Help Blimpy Burger!
Blimpy Burger is looking for funding to move to a new location. I know this a crowd favorite, so I'd figure I'd help them out a bit. Bring back Blimpy, you know, to impress recruits and whatnot.
http://www.indiegogo.com/projects/krazy-jim-s-blimpyburger
December 14th, 2013 at 10:33 AM ^
December 14th, 2013 at 10:43 AM ^
Are they going public? Free burgers for life sounds too good. I can easily eat 10K worth of burgers...... What will get you is if leave Ann Arbor.
December 14th, 2013 at 10:44 AM ^
December 14th, 2013 at 10:48 AM ^
You get to skip the line for life, which I would easily pay an extra $5-$10 for many days.
December 14th, 2013 at 10:44 AM ^
Wrong thread
December 14th, 2013 at 10:46 AM ^
From what I read they leased the location so they wouldn't have benefited from the sale. I would think a profitable business would be able to get financing or landlords will pay for improvements as part of the lease.
It is curious that no options exist if they ran a profitable business for years.
December 14th, 2013 at 11:12 AM ^
December 14th, 2013 at 3:43 PM ^
often a landlord will provide some level of tenant improvements to get tenenats and that fluctuates from nothing per square foot to a lot, depending on how badly a tenant is needed and how much rent they are willing to pay, etc. etc.
A retail space/location in Ann Arbor I will assume does not have much trouble finding tenanats (I live in Cali now, so I'm not sure how much vacant space there is in A2 these days) and geting a decent rent for it, so they aren't likely to be dropping a ton of $ for T.I.s for anyone beyond paing and flooring or something like that. If Blimpy's needs to outfir it as a restaurant there is a bunch of equipment and perhaps some mods required to the actual space, so I would assume the money would go toward that.
If you have no attachment to the place, i can see why you would find the idea of funding it odd, but I grew up going there with my parents who graduated from M and ate there when i attended and I brought my son there last year when we came back for the NW game, his first. I would like to see it continue in some form so I can continue to go ther when i come back, so I'll chip in. If you just see it as b ad service and greasy burgers, by all means don't. Not really sure how someone gets offended by that.
I used to go to other places on game days with my parents that were their hangouts in college (Preztel Bell, Cottage Inn, Drake's Sandwich Shop) and hang with their alumnae friends after games and hear them talk about the old days, cooler still to eat hang there when i was in school. They were heartbroken when it closed, as was I.
Cottage Inn and Blimpy's are all that was left and Cottage Inn isn't at all the same.
Not sure what i would do if Rick's closed...maybe try to buy that sticky/scummy section of carpet back by the pool table where i puked once?
December 14th, 2013 at 10:57 AM ^
December 14th, 2013 at 11:05 AM ^
I love Blimpy, but something is really fishy in how the owners have been handling this whole "move" situation. $100 a plate "last supper" during the final 2 days they were open, and now this kickstarter type deal to raise funds? I call shenanigins. You aren't a business that's open for 60 years (with the current owner owning it for a decent amount of time now), become a local staple, end up on a few tv shows, have lines consistently going down the street, make a boatload during the last week you are open and then not having the funds to start a move to a new location. That, and I'd have to imagine the owner of their old property gave them some sort of going away pre$ent.
Yeah, that's right Blimpy. As someone who loved you and grew up with you, I'm calling you out on your bullshit. This is a blatant cash grab. Pony up for the move yourselves like any other business, you'll only be getting my money when it's in direct exchange for a burger.
December 14th, 2013 at 11:08 AM ^
1. The "Last Suppers" were to pay salaries to their employees so they could hold over until either the new location opened or until they found a new job.
2. The current owner did not own the building, and got nothing from the sale. What they did get was a homeless business. They're going to have to find a new location in a pretty high-rent city, they're going to have to install all new equipment, construct a new space, etc. It's not that easy to do.
I wish them well, and it's unfortunate there's so much hate being spewed in their general direction for doing a Kickstarter-type campaign, which is a perfectly legitimate way of raising capital for a new space. They have a loyal following. They'd be stupid not to do something like this if it will help them get off the ground.
If you don't want to donate, don't donate. It's as easy as that.
December 14th, 2013 at 11:19 AM ^
I know the building wasn't his, but I also imagine they still received something out of the sale (unless Krazy Jim's widow is completely heartless, which is always a possibility). But do you honestly not believe the current owners don't possess the fiscal means to get the process rolling or to get a reasonable loan? What Ann Arbor area based bank would dare try to give the shaft to Blimpy Burger?
Anyways, I'm not hating on people who donate, and clearly I'm not going to donate myself, but I personally just find the whole situation suspect (ala Dave Brandon waiting on supporters to send the band to the Bama game for him when the fiscal means for the University to do it themselves was there).
