Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:01):
Welcome to the
Multiply your Success podcast,
where, each week, we helpgrowth-minded entrepreneurs and
franchise leaders take the nextstep in their expansion journey.
I'm your host, tom Dufour, ceoof Big Sky Franchise Team, and
as we open today, I'm wonderinghow your business differentiates
.
Or maybe another way to put itis how do you stand out from the
(00:21):
noise in your industry?
Well, our guest today isKristen Denzer, and she shares
with us how do you stand outfrom the noise in your industry?
Well, our guest today isKristen Denzer, and she shares
with us how she's standing outand making a difference in a
very competitive childcareindustry.
Now, kristen is the founder andCEO of Tierra Encantada, the
fastest growing Spanish emergingearly education franchise in
(00:43):
the US.
She launched the first locationin 2013 to offer playful,
language-rich early educationwith chef-prepared,
globally-inspired meals, amission she continues while
leading Tierra's nationalexpansion through franchising
and philanthropic initiatives.
One other highlight to note isthat she was named one of the
(01:03):
top 100 female founders by IncMagazine.
You're going to love thisinterview, so let's go ahead and
jump right into it.
Speaker 2 (01:11):
Kristen Denzer.
I'm the founder and CEO ofTiara Inc.
Intata.
Speaker 1 (01:16):
I'm excited to have
you on and we've had a chance to
meet prior to this and I'm soglad to have a chance for you to
share your story with ouraudience and talk a little bit
more about what you're doing.
And I'd love for you to talk alittle bit about your business
and what you do, because I thinkit's really unique and
specialized here.
Speaker 2 (01:35):
Absolutely, thank you
.
So we are the leader in Spanishimmersion, early education, so
child care and preschool forchildren ages six weeks through
six years of age, and beyondjust language immersion.
We also have a really uniquemeal program, culinary program
where we're providing to thechildren in our care you know
(01:56):
all of their meals during theday while they're with us but
that meal program is really aglobal culinary menu that has
many, you know, non-animalprotein products as well as many
organic ingredients to reallyexpand kids' palates.
Speaker 1 (02:09):
What led you to get
into this.
Speaker 2 (02:12):
Well, this was not my
first business, it was actually
my fifth business.
So I started consulting andthen started an event rental
company, then started a dogdaycare and also bought real
estate.
And so then at one point I wasdoing all those things and I had
(02:35):
kids.
And then when I had kids andwas looking for care, I saw that
one that there was incrediblylong waitlist for even the most
basic kind of run of the millchildcare.
And then, two, I reallystruggled to find something that
had truly everything I waslooking for.
There are things that had alanguage immersion component or
(02:58):
had like an interesting mealprogram or had some of these
elements, but nothing had all ofthe things I was looking for.
And having already started otherbusinesses, I think sometimes
you can kind of get this like oh, I can do anything, I'm
invincible mindset, so it's likeI can do this.
You know, no problem, I'llstart a child care center.
I learned a lot.
(03:20):
I definitely am.
I'm not a person that, like Ididn't hire like a consultant or
anything like that.
I just read statute and readthe licensing regulations and
read the building code and allthat fun stuff and figured it
out and made a lot of mistakes,but my kids went there and so I
really designed it around what Iwanted for my children, and so
(03:43):
there's a lot of attention andcare put into really like every
element of the program.
Speaker 1 (03:48):
Fantastic, well
spoken.
Like a true entrepreneur.
You see a need and don't see away to fill it, so you're just
going to jump in with hard workand get it done.
Attitude I love this idea oflanguage immersion and talking
through that and we've got threekids and they're through kind
of the young school years.
But I'd love for you to talkabout the benefits and why would
(04:11):
that even matter?
Speaker 2 (04:12):
Absolutely Well.
So Spanish, you know, is thesecond most spoken language in
the United States, you know, oneof the top few in the world.
It's exponentially increasingin terms of speakers here in the
United States and so besidesall of that, there's many proven
benefits for children thatlearn another language at a
(04:34):
young age.
