Famous for its rainbow-colored margaritas, Baby Acapulco is an Austin, Texas hotspot. Baby Acapulco, founded in 1981, is family owned and operated, and serves fajitas, the famous Baby Acapulco soup, and enchiladas. Baby Acapulco also has the best Happy Hour in Austin. The casual dining restaurant has indoor/outdoor seating, a cozy fireplace, 15 TVs, and garage parking. There is also a valet service available on Thursday, Friday and Saturday. Baby Apapilco features an outdoor stage with live music, karaoke and open mic. The restaurant also offers catering, for corporate events, charity fiestas, birthdays, anniversary parties and weddings.