Orange Tree branching out in dog of economy


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  • | 12:00 p.m. February 11, 2009
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by David Chapman

Staff Writer

For 40 years, people who frequented Regency Square Mall could count on seeing the full service counter Orange Tree Hot Dogs as they shopped.

Today, that particular institution has closed. But you can find new stores popping up all around Jacksonville. That’s because the longtime local and family owned business that specializes in a simple yet low price point menu — featuring hot dogs, pizza and a special frosty orange drink — only began franchising opportunities within the past several years.

The original Regency Square location was opened in 1968 by founders Peter and Carolyn Koppenberger, with the business and additional Orange Park Mall location passed down to their daughter and son-in-law, Ann and Frank Roeber, and granddaughter and grandson-in-law, Amy and Shawn Emling.

Though successful, the idea of opening up the business for franchises didn’t take place until 2005 and 2006, said Shawn Emling, who serves as director of franchising.

“The discussions came up and we just felt it was time,” said Emling. “We started selling franchises in 2007.”

Now, there are a total of 14 franchise agreements sold, he said, and he continues to receive a steady call of franchise inquiries.

“I average 10–12 calls a week from interested people,” said Emling.

Even though franchises have been popping up in a struggling economy — an Orange Tree will open at the Landing soon — Emling said there are still roadblocks to starting a successful store.

“In times like now, it’s still a challenge because of the banking market and getting funds,” he said.

The initial investment ranges between $180,000 and $275,000 depending on location, which is relatively low for a restaurant and has helped with expansion, said Emling. But tough credit markets can still affect potential investors.

Two investors who haven’t had trouble getting into the Orange Tree business are Karen and Chad Duncan. The two have rights to four different locations in the Beaches area, with the first location already opened in Jacksonville Beach on North Third Street.

“We always wanted to open our own business,” said Karen Duncan. “We looked at a few different franchise opportunities and decided this was the one for us.”

The two have no prior restaurant experience, but Karen said that the simplicity and hands-on approach from corporate — from assistance in permitting to employee issues — made the new venture easy.

“The simplicity and family owned atmosphere is what attracted us to it,” said Duncan.

Karen’s expertise in finance and Chad’s in sales and customer service have helped the transition into a new career, and the two decided to open the franchises even in the face of the economy.

But she’s optimistic the product and name recognition will lead to greater success.

“This is a good product for this economy,” she said. “The price of the menu is perfect.”

Emling agrees with Duncan regarding Orange Tree’s appeal of simplicity and price point and said the Jacksonville chain will continue to expand, but only gradually as the economy and distance between franchises will allow.

“It doesn’t make sense for us to open a store in say, Atlanta, when there’s no other store between here and there,” said Emling. “We’ll continue to grow but it will be stepping stones.”

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