How This Founder Went From Facet Hustle to 2,200 Franchises

[ad_1] Tony Lamb is the founder and CEO of Kona Ice, the cell shaved ice franchise (ranked #30 on the 2025 Franchise 500) identified for its tropical vans, kid-friendly Flavorwave station and deep neighborhood involvement. Lamb began out in gross sales, then launched Kona Ice in 2007, initially as a facet hustle to show his youngsters about enterprise. He felt the ice cream truck mannequin was outdated, typically related to poor high quality and unreliable operators. When he thought of shaved ice — with its low product and labor prices and its extra interactive nature in comparison with ice cream — he knew it was the fitting match.

Kona Ice has since grown right into a 2,200-unit nationwide franchise that is returned greater than $200 million to colleges and native organizations. Regardless of the expansion, the model's $3,000 annual royalty price hasn't modified in practically twenty years.

Throughout the pandemic, Lamb expanded his portfolio with Travelin' Tom's Espresso, a cell espresso idea (#217 on the Franchise 500) named after his father and Beverly Ann's Cookies, a dessert truck impressed by his mom.

Find out how Lamb constructed a recession-proof, feel-good franchise enterprise — and what recommendation he has for aspiring entrepreneurs — right here.

Responses have been edited for size and readability.

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How did your prior expertise put together you to launch a cell shaved ice enterprise?I began promoting vacuum cleaners throughout faculty, door-to-door, in Kentucky. I finally graduated and ran six workplaces, had 300 salespeople and made "rock star" cash for some time. It is a robust enterprise, however it teaches you all the pieces about small enterprise: advertising and marketing, buyer interplay, sourcing and constructing groups. After that, I did advertising and marketing consulting for some time. That gave me the arrogance to assume, If I can work out vacuums and cell advertising and marketing, I can work out an ice cream truck.

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What sparked the concept for Kona Ice?One summer time, I used to be in my yard, and an ice cream truck got here down the road. My youngsters ran towards it, and it was all the pieces you warn youngsters about: a shirtless man in a white van with a couple of stickers on the facet. I assumed, This business is already a part of our tradition, however it's been dragged right down to the bottom widespread denominator. What if we constructed one thing stunning, open and interactive that oldsters might belief?

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A number of folks have nice concepts. How did you go from an thought to your first truck?I knew how one can make a car look nice as a result of I would constructed cell billboard vans earlier than. I employed an engineer and a designer, brainstormed all the pieces from structure to buyer interplay and constructed the primary truck in 2007. I assumed I would have, perhaps, 5 vans as a facet hustle to show my youngsters about enterprise. However once I let somebody within the subsequent county attempt one they usually succeeded, I knew I had one thing greater.

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You began franchising only a 12 months later. Why so quick?A man noticed the truck on trip and wished one in Nashville. I noticed franchising was the easiest way to carry the model tightly. Security and belief have been central, and you'll't get that if anybody can run their very own model. I set the royalty at $3,000 a 12 months — and I've by no means raised it. I did not need to get grasping. I wished franchisees to maintain the lion's share of the cash.

What have been the important thing improvements that helped Kona Ice develop?The massive one is the Flavorwave, a self-serve taste station on the facet of the truck. It gave youngsters a "keys to the sweet retailer" feeling and justified a better value level. For franchisees in colder climates, we added the Kona Mini so they might work indoor occasions. And, from day one, our franchisees made cash, which fueled development.

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The pandemic worn out all occasions for a major period of time. How did you adapt?We have been 95% event-based, and inside two weeks, each occasion was gone. I spent two days within the fetal place, then we launched "Curbside Kona" utilizing tailored supply software program. Clients booked stops on-line; we optimized routes and texted them arrival occasions. That saved us in April and Might. From there, we constructed a $4 million customized platform, Kona OS, which now handles all the pieces from routing to advertising and marketing. It has made scaling a lot simpler.

Kona Ice can also be identified for giving again. How did that begin?In 2008, through the financial disaster, PTAs advised me that they had no price range. I supplied to come back to colleges, promote to youngsters and provides the PTA 25 to 30% again. Shaved ice has nice margins, so why not? It locked us into the neighborhood — we weren't simply promoting a product; we have been serving to fund helmets, playgrounds, uniforms. That turned our tradition, and now our franchisees have given again over $200 million.

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You've got since launched Travelin' Tom's Espresso and Beverly Ann's Cookies. What was the inspiration to launch these manufacturers?Throughout Covid downtime, I dusted off some ideas I would been sitting on. We prototyped a espresso truck and named it after my dad — a colourful, gregarious man. It took off. Then I created a cookie-and-ice-cream truck named after my mother, utilizing her faculty portrait on the facet. Each manufacturers use the identical cell merchandising rules that make Kona profitable.

Wanting again, what is the single most essential resolution you made that set Kona Ice on this path?Not altering the royalty. Buyers have advised me to modify to a share, however that is not who we're. Holding it at $3,000 a 12 months makes franchisees wholesome and retains competitors out. You'll be able to't construct what we have constructed and cost what we cost — and I need the folks doing the work to make the cash.

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Tony Lamb is the founder and CEO of Kona Ice, the cell shaved ice franchise (ranked #30 on the 2025 Franchise 500) identified for its tropical vans, kid-friendly Flavorwave station and deep neighborhood involvement. Lamb began out in gross sales, then launched Kona Ice in 2007, initially as a facet hustle to show his youngsters about enterprise. He felt the ice cream truck mannequin was outdated, typically related to poor high quality and unreliable operators. When he thought of shaved ice — with its low product and labor prices and its extra interactive nature in comparison with ice cream — he knew it was the fitting match.

Kona Ice has since grown right into a 2,200-unit nationwide franchise that is returned greater than $200 million to colleges and native organizations. Regardless of the expansion, the model's $3,000 annual royalty price hasn't modified in practically twenty years.

Throughout the pandemic, Lamb expanded his portfolio with Travelin' Tom's Espresso, a cell espresso idea (#217 on the Franchise 500) named after his father and Beverly Ann's Cookies, a dessert truck impressed by his mom.