, and Connecticut.

Margaritas offers a casual dining experience featuring authentic Mexican cuisine for dine-in and carry-out. The menu includes a variety of dishes such as fajitas, tacos, and signature margaritas, all made fresh to order.

The restaurant’s atmosphere is enriched with handcrafted art and furniture imported directly from Mexico, giving guests an immersive cultural experience.

What sets Margaritas apart is its commitment to authenticity, festive ambiance, and strong community ties. The brand emphasizes warm hospitality and aims to create a celebratory environment in every location.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Type of Expenditure Amount
Development Fee $10,000
Initial Franchise Fee $40,000
Real Estate Variable
Construction $400,000 - $1,575,000
Travel and Living Expenses while Training $10,000 - $20,000
Furnishing, Fixtures and Equipment $425,000 - $625,000
Signage $20,000 - $40,000
Initial Inventory and Supplies $35,000 - $43,000
Miscellaneous Opening Costs $240,000 - $310,000
Insurance $20,000 - $40,000
Permits and Liquor Licenses Variable
Gift Card Program $500 - $600
Additional Funds -- 3 months after opening $175,000
Total $1,375,500 - $2,878,600

Franchise Disclosure Document

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Competitors

Franchise
Franchisees
Growth
Initial fee
Investment
Revenue
Gross Profit
Operating Profit
Industry

7

+
0%
0%
No growth
New

$40,000

$1,376,000

-

$2,879,000

n.a.

$2,150,000

Pro

73.0%

Pro

10.8%

Pro

Food & Beverage

Training

Tio Juan’s Margaritas offers a robust, structured training program for franchisees and their teams. The following are the main components of the training:

  1. Owners Orientation: This 3 to 5 day session is mandatory for franchise owners and their Operating Principals. Held at designated training centers, it must be completed 10 weeks before opening and covers foundational aspects of restaurant operations.
  2. Initial Franchise Operations Program (IFOP): Required for the Operating Principal, general manager, two bartenders, and designated managers. This program includes classroom sessions and on-the-job training delivered through a learning management system, and spans 11 weeks for the first restaurant and 9 weeks for subsequent ones.
  3. ServSafe Certification: Before attending IFOP, trainees must complete a ServSafe food safety training and certification program administered by the National Restaurant Association Educational Foundation.

Territory Protection

Tio Juan’s Margaritas does not grant exclusive territory protection to its franchisees. Franchisees are allowed to operate within a designated Development Area, but this does not preclude the franchisor from operating or licensing others to operate in that same area under certain conditions.

These exceptions include captive market venues such as airports, stadiums, hospitals, and schools, and allow the franchisor flexibility to expand through non-traditional channels.

Additionally, the franchisor reserves the right to distribute products, offer catering services, and engage in e-commerce within a franchisee’s area. Franchisees are not compensated if the franchisor or its affiliates solicit or accept orders from customers in their area.

Number of units

2023
Franchised units

7

7

7

Company-owned units

18

18

18

Total units

25

25

25

Competitors

Taco Cabana

Investment required
$1,267,000
-
$2,776,000
Franchisees
6
+
0%
0%

Barrio Burrito Bar

Investment required
$432,000
-
$773,000
Franchisees
0
+
n.a.
n.a.

Talkin' Tacos

Investment required
$271,000
-
$575,000
Franchisees
0
+
n.a.
n.a.

Taco Pros

Investment required
$457,000
-
$584,000
Franchisees
1
+
n.a.
n.a.

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