THE OUTCOME

Jonathan Merck decided to raise the money for the Hill Country Texas Grill commissary by selling a larger piece of equity in his business, but he wanted to keep his options open. If he could raise $500,000 by selling just less than half of his stake, he would commit to opening a commissary. To market the concept, he planned to travel to the next franchise show and see if he could entice new franchisees to join the chain. “The thought was that if I could get the concept going with the first two locations, keep my first two investors happy, they would be advocates for the brand,” he said. Merck started pitching investors in late December 2015. In January 2016, he was optimistic but realistic: “The interest continues to be moderate, but I remain in high spirits.” He expects to raise the needed capital by April and the two potential franchisees have agreed to remain committed until that deadline.