Famous Toastery Forges a Path for Franchisees to Recover in COVID-Era

At the beginning of March, COVID-19 hit the United States hard. The virus had an effect on businesses across the country, and amid forced closures, the restaurant industry suffered the most. As a result, restaurants across the country have been reporting permanent closures on the daily. To avoid similar closures for their brand, Famous Toastery CEO Robert Maynard knew something had to be done.

The virus presented unprecedented challenges to the better-breakfast chain, but Famous Toastery’s corporate team quickly pivoted to adjust to the industry’s “new normal.” On top of providing health and safety guidance for their franchisees, the corporate team initiated a new point of sale (POS) system to permit online ordering for their customers. 

“Our team predicted that online ordering would play a big role in the subsequent months,” Maynard says. “We were already in the development process of different online ordering programs for our franchisees; it turns out we had to make a decision earlier than we anticipated but it paid off in the long-run. Our POS system turned out really well and I can’t tell you how happy we’ve been with the results. The team worked day and night to make this happen — it was a real team effort.” 

With 26 locations across the Southeast, the restaurant brand had a lot of work to do before it could launch its online ordering service, but the Famous Toastery team worked to get it up and running within just four days. The turnaround proved fruitful for franchisees as they strove to keep up with orders from customers looking to enjoy their favorite Famous Toastery meal at home.

“Frankly, in a time like this, you can’t afford to have somebody on the phone taking orders from customers,” said Maynard. “It’s an ‘all hands on deck’ kind of scenario — you need to have your employees doing what they do best, whether it’s making the food for orders or putting our best foot forward with customer service. The online system made everything so easy for our customers and for our franchisees; it makes a difference in these times and we’re willing to do what we can to make the customer feel satisfied.”

Aside from their new POS system, the breakfast brand’s team took steps to financially aid franchisees to help ensure their success. Maynard said they forgave royalties at the beginning of the pandemic and franchisees were able to utilize funds from the Paycheck Protection Program. With this help, franchisees have been able to stay-afloat, even at the height of COVID-19’s hold.

“Our franchisees seem to be happy with how we’re handling the crisis,” said Maynard. “We want to create an environment where they feel confident in their ability to stay open, while also keeping themselves, their employees and their customers safe.”

Pat McManaman, Famous Toastery franchise owner in Charlotte, North Carolina, said his location was hit hard by the pandemic.  When they first opened back up, they were only doing take-out and online ordering and sales were down nearly 70%. Since reopening for dine-in, however, sales have gone up roughly 50%. The flexibility of Famous Toastery’s model has allowed his location to adjust throughout the pandemic and get customers the pent up food and service they desire.

“We have had to completely change how the flow of the restaurant goes in order to maintain social distancing and prevent cross contamination,” said McManaman. “We try to have the customer enter one door and exit out the side door, we have masks available for those customers that do not, and we have removed all condiments from the table and only bring what the customer needs.”

In spite of the COVID-19 setbacks, McManaman said he’s been pleased with the way Famous Toastery has handled the crisis thus far. Though there will likely be additional twists and turns to come, he feels confident that his business will not only survive but thrive in the coming days.

“Corporate has given us the freedom to make the best choices we feel will benefit our restaurants the most,” said McManaman. “We closed for about a month and a half at the end of March, and they were completely understanding. When we opened back up, they did not force us to go back to the regular hours of 7am-3pm. We were open from 9am-2pm for a while and now are open from 8am-2pm. I know of at least one store that is closed two days a week.  Also, they suspended royalty fees for several weeks and do not require us to pay them back.”

Although the restaurant industry is likely to see continued hard-times during the pandemic, Famous Toastery seems to be on a path to further success. During the crisis, the breakfast brand restarted its franchising program and has since received inquiries from franchise candidates to join the system. In fact, two stores opened during COVID-19, and a third is planned to open before the start of 2021. Maynard says he believes in the versatility of their franchise model and the drive of their franchisees to keep the momentum going.

“The only thing we can do in the present is control how we handle the pandemic,” said Maynard. “Right now we’re doing a great job at managing the crisis and we’ll continue to grow from it. A future lies ahead of us that is COVID-19 free. Maybe it’s not as close as we’d like, but we’ll do what we can to ensure that folks feel safe coming into our restaurants and protect our franchisees and their employees in the process. The economy is going to make a comeback after all this pent-up demand to get out and socialize — we’ll be ready for that day, whenever it comes.”

To learn more about Famous Toastery franchising opportunities, visit their website.