Franchise Blog

Ellianos Coffee Company will offer firefighters and police officers a free medium specialty drink all next week (May 21 – May 25) to lift spirits during the exhausting fight against the blazing fires affecting North Florida and South Georgia.

Firefighters and police working to contain the blaze can drive-thru any of Ellianos Coffee Company’s participating franchise locations to receive their free specialty beverage. They may choose from any drink on the menu, including: hot coffee and espresso drinks to give them extra energy to fight the blaze, or refreshing iced lattes, latte freezers or fruit smoothies to cool them down after a long shift.

“We love to give back to the community,” says President Mick Rynning. “We are calling this initiative Service+1, as we always strive to provide the best service to our customers, but we want to do one better by giving back to the community and providing service above and beyond expectations. It’s our way of showing our deepest appreciation to those who risk their lives to keep our communities safe from harm.”

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When Blimpie, the submarine sandwich franchise, opens a new shop at East 224th Street and Meridian Avenue in Graham, I can say I witnessed the genesis of the idea.

The International Council of Shopping Centers annual conference starts in Sin City on Sunday. But the dealmakers didn’t wait that long to start talking. They didn’t even wait until they arrived here where an expected 44,000 developers, commercial real estate brokers, retailers and restaurateurs meet in the city’s largest conference of the year.

At 6:45 a.m. Saturday at SeaTac Airport’s gate D11, I waited for an Alaska Airlines flight. I bumped into Jeff Lyon, president and CEO of the real estate brokerage GVA Kidder Matthews, and Bob Levin, manager of the City of Tacoma’s Private Capital Division. As we chatted about each of our conference plans, a large man sitting in the waiting area stood up. “Excuse me,” he said, “but I couldn’t help overhearing.”

The man was David Hepner, the Pacific Northwest area developer for Blimpie. He was on his way to the Las Vegas conference to talk with brokers about his company’s big push to site multiple Blimpie franchises from Olympia to the Canadian border.

Lyon immediately suggested some retail pads under development at one of the main intersections in Graham and told Hepner he’d provide his contact information to one of the GVA Kidder Matthews brokers.

He first noticed it while driving his two sons home from school.

There it was in red block letters, the sign that read: “Bad Ass Coffee” and advertised a new business being built on Three Oaks Parkway in Estero. Mike Galdine, a 38-year-old locksmith who lives in San Carlos Park, was dumbfounded.

The Bad Ass Coffee Company of Hawaii

“I got a 9-year-old and a 6-year-old,” Galdine said. “And both of them can read.”

So he explained to his kids that the picture of donkey above the company logo was where the word “ass” came in. And then he began looking into how this happened, how, in a community of high-end stucco homes and wealthy retirees, did a business with this particular name find its way into south Lee County.

“I guess ‘Bad Mule Coffee’ didn’t have the same ring,” Galdine said.

Turns out permits for the franchise were issued a while ago, that Bad Ass Coffee had gone through every hoop county planners had to offer when it came to establishing a business here.

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World’s largest ink refilling retailer appoints Bob Moglia

Cartridge World, the world’s largest ink refilling retailer, has recently announced that Bob Moglia will be taking the reigns as the company’s Vice President of Real Estate.

With his appointment, Moglia will assist Cartridge World in its major global expansion plans, which call for 300 new franchise locations throughout the U.S. by the end of 2007, which adds to the company’s current 550 locations.

“The increasing level of interest in Cartridge World’s franchising opportunity mixed with our planned growth, has prompted us to hire Bob Moglia as our new Vice President of Real Estate,” said Cartridge World’s COO and EVP of Operations John Dring. “We look forward to having Bob with us during the continued growth and expansion of our company.”

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Shawn Lowry resigned as director, president and CEO of Brooke Franchise Corp., effective May 25.

Brooke Corp. said in a release that Lowry is leaving to “pursue other investment and professional opportunities.”

Lowry also resigned as director, vice president and treasurer of Brooke Corp., effective Friday. Brooke Corp.’s board elected Kyle Garst, senior vice president of Brooke Franchise, to succeed Lowry on the board and Anita Lowry to succeed him as vice president and treasurer of Brooke Corp.

Chad Maxwell will succeed Shawn Lowry as a director of Brooke Franchise. Maxwell joins Dane Devlin, Kyle Garst, Bryan Whipple and Leland Orr.

Robert Orr, chairman and CEO of Brooke Corp., will serve as interim CEO of Brooke Franchise until its board elects a new CEO.

Shawn Lowry also withdrew from the controlling shareholder group of Brooke Corp., effective Friday. Members in Brooke Holdings Inc., consisting of Robert Orr, Leland Orr, Michael Lowry, Anita Larson and Garst, have orally agreed to continue voting their shares of Brooke Corp. common stock together. As a group, they beneficially own about 51 percent of the outstanding shares of Brooke Corp. common stock as of Thursday’s close.

