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Taco Cabana franchise — is it worth it?

Quick-service restaurant · FDD-based assessment · registered 2024

Medium risk Stable network

Taco Cabana is a quick-service restaurant franchise with an initial investment ranging from $1.3 million to $2.6 million.

Everything below is free, read straight off Taco Cabana's registered filing, with where the numbers land against quick-service restaurant peers. Weighing Taco Cabana against other options? Get a free shortlist of franchises that fit your budget.

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Total initial investment
$1,304,500 – $2,644,000
Bottom quartile for quick-service restaurant · median $604,609
Initial franchise fee
$45,000
FDD Item 5
Royalty
5%
FDD Item 6
Item 19 earnings
Not disclosed
no franchisor earnings
Litigation (Item 3)
None
none disclosed
Outlet network
6 units
flat last year

Figures above are as disclosed in Taco Cabana's most recent FDD (registered 2024). Source: California Dept. of Financial Protection and Innovation — Franchise Registration · filing app-30151 — check it yourself. See every other California-registered franchise.

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Taco Cabana franchise profit — what the FDD discloses

Plainly: Taco Cabana does not disclose franchise profit or revenue. Its most recent FDD makes no Item 19 financial performance representation, so there is no franchisor-backed earnings figure for Taco Cabana — any number quoted elsewhere is an estimate, not a disclosure. The absence is itself worth weighing (56% of quick-service restaurant franchisors in our corpus do disclose); the fees, litigation and outlet churn Taco Cabana's FDD does contain are on this page. For brands that put earnings on paper, see Fast food & quick-service restaurant franchises with disclosed Item 19 earnings.

Taco Cabana lawsuits & legal history (FDD Item 3)

Taco Cabana's most recently filed Franchise Disclosure Document (2024) discloses no litigation in Item 3. That is a real signal rather than a gap: the FTC Franchise Rule requires a franchisor to disclose material litigation involving itself, its predecessors, parents, affiliates and management, so an empty Item 3 in a current filing means there was nothing it was required to report. It is worth reading alongside the churn numbers — a system can have a clean Item 3 and still be losing franchisees, which is what Item 20 shows.

Taco Cabana closures & failure rate

Before you sign, Taco Cabana will hand you a list of current owners to call as references — and they choose who's on that list. It won't include the owners who quit, got bought out, or were forced out last year. The FDD does report that number, even though the reference list leaves those people off. Below is what Taco Cabana's most recent filing shows, and whether it's normal for a quick-service restaurant of this kind.

The closest thing an FDD has to a failure rate is Item 20 — outlet openings, closures, terminations and non-renewals, reported by the franchisor. Taco Cabana's latest tables show a stable franchised network. Net franchised outlets moved 0 to 6 in the latest reported year.

Who owns Taco Cabana?

Taco Cabana's franchise is offered by Taco Cabana Franchising Inc — the franchisor named on the cover of its most recently filed Franchise Disclosure Document (2024), and the entity a franchisee actually signs with. That name comes straight off the filing at CA DFPI; it identifies the franchisor, not necessarily the ultimate parent company behind it.

Quick-service restaurant franchises at a similar investment level

Anyone weighing Taco Cabana is really weighing it against the other brands their money could go into. These are the closest by total initial investment (FDD Item 7), each with its own FDD-based page.

Taco Rico or$249,000 – $372,500 · Item 19 disclosedSushi Damu USA$314,850 – $610,500 · Item 19 disclosedTaco Bell;$287,950 – $857,700Taco John's$814,400 – $2,039,250 · Item 19 disclosedPanda Express$514,500 – $3,275,500 · Item 19 disclosedHabit Burger & Grill$1,031,500 – $2,864,500 · Item 19 disclosedLee's Famous Recipe®$1,340,600 – $2,564,000 · Item 19 disclosedNative Grill and Wings$1,017,000 – $2,905,000 · Item 19 disclosedFish & Chips$1,508,000 – $2,415,000Huey Magoo's Chicken Tenders$1,111,600 – $2,893,500 · Item 19 disclosedDQ Grill & Chill$1,510,100 – $2,550,100 · Item 19 disclosedFuzzy's Taco Shop$1,049,500 – $3,040,500 · Item 19 disclosed

Taco Cabana franchise — frequently asked

Who owns Taco Cabana — who is the franchisor?

Taco Cabana's most recently filed FDD (2024) names Taco Cabana Franchising Inc as the franchisor — the entity you would actually sign the franchise agreement with, as stated on the disclosure document itself. A registry filing names the franchisor, not necessarily its ultimate parent company.

How much does a Taco Cabana franchise cost?

Taco Cabana's most recently filed FDD (Item 7) puts the total estimated initial investment at $1,304,500 – $2,644,000, with an initial franchise fee of $45,000 and a 5% royalty. That price is the franchisor's own estimate of what it takes to open, not a quote. Against quick-service restaurant peers it sits in the bottom quartile (median $604,609).

How much profit does a Taco Cabana franchise make?

Taco Cabana makes no Item 19 financial performance representation, so there is no franchisor-disclosed revenue or profit figure for Taco Cabana at all — and profit would never be disclosed even where earnings are, because it depends on your rent, labor and how you operate. Any profit figure quoted elsewhere is an estimate, not a disclosure.

Does Taco Cabana disclose financial performance (Item 19)?

No — Taco Cabana's most recent FDD makes no Item 19 financial performance representation. Its absence is worth weighing: 56% of quick-service restaurant franchisors in our corpus do disclose.

Are there lawsuits against Taco Cabana?

No — Taco Cabana's most recently filed FDD (2024) discloses no litigation in Item 3. Franchisors must disclose material litigation involving themselves, their predecessors, parents, affiliates and management, so an empty Item 3 is a genuine signal rather than an omission.

Is Taco Cabana a good franchise to buy?

Nobody can answer that from Taco Cabana's numbers alone — it comes down to how its investment, earnings, litigation and franchisee churn stack up against quick-service restaurant peers and against your own budget. Our read on this filing is medium risk. Every figure behind that read is on this page for free. If you're comparing options, the free shortlist on this page matches you with 5–10 franchises that fit your budget and industry.

Just watching Taco Cabana?

Get a free email when something changes on Taco Cabana or quick-service restaurant: a new FDD registration, a new lawsuit, an outlet count that shifts, or Item 19 earnings going from undisclosed to disclosed. Pulled straight from the same state registries this page is built on.

This report compiles and structures publicly filed Franchise Disclosure Document (FDD) data from state franchise registrations. It is not legal, financial, or investment advice, is not affiliated with or endorsed by any franchisor, and does not replace reading the full FDD or consulting a franchise attorney or accountant. All figures are as disclosed by the franchisor in its most recent registered FDD. Item 19 financial performance representations are made at the franchisor’s option and may be absent or limited.