• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Menu
  • Home
  • About
    • About Franchise Chatter
    • Contact
    • Privacy Policy
    • Terms of Service
    • Affiliate Disclosures
  • Subscribers Hub
    • Login
    • New to Franchise Chatter? Start Here
    • America’s Most Lucrative Franchises
    • Franchises Ranked by Average Revenues
    • Franchises Ranked by Average Profits
    • Franchise Winners, Survivors and Losers Last Year
    • FDD Talk
    • Search by Name
  • Top Franchises
  • Franchise Earnings
  • Costs
  • Fees
  • Quiz
  • Search

Exclusive Q&A with Craig Colby, Seasoned Multi-Unit Restaurant Franchisee (Burger King, Red Robin, Cosi, Margaritas Mexican Restaurant) – Part 1

Last updated on May 7, 2012 by Franchise Chatter Leave a Comment
in Franchise Chatter Exclusive, Q & A Interview, Restaurant Franchise

Craig Colby, who at one time ran 15 Burger King restaurants with his twin brother Michael, has signed on to bring Margaritas Mexican Restaurant to Delaware, Southern New Jersey and Philadelphia. Known for its delicious south-of-the-border cuisine, an energetic bar scene and galleries of hand-crafted Mexican artwork, Margaritas currently has 23 locations spread throughout Massachusetts, New Hampshire, Maine, Connecticut, and New Jersey.

Craig, who currently owns four Red Robin Gourmet Burgers and four Cosi restaurants, will open his first Margaritas at the Riverfront Wilmington complex, at 640 Justison Street in Wilmington, Delaware. The agreement calls for four additional restaurants in the next five years.

This is a must-read interview for anyone who has ever dreamed of becoming a successful multi-unit franchise owner. Craig shares a lot of practical advice on how to choose the right franchise concept, find the best location, build a winning team, and much more.

Franchise Chatter (FC):  Can you tell us the story behind your decision to commit to opening 5 Margaritas restaurants within the next 5 years?

America's Most Lucrative Franchises of the Year
Craig Colby, New Franchisee of Margaritas Mexican Restaurant


Learn Which Franchises Can Make You Rich
Craig Colby, New Franchisee of Margaritas Mexican Restaurant

Craig Colby (CC):  I have been approached the last few years by a landlord to put a Red Robin at the Wilmington, Delaware Riverfront location. Although the idea was intriguing, my answer was always no because retail has seemed to have a problem gaining a foothold there – outlets have failed, restaurants have struggled, as well as slow residential sales and rentals.

The last time I was approached, I decided to look into the growth opportunities a little closer and realized the area is, in my opinion, on the verge of a boom. I started asking questions about the volumes of the restaurants that were already there and was very impressed by their numbers, so I decided the time was right to make my move on the last waterfront location.

I approached Mike Purzycki, head of the Riverfront Development Corporation, and we both decided a Mexican restaurant would be a perfect fit.

I traveled the country and visited many different concepts for six months. I was on a quest to find the best Mexican franchise available. Finally, I discovered Margaritas Mexican Restaurant — a restaurant unlike any other in that it provides a fantastic escape for guests, offering an energetic bar atmosphere combined with the authentic Mexican décor and inspired food.

I signed franchise deals for an initial 5 restaurants through South Jersey, Southeastern Pennsylvania and Delaware. Being the second franchisee to ever sign means there is a lot of room for further expansion, and if all goes well, I plan on opening more locations in the future.


🎯Find Good Franchises That Are Still AVAILABLE in Your Target Area (Free Tool)



🚀How to Find, Vet & FUND a Good Franchise. Watch Our Webinar Live or the Recording Later (Register Now – It's Free)



💰How Much Franchise Can You AFFORD? Use Our Free Financial Calculator


FC:  What is your assessment of the current state of the restaurant industry today, and how does Margaritas fit in your assessment?

CC:  We all know the past few years have not been kind to the full service, casual dining segment because of the “stalled” economy. Many guests have traded down to theCallaway Combo Fajitas at Margaritas Mexican Restaurant fast casual concepts as well as fast food. However, I feel the economy is starting to pick up again — I expect our Red Robins to be up about 10% in 2011 compared to 2010. This is still down going back to 2008 but things are definitely moving in the right direction.

