Taco Cabana

    Franchise research report · reviewed 2025 disclosure data

    Reviewed sources

    Taco Cabana franchise specializes in fresh Tex-Mex cuisine served in a fast-casual restaurant setting, known for its made-from-scratch approach and vibrant atmo

    Headline figures

    Taco Cabana quick facts

    Is Taco Cabana a franchise?
    Yes. Taco Cabana offers franchises through a Franchise Disclosure Document. At the end of 2024, it reported 6 franchised and 140 company-owned outlets (2025 FDD, Item 20, PDF p. 53).
    How much does it cost to open a Taco Cabana franchise?
    The Taco Cabana Franchise Disclosure Document reports separate estimated initial investments by format: $1,334,500 for development chart total lower estimate excluding land (2025 FDD, Item 7, PDF p. 19); $1,266,500 for total single restaurant investment lower estimate excluding land (2025 FDD, Item 7, PDF p. 17). These formats are not combined. Each is the franchisor's disclosed estimate, not a quote. Details
    What ongoing fees does Taco Cabana charge?
    The disclosed ongoing royalty is 5% (2025 FDD, Item 6, PDF p. 11). The brand or advertising fund contribution is 3% (2025 FDD, Item 6, PDF p. 12). Other recurring fees are listed in Item 6. Details
    Does Taco Cabana disclose financial performance (Item 19)?
    Yes. The Taco Cabana FDD includes an Item 19 financial performance representation (2025 FDD, Item 19, PDF p. 52). Figures apply only to the locations and period each one covers. Details
    How many Taco Cabana locations are there?
    The FDD reports 146 outlets at the end of 2024 (2025 FDD, Item 20, PDF p. 53). Existing locations do not indicate territory availability. Details
    Is Taco Cabana a good franchise to buy?
    Franopolis does not rate or recommend franchises. From the reviewed FDD: Item 19 includes financial performance figures; check which locations and period they cover; Item 20 lists outlet openings, closures and transfers; Item 6 includes a brand or advertising fund contribution on top of royalty; Item 20 also lists current and former franchisees you can contact. Review the full FDD with a franchise attorney and accountant before deciding.

    From reviewed FDD figures only. Not a recommendation or projection.

    What the disclosures show

    1. 1The 2025 FDD (Item 7) estimates opening costs separately by format: $1,334,500 (Development chart total lower estimate excluding land); $1,266,500 (Total single Restaurant investment lower estimate excluding land); several initial fee options apply.
    2. 2Item 19 covers 6 separate groups: revenue and other measures for 75 Parent/predecessor-operated company restaurants locations; revenue and other measures for 36 Parent/predecessor-operated company restaurants locations; revenue and other measures for 108 Parent/predecessor-operated company restaurants locations; revenue and other measures for 143 Parent/predecessor-operated company restaurants locations; revenue and other measures for 143 Parent/predecessor-operated company restaurants locations; revenue and other measures for 143 Parent/predecessor-operated company restaurants locations. They are not combined.
    3. 3Outlets declined by 3 in 2024, to 146 (United States, as labeled in the FDD, Item 20).

    From reviewed FDD figures only. Not a recommendation or projection.

    Taco Cabana head-to-head

    Closest peers in the same subcategory, side by side from reviewed FDD figures. Not a ranking or recommendation.

    Costs · Items 5–7

    What does it cost to open?

    Estimated opening costs and the fees payable to the franchisor.

    Startup Investment — Item 7

    Range across 2 single-unit formats

    2025 FDD · Item 7

    Formats disclosed in Item 7 (2)

    Each format has its own total. The total depends on the format you choose.

    • Total single Restaurant investment lower estimate excluding landPDF p. 17$1,266,500
    • Development chart total lower estimate excluding landPDF p. 19$1,334,500

    Ongoing Fees — Item 6

    Selected recurring charges; payment bases and conditions remain attached to each fee.

    Weekly royalty on Gross SalesMain ongoing fee

    21 reported fees, each with its payment basis, are listed below; they haven't been sorted into recurring, initial and occasional groups yet.

    Financial Performance — Item 19

    What results are disclosed—and for which locations?

    6 separate populations, shown apart. Revenue is not owner income.

