1) Shift Arcade’s Franchise Launch Drives Sim Racing Into Mainstream

Simulation racing—better known as sim racing—has risen in popularity in tandem with that of motorsports. Shift Arcade, a California-based sim racing concept, believes this surging interest makes now the perfect time to launch its franchise system.

Co-founders Paul Baillie and Greg Tucker opened their first Shift Arcade in 2023 in Concord, California. The concept grew its presence in a residential mall for nearly two years, bringing in about 1,000 reservations per month.

Shift Arcade moved to an entertainment hub earlier this year in San Ramon, California, and has since seen average monthly reservations increase to 1,800. With the proof of concept down, Baillie, the company’s CEO, said now felt like the right time to kick franchising into gear.

2) Pokeworks Sells Out Houston and Signs 10-Unit Agreement in San Antonio

Agustin Guzman will be developing the greater San Antonio market as well as the Rio Grande Valley. Guzman, a former Olympic swimmer and seasoned entrepreneur with over 20 years of experience across the restaurant, food, retail, logistics, and pharmaceutical industries, currently operates Pokeworks’ McAllen location and is in the process of opening his second location in Mission, TX. Guzman moved from Mexico to the U.S. at age 15 to pursue his athletic dreams and has since translated that same ambition into business, partnering with Pokeworks.

With Texas named the Best State for Business for the 20th year in a row in 2024 by Chief Executive Magazine, Pokeworks’ broadening presence in Houston reflects their ability to thrive in competitive markets.

3) Roark Capital Acquires Majority Stake in Dave’s Hot Chicken

In a story unfolding since 2017, Dave’s Hot Chicken exploded from its $900 launch into a 10-figure enterprise. Roark Capital Group had been monitoring the brand since about 2021, according to The Wall Street Journal, which reported that Dave’s executives joked they had a private-equity stalker. Earlier this month, Roark took majority ownership of the spicy fried chicken brand in a deal Reuters reported at approximately $1 billion. 

Dave’s growth has been astounding. Three longtime friends – chef Dave Kopushyan, Arman Oganesyan and Tommy Rubenyan – used portable fryers and folding tables to debut Dave’s Hot Chicken in a California parking lot some eight years ago. The concept quickly took off, so the founders, plus Rubenyan’s brother Gary, soon opened an East Hollywood brick-and-mortar restaurant.

EXTRA SAUCE 💥

Yum Brands Sues IRS Over $4 Billion Tax Dispute: The parent company of major quick-service restaurants KFC, Taco Bell, Pizza Hut and Habit Burger took legal action last week against the IRS over a $4 billion tax dispute.

In March, Yum Brands received a notice from the revenue service, which claimed deficiencies by the company of $9,219 in 2013, $2.09 billion in 2014 and $25.1 million in 2015. Additionally, the IRS informed Yum Brands of $418 million in penalties and more than $1.5 billion in interest on the unpaid deficiencies.

In response, Yum Brands filed a petition in United States Tax Court on June 4, arguing there were no deficiencies in income tax for those years. In its petition, Yum Brands also asserts an entitlement to net overpayments of $13.3 million in 2013 and $13.2 million for 2015.

Fully Automated Fry Stations Are Coming to Freddy’s: Hot, fresh baskets of fries produced in 15 to 30 seconds with no human involvement. It’s a lofty ambition but exactly what Freddy’s Frozen Custard & Steakburgers thinks it can achieve with its RoboFry system, which it will bring to locations starting in September.

“We will be able to get into a true fry flow,” said Erick Von Merveldt, vice president of franchise training and innovation. “That’s what we like to call it, where you have fresh fries coming up quickly.”

Freddy’s, which has 550-plus units, has been working on fry innovation for a few years. It considered other automated systems, but they generally required a big footprint, which didn’t tuck in comfortably to a restaurant’s back-of-house space. But the RoboFry solution, developed by tech partner Charter House Innovation, is smaller. And that has Von Merveldt excited.

Tommy’s Express Opens First France Location: Tommy’s Express Car Wash has officially expanded into the European market with the opening of its first location in France. This new site, located on Avenue Rhin Danube in Allonne, near the Saint-Lazare suburb.

The Allonne facility features the iconic Tommy’s Express fully automated wash tunnel, designed to provide a high-quality vehicle wash in under three minutes. The location integrates the company’s proprietary technology suite, which includes advanced water reclamation systems and eco-efficient equipment, highlighting the brand’s ongoing commitment to sustainability and operational excellence.

PocketRN and SYNERGY HomeCare Announce a Partnership to Test Medicare Dementia Care Model Developed by Centers for Medicare & Medicaid Services: Today, PocketRN and SYNERGY HomeCare announced they will form a partnership to test the Centers for Medicare & Medicaid Services (CMS) alternative payment model designed to support people living with dementia and their family caregivers. Under CMS’ Guiding an Improved Dementia Experience (GUIDE) Model, PocketRN will build Dementia Care Programs (DCPs), working to increase care coordination and improve access to services and supports, including respite care, for people living with dementia and their family caregivers. This partnership allows for integration of medical and non-medical care in the home.

According to the Centers for Medicare & Medicaid Services, many people with dementia do not consistently receive high-quality, coordinated care, despite its prevalence. As a result, they experience poor outcomes, including high rates of hospitalization, emergency department visits, and post-acute care utilization. They also experience high rates of depression, behavioral and psychological symptoms of dementia, and poor management of other co-occurring conditions.

