Andy's Frozen Custard heads to Branson

by Ashleigh Behlmann

SBJ Contributing Writer

sbj@sbj.net

In early 2005, a new Andy's Frozen Custard franchise is to be up and running in Branson. Springfield restaurateurs Mike, Billy and Sara Jalili, who own Bijan's, are new Andy's franchisees. The Jalilis also are opening Flame Steakhouse and Wine Bar in downtown Springfield. (See related story on page 15.)

Andy Kuntz, owner of Andy's Frozen Custard, said that there are five franchises under contract and two more are close to signing.

"The others would be Columbia Cape Girardeau, a suburb of Chicago and Rogers, Ark.," Kuntz said. The Rogers location is to open later in 2004; the rest likely will be ready to go in spring 2005.

Since announcing plans to franchise in December 2003, Kuntz said the business has had good luck bringing in franchisees. In fact, some have been turned away.

"We feel pretty strongly that we need to not exceed the number of seven too much more for us to do what we want to do for this coming spring," Kuntz said.

Springfield's three Andy's locations are owned by the company, Kuntz said.

"Originally, when we decided to expand, we decided that we would keep Branson for ourselves, and after analyzing the situation and trying to do what we're doing, we realized that it would maybe be a better move to franchise that store (to) give us an opportunity to have a store real close by to learn the franchise process of getting a store up and running, and running efficiently," Kuntz said.

Andy's franchise fees are $32,000. Royalties are 6 percent, and start-up costs range from $350,000 to about $760,000, Kuntz said.

The Jalilis worked with the U.S. Small Business Administration and Liberty Bank for both the Andy's franchise and the new Flame Steakhouse.

"They made a lot of things possible that wouldn't have been without them," said Sara Jalili. The Jalilis think that Andy's was a natural choice for Branson.

"It's such a family-oriented product, and Branson is a family town," she said.

Billy Jalili added, "We always wanted to get into the custard business with Andy's. We thought it was a great business, and Andy does very well because he offers a good product and good service. For a location, Branson makes a lot of sense because of the type and volume of people that go through there."

The Jalilis said they would be overseeing their new franchise, "but not as much as our restaurants in Springfield. We have managers in mind for the Andy's location," Billy Jalili said.

(Inside Business Editor Maria Hoover contributed to this story.)