Camp Bow Wow, the leading doggy daycare and boarding franchise in North America, has announced that it has recently opened its first franchise location in the state of Nebraska. The camp, located at 11819 Stonegate Circle, will introduce the Camp Bow Wow lifestyle to pets and their parents in the Omaha community. Nebraska is the 16th state in the U.S. to open Camp Bow Wow facilities, which are also present in Canada.

“Omaha is a wonderful community that adores their animals and wants them treated with the utmost respect,” said Katherine Bartling, Omaha franchise owner. “Camp Bow Wow, with our care for pet’s health, safety and well being, has been a welcome addition to the neighborhood and we look forward to great success.”

Camp Bow Wow has sold over 185 franchises, growing rapidly in new and existing markets, boasting 189% average growth year over year since it began franchising in 2003. Another camp has been sold in the Lincoln area and more locations are available.

“Omaha is the first of what we hope to be many locations in our neighboring state of Nebraska,” said Heidi Flammang, Top Dog and CEO of Camp Bow Wow, based in Colorado. “As we expand into cities across the country, we are pleased to join wonderful communities that seek our services, and Omaha is no exception.”

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Blue Moon Franchises LLC, a division of the Blue Moon Mexican Cafe, announced today that it has signed an agreement with Franchise Development Network, Inc., to assist with the company’s recently announced franchise program and Northeast U.S. expansion plans.

Blue Moon Franchises LLC is actively seeking qualified owner/operators and has set a goal to award seven to ten new franchise locations within the next year. The Blue Moon Mexican Cafe has been a fixture on the metro N.Y. restaurant scene for over twenty years with locations in Manhattan, Bergen County, N.J. and Westchester County, N.Y.

“Blue Moon Franchises has an outstanding experienced management team, led by Howie Felixbrod, and the unit economics for the company restaurants are phenomenal,” said Darren Yelin, president of Franchise Development Network, Inc. “Over the past several weeks I have obtained an inside view of the operation and am very impressed. The Blue Moon Mexican Cafe has built a very loyal repeat customer base with their ‘neighborhood’ concept, and I believe the model has tremendous potential as a franchise.”

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QSR strives to to tell both sides of the story. But that’s not easy to do when one side won’t talk.

For the past year, writer Fred Minnick has written several articles on Quiznos and not once did its executives give him an “on the record” comment. He’d be stuck with attributing press releases, internal Quiznos documents, or court records. The problem with that is ink on paper doesn’t tell the whole story.

Then, Greg Brenneman entered the picture. Within 48 hours of hearing QSR wanted an interview, the new Quiznos chief executive called.

Brenneman doesn’t normally grant interviews so early in his tenure. He went nine months at Burger King before talking to the press. But as he explained to Minnick: “We’re not in the business of not talking to people.”

And so, after hundreds of unreturned phone calls, emails, two faxes, and one snail-mail letter, QSR is pleased to bring you Quiznos’s side of the story.

How have your first couple months on the job been? It’s been fun to dive into Quiznos. I bought a piece of the company and agreed to come in and really take a look at this. And that is pretty much my style—I’m a Kansas farm boy by background, and I grew up Mennonite. I learned a couple things early on: an incredible work ethic and treat everyone with dignity and respect.

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It is everywhere you look. Franchising is the fastest growing segment of our economy. To take advantage of that trend, the American Association of Franchisees and Dealers (AAFD) has selected PR Works, a Kingston, Mass. firm to make them even more famous.

The AAFD is a national non-profit trade association based in San Diego, California and representing the rights and interests of franchisees and independent dealers throughout the United States. Formed in 1992, the AAFD is focused on market driven reform to achieve its mission to define and promote collaborative franchise cultures that the AAFD describes as Total Quality Franchising. Since its formation the AAFD has grown to represent more than 50,000 franchise businesses throughout the United States. The AAFD currently has members in all 50 states and represents more than 100 different franchise systems.

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Restaurant Industry Veteran Eager to Grow Business, Further Establish Brand

Joe’s Crab Shack today announced the appointment of Ray Blanchette to chief executive officer. A food industry veteran with more than 18 years of restaurant operations experience, Blanchette will lead the charge to re-establish Joe’s Crab Shack as a leading destination restaurant chain.

Blanchette is not shy about expressing his enthusiasm for his new position. “The Joe’s Crab Shack brand is well-positioned within its segment and has an enormous potential for growth,” said Blanchette. “I’m extremely honored to join this youthful, fun, family-friendly organization and I welcome the opportunity to reinforce and build excitement around its reputation for great food, upbeat service and unique atmosphere.”

