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District Taco Franchise FDD, Costs & Fees (2025)

District Taco is a fast-casual Mexican franchise offering made-to-order tacos, bowls and margaritas, serving lunch and dinner crowds, and known for fresh ingredients, bold regional flavors and franchise growth momentum.

District Taco is a fast-casual franchise offering Mexican cuisine rooted in the traditional flavors of the Yucatán. The brand began in 2009 when Osiris Hoil teamed up with his neighbor, Marc Wallace, to launch a small food cart in Rosslyn, Virginia.

That humble cart quickly grew into a full restaurant concept, fueled by Hoil’s family recipes and the popularity of Yucatán-style dishes. Today, the company operates from its headquarters in Falls Church, Virginia, where it manages its multi-state growth.

Before opening the opportunity to franchise partners in 2021, District Taco built a strong foundation with several company-owned restaurants throughout Washington, D.C., Maryland, and Virginia.

The brand differentiates itself in the competitive fast-casual Mexican market through its emphasis on fresh ingredients, authentic regional flavors, and a versatile menu. Customers can choose from tacos, burritos, bowls, quesadillas, and other customizable items featuring grilled meats, roasted peppers, and house-made salsas.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Type of Expenditure Amount
Initial franchise fee $25,000
Leasehold improvements $500,000 to $850,000
Architect/Engineer costs $20,000 to $30,000
On-site evaluations $0 to $500
Restaurant assets $165,000 to $300,000
Signage $5,000 to $25,000
3 months’ rent $0 to $75,000
Security deposit $0 to $50,000
Opening inventory and supplies $5,000 to $20,000
Office and business supplies $1,000 to $5,000
Grand opening marketing $5,000
Training expenses $6,000 to $14,000
Miscellaneous opening costs $0 to $1,000
Utility deposits $0 to $10,000
Business licenses, including liquor license $1,000 to $20,000
Insurance $750 to $2,250
Additional funds – 3 months $0 to $25,000
Total Estimated Initial Investment $733,750 to $1,457,750
Type of Expenditure Amount
Initial franchise fee $25,000
Leasehold improvements $500,000 to $850,000
Architect/Engineer costs $20,000 to $30,000
On-site evaluations $0 to $500
Restaurant assets $165,000 to $300,000
Signage $5,000 to $25,000
3 months’ rent $0 to $75,000
Security deposit $0 to $50,000
Opening inventory and supplies $5,000 to $20,000
Office and business supplies $1,000 to $5,000
Grand opening marketing $5,000
Training expenses $6,000 to $14,000
Miscellaneous opening costs $0 to $1,000
Utility deposits $0 to $10,000
Business licenses, including liquor license $1,000 to $20,000
Insurance $750 to $2,250
Additional funds – 3 months $0 to $25,000
Total Estimated Initial Investment $733,750 to $1,457,750

District Taco

2024

Franchise Disclosure Document

Number of units

Training

District Taco provides a structured and multi-phase training program to its franchisees designed to ensure operational consistency and uphold brand standards. Here are the key training programs the franchisor offers:

  1. Initial Training Program
    This is mandatory for the Operating Principal, General Manager, Multi-unit Manager (if applicable), two managers, and any other designated attendees. The training includes classroom instruction, on-site hands-on training at an operating District Taco restaurant, remote learning via online platforms, and self-study components. All attendees must complete the training to the franchisor’s satisfaction before the restaurant can open.
  2. Opening Trainer Program
    Upon request, District Taco provides an Opening Trainer for up to 10 days—starting before and continuing after the opening of the franchise location. This trainer assists in brand standards training. For second or subsequent locations opened by the franchisee, the franchisee is responsible for the trainer’s travel, lodging, meals, and related expenses.
  3. Ongoing Training and Evaluation
    Throughout the term of the franchise agreement, District Taco may require attendance at periodic training sessions, evaluation programs, or conventions. These may be delivered in-person or virtually. Attendance may be mandated for the Operating Principal, Multi-unit Manager, General Manager, or other designated personnel. Franchisees are responsible for any associated fees and travel expenses.

Territory Protection

District Taco offers a form of limited territory protection through the assignment of a “Primary Area of Responsibility” (PAR) in its Franchise Agreement. Franchisees retain exclusivity within this area, and District Taco typically refrains from granting additional franchises within it during the agreement term.

However, this protection is contingent on meeting minimum annual gross sales benchmarks, which start at $1.0 million in year one and increase to $1.2 million by year three. The franchisee does not have the right to expand within or beyond the Primary Area of Responsibility unless granted explicitly.

Additionally, District Taco and its affiliates reserve the right to sell similar or competitive products using other channels, including online and non-traditional locations, even within a franchisee's protected area. This means that while there is some territorial protection, it is neither absolute nor exclusive in all business contexts.

Competitors

Below are some of

District Taco

key competitors in the

Mexican

sector.

Franchise
Franchisees
Initial fee
Total investment
Revenue
Sign up
Gross Profit
Sign up
EBITDA
Sign up

2

New
+
n.a.
n.a.

$25,000

$734,000

$1,458,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

Competitors

Mucho Burrito

Mucho Burrito is a fast-casual Mexican restaurant franchise offering burritos, bowls, tacos, and catering, serving lunch and dinner guests seeking bold flavors, and known for fresh-prepared ingredients, customizable entrees, and a contemporary brand backed by strong training and support.

Franchisees

?

1
+
n.a.
n.a.
Investment

?

$470,000 - $925,000

District Taco

District Taco is a fast-casual Mexican franchise offering made-to-order tacos, bowls and margaritas, serving lunch and dinner crowds, and known for fresh ingredients, bold regional flavors and franchise growth momentum.

Franchisees

?

2
+
n.a.
n.a.
Investment

?

$734,000 - $1,458,000

Chronic Tacos

Chronic Tacos is a fast-casual franchise offering customizable tacos, burritos, bowls, and Mexican favorites, serving lunch and late-night diners, and known for fresh ingredients, made-to-order prep, and a laid-back California vibe.

Franchisees

?

29
+
-36%
-36%
Investment

?

$284,000 - $884,000

Taco Cabana

Taco Cabana is a fast-casual Mexican restaurant franchise serving tacos, fajitas, and freshly prepared salsas in a relaxed, colorful setting.

Franchisees

?

6
+
0%
0%
Investment

?

$1,267,000 - $2,776,000

Barrio Burrito Bar

Barrio Burrito Bar is a Mexican restaurant franchise specializing in build-your-own burritos, tacos, and bowls with fresh ingredients and bold flavors.

Franchisees

?

0
+
n.a.
n.a.
Investment

?

$432,000 - $773,000

Talkin' Tacos

Talkin’ Tacos is a Mexican street food franchise serving tacos, burritos, and other Tex-Mex dishes with bold flavors.

Franchisees

?

0
+
n.a.
n.a.
Investment

?

$271,000 - $575,000

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