Franchisees Make Achievement Their Password

We hope you will enjoy these profiles of some of the minority small-business owners highlighted here who help to "rev up" the powerful engine of franchising. Reflected in the profiles of these dedicated franchisees are examples of how the dreams of self-employment and self-determination are transformed

We hope this special feature will give you a better appreciation and understanding of the important and growing relationship between minorities and franchising.

Name: Arthur & Dianz D'Souza

Company's Name: Five Star Financials LLC, dba Aaron's Sales and Lease Ownership

Affiliation (Parent Franchise Company): Aaron Rents Inc.

Years in Franchising: Two

Number of units: One open, and a second expected to open in several months

What was your occupation before you acquired a franchise?

Before we acquired a franchise with Aaron's Sales and Lease Ownership, we were in Ontario, Canada where we ran a wholesale high-end cakes, pastries and dessert business. We supplied products to the airlines, the top hotels and resorts and other clients in wholesale food services. We ran this business for 10 years between 1993 and 2003 and sold it in 2003.

All through our stay in Canada, Dinaz worked with the Metropolitan Children's Aid Society as a social worker. Additionally, she undertook important functions in the running of our business; maintained all accounts, payroll and headed the marketing function. Prior to coming to Canada, in 1989, Dinaz was a human resources manager with an advertising company.

Prior to arriving in Canada, I was self-employed in the management consultancy field. And yet prior to that, in India, I consecutively headed human resources divisions of two multinational companies.

How did you hear about the franchise you eventually acquired?

A friend of mine is a franchisee with Aaron's and has three stores in Pennsylvania. I heard about the company through Khodi and his wife, Jeroo Irani.

What attracted you to this industry?

My previous experience with business was in management consulting and wholesale food. For various reasons, the food business proved very time- consuming. The way we managed it defied the possibility of delegation of responsibilities. In short, I was on location pretty much year round over a period of 10 years.

When we studied the Aaron's franchise, the delegation aspect was on our priority list. Our current experience too, is that we were correct. Aarons provides a real-time online network where one can monitor progress. Further, a day-to-day report generating system is in place which provides an overall comparative view of all franchises and stores.

The business is easy to grasp, relatively easy to manage and each store is a separate cost center.

The above are some of the salient reasons for choosing this franchisor.

What has been your most significant challenge?

The setting up of the first store. We were unable to readily find an 8,000 square foot showroom in the market we had chosen. Having surmounted the challenge, the sailing is pretty smooth now.

What has been your most rewarding experience?

We were able to involve family in responsible positions where we found that it was near impossible to find individuals to fill the initial positions of responsibility in the open market. At the start, for the business to become successful, functionaries need a good education, skills, experience and insight to make the impossible happen. My daughter has two lines of specialization at the university level. She has extensive experience from working with our last business. Her husband has a university science degree and has had extensive management experience in a large organization.

Inviting these two individuals to help out was one rewarding experience. My wife, daughter, son-in-law and I are now a great team of players doing fantastically well in the total group of Aaron's franchisees country-wide as indicated by the various awards and prizes for competitive performance and as declared by the franchise system itself.

What advice would you offer prospective minority franchisees?

Work hard, work honestly and in an upright manner. Most of all, work intelligently. North American society accepts and respects these qualities the most. After all, are not these the very cornerstone and foundation of the North American society?

Company's Name: Decor & You Comfort with Style LLC

Affiliation (Parent Franchise Company): Regional Developer Franchisee

Years in Franchising: Three

Number of units: Two and one-half regions

What was your occupation before you acquired a franchise?

I worked in a corporate setting for 12 years, most recently managing a $400 million annual direct mail supply chain for a large financial services company. I developed and led a team of business analysts, subject matter experts, managers, procurement specialists and suppliers to create one of direct mail's most sophisticated and profitable supply chains in the country.

How did you hear about the franchise you eventually acquired?

Having always had the desire to own a business and work for myself, I connected with The Entrepreneur's Source, a franchise consulting company, and explored various franchising business models before making a career and industry change.

What attracted you to this industry?

