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Rusty Taco Franchise FDD, Costs & Fees (2026)

Fast-casual taco restaurant franchise featuring a menu of creative and flavorful tacos, highlighting a variety of fillings and salsas.

KEY FRANCHISE STATS

Franchisees

?

36
+
9%
9%
Franchise fee

?

$30,000
Investment

?

$528,000 - $1,128,000
Revenue (AUV)

?

Undisclosed

$601,000

+
-44.3%
-44.3%
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Rusty Taco, founded in 2010 by Rusty Fenton and his wife Denise in Dallas, Texas, captures the spirit of a local taco stand, offering a variety of fresh, authentic street-style tacos.

The franchise stands out with its commitment to authenticity, fresh ingredients, and straightforward menu, reflecting the true essence of Mexican street food.

Rusty Taco’s offerings celebrate traditional flavors, featuring tacos paired with beverages like margaritas and beer, in line with Rusty's belief that "Tacos are the most important meal of the day."

In 2018, the franchise returned to its original name, "Rusty Taco," after a brief period as R Taco. This change marked a return to the brand’s foundational principles and honored the legacy of Rusty Fenton, who aspired to share his love for authentic tacos with a wider audience.

Initial investment

The initial investment required for a Rusty Taco franchise is $528,000 - $1,128,000. That is the total cost you would need to finance 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 $30,000
Rent and Security Deposit $3,000 – $10,000
Utility Deposits $6,000 – $10,000
Construction, Remodeling, and Leasehold Improvements $253,000 – $621,000
Permits and Licenses $3,000 – $6,950
Architect Fee $20,000 – $60,000
Furniture, Fixtures, Equipment, and Signage $163,000 – $250,000
Initial & Opening Training Costs $0 – $15,000
Computer System $2,000 – $5,000
Initial Inventory/Supplies $7,400 – $10,000
Professional Services $5,000 – $15,000
Initial Advertising and Marketing Expenses $10,000 – $15,000
Insurance $6,000 – $30,000
Additional Funds (3 months) $20,000 – $50,000
TOTAL $528,400 – $1,127,950

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Type of Expenditure Amount
Initial Franchise Fee $30,000
Rent and Security Deposit $3,000 – $10,000
Utility Deposits $6,000 – $10,000
Construction, Remodeling, and Leasehold Improvements $253,000 – $621,000
Permits and Licenses $3,000 – $6,950
Architect Fee $20,000 – $60,000
Furniture, Fixtures, Equipment, and Signage $163,000 – $250,000
Initial & Opening Training Costs $0 – $15,000
Computer System $2,000 – $5,000
Initial Inventory/Supplies $7,400 – $10,000
Professional Services $5,000 – $15,000
Initial Advertising and Marketing Expenses $10,000 – $15,000
Insurance $6,000 – $30,000
Additional Funds (3 months) $20,000 – $50,000
TOTAL $528,400 – $1,127,950

Franchise Disclosure Document

Below is Rusty Taco's 2025 Franchise Disclosure Document. Upgrade to Pro or purchase the FDD to view and download the document.

Number of units

Rusty Taco had 37 total units in 2025, of which 36 were franchised-owned and 1 company-owned.

Competitors

Below are some of

Rusty Taco

key competitors in the

Mexican

sector.

Franchise
Franchisees
Royalty fee
Total investment
Revenue
Upgrade
EBITDA
Upgrade

36

New
+
9%
9%

5.00%

$528,000

-

$1,128,000

$601,000

n.a.

$xxx,xxx

n.a.

xx%

n.a.

Training 

The franchisor's training program for franchisees covers a wide range of topics to ensure they are well-prepared to manage and operate a Rusty Taco Restaurant. The training includes:

Introduction/Orientation Franchisees are introduced to the Rusty Taco brand, its culture, values, and operational philosophy. This initial phase lays the groundwork for the entire training program, aligning franchisees with the company's expectations and standards.

Restaurant Operations This comprehensive section addresses the essential day-to-day management and operational skills required to run a Rusty Taco Restaurant. Franchisees receive hands-on training in kitchen operations, customer service, staff management, food safety, and adherence to health and regulatory guidelines.

Marketing/Customer Services This segment provides franchisees with the tools and knowledge to effectively market their restaurant and engage with customers. Topics include local store marketing strategies, brand promotion, customer relationship management, handling customer feedback, and using social media to boost customer engagement and restaurant visibility.

Territory Protection

The franchisor offers franchisees a "Protected Territory," typically defined as a geographic area centered around the franchisee's restaurant, usually within a specified radius.

Within this Protected Territory, the franchisor agrees not to open or permit the opening of another competing Rusty Taco Restaurant during the Franchise Agreement term, as long as the franchisee remains in full compliance with the agreement. Despite this protection, the franchisor maintains certain rights within and beyond the Protected Territory.

These rights include the ability to develop and establish other business systems using the same or different trademarks, to advertise and promote the franchise system, and to operate non-traditional Rusty Taco Restaurants at any location, including within the Protected Territory.

Frequently Asked Questions

Competitors

Below are some of Rusty Taco's key competitors in the Mexican sector.

Taco Rico or Taco Works

Franchisees

?

3
+
0%
0%
Investment

?

$155,000 - $341,000
Revenue

?

Upgrade

Mike's Red Tacos

Franchisees

?

0
+
n.a.
n.a.
Investment

?

$640,000 - $1,988,000
Revenue

?

Upgrade

Mucho Burrito

Franchisees

?

1
+
n.a.
n.a.
Investment

?

$470,000 - $925,000
Revenue

?

Upgrade

District Taco

Franchisees

?

2
+
n.a.
n.a.
Investment

?

$734,000 - $1,458,000
Revenue

?

Upgrade

Chronic Tacos

Franchisees

?

29
+
-36%
-36%
Investment

?

$284,000 - $884,000
Revenue

?

Upgrade

Taco Cabana

Franchisees

?

6
+
0%
0%
Investment

?

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

?

Upgrade

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