Tropical Smoothie Franchisees Expand With Another Broken Egg

Dennis and Nicole Drake are both from New York City, where there are brunch places aplenty.

As Nicole Drake put it, “you can throw a stone anywhere and hit a brunch place.” That hasn’t been the case though in northern Virginia, where they reside now. Seeing how their region was severely underserved, they decided to take matters into their own hands by signing a three-unit agreement with Another Broken Egg Café.

While they will be new to running a breakfast and brunch brand, the Drakes are no stranger to franchising. They’ve been Tropical Smoothie Cafe franchisees since 2013, with four stores open and a fifth coming through their company, D2 Ventures.

Their journey into franchising began when they were looking to shift careers after working in various defense-related sectors. Nicole Drake had a background with defense and intelligence organizations as an aerospace engineer, while Dennis Drake is a U.S. Navy veteran.

“By 2012, we were starting to look at what would be next for us,” said Dennis Drake. “We knew we wanted a business model that can set up a legacy and quality of life. I was also training for a triathlon at the time, and was looking for a place to juice. Right there in our area was Tropical Smoothie. I walked in, loved what they offered and figured it might be that right model.”

A year later, the Drakes became Tropical Smoothie franchisees. Fast forward to today, Dennis Drake said areas of growth with the smoothie brand were limited, so the couple chose to expand their portfolio with another brand.

Another Broken Egg Café popped up on their radar and became a match not only because it offered brunch, but because of its Southern cuisine-infused menu.

“That’s something we definitely appreciated,” Nicole Drake said. “My husband has a large amount of family in North Carolina and I went to school there. So, we have an appreciation for that Southern cuisine. Being that their food is infused with that set them apart.”

Dennis Drake said they met the leadership team and became fast fans of the brand’s leaders, model and structure.

“On the business side, our Tropical Smoothies run from 7 a.m. to 9 p.m. which can be resource intensive,” Dennis Drake said. “With Another Broken Egg, it’s open from 7 a.m. to 2 p.m., so it’s a smaller window with mainly one shift.

“They also have people diving in on things like time, efficiency, tools and technology at their headquarters,” said Dennis Drake. “That made us excited. We had a lot of questions with regard to time from order to table and the technology being used, and we felt that they were heading or already had that efficiency back in the kitchen.”

Another Broken Egg Café has built its structure for nearly 30 years. Founded in 1996, the daytime-only restaurant concept has more than 100 locations open across 16 states, with 58 franchised and 44 company-owned. The brand has a large presence in the Southeast, but has moved up along the East Coast in recent years.

“We opened our first café in Virginia in 2021 and opened in Baltimore in 2023,” said Jeff Sturgis, chief development officer at Another Broken Egg. “We’ve gained momentum in the region, so it makes sense for the brand to continue initiating growth in the area. You get synergy with operations, marketing, supply chains and all of the good things a franchisor should be looking at with expansion.”

In Virginia, Dennis Drake said there’s potential for growth beyond the three units they’ve signed on for initially.

“We believe we can get significantly more in the future, but we need to cut our teeth on the three locations so we define and refine our operations,” Dennis Drake said. “This is the start, but our goal is to grow larger than the three. Our approach to business is we get the concept, refine it, develop it and then pause. Do a gut check to make sure we’re doing good, see where we need improvement and then move forward.”

Outside of the mid-Atlantic region, Sturgis said the brand has some plans in western markets, with developments in Arizona, California and Texas. Most of the growth, however, focus remains east of Missouri.

“Looking at a map, go up from San Antonio to Kansas City and east through Ohio and down to Florida, that’s where we plan to continue to grow,” Sturgis said.

QUICK HITS

Dave’s Hot Chicken is entering the Pittsburgh market with an experienced operating group. Danny Costa, Michael Costa, Jonathan Wise and Raj Patel will develop Dave’s over the next five years, adding to their franchise portfolios. Patel, an existing Dave’s Hot Chicken franchisee with seven units, also has more than 100 McAlister’s Deli and Dunkin’ stores. The Costas and Wise are likewise large Dunkin’ franchisees, with 75 units in Pennsylvania and Maine. Established in 2017, Dave’s Hot Chicken has more than 200 locations.

The Red Chickz inked a 10-unit deal to develop stores in North Carolina. The agreement is with Kamran Awan, the founder, president and CEO of Greensboro-based Mega Hotel Management. Along with hotels, he owns five restaurants, two real estate offices, a jewelry business and a Vitamin Shoppe store. Established in 2018, The Red Chickz has four locations open in Los Angeles.

BurritoBar, a fast-casual Mexican brand with a counterpart in Canada, signed a master franchise agreement for the state of Virginia. The 18-unit deal is with franchisee WV ADYK, LLC. BarBurrito got its start in Canada in 2005, and in 2020 introduced a U.S. version, BurritoBar. In Canada, BarBurrito has more than 330 locations.

Pepper Lunch, a fast-casual brand originating in Japan, signed a five-unit agreement for the San Diego market. The agreement is with ownership group TD Family Ventures, led by Bao Doan, co-founder of San Diego-based bubble tea café Urban Bubble. Founded in 1994, Pepper Lunch has more than 500 locations across 15 countries.

Chicken Salad Chick signed a four-unit agreement to expand its Louisiana footprint. A pair of couples, Bill and Anne DiPaola, as well as Tiffany and Paul Spring, partnered to open the locations in New Orleans. Bill DiPaola brings experience as the CEO of franchise ownership holding company NHG, already a Chicken Salad Chick operator. Anne DiPaola has a background in communications, and the Springs work in healthcare. Founded in 2008, Chicken Salad Chick has more than 270 locations in 19 states.

Tex-Mex brand Sucheros is set to enter Tennessee with a seven-unit deal for the Nashville market. The partner for the expansion is franchisee WilCo Fresh Mex, which is set to open its first location in October. Founded in 2007, Sucheros has 30 locations, mainly in Florida and Georgia.

Bad Ass Coffee of Hawaii inked a three-unit deal to bolster its Colorado presence. Denver entrepreneur Bill Leary signed on to open a location in his own city and two more in the state’s northern region. Leary comes to Bad Ass Coffee with experience as the owner of beverage brand Jackson Hole Soda. Originating in 1989, Bad Ass Coffee has more than 30 U.S. locations.

Retailer Buddy’s Home Furnishings is set to enter the Miami market with a three-unit deal. Signing the agreement is entrepreneur Brian Landau, the owner of a sports cards collectable business and three ice cream stores. A subsidiary of Franchise Group Inc., Buddy’s Home Furnishings has more than 335 stores in the U.S. and Guam.

Blaze Pizza is continuing its international push with a six-unit agreement for the United Arab Emirates. The deal is with NAD Holding, led by CEO Nabeel Dabwan, which last year acquired a Blaze Pizza location in Manama, Bahrain. Founded in 2011, Blaze Pizza has about 300 locations across 38 states and three countries.

Pizza Inn signed a master franchise agreement with Al Ruwad Hospitality Services & Restaurants Management Group to develop markets in Egypt. The group, led by CEO Magdy Al Khazrjy, plans to open the first of seven locations in Cairo later this year. Founded in 1958, Pizza Inn is part of the Rave Restaurant Group portfolio and has 112 U.S. units and 18 international locations.

The Wire is the place to find news of multi-unit development agreements, brought to you by Senior Writer Matthew Liedke. Want more? Sign up for the e-newsletter at franchisetimes.com/e-newsletter. To share your brand’s multi-unit deals, email details to [email protected]