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FRANCHISE RESALES

Buy an El Pollo Loco Franchise

El Pollo Loco is a fast-casual restaurant chain built around citrus-marinated, fire-grilled chicken. Founded in 1975 in Mexico, the brand entered the US market in 1980 and began franchising in 1987. Headquartered in Costa Mesa, California and publicly traded on Nasdaq (LOCO), El Pollo Loco operates around 485 company and franchise restaurants across six western states.

The menu covers chicken meals, tacos, burritos, bowls, tostadas, salads, and sides. The brand blends Mexican culinary tradition with California-fresh food sensibility, and the chain states that roughly 70% of its menu items appeal to health-conscious consumers. Drive-thru freestanding buildings are the preferred restaurant format, with the system also running endcap, non-drive-thru, and other non-traditional locations.

El Pollo Loco Holdings, Inc. is the publicly listed parent, bringing the franchisee network the operational structure of an established, reporting-grade restaurant company. The brand is actively developing franchise territories beyond its California base, with markets available in states including Arizona, Colorado, and Texas.

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Why buy an El Pollo Loco Franchise?

El Pollo Loco’s fire-grilled, citrus-marinated chicken gives it a distinct product identity in the fast-casual segment, separating it from fried-chicken competitors and generic Mexican chains. The health-conscious positioning has proved durable as consumer demand for better-quality fast food has grown.

The publicly traded structure (Nasdaq: LOCO) provides transparency most private franchise concepts cannot match: public earnings, same-store sales data, and annual reports give resale buyers real visibility into system performance. The franchisor supports franchisees through Franchise Business Managers, a dedicated marketing team, and supply chain management. For those considering whether to buy an El Pollo Loco franchise, the system’s track record since 1987 offers meaningful context.

El Pollo Loco Franchise Costs & Information

Based on 2025 data reported in the 2026 FDD

  • Brand Profile

    • Year Founded

      1974

    • Franchising Since

      1987

    • New Startup Cost

      $793,750 – $2,685,500

    • Avg. Resale Price

      Contact us for details

  • Franchise Fees

    • Initial franchise Fee

      $40,000

      for new territories

    • Transfer Fee

      40%

      of Initial Franchise Fee for new; 25% existing; $10,000 developers; plus attorney fees

    • Royalty Fee

      5%

      of Gross Revenue

    • Marketing Fee

      5%

      of Net Sales

  • Unit Performance

    • Total Units *

      503

    • New Units Opened *

      11

    • Units Transferred *

      21

    • Avg. Unit revenue *

      $2,236,257

    * Based on 2025 data reported in the 2026 FDD

El Pollo Loco – Additional  Information

  1. Training & Support

    New franchisees and restaurant managers complete seven weeks of training covering operations, customer service, and product quality; ongoing crew and management training is then provided by franchise training consultants. Franchise Business Managers supply ongoing operational guidance, and a dedicated marketing team provides advertising tools and plans to support in-store traffic. Supply chain management support and technology tools are available to all operating franchisees. Resale buyers should clarify with El Pollo Loco what initial training transfers to incoming ownership and what ongoing support access carries over with the sale.

  2. Ideal Owner

    El Pollo Loco targets candidates with at least five years of recent restaurant experience as a multi-unit owner or primary operator; experience requirements make this a model better suited to established food-service operators than first-time franchise buyers. The model suits operators comfortable managing restaurant staff, maintaining service and quality standards across shifts, and engaging with local communities. Operational discipline and staff management are the core demands; those expecting a semi-passive investment will find the staffing and operations intensity a challenge.

  3. Recognition & Awards

    El Pollo Loco has built recognition through its four-decade presence in the US fast-casual market, its publicly listed status (Nasdaq: LOCO), and the consistency of its fire-grilled chicken offering. Consumer brand awareness is strong in core western US markets, supported by active local marketing and the chain's distinctive product identity. For resale buyers, brand-level recognition should be considered alongside the reputation of the specific unit, including local reviews, repeat customer patterns, and community visibility in the trade area.

  4. Industry / Market

    The US fast-casual restaurant market was valued at roughly $45 billion in 2024 and is projected to grow at around 6% annually, driven by consumer demand for higher-quality, faster dining. Mexican food and grilled-chicken concepts sit within this category, with demand for fresher, less-processed proteins rising consistently. The segment has proved relatively resilient across economic cycles; spending on food away from home tends to hold even during periods of consumer caution. For resale buyers, the unit's position in its local western US market and consistent drive-thru volume are the most relevant performance indicators.

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