Spoon Me Book of Press Releases

http://retail-merchandiser.com/featured-retail-reports/featured-supplier-reports/665-spoon-me-get-ready-to-spoon.html

Spoon Me: Get Ready to Spoon

This frozen yogurt franchise is coming to a town near you with the goal of providing healthy dessert treats,

protecting the environment, and improving communities.

As a company, Spoon Me bucks all sorts of conventions. Its unique name reflects the youthful

and vibrant atmosphere its founders, one of which is CEO Ryan Combe, have created in its

frozen yogurt restaurants. Combe and his team are not just aiming for a healthy bottom line but

a healthy planet and healthy communities. The company’s ultimate goal is to create a more

personal way of doing business that the fast food industry as a whole has rejected.

“It all comes back to our three-fold mission statement: to love the body we live in, the people we live with,

and the earth we live on,” said Combe. “Everything we do pushes that mission forward, and that’s why Spoon

Me is leading the explosive growth in the frozen yogurt industry.”

Explosive aptly describes Spoon Me’s growth. Founded in October of 2007 by Combe, former VP of Lehman

Brothers in California David Jaynes, and Utah orthopedic surgeon Wayne Mortensen, the chain currently has

eight franchises operating in Utah and Arizona. Three more are slated to open in the fall in Idaho and Calgary,

Canada, and an additional 28 have been sold to franchisees. Combe estimates that in the next year, Spoon Me

will be in 12 states and scattered throughout Western Canada.

According to Combe, there is no better time to start a frozen yogurt franchise, despite a chilly credit market

and shrinking disposable incomes across the country.

Part of the reason is Americans are eating healthier, and though they may not want to give up dessert, they

are eager to try less fattening or sugary options. Spoon Me yogurt is fat-free, low-calorie, and has no artificial

flavoring, colors, sweeteners, or table sugar. It does have, however, live active cultures, vitamins, and minerals

and is high in calcium. Combe said he, his team, and food chemists spent nearly six months tasting current

frozen yogurt options and tinkering with just the right balance of creamy and sweet to develop a winning

recipe.

The best part is Spoon Me yogurts retail at between $4.00 and $6.00. Combe said people may opt for a pasta

dinner at home, but things have to get really bad before they cut back on a $5.00 dessert.

“We also target the 16- to 30-year-old demographic,” he added. “These are high school and college-aged kids

with limited disposable incomes but no mortgages and no mouths to feed, and they are looking for a hip,

healthy, new place to hang out.”

The company maintains a low price point despite the use of more expensive biodegradable spoons, cups,

straws, napkins, and more by using innovative and efficient shipping and storage processes and shrewd

negotiations with distributors. In addition to hurting for more business, Combe said all the vendors the

company works with are sold on its mission and eager to invest in its future success.

That isn’t to say Spoon Me hasn’t seen its share of challenges. In a highly competitive industry, the company

http://retail-merchandiser.com/featured-retail-reports/featured-supplier-reports/665-spoon-me-get-ready-to-spoon.html

decided to pursue franchising to grow quickly, but Combe and his team had little experience in that process.

So, they partnered with Franchise Foundry, a strategic investment partner for franchise concepts, in February.

The firm’s streamlined process weeded out the curious from the highly motivated and guided the company

through the sales process.

“The biggest challenge we’ve dealt with has been the lack of franchisees; people are scared to start a venture

in this economic climate, and there isn’t a lot of capital to support them,” said Combe. “Franchise Foundry has

been an invaluable partner in attracting and retaining franchise partners.”

He added that the company announced a six-month royalty vacation for all new franchise owners, which

Combe said are immediately part of the Spoon Me family. “We believe in our concept, and we will do

everything we can to support our partners and make them successful.”

So as Spoon Me’s start popping up across the country, Combe and his team are developing new ways to trim

back costs and drive up revenues. He said social media marketing has been a big part of the company’s

strategy. Spoon Me has Twitter and Facebook accounts, a company blog, and T-shirts and other merchandise

featuring tongue-in-cheek adaptations of the company name.

Additionally, from the beginning, Combe and his team developed a unique

corporate atmosphere to set Spoon Me apart at the highest level. There are no

TVs in any location because Combe said they want to foster a social setting.