Prior to joining Joe’s Crab Shack, Blanchette served as president and chief operating officer for Pick Up Stix, a leader in the quick-casual dining segment with more than 100 locations in California, Nevada and Arizona. At Pick Up Stix, he was responsible for overseeing operations and leading the brand to significant sales growth. Blanchette also has held multiple positions within the T.G.I. Friday’s USA organization, including vice president of franchise operations, vice president of operations for its East division and executive director of its international division serving Europe, Africa and the Middle East.

During his 18-year tenure with Carlson Restaurants Worldwide, the parent company of Pick Up Stix and T.G.I. Friday’s USA, Blanchette was not only recognized for his financial and operations accomplishments, but also for his success in developing high-performance teams. As a result, he received many awards and recognition, including nominations for the prestigious Carlson Fellows Award in 2003 and Division of the Year for T.G.I. Friday’s in 2001, 2002 and 2003.

Blanchette holds a Master’s degree in Business Administration from Southern Methodist University and resides in both Houston, TX and Dallas, TX.

ABOUT JOE’S CRAB SHACK

Joe’s Crab Shack serves a varied menu that includes seafood, salads, burgers and sandwiches, steaks, chicken, pastas and a wide assortment of beverages in a carefree, beach and waterside atmosphere. JCS Holdings, Inc. purchased the Joe’s Crab Shack concept in late 2006.

The Great American Food Chain, Inc., a restaurant holding company and concept developer, announced today that an area developer has opened the first franchise location of Kokopelli Fresh Mexican Grill in Jacksonville, Florida.

This is the first of five restaurant units that are scheduled to open in the Jacksonville area. The store is located at 4375 Southside Blvd in Jacksonville.

Edward Sigmond, President of The Great American Food Chain, was quoted as saying “this is the first store to open under the complete direction of our company since the acquisition in August. This store encompasses the many changes to the interior design that we have implemented over the last several months as well as the new logo that will serve as the icon for Kokopelli moving forward. When GAMN acquired the Kokopelli concept we were very pleased with the quality of food and lively environment. In this store we have expanded on these strong foundations with improvements that are already proving to be well received by both our franchisees and the dining community in general. We expect Florida to be a strong market for us and are very excited about this location and having this area developer as part of our organization.”

The Great American Food Chain, Inc. (GAMN) acquired a 90% interest in Kokopelli Franchise Company, LLC in August of this year. Eight area developers have committed to opening 63 Kokopelli Fresh Mexican Grill restaurants over the next three years.

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Cold Stone Creamery®, the concept known for revolutionizing the way people think about ice cream in the United States, is now operating two stores in the land thought to have invented the frozen treat around the 4th Century BC.

On April 26, Cold Stone Creamery opened its first Shanghai, China store in the Raffle City Mall operating in approximately 500 square feet. This store is just one of 10 stores Cold Stone Creamery plans to open in 2007. In total, the company plans to operate 105 stores throughout mainland China in the next seven years.

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Pet Butler, the nation’s leading pet waste cleanup service franchise, has been recognized as the seventh fastest growing company in Collin County, Texas. Its ranking was announced Friday at the annual awards ceremony.

The company, which ranked 10th last year, has experienced a 72 percent compound annual growth rate based on its 2003 revenue, the base year used to calculate the Comerica Collin 60 finalists. Year by year, Pet Butler saw 30 percent growth in 2004, 55 percent growth in 2005, and a phenomenal 154 percent growth in 2006.

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Exclusive Licensing Agreement Formed to Quench Customers’ Cravings for Refreshing, Fruit-Filled Treats

For consumers wanting to beat the heat with edible or “sippable” fruit-filled snacks, then Carvel® Ice Cream franchise, maker of America’s freshest ice cream®, and Dole® Food Company, the world’s largest producer and marketer of high-quality fresh fruit, have plenty of ways to help.

Now through August 31st, participating Carvel retail locations nationwide and in Puerto Rico are inviting customers to chill out with the following Italian Ice flavors featuring Dole fruit: Very Cherry Ice, Mango Tango Ice, Piña Colada Ice and Rockin’ Raspberry Ice. These flavors are also available as Fizzler® beverages blended with tingly lemon-lime soda.

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Carlson Restaurants Worldwide Inc., parent company of T.G.I. Friday’s restaurants, plans to accelerate the development of T.G.I. Friday’s franchises within the U.S., effective immediately.

Multiple markets in New Mexico are among those being targeted.

“Our plan is to accelerate our domestic growth to over 60 restaurants per year by 2010, including both company and franchise expansion,” said Chris Devlin, senior vice president of development for Carlson.