Smokey Mo’s BBQ Celebrates 25th Anniversary: Smokey Mo’s BBQ is celebrating 25 years of bringing slow-smoked BBQ to communities across Texas. 

Smokey Mo’s has been a staple in Central Texas, known for its warm hospitality, bold flavors, and neighborhood charm. Fueling this is the brand’s latest opening in Harker Heights, TX. This new restaurant underscores the appetite for Smokey Mo’s slow-smoked meats, hearty sides, and family-style atmosphere.

Papa Johns Launches Its First-ever Croissant Pizza, Giving Pizza Lovers Their Flakiest Bite Ever: Papa Johns is elevating the pizza experience with the global launch of its latest innovation: the all-new Croissant Pizza. The Croissant Pizza indulgently pairs the delicate, flaky texture of a buttery croissant with the bold flavors of Papa Johns pizza – bringing the brand’s Better Ingredients. Better Pizza.® promise to life through craft, quality and innovation.

A pizza this expertly crafted deserves to be delivered in cutting-edge artistic style. That’s why Papa Johns has teamed up with KidSuper to design a limited-edition hot bag, the Papa Johns x Kid Super Hot Bag, inspired by the craftsmanship of the Croissant Pizza.

Launching in nine markets, it will make its first appearance in the UAE. Paying homage to the classic pastry, the Croissant Pizza delivers a crisp, light and layered bite through a buttery braided, gloriously flaky crust. Customers can personalize their pizza with a choice of toppings for a flavor-packed bite.

K9 Resorts Unleashes First-Ever Summer Camp to Promote Physical, Mental + Social Stimulation for Dogs: K9 Resorts Luxury Pet Hotel is kicking off summer with the launch of its first-ever “Summer Camp for Dogs,” an eight-week seasonal program designed to keep pups stimulated, active, and socialized throughout the summer months. Running weekly from June 17 through August 7 at participating locations nationwide, this enrichment-focused camp offers themed activities that deliver serious tail wags.

K9 Resorts is building on its reputation for pet care with a campaign that adds fun and impactful activities to every dog’s day. Whether it’s mental stimulation, physical play, or creative expression, each week is packed with exciting new experiences for dogs of all breeds and sizes.

Bobby’s Burgers By Bobby Flay Announces New Chief Development Officer: Plans for Bobby’s Burgers By Bobby Flay to expand are moving full steam ahead with the brand’s newest appointment of Patrick Cunningham as CDO. 

With nearly three decades of experience in the QSR and franchising spaces, Cunningham brings a wealth of expertise to Bobby’s Burgers. In his new role, he will oversee all aspects of the brand’s franchise development strategy, with a focus on new market expansion and both traditional and non-traditional growth opportunities.

Prior to joining Bobby’s Burgers, Cunningham served as Vice President of U.S. Development at Little Caesars Pizza, where he led nationwide efforts in franchise sales, asset management, design and non-traditional development. His strategic leadership helped position the brand for long-term, sustainable growth.

Eggs Up Grill Appoints Jennifer Folger as Vice President of Franchise Growth: Eggs Up Grill has named Jennifer Folger as its new Vice President of Franchise Growth. With two decades of experience in franchising and a track record of scaling national brands, Folger will lead the charge in accelerating Eggs Up Grill’s franchise growth strategy across new and existing markets.

A Buffalo, New York native, Folger began her career in 2005 at Arby’s and most recently served as Vice President of Franchise Development at Tropical Smoothie Cafe. Serving for 10 years at Tropical Smoothie Cafe, Folger helped to grow the brand from about 400 locations to 1,500, with 800 additional locations in the pipeline when she left. She brings deep industry knowledge and a strategic mindset to her new role, where she will focus on attracting multi-unit operators, optimizing the brand’s development process, and identifying new market opportunities.

Taco John’s Appoints Industry Veteran Jackie Secor to Chief Operating Officer: Taco John’s®, a leading Mexican quick-service restaurant, appoints longtime restaurant industry leader Jackie Secor as its new Chief Operating Officer. With over 25 years of experience leading high-performing teams and driving strategic initiatives, Secor will play a key role in accelerating the brand’s growth, enhancing franchisee success, and continuing to streamline system-wide operations.

Secor’s impressive resume showcases her proven track record for bringing innovation and collaboration to drive change. Originally starting with Auntie Anne’s as a shift manager, her unique experience of climbing the ranks to become Senior Vice President of Operations and Training at GoTo Foods gives her a keen eye for examining every brand through the eyes of the frontline. As an organized and oriented strategic thinker, Secor aligns strategy with data and analytics to streamline restaurant operations and profitability.

Paris Baguette Announces Nick Scaccio as New Chief Development Officer: Paris Baguette has promoted Nick Scaccio to chief development officer. 

With nearly 20 years of leadership experience, Scaccio is celebrated for his strategic acumen and operational excellence. Scaccio brings a passion for team growth and development, strong systems, and industry-leading practices — a combination that has driven his success as a transformative leader in multiple rapidly expanding brands.

Since joining Paris Baguette in 2020 Scaccio has been instrumental to the brand’s growth. His operational expertise and strategic vision have contributed to Paris Baguette’s ongoing success and positioned him well to understand the nuanced strategy of healthy growth for the brand.