Expedia Cruises

The franchise opportunity under review represents a significant entry point into the dynamic fast-casual dining sector, built upon a foundation of fresh ingredients and a distinctive "Live Fresh" philosophy. Established in August 1990 by founders Jim and Linda Magglos in Newbury Park, California, this brand pioneered a concept centered on offering superior quality ingredients within a limited-service framework. The core appeal has always been its emphasis on fresh proteins and a robust self-serve salsa bar, featuring authentic recipes that resonate with a health-conscious and flavor-seeking consumer base. Over its operational history, this fast-casual restaurant has navigated a complex landscape of ownership transitions and evolving market dynamics, consistently maintaining its presence and brand identity in a highly competitive industry. The corporate headquarters, initially located in Thousand Oaks, later moved to Cypress, California in 2009, and subsequently settled in Scottsdale, Arizona, a location it has maintained since 2016, reflecting its strategic adaptability and continuous organizational refinement. The long-term journey of this franchise, encompassing over three decades, showcases a resilient business model that has adapted to various economic cycles and consumer preference shifts. Its commitment to a fresh-food ethos has been a cornerstone of its market positioning, attracting a loyal customer following and distinguishing it within the crowded fast-casual segment. The brand’s enduring appeal lies in its consistent delivery of fresh, customizable meals, a critical factor for success in modern dining. The evolution of its corporate structure and ownership, including significant acquisitions and divestitures, underscores its perceived value and potential within the broader food service industry, making it an intriguing option for the prospective Expedia Cruises franchise investor seeking a proven model.

The industry landscape in which this fast-casual franchise operates is characterized by robust growth, particularly within the fast-casual Mexican food segment. This expansion is largely fueled by an increasing consumer demand for dining options that are perceived as healthier, fresher, and highly customizable, aligning perfectly with the brand's core offerings. Modern consumers exhibit a growing health consciousness, actively seeking nutritious choices that do not compromise on flavor or convenience, a trend this franchise has adeptly capitalized on since its inception in 1990. The Mexican fast-casual sub-sector specifically benefits from sustained consumer interest in fresh-prepared, made-to-order meals, allowing for individual dietary preferences and taste profiles. This segment's resilience and growth trajectory are further supported by demographic shifts and an increasing preference for dining experiences that bridge the gap between traditional fast food and full-service restaurants. While the primary focus of this franchise is within the restaurant sector, the broader economic context also includes diverse market segments. The provided web research also touched upon tangential market information for the Gasoline Stations with Convenience Stores industry, noting its approximate total addressable market of $656 billion globally, with an estimated compound annual growth rate (CAGR) of 3.2%. In the US, this specific industry segment was valued at $522.3 billion in 2025, experiencing slight fluctuations but demonstrating a 0.6% CAGR between 2021 and 2026. Globally, the gasoline stations market size expanded from $2.7 trillion in 2025 to $2.8 trillion in 2026, with projections to reach $3.35 trillion by 2030 at a CAGR of 4.6%. Key drivers for this distinct industry include increased vehicle usage, growing consumer preference for convenience shopping, and technological advancements. Inside sales in convenience stores showed significant growth, exceeding 8% year-over-year in both 2022 and 2023. While this information pertains to a different industry, it highlights the overall dynamism and growth potential in consumer-facing businesses, a general positive indicator for the broader franchise ecosystem that the Expedia Cruises franchise operates within.