December 14th, 2013 at 11:23 AM ^
I don't know, I find the armchair speculation about what they may or may not have, or how well or not well they run their business, to be a bit ridiculous. If you don't want to give, don't give. But to trash the family the way you guys are based completely on assumptions is pretty tacky, IMO.
December 14th, 2013 at 11:28 AM ^
This is a forum. Without assumptions and uneducated speculations, it wouldn't serve any purpose. Besides, any who puts themselves out there asking for cash, accepts both sides of it: people happily willing to fork over cash, and the people who will (quietly or otherwise) pass judgement on them for it. It happens, and I reserve my right to do one or the other.
December 14th, 2013 at 12:45 PM ^
Emphasis on the word "imagine."
Their situation has been covered in the local media a number of times since it was announced that the property was sold to U-M, and there has never been any assertion by those involved that the restaurant owners received any of the proceeds of the property sale.
This reminds me of the people who "know" that Lloyd Carr was fired.
December 14th, 2013 at 4:21 PM ^
If I recally correctly, the owner did own one of the houses next door which was also bought for a large sum by the university. After the sale of the property, he certainly isn't having any issues.
That being said, I think this is a smart move. It's doubtful that this thing will actually hit its goal, but whatever they can get to help costs just reduces the amount that will need to be borrowed from a bank and amortized over a long period.
December 14th, 2013 at 3:06 PM ^
Back in '09 my wife wanted to try Blimpy's because she saw it on the Guy's triple D show on the FN. However, the line was too long, so we opted not to wait in the 2 hour long line! I'm surprised they had to close!
December 14th, 2013 at 11:05 AM ^
Can I pay my donation in $2 bills and half dollars?
December 14th, 2013 at 11:06 AM ^
December 14th, 2013 at 2:59 PM ^
Man, I can't believe how much of this I've seen in this thread. I'm not an anti-Brandon the way some are (though he tries my patience), but to compare a small, low-margin restaurant business with the Michigan Athletic Department is ludicrous. U of M athletics rakes in millions of dollars in television, apparel, ticket, and donation revenue, pays its top employees massive salaries, and has a brand that is recognized worldwide.
Blimpy Burger is none of these things. Anyone who thinks that the management is rolling in cash and just trying to get more (you know, because this is way more profitable than actually opening the restaurant again and raking in the riches they apparently make) has no concept of what is actually involved in running a small business.
If Blimpy had the money and the situation available to open right now, they would open right now. If they are as rich as people think they are, they would have no motive not to re-open to rake in the cash.
It seems clear to me that they are in a tough spot. Don't donate if you don't feel like, but don't pretend that you have a clear understanding that they're just a bunch of greedy businessmen, either.
December 14th, 2013 at 5:36 PM ^
I never said I thought they had tons of money. It just bugs me that they're pining for charity off their name and nostalgia.
And the comparison isn't ludicrous at all when you consider the fact that both systems are set up to leech the customers and fans that are the only ones propping it up in the first place.
I don't claim to know anything about Blimpy Burger's finances. Maybe they are in a tough spot, but this stuff bothers me regardless.
December 14th, 2013 at 8:49 PM ^
December 14th, 2013 at 11:07 AM ^
I lived in Ann Arbor for six years. I ate at Blimpy Burgers a total of one time while there and puked at least three times afterward....needless to say, never went back. So forgive me if I don't understand the attraction.
December 14th, 2013 at 2:38 PM ^
December 14th, 2013 at 11:15 AM ^
December 14th, 2013 at 4:24 PM ^
Probably a little bit of both.
December 14th, 2013 at 11:29 AM ^
What was Borges' role in the financial planning for Blimpy?
December 14th, 2013 at 11:45 AM ^
What happens if you donate and they can't get the business off the ground? Do you get your money back?
December 14th, 2013 at 12:02 PM ^
this is already a done deal and just a free-money grab.
December 14th, 2013 at 1:05 PM ^
December 14th, 2013 at 1:10 PM ^
Flexible Funding
"This campaign will receive all funds raised even if it does not reach its goal. Funding duration: December 13, 2013 - January 25, 2014 (11:59pm PT)."
December 14th, 2013 at 2:28 PM ^
regardless of whether or not they're on the level, anytime i see indiegogo i think it's shady as hell.
in this specific case, the idea that a business couldn't handle moving locations without this points to a bad investment imo.
December 14th, 2013 at 3:05 PM ^
I disagree, particularly in a tight area like Ann Arbor at the fringes of the University. In Duluth, my favorite Chinese place has had to go through a similar trial, with its location sold (to CVS, as it happens) and a long wait to figure out if they had a place to move to. For a while, the inability to find a new location and the money to move held up the entire property sale, but the owners eventually just closed the restaurant.
It was not poorly run, but it was tremendously popular. No matter; it's gone. Maybe it will come back, but there's no guarantee of this, and the area of Duluth they are in is a lot easier to find space in than Ann Arbor.