I believe that people are getting sick of staying at home and are starting to crave a night out. They don’t want to settle for fast food — they want the whole experience again. Guests want the atmosphere, service, and food that only the full-service, casual dining segment can provide. They are looking for that WOW factor again, and Margaritas has it.

FC:  Is there any common thread among the franchise brands you’ve invested in — Burger King, Red Robin, Cosi, and Margaritas?

Fried Carnitas Tacos at Margaritas Mexican RestaurantCC:  Really, there is no common thread except that they all serve food. Burger King was not something I was looking for. While I was in college at the University of Delaware, my twin brother and partner, Michael Colby, was at home working at a Burger King. 12 years later, I had graduated from UD and been running my own computer consulting business for about eight years.

Franchises Ranked by Average Profits

My brother, Mike, quickly climbed to the top of his company and realized that in order to go any further, he needed to be the owner. We purchased our first Burger King together, with the help of my very successful college roommate Vinny Smith. We expanded our Burger Kings to 15 locations before we sold.

My brother and his wife Janette grew that business as I was still the “computer guy” and not fully vested in the restaurant business. That was when I did the business purely to make money — it wasn’t much fun for me.

Now the concepts I choose have to be fun for me also — a place that I would like to hang out for a while with friends while of course, making money. Along with being a great concept, Red Robin is a fun place with a great corporation. Unfortunately, being one of the last franchisees to sign onto Red Robin, my territory is limited otherwise I would build them until retirement.

I have found that fun, innovative and friendly atmosphere with Margaritas. It’s a great concept with the potential to make plenty of money while having lots of fun.

FC:  What is your process for deciding on the next franchise opportunity to invest in?

CC:  The best part for me is visiting different areas of the country and dining in restaurant chains I have never been to before. While I may not be looking for a franchiseMargaritas Mexican Restaurant Logo at the time, sometimes I love the concept so much I want to have my own. This happened with Red Robin.

When I am actually out looking for a franchise, as with Margaritas, I first look at all the numbers available to me – Build Costs, Average Unit Volumes, Food Costs, typical Labor Costs, and the potential Store Operating Profits. If I like the numbers I see, then I’ll visit one of the restaurants. I like to say that I need to get the “warm fuzzies” from the restaurant in order to want to build them.

As I said before, but it’s worth saying again, a franchise not only needs to make money for me, but it has to be a fun concept.

To read part 2 of my exclusive interview with Craig Colby, please click here.


🎯Find Good Franchises That Are Still AVAILABLE in Your Target Area (Free Tool)



🚀How to Find, Vet & FUND a Good Franchise. Watch Our Webinar Live or the Recording Later (Register Now – It's Free)



💰How Much Franchise Can You AFFORD? Use Our Free Financial Calculator





Franchise Winners and Losers Last Year

Tagged as: Margarita's Mexican Restaurant

Reader Interactions

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Previous post: Coca-Cola Freestyle Coming to a Fast Food Franchise Near You (Video)

Next post: Exclusive Q&A with Craig Colby, Seasoned Multi-Unit Restaurant Franchisee (Burger King, Red Robin, Cosi, Margaritas Mexican Restaurant) - Part 2

Primary Sidebar

🏆The Very Best of Franchise Chatter

💰 America’s Most Lucrative Franchises of the Year

💰 Franchises Ranked by Average Revenues

💰 Franchises Ranked by Average Profits

💰 Franchise Winners, Survivors and Losers Last Year

⭐️ Every single FDD Talk review is written by me, a former UPS Store franchisee with an MBA from MIT.

🔐Subscribe Now

⚠️Buying a Franchise on Your Own Can Be Overwhelming

✅ Get the guidance and support you need every step of the way – from funding to franchisor introduction, due diligence, franchisee validation, discovery day, territory selection, and signing – from an experienced franchise broker at no cost to you.

✅ Fill out this form and a specialist from the Franchise Brokers Association will reach out to you.