The investment required to establish an Expedia Cruises franchise within this fast-casual restaurant system involves a multi-faceted financial commitment, designed to cover all necessary startup and operational costs. The initial franchise fee is a foundational component of this investment, typically set at $30,000, although some sources indicate a figure of $50,000. Recognizing the contributions of military personnel, the brand offers a valuable discount for veterans, which can manifest as a 20% reduction on the initial franchise fee, making the opportunity more accessible. The total initial investment range for opening a franchise unit can vary significantly based on factors such as location size, local market conditions, and specific buildout requirements. Several reported ranges illustrate this variability, including $322,310 to $974,290; $428,560 to $1,012,290; $225,000 to $1,012,000; $310,310 to $1,071,190; and $320,560 to $1,112,640. More specifically, a Traditional Baja Fresh® Restaurant typically requires an investment of $428,560 to $1,012,290, while a Single Baja Fresh® Non-Traditional Restaurant, often found in airports or universities, has a lower initial investment ranging from $224,950 to $777,200. These comprehensive costs typically encompass essential elements such as equipment procurement, leasehold improvements and buildout, signage installation, initial inventory stock, and crucial working capital to ensure smooth operations during the initial phases. Beyond the initial setup, franchisees are subject to ongoing fees, including a royalty rate of 5% of gross sales, which is typically collected on a weekly basis, with general ongoing fees ranging from 4-8% of gross sales. A brand fund contribution of 4% is also required, allocated towards advertising and marketing initiatives to bolster brand visibility and drive customer traffic. Prospective franchisees must demonstrate substantial liquid capital, with a minimum requirement of $250,000, though some sources suggest a higher threshold of $400,000 to $500,000. Furthermore, a net worth requirement of $500,000 is specified, ensuring financial stability and capacity for sustained investment. To facilitate the entry of qualified candidates, third-party financing options are available, providing additional avenues for securing the necessary capital to launch and operate an Expedia Cruises franchise.

The operating model of this fast-casual restaurant franchise is designed for efficiency and consistency, bolstered by comprehensive support and training for its franchisees. The initial training program is extensive, comprising a total of 280 hours, meticulously structured to equip new operators with all necessary skills and knowledge. This includes 40 hours of focused classroom instruction, covering theoretical aspects of the business, brand standards, and operational protocols. Complementing this, 240 hours are dedicated to hands-on, on-the-job training, providing practical experience in a live restaurant setting, ensuring franchisees are well-versed in daily operations, customer service, and food preparation techniques. Franchisees benefit from the guidance of a seasoned support team, boasting deep industry experience across various facets of the restaurant business. This dedicated team offers ongoing assistance in critical areas such as strategic marketing initiatives, efficient purchasing assistance to optimize supply chain costs, and effective staffing strategies to attract and retain talent. Moreover, ongoing training programs are continuously provided to ensure franchisees remain updated on the latest industry trends, operational best practices, and brand innovations, empowering them to operate and grow their businesses effectively in an evolving market. Corporate support is further extended through Kahala Brands, the parent company operating under MTY Food Group, which provides additional layers of expertise and resources. This robust support system is integral to the successful replication of the brand's concept across its network of locations. However, a significant aspect of the operating model is that the franchise does not offer territory protections to its franchisees. This means the franchisor explicitly retains the right to establish its own corporate outlets or grant additional franchises to other individuals within an existing franchisee's designated operational area. This particular policy is a crucial consideration for prospective investors in the Expedia Cruises franchise, as it impacts the competitive dynamics within specific geographic markets and dictates the potential for market saturation.

Regarding financial performance, the franchise provides an Item 19 in its Franchise Disclosure Document (FDD), which contains crucial financial performance representations (FPRs) for select franchisees. While franchisors are not legally mandated to disclose specific earnings information, when they choose to do so, these disclosures must appear in Item 19 and be meticulously supported by documented data, ensuring transparency and credibility. The reported gross revenue of $828,535 for the brand is a significant indicator, as it is noted to exceed the fast-casual sub-sector average by 19%. This impressive figure underscores a solid unit-level performance within a highly competitive dining landscape, suggesting that individual franchise locations are capable of generating strong sales volumes relative to industry benchmarks. This performance metric provides valuable insight into the revenue-generating potential of a single franchise unit. However, the provided search results do not explicitly disclose specific median revenue figures across the entire franchise system, nor do they detail comprehensive profit margins or other granular financial metrics such as net profit, operating expenses, or return on investment for the Expedia Cruises franchise. The FPI Score of 25, which is also provided for the Expedia Cruises franchise, serves as an independent metric that typically reflects franchisee satisfaction and other qualitative aspects of the franchise system's health. While not a direct financial