2017
2
$166,700
$35,000
$253,600
No
Churrito Loco is redefining the dessert landscape with its innovative churro-based offerings. Founded in 2017 in Moreno Valley, California, the brand quickly gained popularity for its unique fusion of traditional churros and bold, contemporary flavors. From churro funnel cakes to churro ice cream sandwiches, Churrito Loco offers a diverse menu that appeals to a wide range of taste preferences. The brand's commitment to quality and creativity has positioned it as a standout in the fast-casual dessert market.
Unique Product Offering: Churrito Loco's innovative menu sets it apart from traditional dessert franchises, attracting a diverse customer base.
Proven Business Model: With corporate-owned locations demonstrating strong performance, the franchise model is well-established and replicable.
Exclusive Territory: Franchisees are granted exclusive territories, reducing competition and enhancing market potential.
Comprehensive Support: Churrito Loco provides extensive training and ongoing support to ensure franchisee success.
Established Year: Churrito Loco was founded in 2017 in Moreno Valley, California. The brand was created with the vision of transforming the traditional churro into a modern, creative dessert experience.
Founders & Ownership: While specific founder details are not publicly disclosed, the company is privately owned. The ownership team has a clear strategy for expanding the brand across the USA through franchising.
Brand Journey: Churrito Loco started as a small local dessert shop offering a limited range of churro-based products. It quickly gained a reputation for innovation by introducing unique menu items such as churro funnel cakes, churro ice cream sandwiches, and other customizable churro desserts. The brand emphasizes quality ingredients, creativity, and fun customer experiences, which has helped it stand out in the competitive dessert market.
Franchise Units: As of 2025, Churrito Loco operates 2 corporate-owned locations in California. The company is actively seeking franchisees to accelerate growth nationwide.
Market Presence: The brand currently has a strong presence in Southern California, with plans to expand into other states. Its products appeal to a broad audience, from families to young adults, in both urban and suburban locations.
Industry Category: Churrito Loco operates in the fast-casual dessert industry, which is a growing segment within the US food and beverage market. This industry focuses on high-quality, affordable, and quickly-served dessert items.
Company Vision: The company’s long-term vision is to become a nationally recognized dessert franchise by providing a fun, innovative, and memorable dessert experience while maintaining high standards for product quality and customer satisfaction.
Key Highlights:
Innovative churro-based desserts that combine traditional flavors with modern creativity.
Focus on quality, presentation, and unique flavor experiences.
Actively expanding through franchising opportunities in the USA.
Strong potential for growth in urban, suburban, and tourist-heavy areas.
Churrito Loco ensures franchisee success by offering a comprehensive and structured support system that covers every stage of the business, from pre-launch to ongoing operations.
Before opening a new location, Churrito Loco provides:
Site Selection Assistance: Guidance on choosing the most profitable locations, considering foot traffic, competition, and demographics.
Store Design & Layout: Expert help in designing a functional, attractive, and brand-consistent store layout.
Initial Training Program: Comprehensive training for the franchise owner and staff on daily operations, customer service, product preparation, and food safety standards.
Equipment & Supplier Guidance: Assistance in sourcing approved equipment, inventory, and ingredients to maintain brand quality.
Once the franchise is up and running, Churrito Loco continues to provide:
Daily Operations Guidance: Help with inventory management, staffing, scheduling, and workflow optimization.
Quality Control: Regular check-ins to ensure that products meet brand standards and customer expectations.
Technology & POS Training: Instruction on the point-of-sale system, reporting tools, and analytics to track sales and performance.
Franchisees receive marketing assistance to build local and national brand awareness:
Grand Opening Assistance: Promotional strategies and campaigns to attract initial customers.
Local Marketing Support: Templates for flyers, social media posts, and promotions to drive traffic.
Digital Marketing Guidance: Tips for online ordering platforms, social media management, and brand presence.
Brand Guidelines: Training on maintaining consistency in branding, signage, and customer experience.
Churrito Loco emphasizes long-term franchisee success with:
Refresher Training: Periodic updates on new products, seasonal menu items, and operational improvements.
Business Development Support: Guidance on maximizing sales, upselling strategies, and exploring new revenue streams.
Continuous Communication: Access to a dedicated franchise support team for problem-solving and advice.
Networking Opportunities: Opportunities to connect with other franchisees to share best practices and tips.
Franchisees are also educated about trends in the dessert and fast-casual industry:
Market Insights: Data and analytics to help franchisees understand customer preferences and market opportunities.
Product Innovation: Guidance on introducing new flavors or products to attract repeat customers.
Operational Efficiency: Training on reducing costs, optimizing workflow, and improving staff productivity.
Summary:
Churrito Loco provides a full-spectrum support system that ensures franchisees are equipped to succeed from day one. From site selection and initial training to ongoing marketing, operational, and product guidance, the franchise builds a foundation for profitability and sustainable growth.
Churrito Loco is seeking passionate and committed individuals who are ready to invest in a growing dessert franchise. The ideal franchisee combines entrepreneurial drive with a love for quality desserts and customer service.
Franchisees should have a genuine interest in desserts and food innovation, particularly churro-based treats.
A strong commitment to delivering exceptional customer experiences is essential, as Churrito Loco’s success relies heavily on repeat customers and word-of-mouth.
Prior experience in restaurant operations, retail, or small business management is highly beneficial.
Capable of managing staff, finances, inventory, and daily operations efficiently.
Comfortable using POS systems, reporting tools, and operational analytics to drive business performance.
Must have the capital to meet initial investment requirements (total investment: $166,700 – $253,600; minimum liquid capital: $35,000).
Ability to cover franchise fees, working capital, and marketing budgets while sustaining operations until the business becomes profitable.
Strong initiative and self-motivation to grow the business within their territory.
Willingness to learn and follow a proven business model while implementing local strategies to maximize sales.
Open to innovation and creative marketing to attract new customers and increase brand presence.
Interested in becoming an active part of the local community, as Churrito Loco thrives in high-traffic urban areas, suburban shopping centers, and tourist destinations.
Franchisees should be location-savvy, identifying opportunities to serve areas with strong dessert demand.
Ideal candidates view this as a long-term investment and are committed to growing the brand in their region.
Able to dedicate time and resources to maintain operational standards, staff training, and customer satisfaction consistently.
Passionate about food and desserts
Customer-focused and service-oriented
Business-savvy and organized
Financially capable of initial investment
Entrepreneurial, motivated, and innovative
Community-minded and location-aware
Committed to long-term growth and brand success
| Financial Element | Details / Estimates |
|---|---|
| Total Investment Required | $166,700 – $253,600 (covers equipment, leasehold improvements, inventory, working capital) |
| Minimum Liquid Capital Required |
$166,700
|
| Franchise Fee | $35,000 one-time fee |
| Royalty Fee | 5.5% of gross sales |
| Marketing Fee | Not specified (support provided for local campaigns) |
| Franchise Units (Current) | 2 corporate-owned locations (2025) |
| Infrastructure / Setup Cost | Included in total investment (equipment, signage, store fit-out, POS systems) |
| Working Capital | Included in total investment for initial operations |
| Expected ROI | Varies by location; typically positive ROI within first 12–18 months |
| Break-even Time | 12–18 months (depending on location, traffic, and management) |
| Potential Revenue Streams | In-store dessert sales, catering services, seasonal promotions, merchandise sales |
| Territory Type | Exclusive territories provided to franchisees |
| Training & Support Cost | Included in franchise fee |
