Significant Market Shifts for 2026 Expansion

Otherwise, they get rose-colored glasses about success in the home market and assume it will translate quickly. You mentioned expecting 5070% volumes. That's sobering. I've even seen cases where it's just 2530% at launch. It highlights how important capital structure is. Yes. A lot of little development ideas like ours rely on equity, not debt.

Freddy's Frozen Custard & Steakburgers

So you need equity sponsors who believe in the vision and the team. Another lesson: you require to open four to six shops in a new market within 2 to 3 years. That's pricey, however it produces emergency, constructs awareness, and validates above-store management. Without it, you remain sluggish and unprofitable.

Freddy's Frozen Custard & Steakburgers

At Chop Shop, we intentionally developed strong bases in Phoenix and Dallas. That offered us the profitability to endure slow starts in Houston and Atlanta. And we were fortunate that Dallasour 2nd marketwas also where our team lived. Having the entire team in-market to support shops, hire, and make sure culture was huge.

Freddy's Frozen Custard & Steakburgers

Leading Franchise Opportunities to Watch

People typically ignore how important team is to scaling. How have you approached building and scaling your team? This is something I'm really pleased with. Our team took all the things we disliked from past jobsfeeling underappreciated, underpaid, growth-stifledand developed the opposite culture here. We emphasize development frame of mind and profession pathing.