The first thing associates say to customers when they walk in isn’t the typical

fast food greeting “What can I get for you” but rather “What’s up dude.” The

music playing in each location is also carefully selected, as are the color

schemes and designs for the stores.

Because of the effort from the top, Spoon Me stores have hundreds of

applications from young people eager to be a part of that culture, and it’s easy

to pick the cream of the crop and plug them into this model, according to

Combe. “It’s very easy to make a frozen yogurt dessert; I would say 95% of our

training for associates deals with building relationships with the customer. And

even that doesn’t require very much because that comes naturally when you put a high-performer in this

atmosphere,” he said.

Combe said the most important reason for successful creation of the culture at Spoon Me is how everything

has been tied into a bigger purpose from the beginning. Rather than taking tips, each location has jars labeled

“Keep the Change,” and the money collected is donated to a different local charity each month. So far, Spoon

Me stores have raised in excess of $30,000, and Combe expects to shatter that record in the coming year.

“We aim to succeed financially, but we don’t consider ourselves truly successful unless we are showing the

customers how much we appreciate their business by giving back to the communities that give to us,” Combe

concluded.

http://www.allbusiness.com/franchises/12606122-1.html

Frozen Yogurt Franchises: Fad or Trend?

Back in the 1980s, frozen yogurt shops took America by storm. Suddenly, it seemed like every

street corner was home to a shop selling frozen yogurt with a variety of toppings. After

dominating the frozen dessert industry for about 10 years, frozen yogurt was slowly overtaken

by premium ice cream shops and gourmet coffeehouses.

Fast forward to today, and this frozen treat is hot once more. Companies like Pinkberry, Red

Mango, YogurtLand and Freshberry are everywhere you look. Restaurants and Institutions

magazine named frozen yogurt one of its “Big Menu Ideas for 2009,” and Nation’s Restaurant

News named franchisor Red Mango as one of its 5 “Hot Concepts” for 2009. But is “fro-yo” a

fad, or a lasting trend?

“Yogurt will likely be a longer-lasting trend, and I see no reason why the frozen variety should

fade out sooner,” says Bret Thorn, Food Editor for Nation’s Restaurant News. “NPD reports a

steady increase in interest in probiotics--the reportedly healthful bacteria in yogurt and

elsewhere--over the past couple of years.”

Big-name frozen yogurt chains’ big growth plans indicate confidence in the future—and they’ve

got the funding to carry out their goals. Red Mango recently raised $1.2 million of a round of $8

million it is seeking, and plans to add 550 locations over the next five years. Pinkberry recently

raised $9 million in funding; Canadian chain Yogen Fruz recently expanded to the U.S.; and

Yogurtland expects to have more than 100 units by the end of 2009.

While the fro-yo concept may be saturated in New York and Los Angeles, there is still plenty of

opportunity elsewhere. “Most of the country remains innocent of the newer, tarter wave of

frozen yogurt,” says Thorn. “Foodservice company Sodexo just signed a 10-year deal with Red

Mango to open units in a variety of locations. Sweetgreen, a salad and frozen-yogurt chain in

Washington, DC, has reported impressive growth in this down economy and just opened its

second and third units.” In particular, Thorn says colleges and universities, and communities

with health-conscious, trend-focused people, are likely places for frozen yogurt to thrive.

Compared to other food-service concepts, frozen yogurt is low-investment, with small locations

and limited menus. Franchisors are offering financial incentives to make the investment even

lower. Red Mango’s Red’s Real Deal program, introduced in April 2009, provides a $10,000

discount off the franchise fee and an additional $10,000 for local store marketing to franchisees

who sign new franchise agreements by October 1, 2009. And Red Mango will buy back a new

franchisee’s store for up to $275,000 if the franchisee is not satisfied within the first six months

of opening.

http://www.allbusiness.com/franchises/12606122-1.html

“The Red’s Real Deal program is the boldest statement we could think of to express our intent

to grow our network and our commitment to develop a system of satisfied franchisees,”

explains James Franks, Red Mango’s Vice President of Franchising. Since offering the incentives,

Franks says, Red Mango has enjoyed enormous growth, and interest in joining the brand has

increased: “The company experienced record franchise agreements for the first two quarters of

2009, and is on track to have 80 stores open by year-end -- double the number of stores open in

2008.”

