- Franchise 500 Rank
-
N/R Not ranked last year
- Initial investment
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$523K - $1.1M
- Units as of 2024
-
32 8% over 3 years
Rusty Fenton, Denise Fenton, and Steve Dunn opened the doors to the first Rusty Taco location in 2010. However, the story of this eatery began way before that with the Fentons’ love for food and travel. On one of his travels to Acapulco, Mexico, Rusty took his first bite of a taco from a roadside vendor, and was sold. Rusty began to envision an eatery serving up tasty yet simple delicacies.
Rusty Taco does not claim to boast anything fancy, just lots of flavor. This eatery strives to serve up all this at an affordable price, much like buying tacos from a street vendor in Mexico. Rusty Taco hopes to make each customer feel right at home when they visit, offering food from warm chips to delicious tacos and icy margaritas.
Rusty Taco began franchising soon after opening its first location and has since opened more than 25 franchises throughout the United States.
Why You May Want To Start a Rusty Taco Franchise
If you are all about big and bold flavors served in a homey setup, then opening a Rusty Taco franchise could be a good decision for you. Franchisees are expected to have a great personality, enjoy working with people, and have a love for good food. Apart from the obvious business know-how that any businessperson should have, you may not need any other prior restaurant experience to run one of these franchises. All the training you need may be provided by Rusty Taco.
Opening a Rusty Taco franchise could offer a more predictable outcome than investing in a completely new brand that may struggle to thrive in an already crowded and competitive industry.
What Might Make a Rusty Taco Franchise a Good Choice?
Rusty Taco provides a street-taco-inspired menu that is authentic and uses fresh ingredients for flavorful yet affordable menu items. It is a restaurant that strives to offer a welcoming and approachable ambiance that could be a place where friends and families love to hang out. The food is made-to-order, unpretentious, and simple. The operations may be simple and manageable, too.
To be part of the Rusty Taco franchise team, you should make sure you’re financially ready for an initial investment made up of a franchise fee and other startup costs. In addition, you should prepare yourself for ongoing fees that will include advertising, royalty, and potential renewal fees. Franchisees will also need to meet the company’s set net worth and liquid capital requirements.
How To Open a Rusty Taco Franchise
Before making any financial commitment or signing an agreement with Rusty Taco, you must perform your due diligence and establish if this is the right opportunity for you. As part of your due diligence, you may want to speak to existing franchisees and ask the franchising team questions.
If awarded a franchise, franchisees may receive a great deal of support from the Rusty Taco brand throughout the franchising process. In addition to pre-opening training, franchisees receive support through brand awareness, marketing, research, and construction.
Company Overview
About Rusty Taco
Business Overview
| Franchising Since | 2010 (15 years) |
|---|---|
| # of employees at HQ | 50 |
| Where seeking |
This company is offering new franchises throughout the US. |
| # of Units | 32 (as of 2024) |
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Information for Franchisees
Here's what you need to know if you're interested in opening a Rusty Taco franchise.
Financial Requirements & Ongoing Fees
Here's what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.
|
Initial Franchise Fee
|
$25,000 |
|---|---|
|
Initial Investment
|
$523,400 - $1,120,950 |
|
Net Worth Requirement
|
$1,000,000 |
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Cash Requirement
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$500,000 |
|
Veteran Incentives
|
50% off franchise fee |
|
Royalty Fee
|
5% |
|
Ad Royalty Fee
|
1% |
|
Term of Agreement
|
10 years |
| Is franchise term renewable? | Yes |
Financing Options
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
| Third Party Financing | Rusty Taco has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll |
|---|
Training & Support Offered
Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.
| On-The-Job Training | 144-172 hours |
|---|---|
| Classroom Training | 16-28 hours |
| Ongoing Support |
Newsletter
Meetings & Conventions
Grand Opening
Online Support
Security & Safety Procedures
Lease Negotiation
Field Operations
Site Selection
Proprietary Software
Franchisee Intranet Platform
|
| Marketing Support |
Ad Templates
National Media
Regional Advertising
Social Media
SEO
Website Development
Email Marketing
Loyalty Program/App
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Operations
Additional details about running this franchise.
| Is absentee ownership allowed? | No |
|---|---|
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Can this franchise be run from home/mobile unit?
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No |
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Can this franchise be run part time?
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No |
| # of employees required to run | 20 |
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Are exclusive territories available?
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Yes |
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