Significant Regional Shifts for 2026 Growth

Thank you. And we likewise have Clinton Anderson, the CEO of Fourth, who will be moderating the discussion with Jason. So Jason, how about I let you offer the audience some information about your background and you can also tell them a bit about Chop Shop. And then I'll let you take it from there, Clinton.

My name is Jason Morgan, CEO of Original Chop Store. We purchased the brand name in 2016three unitsand I have actually grown it to 26. After a brief stint of trying to be an accountant for about a year and a half, I transitioned into gambling establishment property and worked in corporate financing.

I was the first employee there after personal equity bought the company. Assisted grow that from 20 to 150 areas, took it public in 2014, and then left about a year and a half after going public to do this at Chop Shop. My hope is that we can reproduce the success we had at Zos, and we're off to a really great start.

We're at the counter, we bring the food to the table. The key to the program is we have a beverage element as well with fresh-squeezed juices and protein shakes.

Freddy's Frozen Custard & Steakburgers

A little more complex than some of the walk-the-line concepts that are out there, however we believe we have actually got something pretty special. We're going to add another shop this year and a minimum of four stores next year. We will be 31 or so stores by the end of next year.

Significant Regional Shifts Shaping 2026 Expansion

I've been in this function for about 6 years. Fourth, as numerous of you understand, is a leading supplier of software services to the restaurant and hospitality industry. Our goal is to assist our consumers be effective in driving success and being efficientmanaging labor, managing inventory, and essentially providing them with tools they require to provide their vision.

It's uncommon to have business that are beloved and growing quickly, that can repeat that success every year. Jason, among the factors I was so ecstatic to have you join our session is the success at Zos was fantastic. I have actually only met a handful of brand names where there was such a strong customer affinity for the brand name.

When you talk to customers about Chop Shop, they love the location. And to be able to take what is a fairly complex concept in terms of delivering an excellent experience for the consumer, and be able to grow that from a few stores to now north of 30 shops next yearit's amazing.

We're going to discuss how to scale a restaurant business. Every restaurateur I ever speak with has imagine taking one shop, two shops, 5 shops, and turning it into something much biggerexpanding throughout the city, across the state, into several states, and eventually nationwide, even worldwide reach. It's not easy, especially in today's environment.

It's not a simple time to drive success and growth at the same time. How do you scale it and make it effective? Second, beyond innovation, how do you scale excellent groups?

Strategic Growth Milestones for 2026

The first concern I have for you, Jasonlook, you have actually done this two times now in the dining establishment industry. What has your experience been in terms of what it takes to truly drive success in broadening restaurants?

We talked a bit before we began about LinkedIn, and I've got a post teed up to follow this next week about what the playbook is likepoint by pointfor growing a company. To me, one of the key things, and I feel very fortunate, is that both brands I have actually been involved with are special.

And there's nothing precisely like Chop Shop in terms of what we're doing with a large, varied menu. A lot of brand names today are very singularly focused in terms of what they're using from a foodstuff. I seem like we began at a benefit with both brand names by having something unique that filled a specific niche nobody else was doing.

A lot of it starts with the brand name. Does your brand have something special that no one else is doing?

Why Is Scaling the Best Move?

The second thingI originated from a finance background, so a great deal of my learnings are more finance and data-driven versus a great deal of early start-up restaurateurs who are innovative types. They love the food, they constructed the menu, they built the brand name. I most likely couldn't do that from scratch. However if you provided me something that has all those elements in place, I can take it from there and put the playbook in location.

They do not know their breakeven sales. They do not understand how margin enhances as sales boost. They don't comprehend cash-on-cash returns. I've seen so many companies where the numbers just don't work. And yet individuals state: let's open 10 more. And I'll say: why? It does not make money. Stop. You require to find a principle that is special.

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If you do not have those two things, you shouldn't be constructing shops. Yeah, maybe both, right? Because as I hear your description, you've highlighted 3 things: execution, brand name differentiation, and financial viability. You have actually got to begin with execution. If you do not have an operating model that works, broadening it just increases problems.

Essential Strategies to Growing Hospitality Brands

Second, you require a compelling brand or distinct idea that resonates with clients. And another key lesson is about entering new markets.

When we expanded to Dallas, I anticipated new shops to do 5070% of Phoenix sales in the first year. Too lots of operators assume brand-new markets will open at full volume day one.