Franchisor Spoon Me recently began offering new franchisees a six-month royalty holiday,

which CEO Ryan Combe says is motivating new franchisees to sign faster. “This royalty permits

a margin for error, giving the franchisee a grace period allowing further preparation,” Combe

explains. “In addition, when a franchisee opens multiple stores, Spoon Me offers a discount

from their initial franchise fee so the cost of startup is significantly decreased.”

Frozen yogurt franchisors are taking steps to position their companies for the long haul. The

health benefits of yogurt, plus the store design (typically a “hip,” minimalist environment), are

important parts of the equation. “Red Mango offers health, taste and style, which are three key

ingredients for a lasting business,” says Franks. “[It’s] all-natural, gluten-free, fat-free and

certified by the National Yogurt Association’s Live and Active Culture seal program. The stores

focus on style, comfort, design and music, which gives guests a social experience.” Red Mango

is also expanding its offerings, such as the recent launch of the first probiotic ice teas to be sold

at retail.

At Spoon Me, “We market ourselves as a lifestyle brand,” says Combe. “Spoon Me focuses on

the atmosphere and personal relationships. We want people to come not just for the yogurt,

but for the experience.”

For more information on frozen yogurt franchises, visit the Frozen Dessert Stores section of the

AllBusiness.com Franchise Directory.

Karen Axelton is Chief Content Officer at GrowBiz Media (www.growbizmedia.com), a content

and consulting company that helps entrepreneurs start and grow their businesses.

Use of this site is governed by our Terms of Use Agreement , and Privacy Policy .

Copyright © 1999-2009 AllBusiness.com, Inc. All Rights Reserved

http://www.bizzia.com/franchisepick/spoon-me-interview-with-ceo-ryan-combe/

SPOON ME: Interview With CEO Ryan Combe

June 4, 2009 by Sean Kelly

Filed under SPOON ME YOGURT, top new franchises

Top New Franchises has the scoop on the new FroYo concept with the funky name: Spoon Me.

Spoon Me is “a frozen yogurt franchise company that cares about the body we live in, the

community we live with, and the world we live on. We have worked diligently to provide a

product that is extremely healthy and a way of doing business that will have a positive effect in

our stores and in the communities where they operate.”

The TNF interview with Spoon Me CEO Ryan Combe reveals that the Utah-

based franchisor is not just a Pinkberry knock-off, but has a clear focus on the

younger demographic that sets it apart from the competition. Spoon Me is

also interesting from the standpoint that it’s use of social media such as

Twitter, FaceBook, blogging and text messaging is perhaps the most

progressive in the category.

Here’s an excerpt from the Top New Franchises interview:

Top New Franchises recently had the opportunity to learn more from Spoon Me founder and

CEO Ryan Combe.

Top New Franchises: So, Ryan, what do you spoon at Spoon Me?

Ryan: Spoon Me frozen yogurt, of course. Our frozen yogurt is fat free, has less than 83 calories

per serving, and contains no table sugar or artificial sweeteners, colors, or flavoring. It’s natural

and quite tasty.


Our yogurt comes in three flavors: Natural. Green Tea. Or Acai

[pronounced ah-si-ee]. Toppings range from fresh berries to

coconut to Cap’n Crunch. Or all of the above.

Once people are done eating the yogurt, they can move on to

the edible spoon (which is made of corn starch). We also

offer smoothies and “heston-style” parfaits, made from the

same ingredients.

So it’s very simple product line, operationally, but gives the

customer lots of choices.

Top New Franchises: How and why did you start the Spoon Me concept?

Ryan: David James and I began seeing frozen yogurt concepts popping up on the east and west

coasts. We loved some of the products, but, in our opinion just having a good product is not

enough. We also think it’s important to have a friendly, engaging environment. A fun but

meaningful brand. And a philosophy of giving back to the community.

We decided to throw our hat in the ring to see if we could

improve upon these existing concepts. We wanted to give

people a fun place to hang out and socialize, not just frozen

yogurt, but a complete experience. We wanted to create a place

that people would want to visit 3-4 times per week. And we’ve

done that. Sometimes they come for the product, sometimes

for the Spoon Me experience.

