SAN Francisco OVEN concept finds new takers - Eatery cooks up franchising deals

1000 SAN Francisco OVEN concept finds new takers - Eatery cooks up franchising deals

This Issue: May 10, 2004
Eatery cooks up franchising deals
By HENRY GOMEZ hgomez@crain.com

SAN Francisco OVEN concept finds new takers

Branching out from their Ohio roots, executives at Broadview Heights-based SAN FRANCISCO OVEN say they have agreements in place with nine franchise groups to open restaurants in four other states.

Matt Harper, president and CEO of the two-restaurant chain, said franchised stores are expected to open this summer in nearby Hudson; Davenport, Iowa; Orlando, Fla.; and Tyler, Texas. The chain's forte is in brick-OVEN pizzas, Napa Valley wines and other SAN FRANCISCO treats.

Mr. Harper and business partner Eddie Cerino, who together for 12 years have owned Eddie's Creekside Restaurant and Market in Brecksville, opened the first SAN FRANCISCO OVEN in 2001 in Willoughby and began offering their latest venture to franchisees the next year. The company currently has a franchise location in Columbus in addition to its flagship, corporate-owned store in Willoughby.

Since 2002, Messrs. Harper and Cerino have worked with Fransmart, a Virginia-based franchising consultant that helped SAN FRANCISCO Oven land many of its new deals. Mr. Harper said in addition to the $25,000 franchise fee, ownership prospects could expect to pay anywhere from $250,000 to $500,000 per restaurant.

Molly Brown, a spokeswoman for Fransmart, said SAN FRANCISCO OVEN mainly has targeted people already established in the restaurant business. She said the company has been looking for a minimal amount of ownership groups with an ability to oversee a large number of stores.

One is the SFO Support Group of Ormond Beach, Fla., a restaurant partnership that earlier this year bought the exclusive franchise rights to develop SAN FRANCISCO Ovens across Florida. Tim Curtis, a principal in the ownership group, said he and partner Gale Lemerand have plans for at least 75 eateries.

Mr. Curtis said he and Mr. Lemerand wanted to explore another facet of the food service business to complement their separate businesses. Mr. Curtis owns an Ormond Beach pub; Mr. Lemerand co-founded an upscale tavern. SAN FRANCISCO OVEN was the best fit, Mr. Curtis said.

"We traveled the whole country in search of an idea," he said. "But when we met Matt and Eddie in Ohio, we saw such passion."

In addition to the Ohio and Florida locations, SAN FRANCISCO OVEN also has franchise deals in Iowa, Texas and Virginia. Mr. Harper said timetables for the openings depend on availability of real estate.