Mike’s Red Tacos Franchise is Going National

A San Diego birria brand is making a big move.

In this case, it’s Mike’s Red Tacos that just announced a national franchise initiative, an expansion, and they already have over 200 locations in development.

That’s not a projection…that’s signed deals.

Mike’s Red Tacos Franchise Expansion And Their Story

Mike’s Red Tacos started as a food truck in 2021. And it became popular and grew fast.

For instance, Yelp named it one of the Top 100 restaurants in the United States in 2023. Today it operates two high-performing locations in San Diego, with a third opening this March.

In a nutshell, the concept is built around beef birria, a signature dip, and a bold visual identity. Plus, their tagline, “the dip is worth the drip,” gives you a sense of the brand’s personality. Basically, it skews heavily toward Millennials and Gen Z customers who want authentic food and a shareable experience.

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Who’s Behind the Mike’s Red Tacos Expansion?

You need to know that this isn’t a mom-and-pop operation hoping to get lucky. The leadership team has serious credentials. Look:

• Vincent Montanelli was named company president. He spent nearly 20 years at Wetzel’s Pretzels in various leadership roles
• Bill Phelps, co-founder of Wetzel’s Pretzels and former CEO of Dave’s Hot Chicken — is an early investor and advisor
• Andrew Feghali, the first-ever Dave’s Hot Chicken franchisee and a multi-unit operator with Jersey Mike’s and Little Caesars in his portfolio, is also on board

And these aren’t names you take lightly in the franchise world.

Some of the Numbers Behind This Food Franchise Opportunity

Here’s what makes this interesting from a market perspective.

According to research firm Datassential, birria appeared on just 0.5% of U.S. menus in 2020. By 2028, that number is projected to exceed 5%. That’s a 10x increase in menu penetration in under a decade.

And Mike’s Red Tacos is positioning itself to lead that category.

Notably, the 200-plus locations under development span markets including California, Michigan, Minnesota, Texas, Virginia, Arizona, Illinois, and New England.

Moreover, the franchisees who’ve already signed come with experience at brands like Dave’s Hot Chicken, Jersey Mike’s, Blaze Pizza, Dunkin’, Little Caesars, and Carl’s Jr.

Furthermore, a new corporate location in Pasadena, California will open this spring. It will serve as both a prototype store and a brand training center. The first franchise locations are expected to open by the end of 2026.

Note: I haven’t tasted their food, but the pictures of some of their tacos on their Instagram page are mouth-watering!

What to Watch for With Mike’s Red Tacos Franchise

According to a recent press release, the brand has strong average unit volumes, a small-footprint model, and a leadership team that’s done this before. That combination matters.

Finally, if you’re a multi-unit operator looking at emerging brands, Mike’s Red Tacos deserves a close look. The birria category is heating up. And this brand-and their expansion, appears to be in front of it.

For more information, check out their franchising website.