Top New Franchises: What IS the Spoon Me experience?

Ryan: Our stores are designed to create a friendly, high-energy

social environment. There are no televisions. Our employees

engage the customers and let them know we’re glad they’re

here. We call our customers by name whenever possible.

Customer service is a key part of our concept. We keep the

operation simple so that the employees can talk to the

customer. We don’t force canned greetings on our

employees; we encourage them to be themselves. If they

want to say “what’s up, dude?” that’s fine as long as they’re

welcoming the customer.

Our core, target customer is the younger, hipper

demographic of 16-30 year olds. So we keep the music lively

and turned up loud.


Top New Franchises: You’ve used the term “lifestyle brand” to describe Spoon Me. What do

you mean by that?

Ryan: The Spoon Me brand represents more than frozen yogurt. It also represents the values

we share with our customers. A love for fun, but also a commitment to giving back to our

communities and to being environmentally responsible.

We’re always looking for cool ways to improve our local communities. We support local

charities and causes. People can help us spread the love by dropping a few coins in our “Keep

the Change Charity,” or, if they are looking for a more hands on approach, they can check out

our community board for other volunteer activities.

Spoon Me tries to be eco-friendly in every aspect of its business as well.

Top New Franchises: One thing that really sets Spoon Me apart is your use of social

networking tools, such as Twitter, Facebook and text messaging, in your marketing mix.

Ryan: We cater to a younger demographic, and that’s how they communicate. Our customers…

[CONTINUE READING ABOUT SPOON ME]

* * * * *

http://topnewfranchises.com/2009/05/ryan-combe-spoon-me/

Ryan Combe, Spoon Me

May 27, 2009 by Top New Franchises

Spooning around with Ryan Combe, CEO, Spoon Me Frozen Yogurt

Spoon Me is “a frozen yogurt franchise company that cares about the body we live in, the

community we live with, and the world we live on. We have worked diligently to provide a

product that is extremely healthy and a way of doing business that will have a positive effect

in our stores and in the communities where they operate.”

Top New Franchises recently had the opportunity to learn more from Spoon Me founder and

CEO Ryan Combe.

Top New Franchises: So, Ryan, what do you spoon at Spoon Me?

Ryan: Spoon Me frozen yogurt, of course. Our frozen yogurt is fat free, has less than 83 calories

per serving, and contains no table sugar or artificial sweeteners, colors, or flavoring. It’s natural

and quite tasty.

Our yogurt comes in three flavors: Natural. Green Tea. Or Acai

[pronounced ah-si-ee]. Toppings range from fresh berries to

coconut to Cap’n Crunch. Or all of the above.

Once people are done eating the yogurt, they can move on to

the edible spoon (which is made of corn starch). We also

offer smoothies and “heston-style” parfaits, made from the

same ingredients.

So it’s very simple product line, operationally, but gives the

customer lots of choices.

Top New Franchises: How and why did you start the Spoon Me concept?

Ryan: David James and I began seeing frozen yogurt concepts popping up on the east and west

coasts. We loved some of the products, but, in our opinion just having a good product is not

enough. We also think it’s important to have a friendly, engaging environment. A fun but

meaningful brand. And a philosophy of giving back to the community.

We decided to throw our hat in the ring to see if we could improve upon these existing

concepts. We wanted to give people a fun place to hang out and socialize, not just frozen


yogurt, but a complete experience. We wanted to create a place that people would want to

visit 3-4 times per week. And we’ve done that. Sometimes they come for the product,

sometimes for the Spoon Me experience.

Top New Franchises: What IS the Spoon Me experience?

Ryan: Our stores are designed to create a friendly, high-energy social environment. There are

no televisions. Our employees engage the customers and let them know we’re glad they’re

here. We call our customers by name whenever possible.

Customer service is a key part of our concept. We keep the

operation simple so that the employees can talk to the

customer. We don’t force canned greetings on our

employees; we encourage them to be themselves. If they

want to say “what’s up, dude?” that’s fine as long as they’re

welcoming the customer.