    75 locations

    Revenue and other measures · 75 locations

    Who is counted
    Top 50% company restaurants
    Excluded
    Six franchised restaurants provided no financial data
    Method
    Unaudited; uniform accounting methods consistent with GAAP; gross sales excludes paid sales taxes, refunds, used equipment, authorized promotions and employee discounts.

    These groups are never combined.

    Outlet Changes — Item 20

    How has the outlet count changed?

    United States, as labeled in the FDD · counts as of 2024 of each year.

    2025 FDD · Item 20 · PDF p. 53

    Net −3 outlets, 2022–2024

    01492022149202314620240−3

    Year-end counts reported in Item 20. The scale starts at zero, so the line looks nearly flat; the labels between the dots show each year's change. Openings and closures for 2024 haven't been pulled from the Item 20 tables yet, so no turnover or churn is shown.

    Questions to investigate

    Prompts based on what this brand's reviewed disclosures do and don't show — not conclusions. Join free as a member to save questions to your research.

    For the franchisor

    • Which line items in the 2025 Item 7 estimate ($1,266,500 – $1,334,500) vary most by market, and why?

    • Which initial fee option would apply to my situation, and what conditions or discounts affect it?

    • Which locations are included in the Item 19 figures, and which were excluded?

    • Reported units decreased from 149 to 146 in 2024. What drove the change?

    • Is a territory available in my area, and how is it defined in my agreement?

    For current and former owners

    • How did your actual startup costs and timeline compare with the Item 7 estimate?

    • How many hours a week do you work in the business, and in what role?

    • How do your results compare with the Item 19 figures, and what explains the difference?

    • What support from the franchisor has been most and least useful?

    For your advisors

    • Ask a franchise attorney to review the territory, renewal, transfer and termination terms.

    • Ask an accountant to build a cash-flow plan using your own assumptions, not the franchisor's.

    Sources & vintage history

    Every displayed fact is retained with its disclosure vintage, item, page, and reviewed status. Prior vintages remain on file rather than being overwritten.

    Citations (2025 FDD)

    1. [1]Item 19 — Locations counted not stated in the reviewed record — Top 50% company restaurants · PDF p. 52
    2. [2]Item 19 — Locations counted not stated in the reviewed record — Top 25% company restaurants · PDF p. 52
    3. [3]Item 19 — Locations counted not stated in the reviewed record — Top 75% company restaurants · PDF p. 52
    4. [4]Item 19 — Locations counted not stated in the reviewed record — All company restaurants · PDF p. 52
    5. [5]Item 19 — Locations counted not stated in the reviewed record — High company restaurants · PDF p. 52
    6. [6]Item 19 — Locations counted not stated in the reviewed record — Median company restaurants · PDF p. 52
    7. [7]Outlet counts — Item 20, Table 1 · PDF p. 53

    "PDF p." is the page in the PDF file; "printed p." is the number printed on the FDD page. Source document: FDD

    Territory & operations

    These are contract disclosures, not confirmation that any territory is currently available.

    Franchisor financial statements

    Fiscal yearMeasureReported value
    2024accounts receivableMore than one value recorded for this year — open the FDD source before comparing$84,803
    2024total current assets$647,740
    2024intangible assets, net$137,373
    2024retained earnings$285,113
    2024total stockholder's equity$785,113
    2024total liabilities and stockholder's equity$785,113
    2024royalty revenue$741,061
    2024advertising fund revenue$154,051
    2024general and administrative$181,715
    2024total operating expenses$181,715
    2024net income$713,397
    2024accounts payable and accrued liabilities-$5,250

    These figures describe the franchisor company, not individual franchise locations.

    SBA-backed loans to franchisees

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    Source: U.S. Small Business Administration 7(a) & 504 FOIA data. Loan volume is not a measure of franchisee success.

    At a glance

    Business history

    Not reviewed

    Owner participation

    Not reviewed

    Territory language

    Litigation disclosure

    Not reviewed

    Bankruptcy disclosure

    Not reviewed

    Agreement term

    Not reviewed

    Independent analysis of franchisor-provided data. Not investment advice. Franopolis does not distribute FDDs.

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