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This Hotel Franchisee Decided to Become a Restaurant Franchisor. Here's How It's Going.

Plus, Vinay Rama shares the most important attribute of a good franchise.

This story appears in the September 2021 issue of Entrepreneur. Subscribe »

Vinay Rama planned on a lifelong career in hotels — and that made sense, for a while. It began in childhood, with his family’s motel businesses in and South Carolina. Rama spent his teen years at boarding school in India but returned to the U.S. for college, and stayed. In 2015, he began developing a and a Holiday Inn Express in , Fla. Eventually, he’d open three more Marriotts in the area, plus two in Miami.

Courtesy of Lime Fresh Mexican Grill

Related: For a College Project, He Envisioned a Seafood Boil Business. Then He Graduated and Turned It Into a Franchise.

Rama had no plans to branch out from hotels, but in 2016, an unexpected opportunity presented itself. Ruby Tuesday was selling Lime Fresh Mexican Grill, a casual, made-to-order that had seven units in South Florida. Rama and four friends decided to go in on the $4.6 million deal together. At the time, he saw it as a passive investment to raise capital for future hotels. But when he didn’t like the way his friends were operating Lime, he bought out three of them. Now he expects to grow the franchise to 17 units by the end of 2021, and he credits much of his success to the lessons he has carried from one side of the world to the other.

Image Credit: Courtesy of Lime Fresh Mexican Grill

When you took over leadership at Lime, you had never run a restaurant. Did you get any good advice?

I call myself an accidental restaurateur because I never planned on getting into the business. We hired a consultant, and I’m glad we didn’t listen to some of their report. They said things like: “Put freshness cues into the design. Hang up posters that teach the customer about your .” As a guest, do I really want to read all your propaganda and ? No. That’s why when people walk into our restaurant, it feels different. It feels elevated in a nonfussy, comfortable way.

But there were a couple of bullet points from [the consultant’s report] that kind of drove what we see today. They mentioned, “You’re cooking everything from scratch, but nobody sees it.” So the new prototype is an exhibition kitchen. It’s like this big glass that you look into. We see that at upscale Chinese restaurants or Michelin-star restaurants, but you don’t see it in the fast-casual segment. It’s just about being open-minded and careful in decision-making.

Related: What You Really Need to Look for When Considering a Franchise

What’s it like shifting between the franchisee and franchisor mindsets?

As a franchisee, you’re executing on a brand’s vision and promise. It’s nitty-gritty. As a franchisor, you’re defining things in detail, but you’re not actually doing them. You’re depending on a franchisee, and you’re just quality control. You’re more on the creative side of things, which I love. Frankly, as a hotel franchisee, I was reaching a little bit of an intellectual plateau. It was like, Buy another piece of land, find a brand, do the same thing, raise the capital. So when the franchisor stuff came up, it added to my skill sets. I’m learning more, and our hotel teams are learning more, too.

What are the hallmarks of a good franchise?

The number-one answer that comes to mind is that the brand is ever-evolving. Everybody wants to define a brand and then replicate it. To me, that’s antiquated. I want to create a brand that’s dynamic. The other big one is: If you don’t take care of your people, good luck. I’ve been fortunate to work with brands like Marriott and Hilton, which are franchisee-centric. It’s a partnership. They know that without the owners, they can’t be successful.

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