People from San Jose, Calif., to Staten Island, N.Y., can stop by Orange Leaf self-serve yogurt shops to fill their cups with a variety of flavors and top it with fruit and nuts or gummy worms and chocolate. Few, however, likely know the company is based in Oklahoma City.
Orange Leaf didn’t start in Oklahoma; its roots are in San Francisco. But after Reese Travis, a member of the offensive line on the 2000 University of Oklahoma national football championship team, became a franchisee in 2009, he wanted to have it all.
Backed by a group of private investors, Travis opened a store in Norman, and one in Lawton. When the investors signed on for three more sites, he knew it was time to take the next step, although the company was not for sale. They initially looked at a variety of food franchises, and even considered creating a new self-serve yogurt concept. After exploring many options, they liked what they saw in Orange Leaf, and its potential for growth.
“That’s when we approached the founders of Orange Leaf and made a proposal for them to sell their business to us,” he says. “As they say, ‘Everything’s for sale.’” The deal closed April 2, 2010, after a six-month negotiation period, which landed Travis in the yogurt franchising business.
The upfront cash investment to start a store is about $12,000. In comparison, it costs about $500,000 of non-borrowed personal resources to apply as a franchisee for McDonald’s, according to the company’s website.
When Travis’ group purchased Orange Leaf, there were 15 stores. By early 2011, there were 66, and they are on their way to 100 locations by the end of this year. But not just anyone with $12,000 can open up shop.
Matt Wills, Orange Leaf director of franchise and brand development, carefully screens applicants. With the low start-up cost and the current yogurt craze, he says many suitors have come calling. If those parties can provide the proper financial information, and if they have a real interest in being hands-on owners, Wills invites them on a yogurt date in Oklahoma City.
“Matt explains our expectations,” Travis says. “We set those expectations very high.”
Wills also works to promote the brand, and its products. He says the company has never tried to pass its yogurt off as health food, but describes it as a healthier alternative.
“It’s a sensible option for a frozen dessert, compared to ice cream or custard,” he says.
In addition to running an everexpanding business, Travis likes to keep things fun. Franchisees are encouraged to include murals that recognize local sports teams in their stores. In the waiting area at the company’s corporate headquarters, 14313 N May Ave., there are two yogurt dispensers loaded with flavors that haven’t yet hit the market and are available for sampling.
Looking ahead, Travis wants to grow the brand to match the likes of a certain ubiquitous coffee chain.
“We want to be the Starbucks of selfserve frozen yogurt,” he says. “With our goal of 100 stores in 2011, we’re off to a great start.”