Qdoba Franchise Cost (2026): $463K–$1.45M Fast-Casual

Qdoba Mexican Eats franchise startup costs run $463K–$1.45M for a fast-casual Mexican concept owned by Apollo Global Management. Qdoba's queso-forward menu and drive-through capable formats differentiate it in the fast-casual Mexican segment.

Key takeaways

Total estimated startup cost: $463,000–$1,450,000 (fast-casual Mexican)
Franchise fee: $30,000
Ongoing royalty: 5%; advertising fund: 2%
Owned by Apollo Global Management; 750+ locations
Drive-through and non-drive-through formats available

Qdoba Mexican Eats is a fast-casual Mexican franchise founded in Denver in 1995. The brand was acquired by Apollo Global Management in 2018 when Jack in the Box divested it to focus on its core QSR business. Qdoba operates 750+ locations across the US and Canada, with a mix of company-owned and franchised units. The brand's signature is its queso — free with any entree, a point of differentiation versus competitors who charge extra. Menu centers on burritos, bowls, tacos, and quesadillas. Qdoba actively franchises drive-through capable locations, expanding its QSR-adjacent positioning.

Total startup cost breakdown

Per the current FDD filed under the FTC Franchise Rule (16 CFR Part 436), total estimated initial investment for a Qdoba Mexican Eats franchise runs $463,000–$1,450,000. The wide range reflects whether a drive-through lane is included:

Franchise fee: $30,000
Leasehold improvements and build-out: $175,000–$650,000
Kitchen and service equipment: $120,000–$300,000
Furniture, fixtures, and signage: $40,000–$120,000
Drive-through equipment (if applicable): $30,000–$80,000
POS and technology: $15,000–$35,000
Initial inventory: $10,000–$25,000
Training and travel: $8,000–$20,000
Grand opening marketing: $8,000–$20,000
Working capital (3 months): $25,000–$60,000
Professional fees, permits, insurance: $15,000–$30,000

Ongoing fees

Qdoba charges a 5% royalty on gross sales plus a 2% advertising fund contribution, for a combined 7% of gross sales. The 2% ad fund is lower than many fast-casual competitors — Qdoba supplements the brand fund with local marketing requirements. Technology and POS licensing fees apply separately.

Financing options

Qdoba Mexican Eats is listed on the SBA Franchise Directory, qualifying franchisees for expedited SBA loan processing. Financing paths:

SBA 7(a) loan: Covers franchise fee, leasehold improvements, kitchen equipment, and working capital. Inline non-drive-through builds at the lower investment range fit within SBA 7(a) standard program parameters.
SBA 504 loan: For franchisees acquiring real estate or building a freestanding drive-through location, SBA 504 pairs a bank loan with an SBA-backed debenture.
Equipment financing: Commercial kitchen equipment can be financed separately, preserving SBA capacity for build-out and franchise fee.
Conventional commercial loan: Multi-unit operators with strong balance sheets may access conventional lending at competitive rates.
Working capital line of credit: Supports food cost and payroll during the pre-opening and ramp-up period.

Realistic ROI timeline

Fast-casual Mexican concepts with drive-through capability typically target break-even within 24–42 months, with drive-through locations achieving higher average unit volumes. Qdoba's free queso differentiation drives repeat visit frequency — a key driver of fast-casual economics. Lunch and dinner split broadly evenly, with catering contributing meaningful incremental revenue for operators in office-dense trade areas.

Who's a good fit

Qdoba suits operators with QSR or fast-casual restaurant experience who want a drive-through capable format and a differentiated fast-casual Mexican menu. The higher investment floor versus Moe's reflects the more buildout-intensive drive-through footprint. Multi-unit operators building a QSR portfolio often pair Qdoba with other fast-casual concepts. Net worth of $500K+ and liquid capital of $150K+ are typical financial benchmarks.