Our core, target customer is the younger, hipper demographic

of 16-30 year olds. So we keep the music lively and turned up

loud.

Top New Franchises: You’ve used the term “lifestyle brand” to describe Spoon Me. What do

you mean by that?

Ryan: The Spoon Me brand represents more than frozen yogurt. It also represents the values

we share with our customers. A love for fun, but also a commitment to giving back to our

communities and to being environmentally responsible.

We’re always looking for cool ways to improve our local communities. We support local

charities and causes. People can help us spread the love by dropping a few coins in our “Keep

the Change Charity,” or, if they are looking for a more hands on approach, they can check out

our community board for other volunteer activities.

Spoon Me tries to be eco-friendly in every aspect of its business as well.

Top New Franchises: One thing that really sets Spoon Me apart is your use of social

networking tools, such as Twitter, Facebook and text messaging, in your marketing mix.

Ryan: We cater to a younger demographic, and that’s how they communicate. Our customers

are constantly on their cell phones, texting, checking their Twitter and Facebook accounts on

their laptops. (All our stores have free WiFi) If a business like ours doesn’t engage customers

where and how they congregate they’ll get left behind.

Twitter, FaceBook and texting are fun and inexpensive ways to communicate with our

customers and potential customers.


For instance, we maintain a texting database. That enables us to send out last minute or

specialized marketing messages. We sponsor concerts and might offer a cell phone coupon to

everyone there. They just have to show the coupons on their cell phone for $1 off or a Buy One

Get One Free offer.

Top New Franchises: Why did you decide to franchise Spoon Me? How many franchises are

currently up and running?

Ryan: We saw the opportunity to get into the growth of

frozen yogurt and believed we could build a significant market

share with the right marketing. We launched the franchise

program in February of 2008. Just the name itself brought

franchising interest. We currently have 5 total stores 3 of

which are franchises. We continue to grow.

Top New Franchises: What kind of person who would make

a good Spoon Me franchise owner?

Ryan: We are much more fun to own than most franchises.

We encourage owners to be social with the customers. Being

outgoing and creating an exciting atmosphere has always

been our goal. This is not your Dad’s frozen yogurt store.

It’s important for our franchisees to understand and believe in the brand and concept. We want

someone who is willing to buy into that philosophy and implement it into their store.

Franchisees include a large variety of people including families, groups of friends, and parents

buying the concept for their kids to run. It is a great concept for multi-unit buyers and also for

entrepreneurial college grads who want to have their own business.

Top New Franchises: How does the Spoon Me business fare in recessionary times… and why?

Ryan: It’s a great time to be selling a healthy, guilt-free affordable treat.

We have a low price point; things have to be really bad for people not to spend four bucks.

Many would rather take the family to Spoon Me than out to dinner. It simply costs less. Also,

the younger market that we cater to is more recession proof; they don’t have to worry about

certain expenses such as a mortgage or car payment etc.

Top New Franchises: What else should a prospective franchise owner know about Spoon Me

franchise opportunity?

Ryan: We are ahead of the competition. We are a truly green concept and have an excellent

customer service philosophy. Along with that comes our branding power. Without having to

play catch up with our competitors, our franchise owners are ahead of the curve and this

contributes to the longevity of the concept.

Top New Franchises: Thanks a lot for spooning with us.

Ryan: Thanks for being spooned.

http://www.franchise-update.com/article/836/

Starting up a new company is risky business, even in a healthy economy. Despite the troubles

and fears that have plagued the economy and business world in the past year, many new

franchise concepts have hung out shingles, and others that were just barely off the ground are

thriving today.

We talked with top executives from five "new" franchise concepts about where they came from

and how they've made it work--amidst the challenges, and against the odds. Each is

characterized by a unique, innovative product offering, and for some, a distinctive delivery

approach. As you'll see, these entrepreneurs believe in their brands, and are not letting

anything--especially the headlines--get in the way of their continued growth.

Game Time

About two years ago, David Pikoff and his brother, Stuart, began seriously talking about going

into business together. They thought about buying a franchise, but couldn't find a concept they

liked. "We're both fun guys, we love kids, and we love games," says Pikoff. "So we thought,

'Why not create our own game franchise?'"

