Chipotle Franchise Profits & Costs (2025)

Chipotle Mexican Grill, founded in 1993, is a fast-casual restaurant chain that started in Denver, Colorado, and is now headquartered in Newport Beach, California. Unlike many typical restaurant franchises, Chipotle operates all its locations as company-owned, meaning it does not offer franchising opportunities to the public.

The brand focuses on fresh ingredients and sustainable practices, promoting a commitment to “Food with Integrity,” which emphasizes sourcing food that is ethically raised and responsibly grown. The menu at Chipotle centers around customizable Mexican dishes like burritos, bowls, tacos, and salads, all made with fresh ingredients.

Chipotle differentiates itself from competitors by emphasizing sustainability, food safety, and quality standards, such as serving beef and chicken without antibiotics and ensuring that pork comes from pigs raised outdoors or in bedded barns. They have established rigorous food safety standards and a commitment to environmental sustainability, including reducing waste and greenhouse gas emissions.

Today, Chipotle has over 3,500 restaurants across multiple countries, and it continues to grow in its efforts to provide fast, wholesome, and responsibly sourced food to customers. As a brand, Chipotle stands out for its focus on community support and sustainability, reflected in its efforts to give back to local communities and maintain environmentally friendly business practices.

Initial Investment

How much does it cost to start a Chipotle franchise? Chipotle does not offer franchise opportunities, as all of its locations are company-owned.

Therefore, it is not possible to start a Chipotle franchise, and there is no associated cost for franchising with the company.

For similar Mexican franchises in the industry, however, the initial investment is on average $986,000, ranging from $145,000 to $5,058,000.

Here are a few comparable franchises with their initial investment requirements:

Average Revenue (AUV)

How much revenue can you make with a Chipotle franchise? Since the franchise does not franchise its stores and all locations are company-owned, Chipotle does not publish a Franchise Disclosure Document. Therefore, it does not disclose the average revenue of its stores.

However, looking at comparable franchises, a similar franchised Mexican restaurant in the food industry makes on average $1,137,000 in revenue (AUV) per year.

Below are 10 Chipotle competitors and their average yearly revenue as a comparison:

Frequently Asked Questions

How many Chipotle locations are there?

As of the latest data, there are 3,494 Chipotle locations in the United States, all of them being company-owned, as Chipotle does not follow the traditional franchise model.

California has the highest number of locations, with 486 restaurants, making up about 14% of all U.S. Chipotle restaurants.

What is the total investment required to open a Chipotle franchise?

Chipotle does not offer franchise opportunities and therefore, it is not possible to establish the initial investment to start a Chipotle franchise.

However, the total investment required to open a franchised restaurant similar to Chipotle franchise ranges from $145,000 to $5,058,000.

What are the ongoing fees for a Chipotle franchise?

Since Chipotle does not offer franchises and all stores are company-owned, the ongoing fees such as royalty fees or advertising fees associated with franchising the brand are not readily available.

Yet, similar Mexican franchises in the industry charge an average of 5%-6% in royalty fees and 4%-6% in advertising fees (e.g. Pancheros).

What are the financial requirements to become a Chipotle franchisee?

All Chipotle locations are company-owned, and the brand does not offer opportunities for independent ownership or franchising. Therefore, it is not possible to meet any financial requirements or apply to become a franchisee with Chipotle.

However, for Mexican-style franchises similar to Chipotle, the average financial requirements typically include a net worth of around $1 million to $2 million and liquid capital ranging from $250,000 to $500,000.

These figures can vary significantly based on the specific franchise, location, and market potential. Such requirements are set to ensure the franchisee has the financial capability to support start-up costs, operational needs, and any unforeseen expenses during the initial period of running the franchise.

Prospective franchisees are encouraged to review the franchise disclosure documents (FDDs) for detailed financial criteria.

How much can a Chipotle franchise owner expect to earn?

Since Chipotle is entirely company-owned and does not operate as a franchise, there is no earning potential for a Chipotle franchise owner.

The average gross sales for a Mexican franchise similar to a Chipotle franchise is approximately $1,137,000 per store.

Assuming a 15% operating profit margin, $1,137,000 yearly revenue would result in $170,500 EBITDA annually.

Who owns Chipotle?

Chipotle Mexican Grill is a publicly traded company listed on the New York Stock Exchange under the ticker symbol “CMG.” It does not have a single owner; instead, it is owned by its shareholders, who can be individual investors, institutional investors, or mutual funds.

Disclaimer

Disclaimer: This content has been made for informational and educational purposes only. We do not make any representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the information presented in the article. You should not construe any such information or other material as legal, tax, investment, financial, or other professional advice. Nothing contained in this article constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.

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