What lenders look for in a Qdoba franchise application

Qdoba is listed on the SBA Franchise Directory, so SBA-approved lenders process your loan application using an expedited eligibility path without SBA individually reviewing the franchise agreement. At $463K–$1.45M, key underwriting factors are:

Debt service coverage ratio (DSCR): SBA 7(a) guidelines require a minimum DSCR of 1.15× — the business must generate at least $1.15 in annual cash flow for every $1.00 in debt service. Most SBA lenders apply 1.25×–1.35× for QSR restaurant startups, where sales volumes ramp over 6–18 months post-opening. A monthly cash flow pro forma using realistic AUV targets and a conservative ramp curve is essential.
Equity injection: SBA requires a minimum 10% equity injection from non-borrowed funds. At the $463K–$1.45M range, lenders typically require 20–25% — at a $900K mid-range project, that means $180K–$225K from borrower funds — to reduce lender exposure during build-out and the initial ramp period.
Net worth and liquidity: Qdoba's disclosed financial benchmarks (net worth $500K+, liquid capital $150K+) align closely with what SBA lenders require. Applicants below the liquid capital threshold face lender scrutiny even with adequate net worth on paper.
QSR or restaurant management experience: Prior ownership or management of a QSR, fast-casual, or food-service operation is a positive underwriting signal. SBA lenders view owner-operator experience as a risk mitigant on first-unit restaurant deals.
Monthly cash flow pro forma: Lenders model projected gross sales against annual debt service. Model assumptions should reflect realistic AUV benchmarks for Qdoba's format (drive-through vs. inline) and trade area competitive density.

Deal structure tip for larger Qdoba builds

For drive-through builds at the upper investment range ($1.2M+), layering SBA 7(a) (franchise fee, leasehold improvements, working capital) with equipment financing (commercial kitchen, POS, drive-through equipment secured by the assets themselves) can reduce the SBA loan balance and improve the DSCR calculation on the 7(a) portion. See SBA 7(a) loan terms for current rates and repayment structures.

Apply for franchise financing

ClearValue Lending works with fast-casual and QSR franchise operators on SBA, equipment, and working capital financing. Apply for franchise financing at Find my match. Your file routes to one matched lender.

Sources

Qdoba Mexican Eats is listed on the SBA Franchise Directory, qualifying franchisees for expedited SBA loan eligibility. — SBA Franchise Directory
SBA 7(a) and SBA 504 loans finance franchise startups including leasehold improvements, drive-through equipment, and working capital for fast-casual restaurant concepts. — SBA 7(a) Loan Program
All franchise cost and fee disclosures are governed by the FTC Franchise Rule requiring a Franchise Disclosure Document (FDD) be delivered at least 14 days before signing. — FTC Franchise Rule — 16 CFR Part 436
Qualifying restaurant equipment placed in service during the tax year may be immediately expensed under IRS Section 179, reducing the after-tax cost of the initial kitchen investment. — IRS Publication 946

Frequently asked questions

How much does a Qdoba Mexican Eats franchise cost in 2026?

Per the current FDD, total estimated initial investment runs $463,000–$1,450,000. The $30,000 franchise fee, leasehold improvements, and kitchen equipment are the primary cost drivers. Drive-through locations are at the higher end of the range.

Who owns Qdoba Mexican Eats?

Qdoba is owned by Apollo Global Management, which acquired the brand from Jack in the Box in 2018 for approximately $305 million. Apollo also owns a portfolio of restaurant and consumer brands.

What is the Qdoba royalty rate?

Qdoba charges a 5% royalty on gross sales plus a 2% advertising fund contribution, for a combined 7% of gross sales — lower than many fast-casual competitors.

Can I finance a Qdoba Mexican Eats franchise with an SBA loan?

Yes. Qdoba is on the SBA Franchise Directory. SBA 7(a) covers inline non-drive-through builds within standard program limits. Drive-through freestanding locations may use SBA 504 for the real estate component. Kitchen equipment can also be financed separately.

Does Qdoba offer drive-through locations?

Yes. Qdoba actively franchises drive-through capable formats, which have higher build-out costs but generate higher average unit volumes than inline locations. Qdoba's drive-through positioning differentiates it from most other fast-casual Mexican concepts.

What DSCR do lenders require for a Qdoba SBA loan?

SBA 7(a) guidelines set a minimum debt service coverage ratio (DSCR) of 1.15× — the business must generate at least $1.15 in annual cash flow for every $1.00 in debt service. Most SBA lenders apply 1.25×–1.35× for QSR restaurant startups during the 6–18 month ramp before steady-state volumes are reached. For a Qdoba build, construct a monthly cash flow pro forma using realistic AUV benchmarks for your format (drive-through vs. inline) and stress-test against total annual debt service. SBA underwriting guidelines are published at sba.gov.