Friday’s is seeking franchisees with significant hospitality experience operating three or more restaurant locations and the ability and infrastructure to implement an aggressive growth strategy. Although additional markets could be available, Friday’s announced the following target markets for potential franchisees: Alabama (Montgomery), Georgia (Savannah, St. Simons Island and Valdosta), Hawaii (Kauai and Maui), Louisiana (multiple markets throughout La.), Mississippi (Jackson and Meridian), Montana (Billings, Bozeman, Great Falls and Missoula), New Mexico (multiple markets available), Oregon (Bend, Eugene, Roseburg and Medford), Texas (El Paso, McAllen, Harlingen, Lerado) and Wyoming (multiple markets available

Pizza Fusion, the leader in the organic restaurant industry and a better quality of life, recently announced three new stores will open in South Florida through a deal with new franchise owners Linda and Rick Wilson, of Hillsboro Beach, Florida.

Together, the husband and wife entrepreneurial duo shares a collective wealth of business knowledge and food industry expertise. Linda Wilson formerly played a key role in the development and management of numerous Pottery Barn stores. “We’re really excited to be onboard with Pizza Fusion. Their concern for the environment and healthy, organic food menu is an excellent fit with our lifestyles,” Linda explains. “Being a part of a green business that shares our values will be rewarding on a number of levels. We’re proud to bring a healthy, organic, eco-friendly option to these growing communities.”

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Spicy Pickle Franchising Inc. has more than 50 new restaurants in the works across the United States, including in New York and Chicago.

The Denver company outlined its development efforts in a filing with the Securities and Exchange Commission Monday.

The Spicy Pickle restaurant chain said it has sold several franchises outside the Rocky Mountains and expects those locations to open in the next 18 months. A dozen sites are planned in San Diego, for example, and 10 are being considered in Indianapolis.

The company has 23 restaurants already open.

Spicy Pickle said franchise fees and royalties increased in the first quarter by 202 percent, to $221,643, because more franchises were sold and more restaurants were opened. The company said it recognizes initial franchisee fees typically when a restaurant opens.

Spicy Pickle recognized franchise fees of $85,000 in the first quarter with the opening of three locations. No new restaurants opened in the comparable period a year ago.

The company’s revenue rose to $221,643 in the first quarter from $189,951 a year earlier, but the losses increased as well, to $538,229 from $161,525.

Spicy Pickle in January registered the sale of as much as 10 million shares of common stock. The company said that through May 1 it has sold about 1.6 million shares at 40 cents a share.

A new franchise concept unseen in the American market has made its way from “Down Under” in a plan to grow its current franchise network from 60 to 300 in 3 years.

Entering the mobile and home based business market specifically targeting kids makes this franchise opportunity rank highly in the franchise system marketplace. Inflatable amusements is a niche industry and no one in America does it with such a systemized model like Jumping J-Jays.

Jumping J-Jays has been the industry leader in the franchising sector in Australia and New Zealand for the past 3 years as its successful system grew from 9 franchises in 2003 to just under 60 today. A string of awards has driven the party industry rental company to the top from Franchisor of the Year (Home based and mobile) to being named 2 years running in the prestigious Business Review Weekly annual FAST 100 companies. More recently, the Financial Review Magazine (January 2007)rated Jumping J-Jays as one of the ‘Super 7’ Franchise systems that will change your life.

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A local bicycle shop that has been doing business in Jacksonville for 15 years is expanding by franchising the concept. Open Road Bicycles will open its second franchised location, and fourth overall, in northern St. Johns County in June.

Owner Scott Summey started the business 14 years ago in a small space in the Miramar Shopping Plaza. He opened a second location in Avondale in 1997 and started thinking about expanding via franchising a couple years ago, in part, as a way to retain good employees.

“We had a pool of talent, some good individuals,” Summey said, “and we were trying to figure out what to do about retention.”

The first franchise opened on Fleming Island in April 2006, and the second will be on County Road 210. The upfront franchise fee is a modest $7,500, but franchisees are required to have $70,000 to $100,000 for startup costs, including land acquisition, buildout and inventory. And with Open Road being on the higher end of bike shops — the more expensive bikes in the shop cost several thousand dollars — inventory is a major expense.

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“Think, wink, and double-blink – close your eyes and jump!” It doesn’t take a magical spell to find the perfect childcare solution. With one click of the mouse or a quick phone call, parents in need of long-term or emergency childcare will be connected with the help they need.

Nanny Poppinz Corporate, Inc. is a Florida-based franchisor that trains franchisees to serve families in their area by recruiting, evaluating and referring the finest nannies and babysitters in the nation. With an extensive list of requirements and exacting standards, Nanny Poppinz delivers excellent care and customer service to families when they need it most. “We can boast that we are the only nanny agency to offer our services, 24 hours a day, 7 days a week,” said company president, Deneane Maldonado.

Now, after experiencing success in locations throughout Florida, the company is expanding nationally and joining forces with franchise expert Gary Findley to aid in the company’s growth. Findley is the CEO and founder of the Findley Group, a franchise consulting company based out of Waco, TX. Prior to starting the Findley Group, Findley served as President of Curves International, leading the fitness franchise to experience astonishing growth- from 50 locations in 1996 to more than 8,000 in 2004.

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