But I think what it reallycomes down to with our families
is so many of our families theytalk Spanish in high school
because here in the UnitedStates, that's when you take a
language, you don't usually takeit any younger than that, and
when you take a few years inhigh school you don't remember
it usually I mean most don't.
And so you know, our kind oftypical parent or family
(04:57):
enrolled is a family where youknow parents maybe took Spanish
in high school.
They don't remember it.
They wish they did, they wantto know another language and
they want their children to havethat opportunity, and so when a
child starts with us, they'restarting at really like the best
age to learn a language and sothey're learning naturally, just
like they're learning Englishat home.
(05:18):
And so you know, if you thinkabout if you have kids and you
think about how they learned thelanguage you didn't, you know,
sit down with your infant and belike you know B-A-L.
You know you didn't say this isEnglish.
You know you didn't teach themthat, you just talked to them,
you just went through your day.
And that's how the kids learn inour program.
It's fully immersed in Spanishand they learn through
conversation and context, and sothat's how they're able to
(05:41):
really learn and become fluent Imean at the level that age is.
But when they leave our program, parents are always amazed
because they'll turn to mom andthey'll talk in English.
Then they'll turn to theirteacher and talk completely
fluently in Spanish, and so it'sreally awesome to see, and so
we're excited to be able tobring this to more families.
Speaker 1 (06:00):
You know, my wife and
I would have loved to have had
a program like yours, as ourkids were young and going
through that.
That would be amazing, as theyare enjoying their Spanish
classes and middle school andhigh school and going through
that process.
One thing I was curious aboutwith you starting the business,
did you have a background inearly childhood education?
Speaker 2 (06:21):
No, no, I did not, so
I don't have a background in
business either.
My first business class wasactually taken in the last year,
so I just figured it out, andthat's what we say to our
(06:42):
franchisees too.
I mean, I think sometimespeople think, well, I have to
have a background in earlychildhood education, or oh, I
need to speak Spanish as thefranchisee.
No, you don't need to.
Now, if you are planning towork at the center as your
director, then that's a littledifferent.
But how I had designed themodel was never that I was
personally there as the director.
I always hired someone that was, you know, experienced in early
(07:04):
childhood education to run thecenter, and so that person you
know the staff at the centerneed to, but me, as, like the
founder, you know franchisees asthe business owner, they don't
need to.
Speaker 1 (07:16):
You answer the
question.
That's kind of where I wasgoing.
I was wondering, as I knowyou're franchising, would a
franchisee need to have either abackground in being bilingual
or having a specific degree orbackground in education or early
childhood education?
Speaker 2 (07:32):
They do not.
I mean really the staff at thecenter.
They'll need to have differentqualifications and every state
is different.
Every state is different withwhat they are looking for for
the director, for the staff, andthat's something we support
with, you know, figuring outlike, okay, what are the
regulations of your state say isrequired?
But for the actual businessowner, unless they plan to
(07:52):
actually work at the center,they do not need to have, you
know, early education,background degree, they don't
need to be bilingual.
It's the staff at the centerthat do.
Speaker 1 (08:04):
One thing you had
mentioned pre-show here and I
just have to bring it up as wetalk about this franchising idea
, as the business is expandingthrough franchising.
You had made mention that youwere at one point
anti-franchising, so I'd love tohear a little bit about that
journey.
Speaker 2 (08:29):
It was for me and my
business.
I didn't think that I didn'twant that path for the business
initially because I was worriedabout the brand getting diluted.
And you know, I built here tobe something that I felt really
good about, that I was able toreally like put my values into
and every way from, you know,beyond, just like the meal
program and the languageimmersion, but with how we
incorporate diversityintentionally, you know,
(08:49):
diversity of all types,including family composition,
because I believe, like kidsshould be able to see themselves
in their environment and feellike all families you know are
normal.
How we have our staff and labormodel set up, you know we offer
benefits and 401k with matchthings that in childcare aren't
as common.
