In this episode of the Running Restaurants podcast, host Jaime Oikle interviews Aaron Anderson, founder of Sunrise Social. Aaron shares his restaurant journey, from buying franchises like The Original Hot Dog Factory (which opened during COVID-19) to experimenting with ghost kitchens. He discusses creating his own breakfast, brunch, and lunch concept, Sunrise Social, now operating two franchise locations in New Jersey and Pennsylvania. Aaron covers key topics including menu engineering for profitability, selecting franchise partners, marketing through social media, staff accountability, and funding strategies. He concludes with advice for aspiring entrepreneurs: perseverance is essential to success.
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From Franchisee to Franchisor: Aaron Anderson on Building Sunrise Social
Some operators spend decades working through every side of the restaurant business. Aaron Anderson packed much of that education into a few short years. He's been a multi-unit franchisee for two brands, run a multi-concept ghost kitchen operation, navigated a rebrand, and is now selling and supporting franchises for his own concept, Sunrise Social, a breakfast, brunch, and lunch spot open 8 a.m. to 4 p.m., seven days a week.
On a recent episode of the Running Restaurants podcast, Anderson talked through what he got wrong, what he figured out, and what he looks for as he grows Sunrise Social into what he hopes will become a national brand.
The Lesson Every New Owner Learns Fast
Asked what he didn't understand when he bought his first franchise, Anderson didn't hesitate: the economics.
"Food costs, labor costs, prime cost, all of those things," he said. "That was something I learned from being hands on."
It's a familiar story. Plenty of people get into the business excited about owning a restaurant and assuming the money will follow. Anderson admits that was part of his own motivation. The reality of tight margins, which have only gotten tighter, became his first real education.
Opening Into a Shutdown
Anderson's first franchise was The Original Hot Dog Factory, a brand he first discovered when it was featured on Real Housewives of Atlanta. After researching it, he saw an opportunity.
His reasoning for choosing a franchise over an independent concept was practical. "I didn't want to build a restaurant from the ground up," he said. "Joining a franchise would be something where I could learn a lot and come in with something that already has a system created."
Then timing intervened. When he signed his franchise agreement, COVID wasn't on anyone's radar in the United States. By March 2020, the shutdown was announced the day before his grand opening.
He opened anyway, running on delivery and takeout only. "I never stopped learning," he said. "Still learning right now."
Building Experience Across Brands
Rather than slowing down, Anderson kept expanding through the pandemic. He became a multi-unit franchisee with Rita's, opening additional locations. He also moved into ghost kitchens, creating five different concepts that ran out of a single kitchen, with two locations operating that model.
That combination of experiences eventually pointed him toward the other side of the table. "From all the experience and knowledge I had from a franchisee perspective, I said, you know what, I think I'm ready to create my own brand and become a franchisor."
From Proof of Concept to Sunrise Social
Sunrise Social began under a different name as a proof-of-concept brunch operation. When Anderson started developing it into a franchise, he discovered the original name was already trademarked.
He turned the forced rebrand into an upgrade. Along with the new name, he improved operations and enhanced the menu before relaunching as Sunrise Social.
It's a useful reminder for any operator thinking about growth: check trademarks early, and treat a pivot as a chance to tighten the whole operation, not just swap the sign.
Engineering a Profitable Breakfast Menu
Breakfast and brunch can be a strong daypart when run well, and Anderson's approach to menu profitability is straightforward. Watch margins and food costs closely, and build around a tight core.
"You have one core item, but you create several different items from that one core item," he explained.
That kind of cross-utilization keeps inventory manageable, reduces waste, and gives guests variety without complicating the kitchen.
Anderson sees Sunrise Social as part of a broader shift in the category. Guests who grew up on traditional diner-style breakfast chains are now gravitating toward a more elevated experience. "Conceptually, it's that same concept with a twist," he said, pointing to differences in both the menu and the hospitality.
Deciding When a Concept Is Ready to Scale
Plenty of single-location operators hear guests tell them they should franchise. Anderson believes that decision should rest on data, not compliments.
He looks at the demographics of Sunrise Social's current markets, then studies how many markets across the country look similar. Combined with the strength of the breakfast, brunch, and lunch category right now, that analysis gave him confidence the model could scale.
Sunrise Social currently has two locations, in Cherry Hill, New Jersey, and Philadelphia, Pennsylvania, both run by a single multi-unit franchisee. Anderson is targeting further growth in New Jersey, Pennsylvania, Ohio, Delaware, Florida, and Texas, but says the brand is deliberately taking its time.
What He Looks for in a Franchise Partner
Finding the right operators matters as much as finding the right markets. Anderson's vetting process covers several areas:
- Involvement level. Will the candidate be an owner-operator or a semi-absentee owner?
- Background. Are they already an entrepreneur, or coming from a 9-to-5 career?
- Family economics. Understanding their financial situation helps paint a picture of who they are.
- Direction. Where are they now, and where do they plan to take the brand?
- Leadership and discipline. Can they lead a team, and will they follow the systems and playbooks?
Location, Location, Demographics
For site selection, Anderson focuses on demographics, median household income, and the size of the town or township. "Your location is very, very important to determining your success," he said.
For a daily breakfast concept, the draw radius is usually small. Guests may travel far for a destination dinner, but they want their brunch spot close to home, which makes the density of the surrounding area critical.
Marketing a New Location
Anderson considers marketing vital, especially when entering a new market. Sunrise Social supports franchisees with a mix of channels, including email, flyers, radio, and social media.
As for which platform is performing best right now, he gives the edge to TikTok over Meta's platforms, noting that the fast, catchy format is currently trending better.
People, Expectations, and Accountability
Anderson is enthusiastic about people. "People are amazing," he said, and growth in any business depends on having a good team.
What keeps that team together? Clear expectations and accountability. What drives people away? Dysfunction, confusion, and poor management.
His accountability system is built on checklists. After every shift, staff complete a checklist that goes to the manager. At the end of the day or week, managers turn in the checklists for every day the restaurant was open, and leadership reviews them to confirm everything was done correctly.
It's a simple tool, but it creates a paper trail for every position and makes expectations concrete rather than assumed.
Funding and Focus
Sunrise Social works with lenders who can help franchisees with financing. Anderson himself bootstrapped his path into the business. His summary: "Don't wait for nobody."
With so much on his plate, he keeps his decision-making simple. His goal is to build Sunrise Social into a national brand, and every new opportunity gets filtered through one question: is it beneficial to the brand?
He also leans on consultants and a team with restaurant and business experience. His book recommendation is The Way to Wealth, which he describes as an easy read that set the foundation for everything he's doing.
Never Give Up
Anderson's closing advice for entrepreneurs is the same philosophy that carried him through opening a restaurant the day before a national shutdown.
"Just never give up on anything that you're doing. That's the key to it all," he said. "It's going to be tough. There's going to be good times. But just never give up."
Key Takeaways for Operators
- Learn your numbers before you sign. Prime cost, food cost, and labor cost will determine whether you survive.
- Build menus around core items. Cross-utilize ingredients to create variety without adding complexity.
- Let data decide growth. Customer enthusiasm isn't a scaling strategy; demographics and market comparisons are.
- Check trademarks early. And use any forced rebrand to improve operations along with the name.
- Make accountability visible. Shift checklists turn expectations into something you can review.
- Filter opportunities ruthlessly. If it doesn't serve the core brand, let it go.
Learn more: Visit Sunrise Social at eatsunrisesocial.com and ownasunrise.com, or follow on Instagram at @sunrisesocialusa and on TikTok at @sunrisesocial.