Home furnishings is currently an $80 billion industry and continues to grow. It's also bursting with an infinite number of design choices and options for people, and has created a following of HGTV addicts who demand to live and work in beautiful and functional spaces. Home furnishings has proven financially resilient in both up and down economic markets. People finish decorating just in time to begin redecorating.

What has been your most significant challenge?

Learning how to create and operate a supply chain in a relatively antiquated industry--home and commercial furnishings--has proven to be very challenging.

What has been your most rewarding experience?

I thrive in environments where I can build and lead teams. The ability to be the first franchisee in the Baltimore-Washington D.C. metropolitan area has been exhilarating. After three years, I've been able to share interior decorating with others, including more than 10 decorators and hundreds of clients, and am proud to be one of the fastest growing Decor & You regions in the country.

What advice would you offer prospective minority franchisees?

Being successful has to do with who you are and what you are willing to do to achieve your goals and the goals of others. Your race or ethnicity, your sex, your age and your sexual orientation are general descriptions of who you are, not definitions of who you can be. Leading through clear communication and action, being a professional, and living an authentic life sets the stage for you to be your best and share your best with others.

Name: Carol J. Robinson

Company's Name: TeamRob, LLC, dba Fantastic Sams (TeamRob, LLC is comprised of myself and my husband, Mark D. Robinson)

Affiliation (Parent Franchise Company): Fantastic Sams Hair Salons

Years in Franchising. One

Number of units: One and currently planning for more

What was your occupation before you acquired a franchise?

I had a long and broad career in information technology. Most recently, I specialized in software quality assurance also known as software testing. This is verifying that software functionality meets the design specifications of the system. I held corporate employee positions, as well as, independent contractor positions under my own consulting company. My husband, Mark worked in various technical and non-technical positions in the telecommunication industry for 28 years. He now operates a successful home-improvement business. Both Mark and I are licensed real estate agents.

We opened our Fantastic Sams on July 12, 2005.

How did you hear about the franchise you eventually acquired?

I had not heard of the Fantastic Sams Hair Salon franchise as it was newly-arriving in my area. I met one of the Northern Jersey Fantastic Sams' regional owners at a networking function. One of the owners, and members of Global Franchising Group, LLC, Boynton Weekes, delivered a short speech at the request of the hostess of the function. Upon hearing him speak, I felt compelled to meet him; I had never met any successful African-Americans who were involved in franchising before that point. I approached Mr. Weekes and indicated that I was looking to leave corporate America and was interested in meeting with him soon to discuss franchising opportunities. I went home, discussed it my husband, Mark who, incidentally, thought I was crazy. We met with Mr. Weekes and signed the papers to begin the process of finding a location. We subsequently met the remaining regional owners, Jerome Williams and George Jackson. We were encouraged and inspired by the tenacity shown by these young African-American men who approached the world of franchising, successfully, in a very big way.

What attracted you to this industry?

If you had told me two and one-half years ago that Mark and I would be Fantastic Sams franchise hair salon owners, I would have thought you were crazy. I always knew I would own my own business one day, but I never dreamed this would be the business I would eventually own. Once I met with Mr. Weekes and received the franchise information he provided and began researching, I realized the hair salon industry would be a fantastic industry to embark upon. We specifically chose Fantastic Sams because the franchise's "value proposition" of offering a full range of affordable, quality, hair care services, geared towards the entire family; conveniently located and open sevendays-a-week.

I am extremely outgoing, I live, I mean, love to talk to people and I believe in an exceptionally high degree of customer service. I wanted a "feel good" kind of business and the hair care business is just that. The area I live in is very culturally and racially diverse; we have newborns to seniors. My dream was to own a hair salon that serves everyone. I have a fantastic staff of assistant managers and stylists. My staff is made up of black, white, Hispanic and Asian stylists. Our guest base is just as, or more, diverse than my staff. I pride myself in having a salon where everyone feels comfortable. We go to great strides to greet my customers and engage them in sincere individual conversation. We assist our senior guests with their coats, escort them to their cars and have offered to pick them up if they don't have a ride to the salon. I have held babies and played games with toddlers. I can discuss teen-ager issues as I have raised four children who are now either in college, (three) or graduated college (one). When guests leave my Fantastic Sams, they are happy; they tell me that they will recommend all their friends and family come to my salon. If an issue arises, my guests know it will be resolved to their satisfaction. Their feedback is that the professional, technical and customer service provided by my stylists is exceptional. For this I am extremely humble and grateful.