And so I was worried, that Iwas worried about the brand
(09:13):
being diluted and then not being, you know, the special thing
that I felt like I created withit.
And so, after talking to people,like attacking to the attorneys
that I've used for a long time,one of the, they've been very
enfranchising.
They have a lot of experience infranchising, have been general
counsel for big you know, bigbig franchisors and stuff, and
(09:33):
talking to them they've reallylike helped me understand how
that is really a factor of likehaving a quality operations
manual, brand standards andsystems in place so that they're
executed on, and so if you havethat, then you don't have some
of those issues.
And so in talking to them andthen some other people in
(09:55):
franchising I know I started tofeel better about it and really
that was the big hesitation,because I've always been very
passionate aboutentrepreneurship I mean, I just
got done with the term six yearson SBA MicroLenders board
helping people start businessesand so I love entrepreneurship,
I love helping people startbusinesses.
I was just worried about thebrand being diluted and so once
(10:19):
I understood that piece of itand felt like that wasn't great
to happen, then I felt like,okay, this is a really great
path because I can marry bothbringing you know Tiara to new
communities and families, butalso helping people achieve
their entrepreneurial dreams.
Speaker 1 (10:34):
You just said a
couple of my favorite things
about why I love franchising isone is just helping someone else
get into entrepreneurship thatmaybe would not have if your
franchise wasn't around, so Ireally really like that.
Thank you for sharing a littlebit of your journey.
Speaking of your franchise,let's talk a little bit about
your expansion.
Where have you started?
Where are you expanding?
(10:55):
How's the business lookingtoday?
Speaker 2 (10:57):
Right now.
So we started in Minnesota, sothe very first location opened
in 2013.
Suburb probably not the bestlocation had I known now then I
would have not picked that asthe first, but grew from there
and the first half dozen washere in Minnesota.
(11:19):
And then I really want to makesure that franchisees are set up
for success, and so I thinkit's important to have corporate
locations, but also havecorporate locations outside of
our state, and so we havelocations that are corporate in
Texas, kansas, illinois, becausewe're really perfecting
go-to-market and some of theseelements so that we're not
(11:41):
having franchisees be gettingfigs on this and I want to be
able to know that, okay, ourmarketing plan yeah, it works
great in Minnesota.
But I want to be able to knowthat, okay, our marketing plan
yeah, it works great inMinnesota.
But I want to be able to proveout like, hey, we've got this
dialed in, and so a franchiseefeels confident that it works in
more than just our home market.
And so right now we have 16locations 25% are franchise, 75%
(12:02):
corporate, and then next yearwe'll have between 10 and 11
opening.
It's a little bit longer of adevelopment cycle just because
construction and entitlementsand stuff, but we'll end next
year with somewhere in the like26, 7 neighborhood.
Speaker 1 (12:19):
I always love hearing
how each franchisor does things
a little bit differently asthey start expanding and I
really appreciate the approachyou're taking and coupling
company owned with a franchisegrowth strategy.
And one thing I was curiousabout and you answered this a
little bit, but I was thinkingabout for a franchisee coming in
and you had mentioned theydon't have to necessarily be
(12:41):
bilingual if they're not inworking in unit and they don't
have to have necessarily abackground in education or early
childhood education as abackground.
How do you help train or getsomeone set up for success?
Speaker 2 (12:56):
Once someone signs,
you know, then the first part of
the training is really aroundsite selection, real estate.
We send someone that goes anddoes a market tour with them,
walks through sites and pointsout what to look for really to
help.
Because, for example, if you goto a site and there's only one
toilet, that's we know rightaway, there's going to be a lot
(13:18):
of costs with plumbing becauseyou're going to have to trench a
lot of plumbing throughout thebuilding for all the bathrooms
you know.
Or if we walk a site and wenotice, you know, stained tiles,
there might be a roof leak.
You don't want to invest amillion dollars plus into a
buildout and then have it bedamaged by roof leaks.
