Rusty Taco Franchise FDD, Profits & Costs
Rusty Taco was established in 2010 by Rusty Fenton and his wife, Denise, in Dallas, Texas, with the vision of creating an authentic taco stand experience. The concept was inspired by Rusty’s unforgettable encounter with a fresh fish taco in Acapulco, which sparked his passion for bringing those bold, genuine flavors to his local community.
The franchise differentiates itself through its dedication to authenticity, high-quality ingredients, and a simple yet flavorful menu that embodies the essence of Mexican street food. Offering a selection of classic tacos alongside refreshing drinks like margaritas and beer, Rusty Taco embraces the philosophy that “Tacos are the most important meal of the day.”
After briefly operating as R Taco, the brand reinstated its original name, “Rusty Taco,” in 2018. This decision reaffirmed its core values and paid tribute to Rusty Fenton’s legacy, reflecting his lifelong mission to share authentic tacos with a broader audience.
The rebranding was celebrated at the original Dallas location, reinforcing the franchise’s deep community roots. Now part of Inspire Brands, Rusty Taco continues to expand while maintaining the same character and commitment to quality that have been integral to its identity since its founding.
Initial Investment
How much does it cost to start a Rusty Taco franchise? It costs on average between $529,000 - $1,130,000 to start a Rusty Taco franchised restaurant.
This covers expenses related to construction, kitchen equipment, inventory, and initial operational costs. The total investment varies based on several factors, such as the restaurant’s location, the chosen property type, and whether the franchisee opts to lease or buy the space.
| TYPE OF EXPENDITURE | AMOUNT |
|---|---|
| Initial Franchise Fee | $30,000 |
| Rent and Security Deposit | $3,000 to $10,000 |
| Utility Deposits | $6,000 to $10,000 |
| Construction, Remodeling and Leasehold Improvements | $253,000 to $621,000 |
| Permits and Licenses | $3,000 to $6,950 |
| Architect Fee | $20,000 to $60,000 |
| Furniture, Fixtures, Equipment, and Signage | $163,000 to $250,000 |
| Initial & Opening Training Costs | $0 to $15,000 |
| Computer System | $3,000 to $7,000 |
| Initial Inventory/Supplies | $7,400 to $10,000 |
| Professional Services | $5,000 to $15,000 |
| New Restaurant Marketing Program Fee | $10,000 |
| Other Marketing Expenses | $0 to $5,000 |
| Insurance | $6,000 to $30,000 |
| Additional Funds(3 months) | $20,000 to $50,000 |
| Total Estimated Initial Investment | $529,400 to $1,129,950 |
Average Revenue (AUV)
How much revenue can you make with a Rusty Taco franchise? A Rusty Taco franchised restaurant makes on average $924,000 in revenue (AUV) per year.
Rusty Taco Franchise Disclosure Document
Frequently Asked Questions
What funding options are available for a Rusty Taco franchise?
Most franchise buyers in Rusty Tacos investment range finance their unit through an SBA 7(a) loan, with some multi-unit operators using SBA 504 loans. Buyers with rollable retirement funds sometimes use a ROBS structure. See SharpSheets financial model hub for guidance.
How long does it take to pay back a Rusty Taco franchise investment?
Payback periods typically run 3-7 years depending on investment level, location performance, and financing structure. Actual payback varies significantly by unit performance and debt service obligations.
Who owns Rusty Taco?
Rusty Taco is currently owned by Gala Capital Partners, a private investment firm that acquired the chain from Inspire Brands in December 2022. Gala Capital Partners focuses on emerging restaurant franchise brands and also owns Cicis Pizza, Dunn Brothers Coffee, and MOOYAH Burgers, Fries & Shakes.
SharpSheets Editorial Team | sharpsheets.io | Last Updated: September 2026
Disclaimer
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Research Rusty Taco franchise data: For the full FDD cost breakdown, investment tables, and Item 19 disclosures, visit FranchisePayback.com → Rusty Taco FDD Review.