What has been your most significant challenge?

My most significant challenge has been securing financing for the business. I had been led to believe small business loans were plentiful, but I have not been able to secure any small business loans yet. I have not found them to be available to start-up my small business. I am told that the business has no financial history required to get loans. Thank goodness Mark and I valued our credit history and rating and did not build up a lot of personal credit-card debt over the years. This allowed us to finance the business with our personal credit.

What has been your most rewarding experience?

My most rewarding guest experience is Fantastic Sams' affiliation with "Locks of Love." Locks of Love is a national nonprofit organization that makes custom-fitted hairpieces for thousands of financially-disadvantaged children who suffer from cancer, alopecia and other types of medical hair loss. Support is provided to Locks of Love by collecting 10-inch (or longer) ponytails from donors to be made into hairpieces. When a guest comes in to donate their hair to Locks of Love, their haircut is free of charge. We take pictures of them, before and after, and assure them they are doing a wonderful thing. The pride in their faces isevident; even though they are aware their hair will be significantly shorter when they leave our salon. Fantastic Sams has helped donors make countless hair donations to Locks of Love. Last year, Fantastic Sams designed a "FANTASTIC FRIENDS" electric blue silicone bracelet. The wristband supports the charitable cause and was raised more than $100,000 for Locks of Love.

Another rewarding staff experience came after we had our annual holiday party which honors stylists who have performed best during the previous year. They are honored with gifts, flowers and praise for their dedication and hard work. Being a new salon, my stylists expected to just watch as others received recognition. To their surprise, two of my stylists, Diana Lombardo and Alison Schrum were honored also that evening. Diana received the "Newcomer's Award" and both Diana and Alison received owner's recognition in the "Rose Ceremony" for being vital in helping start and grow the business. We all cried. These young ladies became even more motivated afterward and have both been on the region's Top 10 Stylists lists for January and February 2006 for production and or product sales.

And a rewarding business experience was receiving 300 guests in one week.

What advice would you offer prospective minority franchisees?

Do not become paralyzed by fear. Fear can immobilize you and keep you from ever moving forward with your dream of entrepreneurship. As you consider an industry, try to recognize whether as time passes you are getting really excited about being in that industry. You should have a positive attitude and level of excitement about you new venture. Another thing is, don't communicate your plans too freely initially. Well-meaning people have a way of "sharing the possible pitfalls" of the business or industry you choose to pursue. They will often know someone who did what you are planning to do and failed; or they will try to convince you that a corporate job is so much more secure than starting your own business. Sometimes they will remind you how starting a business will severely limit your social life. They may mean well, but their comments and attitudes can really compound your fears. Stay strong, build your network of positive people and keep love and laughter in your life.

Name: Kenny & Dr. Yolandra Johnson

Company's Name: The Little Gym of the South Loop

Affiliation (Parent Franchise Company): The Little Gym International, Inc.

Years in franchising: This is our first year

Number of units: One now open, one under development that is scheduled to open late 2006 or early 2007

What was your occupation before you acquired a franchise?

I [Kenny] founded the Richmond Group, a full-service marketing agency, in 2001 and which has emerged as a leader in identifying consumer market trends, specializing in corporate, entertainment, and political events, as well as promotions and advertising targeted toward the urban American culture. In addition to working with the Richmond Group, I am an active board member for Jobs for Youth, a community initiative working with employers in Chicago to place young people in jobs. I am also a weekly columnist for the Chicago Defender, a board member of the Rainbow Push Coalition, and a former congressional staffer for Congressman Jesse Jackson Jr.