And so the first step is reallymaking sure they understand
(13:40):
what to look for, what the areaslook like, how to pick the best
sites and how to negotiate.
And then we also have somebaseline training around finance
, early HR, because they'll hiretheir director first, not
initially, it's more like eightweeks before open, but they'll
want to have that knowledge.
They're looking in the marketrecruiting, and so we do that
(14:02):
training very early.
And then the finance trainingaround getting their chart of
accounts set up so it'sstandardized.
We require all franchisees toreport P&L and balance sheet
every month so we can benchmark,and so we have a standardized
chart of accounts that they alluse and so we make sure they're
trained on those pieces and then, after those are done, then
they're coming back later and wehave a couple more trainings
(14:25):
after that.
But then, once they have a site,then it's more around the
operational policies, mealprogram, all of the curriculum,
all of those elements.
And it does include on-site ata center for a week so that they
really get the idea of the flowof the center, what it is like
to go through each day, and thatincludes their director.
And then we send someone theretoo for two weeks where
(14:49):
someone's there.
Essentially how we overlap, itis the week before they open and
the week after, and that wayyou know, we train the trainers.
So we're watching how they'retraining their teachers and
stuff, making sure, giving thempointers, because they'll be
training anyone they hire after.
And then they're for their openhouse to support set up
classrooms, and then they're fortheir open house to support set
up classrooms and then they'refor their first meet.
(15:10):
That way you know,operationally, if there's
anything that comes up thatthere's questions about.
There's just someone theremaking sure they really know
what that looks like and someoneeasily answering things
immediately when they needsupport.
Speaker 1 (15:22):
Well, that sounds
really, really comprehensive.
You're doing high level right,so I mean we're not going
through super fine detail thatI'm certain you cover and go
over with your franchisees asthey join.
Is there anything that you'velearned that has been surprising
to you as you've ventured intothis franchise world?
Speaker 2 (15:39):
I think something
that's maybe been surprising is
how truly nuanced and differentall the different markets are in
terms of entitlements andlicensing.
We've encountered some stateswhere there's child care
licensing for the state, but werecently encountered even a
(16:00):
county, so it was like multiplechild care licensing you needed,
and so I think that's been asurprise just how complex
regulatory elements are.
Unfortunately, we have a lot ofprocesses in place to catch
these things, but I think that'sbeen a surprise because in our
home state it's pretty I don'twant to say easy, but pretty
(16:22):
straightforward, and so seeingthat has been surprising, I'd
say.
But that's where one thing thatI've really focused on the last
when I decided to franchise andthen since then last four or
five years have focused on ismaking sure that we have a
really strong foundation,because I think a lot of times
when people think like, oh,emerging franchise, or they're
(16:45):
thinking like, oh, there's likeone location and three people
and that's who's helping mefranchise, and whereas with us I
mean we have, I have 300employees here at our corporate
office supporting, we have 30and I've invested in like really
high caliber talent that have.
You know like our director ofdesign and construction has
(17:06):
worked for me for three yearsnow and he came from McDonald's
and you know Crisp and Green, Imean.
So really strong talent tosupport, and we've used
FranConnect for all of theworkflows and the training since
we started franchising in thatway.
You know, like you kind oftouched on before high-level
overview, but there is so muchthat goes into this in every way
(17:30):
, because it's almost likeyou're opening a restaurant with
the kitchen element but thenalso childcare too, and so we
have that all built out so thatall of these sorts of things
they learn from my mistakes, youknow, because I've made tons of
mistakes when I started and soit's like trying to make sure
that they don't have anymistakes that I made and
building that in any sort ofkind of stopgaps so that that
doesn't happen.
Speaker 1 (17:50):
Yeah, Having gone
through the launch of
franchising and now you'regrowing and expanding, is we
work with emerging franchisebrands and helping brands
oftentimes launch right from thestart and going into market.
So for someone that might endup listening into this, that's
at that launching phase or juststarting.
