Franchise Deep Dive: On The Border's Franchise Costs, Fees, Profit and Data

LAST UPDATED: 2/2024

FRANCHISE WEBSITE: https://www.ontheborder.com/our-story/franchising/

NUMBER OF LOCATIONS: 130+

REPORTED COST TO GET IN: $2,543,500–$4,300,000

REPORTED ROI (Item 19): N/A

On The Border Mexican Grill & Cantina is a Tex-Mex themed full-service, casual dining chain restaurant best known for its large assortment of fajitas and margaritas. It was founded in 1982 in Dallas, Texas. 

Through a vibrant atmosphere, bold flavors cooked on a mesquite grill and famous margaritas, On The Border aims to be the #1 Tex-Mex restaurant choice in every neighborhood that it serves. The brand prides itself on “being different, never settling, and being generous, not just in portions, but in spirit, too.”

How Many Locations Are There?

On The Border has around 130 locations across 26 states and internationally. In 2007, On The Border opened its first international location, bringing its authentic Border-Style Mex to Seoul, South Korea. 

In 2022, the brand boosted its franchise growth plan, starting with a unit in Anchorage, Alaska. At the time, the franchise pipeline for the Mexican casual dining chain included more than 10 locations in various stages of development. Additionally, new units were planned for Denver and Omaha and Lincoln, Nebraska 

It also boasted a successful international expansion plan within South Korea. The company’s South Korean franchise partner JRW Inc. opened 16 locations in the country, adding three additional locations in 2022. On The Border and JRW struck a deal that makes the South Korean operator a master franchisee in the country. 

On The Border is also focused on dialing up international expansion in markets such as India, Egypt, Australia, Saudi Arabia and Dubai. 

What Is the Business Model?

When the brand revealed franchise expansion plans in 2022, it also remodeled certain aspects of the business. 

“I couldn’t be more energized about the direction the brand is headed,” said Tim Ward, president and CEO of On The Border, in a press release. “We are dedicated to ‘boosting the bold’ where it matters most—our menu, guest experience and value proposition. Our corporate stores are feeling the positive impact of our progress. Now, the time is right for us to parlay that into the same type of success with our franchise development.”

In a nod to its 40-year history, the brand brought back several distinctive facets of On The Border and combined them with modernized innovation:

• Elevated Tex-Mex menu selections that reinforce its brand heritage
• A great guest experience that is tech-enabled thru a refreshed mobile app, new online ordering system and website
• Heightened focus on operational excellence that is bringing people together around food they love
• Expanding the brand’s value proposition with an enhanced loyalty program; free chips and salsa; and best-selling combos, featuring new items such as birria tacos 

How Much Can On The Border Owners Make?

On The Border franchise owners’ earnings are not publicly available. 

How Much Does It Cost to Open an On The Border Franchise?

According to Entrepreneur, the total investment to open an On The Border franchise ranges from $2,543,500 to $4,300,000. There are also net worth and cash requirements of $3 million and $1 million, respectively. 

What Is the Franchise Fee for On The Border?

The franchise fee for On The Border is $40,000, according to Entrepreneur.

Who Are the Leaders of On The Border?

• Brian Shaughnessy - Vice President of Franchising
• Bill McMillan - Chief Information Officer
• Keith Wheaton - Vice President of Facilities and Construction
• Ed Jarvis - Vice President Operations
• Evelina Rojas - Vice President of Human Resources

What Helpful Articles Can I Read to Learn More?

• Franchise Opportunities at OTB
• On The Border Boosts Bold Franchise Growth Plan
• Start a On The Border Franchise in 2024
• On The Border to Open First Location in Anchorage, Alaska

Want to learn more about franchise opportunities on 1851 Franchise? Be sure to visit our Power Rankings to read more on brands making moves. 

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Every great franchisee had help buying a franchise. Want to learn more about how 1851 helps franchisees find the right franchise opportunity? Visit www.1851growthclub.com and start your journey.

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