I [Dr. Yolandra Johnson] am in private practice in the field of gastroenterology and am the only black female gastroenterologist on Chicago's North Shore. I'm board certified in internal medicine and gastroenterology and have been practicing as a gastroenterologist for 10 years in Chicago's North Shore. I attended New York Medical College, did my residency and internship at Yale University School of Medicine and completed my fellowship at the University of Chicago. We reside in the South Loop of Chicago and recently welcomed the birth of our first child, Kenneth.

How did you hear about the franchise you eventually acquired?

Through the Internet. My wife and I were driving through our neighborhood [Chicago's South Loop] and said, "What does our neighborhood need?" We both said, "Something for kids." Then when we got home, I Googled "kids activities in Chicago" and up popped The Little Gym. I went through their Web site and filled out their questionnaire early Sunday evening and by the time I was going to bed I had already received a response. That is what got me even more excited--the fact that they responded so quickly.

What attracted you to this industry?

There was no particular thing that attracted us to this industry, but once we started the process with The Little Gym, we felt comfortable and liked the business model and knew this would have a positive impact on the community.

What has been your most significant challenge?

The most significant challenge has been dealing with the city and pre-opening stages in terms of contractors and permits and similar things.

What has been your most rewarding experience?

Seeing the kids' faces light up when they walk into the gym, having the parents compliment our staff for doing such a great job with their children and hearing them say they are so happy we finally opened.

What advice would you offer prospective minority franchisees?

Do your due diligence and make sure you feel comfortable with the corporate support you are supposed to receive. Also, I would tell prospective minority franchisees to think outside the box, don't go for the franchises that everyone is going for. There are good opportunities if you just take your time and look.

Name: C.C. and Regina Yin

Company's Name: Yin McDonald's

Affiliation (Parent Franchise Company): McDonald's

Years in Franchising: 22 years Number of units: 21

What was your occupation before you acquired a franchise?

Before becoming a McDonald's operator, I [C.C. Yin] worked 18 years as a licensed civil and structural engineer for Bechtel Corporation, and as a senior principal and project engineer with Fluor Corporation. Regina worked as a social worker.

How did you hear about the franchise you eventually acquired?

I had a friend who was in real estate in the Oakland area and he had mentioned to me that there was a McDonald's restaurant in the market.

What attracted you to this industry?

When I was working as an engineer, my friends and I would go have lunch at different restaurants but what impressed me the most was McDonald's. I was very impressed with the efficiency, food quality and service. I admired how McDonald's can provide quality food at a great price. Being an immigrant from China, I also looked at McDonald's as an icon in the U.S. food industry.

What has been your most significant challenge?

There are several challenges for me. In the beginning, the financial challenge was the main concern. Coming in as a new business owner requires very heavy reinvestment in order to rebuild the restaurant, including facility, equipment and a new management team to regain customer confidence and trust. It was also a challenge with community relations in a very diverse locality and culture. We had to be able to relate to our employees, customers, the local community and the local government. As new business owners, we also had to build a strong management team with very little time. We had to act fast. As an Asian immigrant, it was also a challenge for me to work with a very well-established and large corporate organization like McDonald's.

What has been your most rewarding experience?

My most rewarding experience is proving to myself and to McDonald's Corporation that I can be a good and excellent franchisee. We are also happy to have the trust and confidence of our employees and our customers. Seeing smiling customers and having new friends in the community brings us great reward.

What advice would you offer prospective minority franchisees?

I think that the franchise system is still the best for minorities. There is less risk and the financial requirement is not as much compared to having to start from the beginning. The system is already set up and training is provided. It will require persistence, diligence and hard work. We have to learn the different cultures, social backgrounds and learn to be sensitive to the community we are in.

Name: Jason Varas de Valdes

Company's Name: Pet Butler Ca

Affiliation (Parent Franchise Company): Pet Butler Franchising Services, Inc.

Years in franchising: One

Number of units: Two

What was your occupation before you acquired a franchise?

Prior to purchasing my franchise, I was an account executive for Beneficial in Antioch, Calif. I was in charge of secured and unsecured loans. I have also worked as a personal trainer, computer sales professional, direct salesperson and was a U.S. Marine.

