FRANCHISES
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Rejection Bites
It took five tries before this longtime career woman could have golden arches of her own.
By Taylor Mallory
Franchising isn't as easy as choosing one to buy and signing papers – especially with the most profitable ones. Carrie Salone, owner and operator of two McDonald's restaurants, found that out the hard way. After researching franchise options, she decided there was only one company for her – McDonald's. "I looked at every franchise you could think of, and McDonald's scored an A-plus in every area that was important to me," Salone says. But the nation's top-grossing restaurant played hard to get for five years – rejecting her application five times before accepting her. Salone talks to PINK about overcoming hurdles before starting her multimillion-dollar company in 2003.
Why did you decide to franchise?
I worked for the Centers for Disease Control and Prevention (CDC) for 20 years. But I didn't have a legacy. In 1998, at age 38, I was sitting in my cubicle and realized that for my daughters to gain the greatest benefit from my career, I would have to die so they could collect my life insurance policy. I wanted something I could will to my children's children.
What happened when you applied?
I thought I'd get it because I wanted it – until my application was denied. I needed to do some homework. So I got on a plane and went around interviewing McDonald's operators. I have five tablets from my years of research – my entrepreneurial lessons learned. I needed some experience, so I went to work for free at a McDonald's for a guy I knew would teach me. For two years, I'd work 40-hour weeks [at the CDC] and then put in 35 to 45 [at McDonald's]. I worked the floor, ran the registers and dropped fries. I even got on the roof to change air-conditioner filters.
What other challenges did you face?
I had to have a lot of money. [Industry reports estimate cash investments of $511,000 to $1,000,500.] It couldn't come from a loan or a secondary investor. I took out all my retirement money, plus I did an extreme budget. I decided not to be part of the office birthday party club at work. I ate out once a week and took my lunch on the other days. And I had to give up some of the girl stuff – the nails and shopping. It was a risk, but the outcome stood to be greater based on the history of McDonald's.
McDonald's is very brand-conscious, but your McDonald's is not like most locations. How did you convince McDonald's to let you do things differently?
I'm the only location anywhere that has white linen tablecloths. That's because my store is in Buckhead, a very upscale neighborhood in Atlanta. Entrepreneurs have to learn the culture of the communities in which they operate. I showed the McDonald's reps the community and how I envisioned a location that would work here, where bars and low-end restaurants are getting shut down. A regular McDonald's wouldn't thrive here. They let me use more subdued colors to add the culture and flavor of Buckhead to my restaurant.