The brothers' innovative idea was a mobile video game theater that brings the party to the

customer. They dubbed the concept Games2U. Pikoff, the company's co-founder and CEO, says

he's seen nothing else like it.

"People have to go to the Main Event or Dave & Buster's for games and recreation, and that,

plus food and beverage, can be expensive," he says. "It's a lot less expensive to have the games

come to you."

So they bought a couple of trucks and outfitted them with games--all kinds of platforms like Wii

and PlayStation, and all kinds of games like Guitar Hero and Halo 2. And to top it all off, they

also offered laser tag. "We ran the trucks ourselves for the first few months. It was a great

experience for observing, learning, and thinking about how to develop and market the

company," he says.


In March 2008, they sold those two trucks to their first franchisee and have been franchising

ever since. As of this June, they had 36 franchises open and operating, and another 100 sold

and in the process of launching. Pikoff says they handle all sales internally, but do have two

deals with area developers in San Francisco and Portland, Ore.

Pikoff believes the concept is gaining traction for a number of reasons. First, he says, "Games2U

allows parents to have their kids feel like a rock star for a day, at a very reasonable price." He

also sees kids, games, and parties as being immune to recessions. "Parents are always going to

have money available to make memories with their kids."

The biggest obstacle so far? Not surprisingly, financing. Pikoff says it's been tough for prospects

to obtain the capital they need to become franchisees. "I'd say two out of every three prospects

we have can't secure financing," he says, adding that he does the best he can to point them to

the SBA and other funding resources.

To keep their momentum going, Games2U recently added a new, lower-cost franchise option.

Until now, franchisees had to purchase either a Mercedes-Benz Sprinter van or a truck with a

trailer, which were then prepared inside and out to serve as rolling Games2U vehicles. This

spring, the company launched it G3 party van option--a portable game room that allows

franchisees to get on board for nearly half the cost ($85,000, compared with $150,000 and up).

"Our goal is to sell 300 franchises by the end of this year, and I think we can do it," says Pikoff.

"We have a unique concept, a solid infrastructure, and a focus on support for the franchisees."

Oh yes, and a universe of game-hungry kids.

Spoon-fed

The yogurt and ice cream market is a growing and competitive sector. But the youth

movement--with it characteristic lifestyle and desires--is driving one new upstart brand based in

Salt Lake City. That's where Ryan Combe, CEO and co-founder of Spoon Me, has kick-started a

new yogurt concept with a fresh perspective.

"There are a lot of yogurt and ice cream concepts out there," says the 27-year-old, "but we

were looking to create a larger 'brand' and not just be another yogurt seller."

That larger brand, he explains, begins with the unique and whimsical name--Spoon Me--and the

appeal of yogurt as a healthy snack alternative. It continues through a green-focused approach,

where everything is recycled and biodegradable (including the spoon), and the cultivation of a

community feeling where employees and customers alike share common values. "It's a lifestyle

concept, not just a product," he says.

The first Spoon Me location opened in October 2007, and Combe says they were exploring


franchising possibilities within a month. The first franchised location opened in March 2008.

There are now six franchised units open (five in Utah, one in Arizona), with three more

scheduled to open this summer and several more sold. The original site and two other

company-owned stores still operate as "test sites" for research and product development, he

says.

The youth movement at Spoon Me is reflected in the corporate office (where everyone is still

under 30) and in the operators and target customers (high school through college age). "The

recession doesn't hit younger people as hard as others," says Combe. "They don't have

mortgages to worry about and they have more disposable income."

And as for that big, bad economy, Combe says the brand is doing well because "We're not

selling a $30,000 truck, but a $4 yogurt. Families are eating out less, cooking at home, and then

going out for ice cream and yogurt for dessert."

Still, for the Spoon Me prospects that have come his way, Combe says financing has been an

issue. Although he says the tight market has been showing some small signs of improvement

lately, he's not waiting around for that to kick in.

"We have investors we know who don't want to operate the units but just fund them," he says.

"So we're teaming them up with some young, passionate operators who can run the place day

to day."

Earlier this year, Spoon Me got a financial shot in the arm when it sold about a quarter of its

interest to Franchise Foundry, a strategic investment partner.

