MTY Franchising USA, Inc
Key figures
| Initial franchise fee | $30,000 |
| Total investment (Item 7) | $470,000 – $925,000 |
| Royalty (Item 6) | 6% of gross sales |
| Headquarters state | AZ |
| Legal name (Item 1) | MTY Franchising USA, Inc |
| FDD issuance date | 2026-03-27 |
| Brand website | https://www.muchoburrito.com |
About MTY Franchising USA, Inc
We acquired the right to franchise Mucho Burrito restaurants in in the United States in January 2019 and began offering Mucho Burrito Unit Franchises in the United States in February 2019. MBUSA offered Mucho Burrito unit franchises beginning in February 2010 and offered area developer franchises… TERRITORY (Item 12): territory is NOT exclusive - the FDD states you will not receive an exclusive territory.
Due diligence dossier
Every figure below is as disclosed in this brand's own FDD, with its FDD citation. FranchiseKI adds no analysis and estimates nothing.
Unit history (Item 20)
| Year | Franchised | Company-owned | Total |
|---|---|---|---|
| 2023 | 1 | 0 | 1 |
| 2024 | 1 | 0 | 1 |
| 2025 | 0 | 0 | 0 |
Source: Item 20, p.73 of the brand's FDD.
Risk & history facts
| Closures in the last 3 years | 1 (Item 20, p.76 of the FDD) |
| Transfers in the last 3 years | 0 (Item 20, p.73 of the FDD) |
| Litigation matters disclosed (Item 3) | 8 (Item 3, p.19 of the FDD) |
| Bankruptcy (Item 4) | No bankruptcy disclosed (Item 4) (Item 4, p.28 of the FDD) |
Litigation summary (Item 3): Disclosed matters include a franchisee lawsuit alleging FIPA violations and misrepresentation (settled for $20,000), a breach of contract dispute with an area representative (franchisor won judgment and fees), a franchisee termination dispute (settled with asset transfer), and a franchisee arbitration alleging Minnesota Franchise Act violations. (Item 3, p.20-28 of the FDD)
Ownership & operations
| Owner-operator required | Yes (Item 15, p.64 of the FDD) |
| Absentee ownership allowed | No (Item 15, p.64 of the FDD) |
| Typical time to open | 12 months (Item 11, p.51 of the FDD) |
Territory description (Item 12): The franchise is granted for a specific location only. Franchisees do not receive an exclusive territory and may face competition from other franchisees, company-owned stores, or other channels of distribution. (Item 12, p.59 of the FDD)
Training: FRANCHISOR’S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING Except as listed below, MTY Franchising USA, Inc. (Item 11, p.49 of the FDD)
Ongoing support:
- Site Selection
- Construction and Furnishings
- Confidential Operations Manual
- Supplier/Distributor Lists
- Marketing/Advertising (implied via Item 9/11 context)
Source: Item 11, p.51 of the brand's FDD.
Company facts
| Headquarters | Scottsdale, AZ (Item 1, p.7 of the FDD) |
| Years in business | 25 (Item 1, p.7 of the FDD) |
| Years franchising | 7 (Item 1, p.7 of the FDD) |
| Parent company | MTY Food Group, Inc. (Item 1, p.7 of the FDD) |
| Initial term | 10 years (Item 17, p.66 of the FDD) |
| Renewal term | 5 years (Item 17, p.66 of the FDD) |
| Advertising / brand fund fee | 4% of gross sales (Item 6, p.30 of the FDD) |
| Company-owned units | 0 (Item 20, p.73 of the FDD) |
| Projected new units | 0 (Item 20, p.75 of the FDD) |
Questions to ask the franchisor
Generated from what this brand's FDD data does not disclose — ask MTY Franchising USA, Inc directly:
- What liquid capital does the franchisor require of a new franchisee? It is not disclosed in the FDD data we hold for this brand.
- What minimum net worth does the franchisor require? It is not disclosed in the FDD data we hold for this brand.
- Does the franchisor make financial performance representations (Item 19)? If it does, ask for the average unit revenue. Ask for the median too. This FDD makes none that we could extract.
Territory — what the FDD says (Item 12)
Under this brand's Item 12 rule, you do not receive an exclusive territory. The franchisor may sell additional franchises in the same area. It may also operate company units there. Or it may sell through other channels. No area is reserved for you. No area is closed to you by another franchisee's exclusivity either. Placement is the franchisor's decision.
The FDD's own words (Item 12): “territory is NOT exclusive - the FDD states you will not receive an exclusive territory.”
Availability
Because this brand grants no exclusive territory, there are no territory-based exclusions: no area is reserved for an existing franchisee, and no area is reserved for you. Whether a new unit is placed anywhere is the franchisor's decision under Item 12.
Next steps with MTY Franchising USA, Inc
Put MTY Franchising USA, Inc on a shortlist. Compare it side by side with two other brands. Check it against your budget in the PerfectFit Quiz. Or talk it through with a vetted consultant. That conversation is free to buyers; call (385) 475-5319. Only the franchisor can confirm current terms. Only the franchisor can confirm territory availability.