Former Army Cook Creates Recipe for Success with Edible Arrangements Franchise

One night while watching the television program The Big Idea with Donny Deutsch, Maurice Welton was intrigued by a segment on Edible Arrangements founders Tariq and Kamran Farid. Edible Arrangements, which has more than 700 owners and 1,000-plus stores, is known for its fresh fruit bouquets hand-sculpted to look like flowers, ranging from $30 to $150.

But it would be a few months before Welton would pursue the franchise concept. After moving to south Texas from New Orleans, he opened his first Edible Arrangements location in McAllen, Texas, in 2007–the franchisor’s first store in that locale.

“I was displaced by Hurricane Katrina and McAllen was where I decided to start over,” he explains.

Today, he owns and operates three Edible Arrangements locations. The second and third were opened in 2010 and 2011, with a fourth store slated to open later this year. Despite naysayers who believed fruit on a stick would not sell in a state full of meat eaters, Welton has increased revenues annually to roughly $1.2 million collectively for his stores and he has provided jobs for about 15 people. In fact, Welton was recently named one of the top five small businesses in McAllen by the City of McAllen’s Chamber of Commerce and received the President’s Award from Edible Arrangements CEO Tariq Farid.

“There are a lot of minorities who are like I was and would like to get out of the corporate scenario and go into their own business,” says the 42-year-old veteran, who has degrees in culinary arts and food service management and an M.B.A. from the University of Phoenix.

Because it is food-based, Edible Arrangements was an easy choice for Welton, who worked in the food industry for more than a decade. He could also apply the managerial experience gained in the Army to running the business. The disabled veteran served the first four years in the military as a cook and the last two years as a food inspector.

“Edible Arrangements was the perfect blend of still being in the food arena, but not having to cook or run a restaurant,” he says.

Welton took advantage of the franchisor’s $10,000 discount off the initial $25,000 franchise fee for veterans. Qualified franchisees must have business acumen, the ability to manage staff and resources to successfully grow multiple locations, and have a net worth of $500,000. Owners also must participate in a comprehensive three-phase training program in all aspects of system operations as well as administrative procedures, sales, and marketing.

Welton’s Edible Arrangements stores have all thrived in spite of the economic downturn.

“During a down economy, you have to pinpoint what works and what doesn’t. In my case, I planned every night what I needed to do the next day. I networked with everyone I could, locally and long distance. The McAllen Chamber of Commerce really gave me a big boost,” he adds.

Convincing people to pay the same price point in Texas as in New York was one challenge.

“We had to get people to understand that there was value in paying $50 for an arrangement.”

But his biggest challenge

was maintaining efficient inventory. In any place of business where perishable food products are sold, inventory control is critical. Each perishable item represents a temporarily unrealized profit. If an item spoils or cannot be used due to inefficient inventory management, the profit is lost.

The key in spoilage prevention was to pay attention to the condition and shelf life of Edible Arrangements strawberries, melons, and other fresh fruits during their storage period. Welton used a software program to track and time stamp goods with an expiration date. He continues to do projections for the next day, week, and month to determine how much inventory to order and carry.

Big purchases are done only as needed, says Welton, noting that the holidays are the busiest times of the year, especially Valentine’s Day and Mother’s Day, each of which may call for 1,000 arrangements compared to the 50 arrangements daily on average.

In addition to inventory control, Welton stayed on a tight operating budget, making sure he saved and never overspent on anything–himself included. To grow

business, he utilized his three R rule, “‘R to the Third Power’ as I call it: recruit, retain, and recycle. “Recruiting is marketing the business. Whatever way I could work my way into the door–from anniversaries to weddings to birthdays–I would talk about it and try to get the buzz out there,” he explains.

Retaining customers is about sending thank-you letters back to the senders and the recipients of Edible Arrangements and offering $5 off their next purchase in hopes of bringing them back to the store. Recycling involves referring customers to other neighborhood stores.

“I like the idea of carry-over traffic and recycling customers back to other businesses so the whole community can survive.”

Marching forward, Welton will introduce new items, including whole pears, oranges, and fruit baskets to be shipped across the country. Also in the works is an Edible Arrangements kiosk that will open at one of the largest local malls. He plans to set up three kiosks within the next 18 months.