General

Industry

Food and Beverage

Category

Fast Casual Restaurant

SBA Identifier

S5003

Year of Founding

2014

Fees

Marketing Fee

2%

Royalty Fee

5%

Franchise Fee

$25,000-$25,000

Investment Range

$532K-$897K

Location units

Total U.S. Locations

36

U.S. Franchised Units

32

U.S. Corporate Units

4

Headquarters (City)

Atlanta

Other

Item 19 - Franchise Financials

Yes

Financing Availability

-

Started Offering Franchises

2015

Issuance of FDD Data

04/22/2022

What to know about Rusty Taco franchise?

You will operate a restaurant that offers freshly prepared food made with quality, fresh ingredients inspired by the flavors of Mexico and Texas, along with an assortment of alcoholic and non-alcoholic beverages under the Rusty Taco® trade name, trademark, and business system (“Restaurant”) in an atmosphere designed to be a neighborhood gathering place.

Rusty Taco is based in Atlanta, GA. Scroll down to learn more!

How much does a Rusty Taco franchise cost?

Are you wondering how much is a Rusty Taco franchise? Before starting a Rusty Taco franchise, it is important to know the franchise fee, working capital and other costs required to start the business.

The minimum investment amount required to open a Rusty Taco franchise is $531,900 and can go all the way up to $897,450. Keep in mind, you should also allocate additional funds to live off of while the Rusty Taco business ramps up. This can take as little as 6 months to over 2 years depending on the franchise opportunity. You should speak to at least 5 Rusty Taco franchisees to understand the true cost of opening the franchise and how long it takes to: 1) start a Rusty Taco business 2) pass break even 3) hit significant income.

After (and if) you pass the point of earning significant income from your Rusty Taco franchise, there may be enough margin to hire a day-to-day manager and work less hours in the business.

Franchise Net Unit Growth

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Download our guide to compare Rusty Taco. Hotels to the Fast Casual Restaurant, Outdoor Food and Beverage industry.

Franchise Data

Year Start of Year Units Opened Units Closed End of Year
2016 6 1 0 7
2017 7 8 0 15
2018 16 6 0 22
2019 22 4 1 25
2020 25 7 2 30
2021 30 2 0 32

Additional Details

How much does a Rusty Taco franchise owner make?

Rusty Taco franchise earnings and revenue can vary significantly from one franchisee to another.
The Rusty Taco franchise owner profits can be influenced by labor costs, lease rates, hours worked as well as other factors.

Rusty Taco discloses financials at the unit level. In other words, they show how much Rusty Taco franchisees made in the past. Through analyzing this information available in the metrics tab, it can serve as a good basis to further explore the opportunity or not.

At Vetted Biz, we advise you to speak with 5 to 10 franchisees to understand how much money they are making from the Rusty Taco franchise. Roughly 60% of franchises disclose financials and it makes the process easier when filtering potential franchise opportunities like Rusty Taco. Don’t just speak to existing franchisees, call franchisees who have recently left the system and try to find out how much those Rusty Taco owners were making.

Visit the Rusty Taco metrics tab to explore the financials for this business.

What is the Rusty Taco franchise fee?

Owning a Rusty Taco franchise requires 5% royalty fee and 2% marketing fee. These two expenses represent the main ongoing costs you can expect to pay the franchisor throughout the franchise relationship. There may be other ongoing fees disclosed in the Rusty Taco Franchise Disclosure Document

Keep in mind, there is also an initial Rusty Taco franchise fee of $25,000 that is included in the initial investment amount of $531,900 to $897,450. Depending on the franchise agreement you sign, you might have to pay the full franchise fee again if you decide to extend the Rusty Taco franchise relationship. Consult with a licensed franchise attorney to understand exactly what you receive for paying the Rusty Taco franchise fee of $25,000.

Visit the Rusty Taco metrics tab to explore the financials for this business, royalty and marketing fees compare to other Food and Beverage franchises. You can also compare these fees for 2,000+ franchises currently offered in the U.S.

When was Rusty Taco founded?

Rusty Taco started offering franchises in 2015. Rusty Taco was founded 8 years ago in 2014.

At Vetted Biz, we recommend franchises have 3-5 corporate locations and 5+ years of experience before offering a franchise. There needs to be proof that the business model works and is replicable before offering the franchise to other!

How many Rusty Taco locations are in the U.S.?

As of 2022, there were 32 locations across the U.S. There are also 4 corporate locations. Most Food and Beverage franchises like Rusty Taco have more franchised locations than corporate locations.

How many Rusty Taco franchises opened over the past few years?

Over the prior 3 years we have data for, Rusty Taco has opened 13 outlets throughout the U.S. Visit the Rusty Taco metrics tab to explore how the openings compare to other Food and Beverage franchises.

How many Rusty Taco franchises closed over the past few years?

Over the prior 3 years we have data for, Rusty Taco has closed 3 outlets throughout the U.S

Visit the Rusty Taco metrics tab to explore how the openings compare to other Food and Beverage franchises.

Is Rusty Taco growing? Are they opening more locations than they are closing?

The net unit growth rate for Rusty Taco over the past 3 years is 45%. Over the last year we have data for, Rusty Taco had a net unit growth rate of 7%.

