About Dillon Franchise
Dillon Franchising is a franchise system that began offering opportunities in 2024, bringing a new business concept to the franchise marketplace.
The brand provides entrepreneurs with a structured system, training, and ongoing support to build their own business under the Dillon name.
The franchise fee is $25,000, providing an affordable entry point for aspiring business owners.
Dillon Franchise Cost & Fees
Minimum Investment
$419K
Average Investment
$586K
Maximum Investment
$753K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $25,000 | One-time payment upon signing |
| Royalty Fee | 6% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Currently 1.5% of your weekly Gross Sales (Brand Fund Contribution) + If you fail to spend the required local advertising expenditure of 1.5% of monthly Gross Sales in a quarter, you will pay the difference to the Brand Fund. | National brand fund |
| Total Investment Range | $418,620 – $753,200 | Includes build-out, inventory, working capital |
The investment range of $419K–$753K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of Gross Sales) and marketing fee (Currently 1.5% of your weekly Gross Sales (Brand Fund Contribution) + If you fail to spend the required local advertising expenditure of 1.5% of monthly Gross Sales in a quarter, you will pay the difference to the Brand Fund.) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $25,000 | $25,000 |
| Leasehold Improvements | $193,000 | $281,000 |
| Pre-Opening Rent | $12,000 | $48,000 |
| Wages, Travel, and Living Expenses for You and Your Management Staff During Training | $9,000 | $12,000 |
| Furniture, Fixtures, Supplies, Décor, Inventory, and Equipment | $98,000 | $125,000 |
| Design and Drawing Fee | $5,000 | $5,000 |
| Architectural, Engineering Fees | $10,000 | $14,000 |
| Signage | $8,500 | $22,500 |
| Point-of-Sale, Digital Loyalty and Coupon Programs, Online Ordering Applications, and Computer System | $3,620 | $3,800 |
| Security System and Telephone System | $300 | $2,700 |
| General Licenses (excluding liquor licenses) and Permits | $4,000 | $9,500 |
| Liquor License | $1,000 | $1,000 |
| Uniforms | $1,200 | $1,200 |
| Deposits and Miscellaneous Site Development Fees | $10,000 | $40,000 |
| Grand Opening | $6,000 | $7,500 |
| Pre-paid Insurance | $1,000 | $2,000 |
| Additional Funds - 3 Months (these figures have not been offset by operating revenues – assumes zero revenue for first 3 months) | $32,000 | $54,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 50% of the then-current Initial Franchise Fee ($1,000 non-refundable deposit at time of transfer application submittal and the remaining balance of fee at time of the approved transfer) |
| Renewal Fee | 50% of the then-current Initial Franchise Fee |
| Technology Fee | The then-current fee (not currently charged) |
| Audit Fee | Cost of audit and inspection, any understated amounts, and any related accounting, legal, and travel expenses |
| Local Advertising Payment (if not met) | Difference between amount spent and 1.5% of Gross Sales |
| Barrio Burrito Bar Loyalty and Gift Cards | Actual amount of gift card purchase |
| Local and Regional Advertising Cooperatives | Established by cooperative members, between 1% and 1.5% of Gross Sales |
| Unauthorized Advertising Fee | $500 per occurrence |
| Insurance Reimbursement | Reimbursement of our costs, plus a 20% administration charge |
| Additional Training or Assistance Fees | The then-current fee (currently $500 per additional person per day for initial training; $500 per attendee per day for additional training; and $250 per person per day for remedial training) |
| Conference Fee | The then-current fee (currently estimated to be $500 per person) |
| Supplier and Product Evaluation Fee | Costs of inspection (estimated to be approximately $100 to $500) |
| Food Safety Audit (if failed) | Cost of audit (estimated to be approximately $2,500) |
| Replacement of Franchise Operations Manual | $500 |
| Customer Issue Resolution | The reasonable costs we incur for responding to a customer complaint (estimated to be between $10 and $50) |
| Payment Service Fee | Up to 4% of total charge |
| Late Payment Fee | $100 per occurrence, plus the lesser of the daily equivalent of 18% per year simple interest or the highest rate allowed by law |
| Non-Sufficient Funds Fee | $100 per occurrence, plus the lesser of the daily equivalent of 18% per year simple interest or the highest rate allowed by law |
| Failure to Submit Required Report Fee | $100 per occurrence and $100 per week |
| Management Fee | $500 per day, plus costs and expenses |
| De-Identification (upon termination/relocation/expiration) | All amounts incurred by us related to de-identification |
| Professional Fees and Expenses | Will vary under circumstances |
| Design Fee (relocation) | $5,000 |
| Indemnification | Will vary under circumstances |
| Relocation Fee | Our costs (including attorneys’ fees) |
| Transfer Training Fee | 50% of the then-current Initial Franchise Fee |
| Transfer to Entity Fee | Our actual costs |
| Liquidated Damages | Will vary under the circumstances (minimum $30,000) |
| Broker Fees | Our actual cost of the brokerage commissions, finder’s fees, or similar charges |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 120 hours |
| Classroom Training | 32 hours |
| On-the-Job Training | 88 hours |
| Training Location | Barrio Burrito Bar Business in Delaware, or at another location that we designate |
| Additional Training | We or Licensor may offer periodic refresher training courses or develop additional training courses. Attendance at these training programs may be optional or mandatory. You may be required to pay us or the Licensor the then-current fee (currently $500 per attendee per day) for this training as specified in the Franchise Operations Manual. Remedial training is currently $250 per person per day. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive, but protected |
| Exclusive Territory | No |
| Territory Size | minimum of a one (1)-mile radius around the premises of your Barrio Burrito Bar Business |
| Description | The Territory is determined based on the geographic area and other relevant demographic characteristics of our choosing and will be a minimum of a one (1)-mile radius around the premises of your Barrio Burrito Bar Business. We will not grant you this right if your Barrio Burrito Bar Business is located in a metropolitan area (areas in which the population during any twenty four (24)-hour period exceeds 50,000 persons per square mile). In addition, we will not grant you this right if your Barrio Burrito Bar Business will be located in a non-traditional location such as an airport, hotel, convention center, sports arena or stadium, college campus, amusement park, within the premises of another business, or a similar venue. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | two successor terms of five years each |
