If you have a passion for starting your own Mexican chain of fast-casual restaurants, then you should look at the Capital Tacos franchise.
Finding affordable fast-casual franchises that also serve delicious food is a herculean task.
But you leave your worries to us and go through this guide that will give you a detailed account of the Capital Tacos franchise, its cost, profit, etc.
About Capital Tacos
Capital Tacos is a Tex-Mex chain of fast-casual restaurants based in Tampa, FL, and founded in 2013 with the aim to provide the best authentic and home-made food right from scratch.
The Capital Tacos menu reflects dozens of signature and differentiated chef-created recipes, which is the reason why Capital Tacos has been named the Top 3 Taco place in the U.S.
Capital Tacos started franchising very recently in 2022, and if you are interested in owning a popular Mexican fast-casual restaurant chain, then keep on reading to find out if this business opportunity is worth it or not.
Capital Tacos Franchise Model
| Initial Franchise Fee | $49,000 |
|---|---|
| Initial Investment | $195,000 – $382,000 |
| Net Worth Requirement | $350,000 |
| Cash Requirement | $100,000 |
| Veteran Incentives | 10% off franchise fee |
| Royalty Fee | 6% |
| Ad Royalty Fee | 2.5% |
| Term of Agreement | 10 years |
| Is franchise term renewable? | Yes |
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How Much Does It Cost To Open A Capital Tacos Franchise?
According to the company’s website, the capital needed to start the Capital Tacos franchise is way less than any other major Tex-Mex Franchise.
Capital Tacos offers three types of franchise models, and the initial investment needed to start this franchise will vary depending on the type of franchise model you choose between:
Brick & Mortar: Initial Investment Range: $211,000 – $427,200
Static Trailer: Initial Investment Range: $222,205 – $307,527
Event Trailer: Initial Investment Range: $129,450 – $196,392
Capital Tacos Franchise Requirements
In order to be eligible for owning a franchise, different businesses have different requirements.
So to be eligible for owning a Capital Tacos franchise, the interested candidate must have a minimum net worth of $350,000 and liquid cash of $100,000.
Apart from this, the candidate must also have restaurant experience or should have an operating partner that does.
In case you meet these basic requirements, you can move ahead with the Capital Tacos franchise process.
Capital Tacos Franchise Revenue & Profit
The revenue and profit of the Capital Tacos franchise vary depending on the location, type of franchise model you choose, etc.
According to the company’s website, the Captial Tacos company-owned brick-and-mortar franchise generated $1,489,367 in net sales in the year 2022.
As per this figure, the gross profits of these 4 locations were $601,455 in the same year.
Here are the revenue and profit of Capital Tacos Static Trailers and Event Trailers business models:
- Annual revenue for Static Trailers : $332,148
- Annual pre-tax profits for Static Trailers: $115,572
- Annual revenue for Event Trailers : $108,000
- Annual pre-tax profits for Event Trailers: $44,712
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Capital Tacos Franchise Training And Support
One of the major concerns that candidates have while investing in a franchise is whether they will be given the required training and support or not.
Luckily, Capital Tacos offers initial training and support to candidates.
For this, the candidate must appear for 86-103 hours in classroom training and 85-98 hours on the job training in Tampa, FL.
The classroom training would cover software systems, recipes, food preparation, managing employees, running a location, opening, and closing responsibilities, etc.
Capital Tacos also offers the needed support to franchises that includes lease negotiation, site selection, vendor introduction, and more.
Overall, you can rest assured that you will be given all the necessary training and ongoing support to ease into the process.
Terms Of Agreement And Renewal
Another major thing that an interested candidate might think about is the term of the agreement and renewal of the franchise.
So the initial term of the Capital Tacos franchise is ten years, and renewal of the franchise is also available for additional ten years.
However, you must note that, in order to be eligible for the renewal, you must meet their renewal criteria.
In case you do not meet their eligibility criteria, then Capital Tacos may deny the renewal of the agreement. To know more about this, we advise you to get in touch with the company.
Capital Tacos Obligations And Restrictions
Many franchisors impose some obligations and restrictions on the way the franchise can work. This is done to ensure that the brand image and standards are not compromised.
So to own a Capital Tacos franchise, there are some operational guidelines and restrictions that you would need to adhere to.
Additionally, Capital Tacos might restrict you from selling any additional products without their approval. They might also restrict you from opening additional franchises without their approval.
You can learn about your legal right and the limits of running the Captial Tacos franchise by getting in touch with the company and obtaining their FDD.
Capital Tacos Franchise Financial Assistance
Capital Tacos does not offer direct or in-direct financing; however, they do offer some discounts to eligible candidates.
For example, Capital Tacos offers a 50% discount on the initial franchise fee to employees who have worked in a Capital Tacos franchise for a minimum of two years as a General Manager.
Eligible candidates also receive other incentives and support from Capital Tacos.
Additionally, Capital Tacos also offers a 15% discount on initial franchise fees for Veterans.
Capital Tacos Franchise Comparison
| Company | Franchise Fee | Royalty Fee | Initial Investment |
|---|---|---|---|
| Taco Bell | $12,500 | 4% – 6.2% | $861,950-$2.4 million |
| Del Taco | $35,000 | 5% of net sales | $862,700 – $2,136,500 |
| Capital Tacos | $49,000 | 6% | $195,000 – $382,000 |
Wrap Up
Compared to other Mexican restaurants, the Capital Tacos franchise is much more affordable and profitable.
The company also offers the needed training and support, discounts to eligible candidates, and three kinds of business models to choose from.
In case you want to open a popular and profitable franchise, then you can consider investing in the Capital Tacos franchise for sure.
FAQs
Where can I open Capital Tacos franchise?
Capital Tacos is seeking qualified candidates to open franchises across the nation, expect for: CA, IL, HI, IN, MD, MN, MI, ND, RI, NY, SD, VA, WA, and WI.
How can I apply for Capital Tacos franchise?
In order to apply for the Capital Tacos franchise, you simply need to go to their website, fill out and submit an application form.
Is Capital Tacos the best franchise?
Capital Tacos is a great option if you are looking to invest in a fast-casual restaurant. However, there is a whole list of best franchises that can you can explore and choose from.