Without a comparison, this number doesn’t mean much. Compare how the Rusty Taco growth rate compares to 2,000+ other franchises and Industry franchises like Rusty Taco. More info in the Rusty Taco metrics tab.

Is Rusty Taco franchise eligible for an SBA Loan?

Rusty Taco is eligible for SBA loans including the 7(a) loan. To find out more about the SBA loan program for franchising click here.

Rusty Taco franchise was assigned the SBA Franchise ID of S5003 on 04/02/2020. This DOES NOT mean the SBA endorses this franchise. The SBA Franchise Directory will only include business models like Rusty Taco that are reviewed and found eligible under SBA’s affiliation rules and other eligibility criteria. Currently, there are over 7,000 franchise opportunities that the SBA has deemed eligible for SBA financing.

Is Rusty Taco a franchise in the United States?

According to the SBA, Rusty Taco meets the Federal Trade Commission (FTC) definition of a franchise. The FTC Franchise Rule requires franchisors to provide all potential franchisees with a disclosure document (FDD) containing 23 items about the franchise, its officers, and other franchisees. Be sure that Rusty Taco provides you with an FDD if you are in discussion to buy a Rusty Taco.

What is the Rusty Taco Franchise for Sale Rate?

The Rusty Taco systemwide health and franchisee satisfaction can be measured by the Rusty Tacofranchise for sale rate. The franchise for sale rate is calculated by the percentage of units transferred to new franchisees and reacquired by franchisor.

Rusty Taco franchise for sale rate over the past 3 years is 3%. Over the last year we have data for, Rusty Taco had a franchise for sale rate of 3%.

Without a comparison, this number doesn’t mean much. Compare how the Rusty Taco franchise for sale rate compares to 2,000+ other franchises and Industry franchises like Rusty Taco. More info in the Rusty Taco metrics tab.

What is the Rusty Taco Franchise Failure Rate?

Rusty Taco franchise failures comprise franchise terminations, franchise non-renewals, and franchises that ceased operations for other reasons. The failure rate is one of the most important franchise metrics to consider when investing in a franchise!

Rusty Taco failure rate over the past 3 years is 9%. Over the last year we have data for, Rusty Taco had a franchise failure rate of 0%.

Without a comparison, this number doesn’t mean much. Compare how the Rusty Taco franchise for sale rate compares to 2,000+ other franchises and Industry franchises like Rusty Taco. More info in the Rusty Taco metrics tab.

How can I find out more details on Rusty Taco franchise?

Visit the Rusty Taco metrics tab to explore franchise profitability, industry comparables and more. Become a Vetted Member today today for exclusive access on this franchise opportunity!

Investment Midpoint

The average of the low and high range of the investment amounts calculated from the most recently available Franchise Disclosure Document

Rusty Taco

$714,675

Industry median

All franchises median

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Royalty Fee

The median royalty fee from the Franchise Disclosure Document

Rusty Taco

5%

Industry median

All franchises median

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Franchise Fee Midpoint

Payment that the franchisee must pay to the franchise owner in order to start a franchise.

Rusty Taco

$25,000

Industry median

All franchises median

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Item 19 – Financial Performance Representations

Historical financial performance representations

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Franchise Financials

Franchisor company financial information and financial performance representations, if disclosed by the franchisor.

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General

Industry

Food and Beverage

Category

Fast Casual Restaurant

SBA Identifier

S5003

Year of Founding

2014

Fees

Marketing Fee

2%

Royalty Fee

5%

Franchise Fee

$25,000-$25,000

Investment Range

$532K-$897K

Location units

Total U.S. Locations

36

U.S. Franchised Units

32

U.S. Corporate Units

4

Headquarters (City)

Atlanta

Other

Item 19 - Franchise Financials

Yes

Financing Availability

-

Started Offering Franchises

2015

Issuance of FDD Data

04/22/2022

Detailed Franchise metrics for Rusty Taco

Detailed Franchise Metrics are metrics calculated and reviewed by Vetted Biz. You can find the available metrics for Rusty Taco below. “N/A" or Not Applicable results mean that there is not enough data available to compute a precise rate or that the result is not mathematically computable. When results are not mathematically computable, you should pay attention to the absolute values (#) instead of the percentage rate itself.

Growth Rate

The percentage change of total franchise units from one year to the next by franchisor.

 

1 year

3 years

Rusty Taco

20%

45%

Industry median

All franchises median

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Franchise for Sale Rate

The percentage of units transferred to new franchisees and reacquired by franchisor.

 

1 year

3 years

Rusty Taco

0%

3%

Industry median

All franchises median

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Net Unit Growth (most recent year)

Net Unit Growth (3 years)

Failure Rate

Franchise failures comprise franchise terminations, franchise non-renewals, and franchises that ceased operations for other reasons.

 

1 year

3 years

Rusty Taco

4%

9%

Industry median

All franchises median

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Business details

Company Name

http://www.rustytaco.com/

Business email

**********@******.com

Mailing address

Three Glenlake Pkwy NE

State headquarters

Georgia

Owner Name

Rusty Taco

Phone

+1 (000) 0********00

City

Atlanta

Zip code

30328
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