How did you hear about the franchise you eventually acquired?

In 2001, I started my own pet waste cleanup service. Unfortunately, I had to close the business not long after it was started and went to work at Beneficial. After three years at Beneficial I began exploring entrepreneurial opportunities again. I looked at a variety of industries and products, but they were all costly and did not motivate me. Since I had had a fair amount of success in the pet industry with my pet waste cleanup service, I started doing my homework and researching who my competitors were and what they were charging in my area. In the process of research, I found Pet Butler and Red Boswell [Matt "Red" Boswell, CEO of Pet Butler]. I talked with Red and at the time he was in the process of starting his franchise operations, so I grabbed his coattails and the rest is history.

What attracted you to this industry?

Low cost and high return. I saw a trend in home services, especially the pet industry. There's also huge growth potential especially in the Bay Area where one out of four people have a pet of some kind. I also liked the low-cost franchise fee and the experience of Red Boswell and his willingness to teach me how to be successful.

What has been your most significant challenge?

The most significant challenge for me has been the infancy of the industry. It is challenging to build a business when people don't think it is serious. We use clever puns and marketing to catch customer's attention, but we have to be sure people know we are serious about our business.

What has been your most rewarding experience?

The most rewarding experience is being part of the franchise system and the industry in its infancy. There is so much room to learn and grow. It is exciting to be starting something from scratch and turning it into a name-brand business.

What advice would you offer prospective minority franchisees?

Work hard and be persistent and consistent. Never take your eyes off the goal. Don't expect millions in a year, but work hard for it.

Name: Jose J. Cofino, president and chief operating officer, Adir Restaurants Corp.

Company's Name: Adir Restaurants Corp. is a franchisee of Campero USA; they are also the only master franchisor in the United States for six western states for Pollo Campero.

Affiliation (Parent Franchising Company): The parent company, Pollo Campero, is headquartered in Guatemala.

Years in Franchising: Adir Restaurants Corp. established the first U.S. location in Los Angeles in 2002.

Number of Units: Adir Restaurants Corp. has just opened its 11th location

What was your occupation before you acquired a franchise?

I have extensive management and sales experience in the foodservice industry. I was with PepsiCo Restaurants, beginning as a vice president for Taco Bell in Southern California, then developing the Taco Bell Express brand, and moving up to take responsibility for 500 restaurants in the northeast. My first international position for PepsiCo was as president of PepsiCo International in Brazil where I managed all country operations including those of Pizza Hut and KFC. The lure of Southern California brought me back to here to work with the Walt Disney Company to develop the operations for Downtown Disney in Anaheim.

Just prior to taking the position with Adir, I had founded a management and investment firm, which specialized in strategic planning for small, emerging companies from a variety of industries.

How did you hear about the franchise you eventually acquired?

I was living in Los Angeles and saw the excitement surrounding the first U.S. store opening in the city. I was amazed that people would wait seven hours in line for the food.

As I learned more about the company, I was also impressed by its commitment to its employees. It wasn't just spin. Adir Restaurants Corp. lives by the same philosophy as our parent. We make a remarkable investment in the satisfaction or our employees, and go to great lengths to draw employees from the surrounding communities. Many of these employees belong to minority groups, and recognize that we're giving them an opportunity right in their own backyard. In return, they serve our customers well and are very loyal, which results in our relatively low turnover rate.

As we establish franchisees, we want to make sure that the ownership of our franchisees reflects the markets they operate in.

What attracted you to this industry? I was attracted by several aspects of the restaurant industry. I like the fact that it's so fast-paced and tastes are quickly changing. You have to be vigilant in terms of staying one step ahead.

In terms of Pollo Campero, I liked the challenge of establishing a cross-border brand, and making it a household name here. The time is right. Americans' palates now accept and even seek out a broader range of flavors.

What has been your most significant challenge?

I'm not sure I can point to one challenge. There are a host of challenges when you're trying to establish a new brand in an extremely competitive industry such as foodservice.