What advice might you give to anew or emerging franchise brand
(18:13):
?
Speaker 2 (18:13):
I would say
definitely, make sure that you
have multiple corporatelocations that are profitable,
that you do not need the initialfranchise fee.
You should be able to providethe structure and support
without being reliant on theinitial franchise fee.
I think that's where sometimesyou see some of the things we've
(18:37):
seen over the years wherepeople are selling licenses they
probably shouldn't have soldand then there's lots of
challenges and stuff, and so ifyou don't need that, then you
can be really intentional withwho you decide to partner with
and make sure that you're justreally building a lasting brand
that is strong and reputable.
Speaker 1 (18:57):
As someone's tuning
in and they say well, I'd love
to learn more.
Get in contact.
How can someone learn moreabout what you're doing?
Check out your website or yourbusiness, or get in touch with
you.
Speaker 2 (19:07):
So I'm on LinkedIn
but tiaraincantatacom is our
website and Tiara's on LinkedInand Instagram and all the social
media, and so people can reachout on there.
Speaker 1 (19:18):
Perfect, and we'll
make sure we include that in the
show notes here.
This is a time in the show welike to make a transition and we
ask every guest the same fourquestions before they go.
And the first question we askis have you had a miss or two on
your journey and something youlearned from it?
Speaker 2 (19:32):
I would say one of
the biggest lessons I've learned
or misses and there's a reallygreat quote that I love it's
don't cling to a mistake justbecause you spent a lot of time
making it.
I think in particular with likehiring, you know you have
someone that I think a lot oftimes people move very slowly on
(19:54):
hiring changes and you don'trealize the impact that that has
on not just your brand but alsothe team.
And I think you know in theearlier years I definitely made
mistakes around that that youknow I would have.
I would have.
I wish I had that quote then.
That would remind me of that.
Speaker 1 (20:11):
Oh, that quote's
amazing.
I am going to be writing thatdown in post-production to set
right next to my desk.
I love, love that quote.
It's so succinct and specific.
Well, let's look at the otherside.
Have you had a make or to ahighlight that you'd like to
share with us?
Speaker 2 (20:28):
One is personal, one
is more business.
So personal, as a as a, youknow, young teenage girl, I
would read Entrepreneur Incmagazine, you know, and I would
read about all the businessesand a few years ago Inc named me
as one of the top 100 femalefounders.
And being like named that frommy like childhood kind of fan
(20:51):
magazine just was really cool.
It meant a lot.
And magazine just was reallycool, it meant a lot.
And then the other moment thatstands out a ton is a family
shared in a review, a publicreview of us, that their child
translated for them when theytraveled to Central America.
And just seeing like that sortof impact that you're having,
where literally a five-year-oldwas translating for their family
(21:13):
while they traveled, it's justreally cool to like see the
difference you're making inpeople's lives.
Speaker 1 (21:18):
Oh, that's amazing.
Well, congratulations on bothand that's quite an
accomplishment and recognitionfor you there with the award and
that's pretty impressive forthat five-year-old to be in some
other country and help him.
You know, mom and dad translatethere.
That's pretty amazing.
Well, the next question we askis have you used a multiplier to
grow yourself personally,professionally, or any of the
(21:41):
businesses you've run?
Speaker 2 (21:43):
Yeah, I mean, I would
say definitely understanding
that.
So I think, especially recently, in recent years, there's been
a lot of talk of work-lifebalance and for me, I always try
to view it as work-lifeintegration as a founder, as an
entrepreneur, there's going tobe.
(22:04):
If you really want to bringyour company to another level,
you have to really recognizesometimes what that takes and
what that entails and be willingto be willing to do that.
And so I think that the thingslike that, that has an impact
too, just in terms of culture.
And so you know, for example,sometimes I'll see an employee
(22:26):
that's here at, like you know,7pm.
I'm just like go home, like whatare you doing?
