Opinions expressed by Entrepreneur contributors are their own.
At the age of 29, Ramin Kamfar had everything he needed. Or soone would think. He had an MBA from Wharton and a job heloved--vice president at a large Wall Street banking firm. So whygive up financial stability and security to open, of all things, acoffee store?
"What I saw happening in the coffee market was somethingthat happens to a segment of the U.S. food service market everydecade," says Kamfar, who dove into untested waters in 1993when he left Wall Street to start New World Coffee. "[Thecoffee market] was going from mom and pop stores to being branded.I wanted to create an East Coast alternative to Starbucks. At thetime, everyone said starting a coffee chain in New Yorkwouldn't work."
But Kamfar has sent the naysayers packing--probably with a cupof his brew--with the success of his business, New World Coffee& Bagels Inc., which now has 45 locations (15 franchised, 30company-owned) in 19 states along the East and West coasts.
Kamfar's initial investment of $250,000 came from his ownsavings. But besides building a chain of stores, he also managed topick up a coffee plant along the way--oh, and he acquired ManhattanBagel (a franchise company with 290 locations) and two bagel plantsin 1998, too.
Despite the incredible growth of his company, Kamfar remainsgrounded. "The businesses were never about money," hesays, "they were always about building something."
And while rapid growth might intimidate entrepreneurs who preferto be hands-on, Kamfar welcomes the challenge. "Someentrepreneurs have trouble making the transition from running asmall business to managing a company where they can't doeverything themselves. I'm fortunate because I have a businessbackground and I'm used to that."
Kamfar isn't through conquering the world, though. Upcomingplans include co-branding future New World Coffee & Bagels andManhattan Bagel stores as well as signing up more franchisees.
Average start-up costs to open a New World Coffee & Bagelsfranchise begin at $175,000; Kamfar says the planned expansion willtarget both coasts.
Blind Spot
When the five founders behind Budget Blinds became dissatisfiedwith the blinds company they had been working for, they jumpedship, started their own business and today head a franchise system175 locations strong.
An inspiring story, no doubt--which may explain why SteveThackerson, 30, now owns a Budget Blinds franchise. You see,Thackerson also worked for the aforementioned blinds company. Butwhen that company started having financial problems, Thackersonknew it was time to move on. After reading about thewindow-covering company in Entrepreneur magazine, he beganinvestigating Budget Blinds.
In 1994, he and his wife, Michelle, signed on and opened afranchise in Birmingham, Alabama. Like all Budget Blindsfranchisees, Thackerson is homebased. But because Budget Blinds wasnot established in the South at the time, Thackerson had to spreadthe word himself. "Getting Budget Blinds' name out in thecommunity was my big challenge," he recalls. Coupon mailers,fliers and an ad on a local Christian radio station did the trick.Today, his franchise hangs steady, earning $500,000 in 1998.
Budget Blinds is accepting applications nationwide. Start-upcosts are approximately $20,000. For details, call(800) 800-9250 or visit http://www.budgetblinds.com
Ad About You
Are you an advertising or marketing pro who loves the challengeof developing ads that sell--but hates having a boss? Maybe youshould try being the boss, as owner of a Creativworksfranchise.
The St. Louis-based company provides "one-stopshopping" for creative services, ranging from logo design topublic relations; media buying; Web site development; print, radioand TV advertising; and more. The franchise's retail storeformat means clients--primarily small and midsized businesses--canwalk in, no appointment necessary, for help with their advertisingor marketing campaigns.
Start-up costs begin at approximately $268,000; the company isseeking franchisees nationwide.
Contact Sources
Budget Blinds, 3412 Sagewood Trail, Birmingham, AL 35243,(205) 970-1766
Creativworks, (888) 304-IDEAS, http://www.creativworks.com
New World Coffee & Bagels Inc., (732) 544-0155,rkamfar@nwcb.com
