Is Scaling a Wise Investment?

Otherwise, they get rose-colored glasses about success in the home market and presume it will translate rapidly. You discussed expecting 5070% volumes. I've even seen cases where it's just 2530% at launch.

Freddy's Frozen Custard & Steakburgers

You require equity sponsors who believe in the vision and the team. Another lesson: you need to open 4 to 6 shops in a brand-new market within 2 to 3 years. That's costly, however it produces emergency, develops awareness, and validates above-store leadership. Without it, you stay slow and unprofitable.

Freddy's Frozen Custard & Steakburgers

At Chop Shop, we intentionally constructed strong bases in Phoenix and Dallas. That provided us the profitability to hold up against slow starts in Houston and Atlanta. And we were lucky that Dallasour second marketwas likewise where our group lived. Having the entire group in-market to support stores, hire, and make sure culture was huge.

Freddy's Frozen Custard & Steakburgers

Significant Market Milestones Shaping 2026 Expansion

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