Capital TacosFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Capital Tacos franchise requires a total initial investment of $129K – $428K, including a $49K franchise fee and an ongoing 6.0% royalty[2]. Per the 2023 FDD, average unit revenue was $1.5M[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2023 FDD issuance
Overview
- Investment
- $129K – $428K
- 5th pct Service Resta…
- Avg gross sales
- $1.5M
- 16th pct Service Resta…
- Royalty
- 6.0%
- 26th pct Service Resta…
- Units
- 8
- 18th pct Service Resta…
- SBA default
- N/A
Quick verdict · Full-Service Restaurants · color = vs category peers
Green = >15% above Full-Service Restaurants avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Each dollar invested generates 5.3x in gross revenue, well above the typical 1.5-2.5x range.
105% cash-on-cash return (based on Operating Income). Above the 20% threshold most investors target.
Bottom line
- Total investment $129K – $428K including a $49K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $1.5M/year (median $1.5M), with an estimated 105% cash-on-cash return (based on Operating Income).
- Verdict A (Top Quintile) with a risk score of 33/100.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- KJ-Licensing, LLC
- Parent company
- Capital Tacos Holdings, LLC
- CEO title
- Co-Founder and Director
- James Marcus
- CEO experience
- 2018 yrs
- Years in role or industry
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- FL
- HQ
- 23110 SR 54 #139, Lutz, Florida 22549
- Auditor
- Kezos & Dunlavy
- Audited financials
- Franchisor revenue
- $427K
- Most recent fiscal year
Overview
About
Capital Tacos franchisees operate quick-service taco restaurants, managing food preparation, inventory, staffing, and customer service in a counter-service model. Day-to-day operations involve managing COGS (typically 28–35% in QSR), labor scheduling, maintaining food safety standards, and driving local marketing to meet the $1.49M average revenue benchmark.
- CEO
- James Marcus
- Headquarters
- FL
- Founded
- 2018
- FDD year
- 2023
- States available
- 1
FDD Item 7 · 2023 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $49K | $49K |
| Working capital (3–6 mo) | $15K | $40K |
| Equipment, build-out, other | $65K | $339K |
| Total initial investment | $129K | $428K |
Source: Capital Tacos 2023 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$141K
9.5% margin
Unlevered ROIC
46%
EBITDA / total invested capital
Payback
26 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $129K – $428K
- Better than avg vs category
- Liquid capital req'd
- $15K – $40K
- Better than avg vs category
- Franchise fee
- $49K – $49K
- Better than avg vs category
- Royalty
- 6.0%
- percentage_of_gross · typical 6–8%
- Ad fund
- 2.5%
- typical 3–5%
- Total fee load
- 8.5%
- vs 9–13% typical
- Payback period
- 1.0 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.5% of gross sales |
| Technology fee | $2K |
| Transfer fee | $25K |
| Renewal fee | $3K |
| Total fee load | 8.5% of rev |
Financial Performance
- Avg gross sales
- $1.5M
- Per unit, per year
- Median gross sales
- $1.5M
- Avg operating income
- $291K
- Reported as Operating Income in FDD Item 19
- Cash-on-cash
- 104.6%
- Based on Operating Income / investment midpoint
- Item 19 type
- Historical
- Sample size
- 4 units
- vs category median 13 · small
- Range (low → high)
- $1.2M→$1.8M
- Cohort dispersion (min → max)
- Transparency
- 10 / 5
- vs category median 4 / 5 · above
Compared against 1264 Full-Service Restaurants brands
Revenue is 5.3x the investment midpoint. At typical franchise margins, this suggests a payback under 3 years.
vs Full-Service Restaurants averages
How Capital Tacos Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 8
- Opened
- 1
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 7
- Corporate units in the system
- % franchised
- 13%
- vs corporate-owned
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 8
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 23 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 contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 7 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 7
- Loan volume
- $1.4M
- Median loan
- $144K
- 50th percentile
- Charge-off rate
- N/A
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 2
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Capital Tacos's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 1 lenders with concentration factor
- Per-state charge-off rates across 3 states
- Startup risk premium and job creation velocity
- 1-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Small, stagnant franchise system with undisclosed financial performance data, franchisor stability concerns, and unverified unit economics creates moderate-to-high risk despite protected territories and no litigation.
Litigation (Item 3)
No litigation required to be disclosed
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Kezos & Dunlavy
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: No
- Must buy proprietary products: No
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 33 / 100 rating
- 01MINOROnly 8 units with unknown growth trajectory suggests stagnant or shrinking system
- 02HIGHGoing Concern = False indicates potential financial instability or viability questions at franchisor level
- 03MEDNo Item 19 (Financial Performance Representations) disclosed — cannot validate if $291k average net income is achievable
- 04MINORWide investment range ($129k–$427k) suggests inconsistent buildout costs or hidden variables
- 05MINOR6% royalty on $1.49M average revenue = $89,400/year in fees — sustainability unclear at lower-performing units
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 2 |
| Territory type | Radius/Population |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 45 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Tampa, Florida |
| Governing law | Florida |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 52 hrs
- On-the-job training
- 88 hrs
- Training location
- On-site and corporate
- Ongoing training
- Required
- Time to open
- 12 mo
- From signing to launch
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
31 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Capital Tacos · FDD (2023) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Capital Tacos franchise?
The total investment to open a Capital Tacos franchise ranges from $129K – $428K, with an initial franchise fee of $49K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Capital Tacos franchise owners earn?
According to Item 19 of the Capital Tacos FDD, the average gross sales per unit is $1.5M. The median is $1.5M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Capital Tacos's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Capital Tacos (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Capital Tacos franchise locations are there?
As of their most recent FDD filing, Capital Tacos has 8 total units in the United States, including 0 franchised units and 7 company-owned units. 1 new units were opened in the latest reporting year.
Is Capital Tacos a good franchise to buy?
FranchiseVerdict rates Capital Tacos as a A-grade franchise with a risk score of 33 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.