The economic turmoil has provided some opportunities for the emerging franchise. Says

Combe, "We've been able to negotiate better lease agreements, better contracts with food

vendors, and construction costs are very low."

Combe says the plans are to grow the concept "cautiously and slowly." For now, they are

building primarily in the mountain west region but he admits they just signed their first deal in

Canada, in Calgary. "We just want to be careful in how we grow. It's easy to grow next door but

not as easy several thousand miles away."

Spoon Me is seeking to operate a business "the way it used to be in America--service-oriented,"

Combe says. "We want to let our customers know that we appreciate them and their business,

and we want to show that by actively giving back to the local communities." Which is where all

of the tip money from each location is sent.

By the book(keeping)

"There's no other franchise company doing what we do," says Greg Jones, CEO at Bookkeeping


Express. "We have a unique niche as a provider of bookkeeping services for small businesses.

There's no H&R Block for bookkeeping--and that's what we offer."

Bookkeeping Express actually was founded in 1984 in Southern California and grew for years

through a licensing process. Fast forward to 2007, when Jones and two partners purchased the

company with the intent to move it to McLean, Va., and start opening corporate locations and

begin franchising.

"I have franchising industry experience," says Jones, "and after analyzing the marketplace I

believed we could successfully franchise Bookkeeping Express." As a side note, he is also a

franchisee for 5 Guys Burgers & Fries and is currently building out a territory in Florida.

Bookkeeping Express began offering franchises for sale in July 2008. The first franchisee came

aboard in August, and as of this past June 2009, there were 116 territories sold to 14

franchisees and 16 locations open. "We really only look at multi-unit operators," says Jones.

He says the brand is very "systematic and process-oriented." That's part of the reason they

operate two corporate units. Those stores not only provide revenue, he says, they also offer a

great testing ground, providing "firsthand insight that helps us continue to tweak the programs

and services we offer." Jones says that to serve a variety of small businesses (typically $100,000

to $3 million in annual revenue), the company has had to be flexible and develop a number of

different services and products.

Since starting to franchise, he's received a boost from an unexpected source. "The economy has

been more of a help to us than a hindrance," says Jones. "As businesses have been forced to lay

off employees, some of those companies have turned to us to outsource their bookkeeping

needs." Also, a number of laid-off workers have come knocking at his door in search of a future

in franchising.

Indeed, there's been no shortage of prospects, according to Jones, who says they average more

than 60 inquiries a month. "Finding the right candidate is important, and the sales process is an

important determiner for both sides," he says. Slow and steady growth and a focus on

supporting the existing franchisee base is fundamental at Bookkeeping Express.

"We don't want to get too far ahead of the wheel," he says. "We must pay attention to our

existing franchisees and in developing and providing the products and services they need."

There are Bookkeeping Express locations in eight states right now and Jones says the brand is

looking to grow throughout the U.S. He says they'd like to sell another 25 territories in 2009, 30

more in 2010, and 32 during 2011. At present, aA corporate staff of a dozen handles all sales

and support functions. The cost of entry is $30,000 per territory and franchisees can choose a

home-based model, storefront, or commercial location.


"It's all about ROI, and we believe our business model offers that," says Jones. He should know.

Flip-ped out

Brian Curin stumbled on a unique shop selling nothing but flip flops in a shopping mall a couple

of years ago. He thought it would make a great concept for franchising.

With his two partners, Darin Kraetsch and Alan Woods, and their years of experience in the

franchise industry with brands including Cold Stone Creamery and Moe's Southwest Grill, the

wheels began to turn. They acquired Flip Flop Shops, struck a deal with its founders, rebranded

and tweaked it, and prepared it for franchising.

"We started franchising in January of 2008, and as of today we have sold 21 units and have 8

shops open and operating," says Curin. The company has plans to franchise 236 shops by 2013.

He says they felt that by drawing on their experience in franchising and their passion for the

concept they can make it work. But there was one unknown. "We had a lot of franchise food

experience, but none with flip flops and sandals," he says.