🚀How to Find, Vet and FUND a Good Franchise (Webinar)

✅ Is Franchising a Path for You? – Oct. 6 (Fri.), 11 a.m. EST

✅ So You Want to Build an Empire? – Oct. 10 (Tues.), 4 p.m. EST

✅ Register Now to Get Free Access to Recordings of Both Webinars

Register Now

⭐️Franchise Chatter is reader-supported. We may receive a commission for leads generated from affiliate links and banners on our site.

As seen in:  New York Times, Bloomberg Businessweek, and CNBC

Login

Remember Me
Register | Lost your Password?
Reminder: Your username and password are case-sensitive.

Need help? Email franchisechatterblog@gmail.com

🏆Best Franchises by Industry

Best Franchises by Industry (All Lists)

Best Gym and Fitness Franchises

Best Pizza Franchises

Best Sandwich Franchises

Best Childcare Franchises

Best Ice Cream Franchises

Best Coffee Franchises

Best Hamburger Franchises

Best Salon and Beauty Franchises

Best Chicken Franchises

Best Smoothie and Juice Franchises

Best Maid Service Franchises

Best Mexican Restaurant Franchises

Best Massage Service Franchises

Best Tutoring Franchises

Best Auto Repair Franchises

Best Auto Oil Change Franchises

Best Asian Restaurant Franchises

Best Pet Franchises

Best Commercial Cleaning Franchises

Best Sports Bar Franchises

Best Baked Goods Franchises

Best Moving/Junk Removal Franchises

Best Mailbox Franchises

Best Apparel Retail Franchises

Best Senior Care Franchises

Best Restoration Franchises

Best Tech Franchises

Best Travel Agency Franchises

Best Trampoline Park Franchises

Best Tools Distribution Franchises

Best Property Management Franchises

Best Real Estate Franchises

Best Flooring Franchises

Best Acai Bowl Franchises

Best Poké Bowl Franchises

Best Donut Franchises

Best Kitchen and Bath Remodeling Franchises

Best Window Covering Franchises

Best Plumbing Franchises

Best Home Inspection Franchises

Best Garage Franchises

Best Barbershop Franchises

Best Laundromat Franchises

Best Storage Unit Franchises

Best Car Wash Service Franchises

🚀Daily FDD Talk Posts

Massage Envy Franchise

AlphaGraphics Franchise

Waxing the City Franchise

Window Gang Franchise

Pokeworks Franchise

Rita’s Italian Ice Franchise

Auntie Anne’s Franchise

Fuzzy’s Taco Shop Franchise

Twin Peaks Franchise

The DRIPBaR Franchise

Hounds Town USA Franchise

Big Frog Custom T-Shirts & More Franchise

Home Helpers Franchise

Scooter’s Coffee Franchise

Mosquito Joe Franchise

Capriotti’s Franchise

Bonchon Franchise

Home Clean Heroes Franchise

LaundroLab Franchise

Kiddie Academy Franchise

Chick-fil-A Franchise

Planet Fitness Franchise

Ace Handyman Services Franchise

IMAGE Studios Franchise

Culver’s Franchise

Two Men and a Truck Franchise

Popeyes Louisiana Kitchen Franchise

Cabinet IQ Franchise

Screenmobile Franchise

Cold Stone Creamery Franchise

PJ’s Coffee of New Orleans Franchise

ZIPS Cleaners Franchise

The Goddard School Franchise

WaveMAX Laundry Franchise

Jamba Franchise

GameDay Men’s Health Franchise

Property Management Inc. Franchise

All Dry Services Franchise

Storm Guard Roofing and Construction Franchise

Papa Murphy’s Franchise

Wireless Zone Franchise

Domino’s Pizza Franchise

Assisting Hands Home Care Franchise

Fastest Labs Franchise

Units Moving and Portable Storage Franchise

Freddy’s Frozen Custard & Steakburgers Franchise

KFC Franchise

Synergy HomeCare Franchise

ShelfGenie Franchise

Noodles & Company Franchise

Mr. Electric Franchise

Jimmy John’s Franchise

Franchise Chatter © 2023