The fact is, these restaurants just do not have a lot of spare capital floating around to make big changes to their business. They have a specific model of staffing, equipment, and food that works as far as it goes but does not do much more than pay the staff and net the owners enough income to live off of.
December 14th, 2013 at 11:48 AM ^
They really can't find a single bank that will finance their move?
December 14th, 2013 at 11:51 AM ^
You could look at it as either repaying a bank loan, or repaying the loyal customers who donated to the Kickstarter. Which, if you look at the incentives, is what they'd be doing.
December 14th, 2013 at 11:58 AM ^
Typically you need some amount of capital on hand in order to receive a small business loan, so this strategy isn't at all surprising.
Also, it's kind of funny to read that people think restaurants are extremely profitable enterprises. This is even more true for Blimpy Burger, since they were leasing their building!
December 14th, 2013 at 1:05 PM ^
There are restaurants everywhere, particularly of the independent/non-chain/family run variety, that lease their space and make plenty of money. If they weren't leasing then they'd be paying a mortgage, which affects cash flow just the same.
While many restaurants are poorly run or concieved and lose money, there are plenty that are profitable and make very good money. Any place with the traffic of Blimpy, leased space or not, should have significant positive cash flow which, multiplied over a lot of years, is a hefty amount of mony.
December 14th, 2013 at 12:06 PM ^
December 14th, 2013 at 12:50 PM ^
sure about the current economic model in Ann Arbor, but I don't think people can just grab what isn't freely given.
December 14th, 2013 at 12:32 PM ^
December 14th, 2013 at 12:51 PM ^
If the owner had actually planned to transition to a new location while the old was still in business maybe he would already be established at the new location by now. It's not like he knew well in advance that the building was being sold. By the time he finally opens, there will be an entire generation of students who don't even know what Blimpy Burger is and may not even car. He/She made their bed now they can lie in. Anyone lacking even the most basic business sense really has no business being in business (excuse the pun) IMHO.
December 14th, 2013 at 12:55 PM ^
December 14th, 2013 at 1:02 PM ^
I happen to know the Magner's personally. I grew up next door to there nephew and he's been my best friend since I was 4. Give money or don't, it's your choice. HOWEVER, they're not rich. They made a decent living from Blimpy's, but not what some of you seem to think. They are about as middle as middle class gets. Things like health insurance are expensive for independent business owners. They did not profit from the sale of the building. They bought the business, but not the building. They were not compensated after the sale of the building. It's fine if you don't want to give, but this isn't a scam. It's just a local family trying to get there business back up and running. That's all.
December 14th, 2013 at 2:48 PM ^
I will donate. My Dad has great stories from hanging out there during his undergrad in the 1960's. I always liked it just fine and it is an icon we were able to bond over.
December 14th, 2013 at 1:06 PM ^
December 14th, 2013 at 1:19 PM ^
that the business owners of a local icon weren't able to parlay that into a much larger intrest. After all, off the top of my head I can think of two eatert establishments in the Ann Arbor area that did just that, a pizza joint ran by a guy named Tom and a roadhouse by some guy named Herman. I think we now know them as Domino's and Weber's.
December 14th, 2013 at 2:02 PM ^
This fundraiser is for $60K, a small portion of the $300K+ they state the re-opening will require.
One of the options is to donate $10 in return for a $10 gift card.
Many people lamented the restaurant's closing. I'm sure there were also many who said they wished there was something they could do to help it re-open. This effort is directly primarily to them. Launching a fund raiser of this type isn't a sign of desperation. It's one way of raising money while also helping to publicize the re-launch.
December 14th, 2013 at 2:04 PM ^
December 14th, 2013 at 2:12 PM ^
Let this be a lesson... always plan ahead
December 14th, 2013 at 2:48 PM ^
This couldn't be farther from the truth. One is a unique experience, the other is a universal one.
I'm not sure where I fall on this issue. Part of me wants to believe the poster who said the owners are middle-class and trying to get the business going again. I actually know of quite a few owners of Ann Arbor "staples" who you would assume are very wealthy based on the town's recognition of the business, but in reality are not. What many people tend to forget is that, with a private business, it is the owners, not the employees, who see a fluctuation in income depending on the times. Many owners will forego their own profits and salaries to pay their employees in times of need. I've seen this first hand.
At the same time, this to me, seems like an opportunity to get cheap debt--or rather no debt at all. Rather than taking on interest-laden debt, this is free money. Moreover, 60k is probably enough to get them going for the first month. Doing so would allow them to create the necessary revenue that would decrease borrowing costs substantially. And even though the owner's rights were in the business only, i can't imagine they didn't also own the equipment and inventory--the largest start up cost in the first place. Witih how cheap debt is these days, taking out a loan should be as easy as ever. Many companies are doing it just for the heck of it, solely because they won't be able to get it this cheap for some time, if ever again.
I get the feeling blimpy will be back regardless of the donations, but the donations will help immensely nonetheless. I, for one, would love to see them back in action.