When Dan Simons was forced to change his business model less than two months ago, it wasn’t in the plans.
For the last 12 years, Simons, GWSB BBA ’92, and his partners have been building and expanding their restaurant company. What started as a single Founding Farmers restaurant in D.C. on Pennsylvania Ave in 2008 has turned into the Farmers Restaurant Group, which encompasses Farmers Fishers Bakers, Farmers & Distillers, Founding Farmers First Bake, and Founding Spirits.
The multi-brand company that Simons co-owns was running strong, with more than $90 million in annual sales, when on March 1, Simons “saw a real disaster heading to the U.S.”
“You could see what was happening [with COVID-19] around the world,” he says. By March 16, they knew that the virus was going to last more than two weeks and relying on to-go and delivery sales was proving to not be a sustainable business model, which led them to lay off 1,100 employees.
“We realized we needed to meet our customers where they are. We loved having them in our dining rooms, but now they are at home or in their car, so let’s meet them where they are,” he recalls. “And they don’t just need restaurant food, they need supplies, staples, household goods, and meals — in an affordable way.”
Building a new company
Simons, who worked in bars and restaurants as a GW undergrad, went through TGI Friday’s management training program and climbed the ladder before being recruited to work in Los Angeles for The Cheesecake Factory. He then moved to Dallas where he spent nearly seven years at a market and bakery startup. “This turned out to be very fortuitous because fast forward to today, and in the past four weeks I’ve converted my restaurant company into a market, bakery, and grocery.”
Armed with that experience, Simons and his partners formed plans to relaunch as a prepared foods market that offers delivery and pickup options. To do so, they would partner with a tech company to build an e-commerce platform, which would allow them to sell their prepared meals, bakery items, and beverages. But they also would need to tap into their supply chain so they could sell retail items like produce, eggs, butter, paper towels, toilet paper, hand soap, and laundry detergent as well.
“There isn’t enough food and supplies in just the grocery store supply chain to keep up. We need restaurants to be able to adapt and utilize the restaurant supply chain,” he explains. “This really helps the communities we’re in by spreading out the supply chain demand.”
Helping the community
After just a few short weeks, they relaunched on April 4. As of today, they’ve converted five of their locations into Founding Farmers Market Grocery and hired back more than 250 employees.
“It’s not about making a profit,” he explains. “We’re still in such a difficult spot. But what we can do is pay our people, pay for health insurance, create more jobs, and donate free food.”
Indeed they have. Since relaunching, they have partnered with Feed the Fight and Food on the Stove and provided approximately 2,000 meals to first responders and health care workers, including those at the George Washington University Hospital, Sibley, Children’s National, Washington Hospital Center, DC Fire & EMS, and the U.S. Capitol Police.
They’ve also used the Founding Spirits distillery to make more than 5,000 gallons of hand sanitizer for customers, local hospitals, and first responders. They are also offering 50 percent off their restaurant menus for first responders and for all current and laid-off employees.
Giving back
For Simons, giving back to the community has always been important to him. This is why he stays so connected to GW, as a volunteer who serves on the GW Leadership Advisory Council, a teacher (he’s taught a management and leadership workshop for six years), and a donor.
“My family is my top priority, but giving back and supporting GW is a way that I can make a difference with more individuals. I love having the students in class, and they stay in touch with me long term and keep me posted on their careers, and I’m able to help them as they navigate their careers in early years,” he says. “And the truth is, it’s more rewarding to give than to get. I have found that the ways I can help at GW creates a good feeling in me to do my small part to be helpful.”
For alumni and those in the GW community who want to support Simons’ efforts, consider donating to their employee fund when ordering food or donating meals to directly to front line workers by contacting Simons’ team through their website.
-Christine Cole
