Bottom line
- Total investment $9K – $632K including a $0 franchise fee.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 75/100.
- System contracting at -15.2% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one BluTaco unit return on the cash you put in?
Unlevered ROIC · per unit
38%
In Yale's "attractive" band (30–60%)
Overview
About
BluTaco franchisees operate fast-casual taco restaurants, likely handling food preparation, inventory management, staffing, and customer service. Day-to-day work involves production, sales, and operations management in a small footprint location.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 18 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
BluTaco presents HIGH RISK: a rapidly contracting system (15% YoY decline) with a franchisor in going concern status, no royalty stream, and undisclosed unit-level financials.
Score breakdown · what drove the 75 / 100 rating
- 01MINORSystem declining 15.2% YoY (29 units) — suggests franchisee dissatisfaction or market failure
- 02HIGHGoing Concern status = franchise company has material doubt about survival
- 03MINORZero royalties + $0 franchise fee = franchisor has minimal recurring revenue and weak incentive to support franchisees
- 04MINORNo average revenue or net income disclosure — inability or unwillingness to provide Item 19 indicates poor unit economics
- 05MINORWide investment range ($9K–$632K) suggests inconsistent execution or undefined business model
- 06MINORUnknown term length — lack of transparency on commitment period is unusual and risky
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
28 numbers
One-time purchase · CSV download · Validation questions included
FDD download
BluTaco · FDD (2025) PDF