Officers responded to reports of shots being fired at Mooney Boulevard and Princeton Avenue around 8:30 pm.
Investigators say after the argument, both groups started firing shots at each other.
Officers found bullet holes in a nearby vehicle, and the gunfire also hit a neighboring business. No one was hurt.
Police tracked down 24-year-old Jacinto Acosta, who is accused of being connected to the shooting.
He was booked on several charges, including assault with a deadly weapon, being a gang member in possession of a firearm and gang enhancement.
Visalia police are still investigating the incident and ask anyone with information to call Detective Leo Seguraat (559) 713-4739 or the
Anonymous Tip Line at (559) 713-4738.