| Renewal Fee | 50% of the then-current Initial Franchise Fee |
| Renewal Conditions | If you are in good standing and you meet other requirements, you may add two successor terms of five years each. You must sign our then-current Franchise Agreement and ancillary documents for the successor term, and this new franchise agreement may have materially different terms and conditions (including, e.g., higher royalty and advertising contributions) from the franchise agreement that covered your original term. |
| Transfer Fee | 50% of the then-current Initial Franchise Fee ($1,000 non-refundable deposit at time of transfer application submittal and the remaining balance of fee at time of the approved transfer) |
| Transfer Conditions | We will not unreasonably withhold our approval of any proposed Transfer; provided that the following conditions are all satisfied: written notice 45 days prior, qualified transferee, all monetary obligations paid, all defaults cured, transferee completes initial training, transferee obtains all licenses/permits, transferee signs new franchise agreement, pay transfer fee and transfer training fee, sign general release, franchisor does not exercise right of first refusal, subordination agreement if required, pay broker costs, landlord consents to lease assignment, remodel premises to current standards, comply with all other obligations. |
| Termination for Cause | We can terminate upon certain violations of the Franchise Agreement by you, including non-curable defaults (e.g., failure to open, material misrepresentation, violation of law, criminal offense, under-reporting, intellectual property misuse, health/safety violations, abandonment, failure to pay, unauthorized transfer, brand covenant violation, license/permit suspension/revocation, failure to complete initial training, repeated defaults, cross default, Franchise Owner Agreement default, premises issues, interference with Licensor relationship) or curable defaults (30 days to cure). |
| Non-Compete Period | three years |
| Non-Compete Details | Owners may not have an interest in, own, manage, operate, finance, control or participate in any competitive business within: (i) a two-mile radius of your Barrio Burrito Bar Business; and (ii) a two-mile radius from all other Barrio Burrito Bar Businesses that are operating or under construction as of the date of the termination, expiration or Transfer of this Franchise Agreement, for three years. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | We require that you either directly operate your Barrio Burrito Bar Business or designate a manager (“Franchise Manager”) who has been approved by us in our commercially reasonable discretion. The “Responsible Owner” is an individual who will be primarily responsible for communicating with us about the Barrio Burrito Bar Business. The Responsible Owner must have the authority and responsibility for the day-to-day operations of your Barrio Burrito Bar Business. If you are an individual, you are the Responsible Owner. If you are a legal entity, you must appoint an individual that has at least a twenty-five percent (25%) equity interest in the legal entity to be the Responsible Owner. Your Responsible Owner and your Franchise Manager, if any, must successfully complete our training program. |
| Required Suppliers | You must purchase or lease all products, supplies, equipment, services, and other items specified in the Franchise Operations Manual. If required by the Franchise Operations Manual, you agree to purchase or lease certain products and services only from suppliers designated or approved by us (which may include, or be limited exclusively to, us, Licensor, or its or our affiliates). Specifically, a designated designer for architectural drawings, and a designated supplier for POS, gift cards, and loyalty program are required. Proprietary food products/recipes must be purchased from the franchisor, BBU, or licensed third parties. |
| Supply Restrictions | We may restrict the sourcing of current and future items. You must not deviate from these methods, standards and specifications without our prior written consent. Certain products such as plates, cups, boxes and containers bearing the trademarks must be purchased by you from certain suppliers approved by us who are authorized to manufacture these products bearing our trademarks. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease, or obligation. |
Dillon Franchise Earnings — Item 19
Dillon does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Dillon does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Dillon Litigation & Risk Flags
Clean Litigation RecordDillon has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Dillon System Growth
Total Units
1
Franchised
0
Company-Owned
1
Dillon currently operates 0 franchised locations and 1 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2022 | 0 | 0 | 0 |
| 2023 | 0 | 0 | 0 |
| 2024 | 1 | 0 | 1 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 15 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, OH, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
0
Net Income
$-6,407
Total Assets
$53K
Dillon Franchise — FAQ
The total investment to open a Dillon franchise ranges from $418,620 to $753,200, per their Franchise Disclosure Document. This includes the initial franchise fee of $25,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Dillon charges a royalty fee of 6% of Gross Sales of gross sales, plus a Currently 1.5% of your weekly Gross Sales (Brand Fund Contribution) + If you fail to spend the required local advertising expenditure of 1.5% of monthly Gross Sales in a quarter, you will pay the difference to the Brand Fund. contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Dillon Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Dillon to ensure you have the most up-to-date version.
Dillon does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Dillon has been franchising since 2024. The FDD shows an investment range of $418,620-$753,200, a 6% of Gross Sales royalty, and no Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $25,000 and the total investment ranges from $418,620 to $753,200 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Dillon and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Dillon or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com