By Ted Albenesius
SCORE Card

Thousands of entrepreneurs have made their mark in the business world by investing in franchises, and for good reason.

Franchises provide their owners with a proven, ready-made formula for business success. Although no business is without risk, franchising enables entrepreneurs to avoid some of the difficulties of starting a new venture. There are also the advantages of national brand recognition, funded training and ongoing marketing and management support.

The most common type of franchising is business-format franchising, which is essentially a blueprint for the building, promotion and operation of the business. The franchiser provides guidance for setting up the business, ready-made advertising copy and formats, a reliable source of supplies and other services. A product-and-trade-name franchise, such as an automobile dealership, provides extensive research and buying power, enabling the entrepreneur to offer products that may not be available locally.

However, there are trade-offs. All these benefits come at a cost, usually an up-front fee and a continuing royalty, based on a percentage of sales. The entrepreneur may also be required to invest thousands of dollars in equipment and other startup needs. Lastly, the franchise owner also relinquishes some autonomy by agreeing to follow guidelines established in the franchise agreement, which is a legally binding document.

Kim Campolattaro was born in the state of Washington and graduated from Monmouth University with a degree in special education, after which she taught at Berkeley and Fort Dorchester high schools. She has also founded and operated her own company, C12 Enterprises.

Campolattaro first called on SCORE in February 2005 which lead her to meeting counselor Manny Mello. She told Mello that she had decided to purchase a franchise call “Dream Dinners” and was looking for a Mount Pleasant location from which to open and run her business. At that point she was seeking information on licensing requirements in Mount Pleasant, permits, sales taxes and other business necessities, which Mello helped her obtain.

Campolattaro had started to write a business plan and Mello provided guidance in this important phase of setting up her new business. The writing of her business plan continued for several months. Burdette Lukert, another SCORE counselor, also helped Campolattaro by compiling financial data for her business plan.

After completion of her business plan, she visited several local credit unions and banks and found that she needed a substantial amount of equity capital before her bankers would consider an acceptable long-term business loan. A good friend of hers, Teresa Cook, came forward to offer a substantial sum of money for a partnership interest in “Dream Dinners.” With the new funds available, Campolattaro was able to secure her long-term business loan.

She hired a lawyer to examine the lease of the site she selected at 280 East Coleman Blvd. in Mount Pleasant and the bank loan agreement, and finally opened “Dream Dinners” on Jan. 25, 2006.

In her business plan, Campolattaro stated, “Dream Dinners is a unique business where customers come to our Mount Pleasant location and prepare 12 pre-chosen meals that they will take home which are frozen until they are ready to cook and serve. Our goal is to provide our customers with home-cooked meals that their families will enjoy, while saving them time and effort, and relieving stress from the age-old question ‘What’s for dinner?’

Ted Albenesius is a retired Charleston businessman and past chairman of the local SCORE chapter.

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