Let me help, you know, becauseit's like I ultimately, like I
own the company and there I lovethat.
That's great.
But I want them to know that Iappreciate that.
But I want to make sure that Iam someone that's like I'm
working the hardest.
I don't want to ever be thatCEO that's like never at the
(22:48):
office and out golfing whileeveryone's working like crazy
and stuff.
And so I think that trying tomodel and be a leader that I
would want has been helpful justin terms of like retaining
teams and then willing to kindof just do whatever it takes to
make sure that we're a successand provide franchisees what
they deserve.
Speaker 1 (23:09):
Wonderful.
Well, the final question we askevery guest is what does
success mean to you?
Speaker 2 (23:15):
Success to me means
having Tierra and Quintana be,
you know, in every state, beingthe both child care and employer
of choice.
That really is, you know, oneof the top five largest child
care providers in the UnitedStates.
Expanding language access inevery state.
Speaker 1 (23:37):
Fantastic.
Well, as we bring this to aclose, Kristen, is there
anything you're hoping to shareor get across that you haven't
had a chance to yet?
Speaker 2 (23:44):
One other thing I'll
just add quick is you know, when
people are thinking aboutfranchising, there's so many
great concepts.
I mean there really are.
It's amazing how many differentideas there are that people can
franchise.
You know, and I think a lot oftimes people don't even think
about child care because itseems complex or scary.
But what I love about childcare is it is something where,
(24:08):
as a business mind side of it,you've got reoccurring revenue
and a true differentiation, atrue mode when parents are
comparing against otherproviders and then on the more
personal side, you get toactually see the positive impact
you have in families andcommunity.
And so there's not a lot ofbusinesses that one have one of
(24:34):
those but have both, where youcan have a really great you know
business but then also trulylike add a lot of value and be
really proud of what you're,what you're offering.
Speaker 1 (24:45):
Kristen, thank you so
much for a fantastic interview
and let's go ahead and jump intotoday's three key takeaways.
So takeaway number one is whenKristen talked about creating
the business and really seeing aproblem that she was trying to
solve for her own family, thatshe had started and she wanted
to have something for her ownkids and her own family where
(25:08):
there was the language immersion.
There were the internationalmeals and a variety of meals
available, and she looked andcouldn't find it.
So she decided, having been aserial entrepreneur, to solve
the problem as a serialentrepreneur.
So in solving her own problemshe also created an opportunity
that others were seeking and haddemand for.
(25:31):
So I just thought that wasgreat.
In solving a problem shedifferentiated in the market and
really stood out from othersimilar types of services.
Takeaway number two that I likedis that a franchisee or an
owner of her system does notnecessarily have to have a
(25:51):
specialization in earlychildhood education or related
background.
If they're not working in theday-to-day of the business,
you're able to hire for those.
Takeaway number three is in hermultiplier when she said she
views a work-life balance reallyas a work-life integration, and
I thought that was reallyinteresting, especially how her
(26:14):
business has provided thatopportunity for her, and now
it's time for today's win-win.
So today's win-win comes fromthe quote that Kristen shared
that really made an impact onher, and the quote is don't
cling to a mistake just becauseyou spent a lot of time making
(26:37):
it.
I'm going to say it again Don'tcling to a mistake just because
you spent a lot of time makingit.
I thought that was a fantasticsummary and a great way to view
mistakes that we've all made inbusiness, in life, in business
(26:58):
in life, and I think it's just agreat, great approach to help
you make the decision to moveforward, to let go of time
invested, money invested inthings that maybe just aren't
working anymore, that it's okayto say it's just not going the
way that I thought and I need tomake a change.
And so that's the episode today.
Folks, please make sure yousubscribe to the podcast and
give us a review, and rememberif you or anyone you know might
(27:18):
be ready to franchise theirbusiness or take their franchise
company to the next level.
Please connect with us atBigSkyFranchiseTeamcom to
schedule your free,no-obligation consultation.
Thanks for tuning in and welook forward to having you back
next week.