Marcus Saves Chicago’s Honest Foods
This was a very good episode if you’re more into the business lessons than the drama.
The Honest Foods catering company was launched in 1997 with three thousand dollars by Tad Devlin. Tad just has a natural flair for cooking and his food looks mouth-wateringly tasty. Honest Foods then grew into a company serving the film and television production business in Chicago. In recent months the its sales have dropped 30% and Tad is deeply worried. Hence the call to Marcus. Unfortunately the reason for the drop is never looked into nor explained. It would have been interesting to know why this is the case.
In this fourth episode of the fourth season Marcus responds to an SOS call from Flex Watches of Los Angeles.
Flex Watches was launched in 2010 by Trevor Jones and Travis Lubinsky who are childhood friends. The company is based around the schtick that it donates a percentage of its revenues to charitable causes. As for the product line itself, it’s a mile wide and consists mostly of cheaply priced models. In 2012 the company hit one million in revenues but sales have been plummeting ever since and the company is now stuck with half a million in non-moving inventory.
Marcus Lemonis and the crazy Soup Market guy of Milwaukee, Wisconsin.
This episode was a bit more interesting in a business sense than the first two of the fourth season, and I will explain why in a moment, but first things first.
The Soup Market was launched by Dave Jurena in 2004 with a 50/50 business partner who died suddenly in 2015. The other fellow was the business brains behind the venture while Dave was and remains the cook.
The Milwaukee based chain sells what Marcus calls “heavy soups” due to their unhealthy doses of calories and sodium. As the heavy-set Dave explains, he doesn’t create soups for the “bikini crowd.”
Marcus Lemonis meets Patrick DiLascia.
DiLascia is a Los Angeles-based line of clothing with messages.
If you still wear clothing with big words you should check them out.
In this second episode of the fourth season, Marcus is called in to rescue the store which is failing from a combination of none existent management and non-moving inventory. If Marcus doesn’t cut a check Patrick will be forced to shutter it in two months. Meanwhile Patrick is driving around town in a very nice BMW convertible while his siblings work for him for free.
How does the growth strategy used by Marcus in The Profit differ from that of The Tycoon Playbook?
This question comes up on a regular basis since I write about Marcus a lot. How does Marcus’s growth strategy compare and contrast with that of The Tycoon Playbook? Well, I like to use him and his shows as examples of what it’s like in the early days of employing the Tycoon Playbook strategy or “plays.”So let’s start with the similarities:
- With both approaches you will need to roll up your sleeves and do the heavy lifting personally on deals. This involves acquiring the company, getting the deal negotiated and done, and finding ways to improve it as Marcus does with his 3P approach. Later on as you grow you will be able to have a team of specialists to do this work for you. Marcus still does it because he enjoys it.