One challenge is extending the brand beyond our core market of Central Americans living here. Hispanics from other countries, such as Mexico, are a logical extension and we've made inroads there, but it also begs the question of who is Hispanic. Crafting a message to appeal to this broad group is a challenge.

What has been your most rewarding experience?

Strong sales figures have been rewarding, but in addition to that, the loyal workforce we've created has been extremely satisfying. We go to great lengths to draw employees from the communities where our restaurants are located. We have created opportunities for many of those others have overlooked. We've received recognition from several state and local agencies for the work we've done and will continue to do.

We also have made quite an investment in our people and offer benefits such as health insurance even to part-time employees. We're embarking on a program of offering free English as a second language class to those whose first language is not English, and intend to follow this with Spanish classes for nonnative speakers.

What advice would you offer prospective minority franchisees?

Being a franchisee offers tremendous opportunities. The best piece of advice I can offer is to make yourself as much of a well-rounded business person as possible. You need to understand the financial and operational aspects in detail, know your markets and what motivates them, and motivate and manage your employees. Your franchisor can offer significant help, but ultimately, it's up to you to make it work.

Name: Ricardo Eichwald and Maria T. Eichwald

Company's Name: Housecleaning Professionals Inc.

Affiliation (Parent Franchise Company): Merry Maids (The ServiceMaster Co.)

Years in Franchising: 20

Number of units: Two

What was your occupation before you acquired a franchise?

I [Ricardo] served in several customer service positions before working for Rheem Mfg. Co., selling air conditioning equipment and replacement parts, in a 12- state territory.

Maria worked in retail before becoming office manager in the Merry Maids office she currently owns. She worked for the former owner for eight years before being given the opportunity to buy the existing franchises.

How did you hear about the franchise you eventually acquired?

Maria's boss indicated that he was ready to retire, and gave Maria and Ricardo the opportunity to buy his business.

What attracted you to this industry?

Since Maria had been running the day-to-day operations for a number of years it was an opportunity that found us instead of us looking for it.

What has been your most significant challenge?

The worker's compensation insurance issue in California has been the most difficult for our business. Our rates rival that of many construction categories, paying as much as $52 per $100 of payroll. In addition, the situation that we faced when purchasing the business was challenging to say the least. Since the previous owner owned another business, he had both businesses on the same insurance account with the California state fund. In order to get our own cheaper policy, we had to fight a lot of bureaucratic red tape. The whole process took 18 months.

What has been your most rewarding experience?

We find true satisfaction in helping and teaching our workforce. When we purchased the company, the previous owner had not established life insurance or school-training program. Not only do we want our employees to be happy where they work, we don't expect them to stay cleaning houses for the rest of their career with us. The school program helps us qualify candidates that want to move up within the company.

What advice would you offer prospective minority franchisees?

When Maria's boss first talked to us about buying his business, we never hesitated or thought we could not make it happen. I think a lot people don't think positively from the start. Without that positive attitude, we would have never turned some of detriments into strengths. Being Hispanic and having a woman as the principal helped the SBA to give us the financing. Since we were low on capital, we got the owner to help with some of the financing. And, of course, our families helped near the end to ensure our successful transition into business owners.

Name: Minas E. Litos

Company's Name: Red Brick Investment Properties

Affiliation (Parent Franchise Company). HomeVestors of America

Years in franchising: One

Number of units: One

What was your occupation before you acquired a franchise?

Business executive and entrepreneur.

How did you hear about the franchise you eventually acquired?

Advertising billboard.

What attracted you to this industry? The return on investment.

What has been your most significant challenge?

Selling our homes under 60 days.

What has been your most rewarding experience?

While gifting the down payment for a home, (we have a down payment assistance program for low-income families,) and seeing the people so very happy when acquiring their first home.

What advice would offer prospective minority franchisees?

Do your homework very thoroughly before you get started. You will probably find many mistakes as you create your business plan. It is better to make your mistakes on paper (business plan) than to make them once you are up and running. This factor alone could be the difference between you being financially successful or not.