Building relationships with the sandal and flip flop-making community was a challenge at first,

says Curin. "We were, perhaps a little brash in the beginning. But we soon realized what great

people these folks were, and we quickly began developing key and critical relationships with

them and turned it into more of a collaborative relationship." Today, it's a good fit: he and his

partners understand the franchise business model, and the sandal and flip flop makers

understand the shoes and the market--a $20 billion industry.

Things are looking good for this new brand. After all, the flip flop and sandal market is now

outselling athletic shoes, and there's no other retailer that deals exclusively in flip flops and

sandals. Curin likens their business model to that of the Sunglass Hut. And surprisingly, he says,

flip flops are not as seasonal as one might think. Warmer southern climes and tropical travelers

keep the shoes in demand. "People are wearing them all the time," says Curin.

As you might expect, the corporate attitude at Flip Flop Shops is laid back. Says Curin, "I'm

wearing flips flops, shorts, and a t-shirt right now."

And the sight, sound, and smell of the shops recreate the concept's lifestyle focus. Each shop

promotes "green" interior design featuring recycled particleboard and bamboo design elements

and cork floor, and an aroma system that fills each shop with the beach-inspired scent of

coconut suntan oil.

Curin says a hands-on sales approach has been effective for recruiting so far, and they have

relied predominantly on the Internet and portals to generate leads. "We're looking for a

controlled, organic growth," says Curin, with a focus on Western Canada, the U.S., and parts of


the Caribbean. They've hired an outside vendor to assist with identifying hot properties and

locations.

For now, two company-operated shops are used for training and product testing. "We love to

entertain ideas from our franchisees," says Curin. "You never know when somebody's going to

create the next Egg McMuffin."

The cost of entry at Flip Flop Shops is between $165,000 and $185,000 to get the doors open.

Says Curin, "It's not just about the money. Attitude is first. We're looking for people who are

passionate and excited about the brand."

New heights

Elevation Burger, which began franchising in the second quarter of 2008, wants to take the

customer experience and the quality of food to new heights--and its founders believe the time

is right.

"We're really at a zeitgeist time of organic food, healthy eating, and in general, a sense of taking

care of the planet," says founder and CEO Hans Hess. "What we've created is certainly in a

growth category."

That creation is essentially a fast casual concept that offers organic beef (courtesy of grass-fed,

free-range cows), veggie burgers, and French fries cooked in olive oil. It's healthy fast food for

health-conscious and earth-conscious consumers. And according to Hess it's creating quite a

buzz.

The company, based in Washington, D.C., has sold 33 franchises to date. Four were open at the

time of the interview, with 3 more set to open this summer. So far the restaurants are primarily

along the East Coast, and Hess says they are "seeing interest and talking to prospects as far

west as Colorado and California."

Lead generation is handled by Fransmart. Hess and his staff evaluate the qualified leads. Once

the franchisees have signed, Hess relies on two longtime directors to handle everything from

training to store opening and support.

"I know everybody says they look for passionate franchisees, but it really is important. I always

say passion produces excellence," says Hess, who has an extensive background in business.

Additionally, he and his team like prospects to have previous restaurant experience and a deep

understanding of customer service.

The management philosophy at Elevation Burger flows down from the top. "We have a concept

we refer to as the 'triple bottom line': Take care of people, the planet, and profits. We see all of

those things as being closely related," he says.


Hess offers a unique take on the idea of innovation. "I don't think we're innovative because of

our menu, I think we're innovative because we focus on creating a quality customer

experience."

Employees are critical in making this succeed and his franchisees look for quality employees

and are not afraid to pay more to get them. "We help them identify potential employees

because, ultimately, if they take care of our customers it will take care of our business."

Hess has had to adapt some procedures during his first as a franchisor, but says he's pretty

happy with the way things have gone. "Just little things here and there--tweaking the way we

cook the burgers, implementing personality tests for hiring--but I always say entrepreneurs

solve one problem and then another and then another."

Further illustrating his passion for the environment, Hess also has founded EnviroCab, an all-

hybrid taxi fleet company in the D.C. area. Its hybrid vehicles emit fewer emissions than

standard cars and Hess purchases carbon offset credits to make up for the emissions they do

produce.

"Starting a franchise, or any company, is demanding and you have to wear a lot of hats, but it's

also incredibly fulfilling," he says.

Documents

Spoon Me Book of Press Releases