Tony Lamb is the founder and CEO of Kona Ice, the cell shaved ice franchise (ranked #30 on the 2025 Franchise 500) recognized for its tropical vehicles, kid-friendly Flavorwave station and deep neighborhood involvement. Lamb began out in gross sales, then launched Kona Ice in 2007, initially as a facet hustle to show his children about enterprise. He felt the ice cream truck mannequin was outdated, typically related to poor high quality and unreliable operators. When he thought of shaved ice — with its low product and labor prices and its extra interactive nature in comparison with ice cream — he knew it was the proper match.
Kona Ice has since grown right into a 2,200-unit nationwide franchise that is returned greater than $200 million to colleges and native organizations. Regardless of the expansion, the model’s $3,000 annual royalty price hasn’t modified in almost 20 years.
Throughout the pandemic, Lamb expanded his portfolio with Travelin’ Tom’s Espresso, a cell espresso idea (#217 on the Franchise 500) named after his father and Beverly Ann’s Cookies, a dessert truck impressed by his mom.
Learn the way Lamb constructed a recession-proof, feel-good franchise enterprise — and what recommendation he has for aspiring entrepreneurs — right here.
Responses have been edited for size and readability.
Associated: Contemplating franchise possession? Get began now to seek out your personalised checklist of franchises that match your life-style, pursuits and funds.
How did your prior expertise put together you to launch a cell shaved ice enterprise?
I began promoting vacuum cleaners throughout faculty, door-to-door, in Kentucky. I ultimately graduated and ran six places of work, had 300 salespeople and made “rock star” cash for some time. It is a powerful enterprise, but it surely teaches you all the things about small enterprise: advertising and marketing, buyer interplay, sourcing and constructing groups. After that, I did advertising and marketing consulting for some time. That gave me the arrogance to suppose, If I can determine vacuums and cell advertising and marketing, I can determine an ice cream truck.
Associated: Emma Grede Dropped Out of College at 16. Now the Skims Boss Runs a $4 Billion Empire — This is How.
What sparked the thought for Kona Ice?
One summer season, I used to be in my yard, and an ice cream truck got here down the road. My children ran towards it, and it was all the things you warn children about: a shirtless man in a white van with a number of stickers on the facet. I assumed, This business is already a part of our tradition, but it surely’s been dragged all the way down to the bottom widespread denominator. What if we constructed one thing lovely, open and interactive that oldsters may belief?
Associated: The right way to Flip Massive Enterprise Moments Into Lasting Model Momentum
A number of individuals have nice concepts. How did you go from an thought to your first truck?
I knew methods to make a car look nice as a result of I would constructed cell billboard vehicles earlier than. I employed an engineer and a designer, brainstormed all the things from format to buyer interplay and constructed the primary truck in 2007. I assumed I would have, possibly, 5 vehicles as a facet hustle to show my children about enterprise. However once I let somebody within the subsequent county strive one they usually succeeded, I knew I had one thing greater.
Associated: The right way to Recuperate from a Dangerous Enterprise Resolution (and Rebuild Belief)
You began franchising only a yr later. Why so quick?
A man noticed the truck on trip and needed one in Nashville. I spotted franchising was one of the best ways to carry the model tightly. Security and belief had been central, and you’ll’t get that if anybody can run their very own model. I set the royalty at $3,000 a yr — and I’ve by no means raised it. I did not wish to get grasping. I needed franchisees to maintain the lion’s share of the cash.
What had been the important thing improvements that helped Kona Ice develop?
The massive one is the Flavorwave, a self-serve taste station on the facet of the truck. It gave children a “keys to the sweet retailer” feeling and justified a better worth level. For franchisees in colder climates, we added the Kona Mini so they might work indoor occasions. And, from day one, our franchisees made cash, which fueled progress.
Associated: What My First Failed Startup Taught Me — and How I Lastly Bought It Proper 20 Years Later
The pandemic worn out all occasions for a major period of time. How did you adapt?
We had been 95% event-based, and inside two weeks, each occasion was gone. I spent two days within the fetal place, then we launched “Curbside Kona” utilizing tailored supply software program. Prospects booked stops on-line; we optimized routes and texted them arrival occasions. That saved us in April and Might. From there, we constructed a $4 million customized platform, Kona OS, which now handles all the things from routing to advertising and marketing. It has made scaling a lot simpler.
Kona Ice can be recognized for giving again. How did that begin?
In 2008, throughout the financial disaster, PTAs advised me that they had no funds. I supplied to return to colleges, promote to children and provides the PTA 25 to 30% again. Shaved ice has nice margins, so why not? It locked us into the neighborhood — we weren’t simply promoting a product; we had been serving to fund helmets, playgrounds, uniforms. That grew to become our tradition, and now our franchisees have given again over $200 million.
Associated: Need to Personal a Franchise? This 3-Tier Method Can Assist You Select Properly.
You’ve got since launched Travelin’ Tom’s Espresso and Beverly Ann’s Cookies. What was the inspiration to launch these manufacturers?
Throughout Covid downtime, I dusted off some ideas I would been sitting on. We prototyped a espresso truck and named it after my dad — a colourful, gregarious man. It took off. Then I created a cookie-and-ice-cream truck named after my mother, utilizing her faculty portrait on the facet. Each manufacturers use the identical cell merchandising rules that make Kona profitable.
Trying again, what is the single most essential choice you made that set Kona Ice on this path?
Not altering the royalty. Traders have advised me to change to a share, however that is not who we’re. Protecting it at $3,000 a yr makes franchisees wholesome and retains competitors out. You may’t construct what we have constructed and cost what we cost — and I need the individuals doing the work to make the cash.
Be part of prime CEOs, founders and operators on the Degree Up convention to unlock methods for scaling your enterprise, boosting income and constructing sustainable success.
Tony Lamb is the founder and CEO of Kona Ice, the cell shaved ice franchise (ranked #30 on the 2025 Franchise 500) recognized for its tropical vehicles, kid-friendly Flavorwave station and deep neighborhood involvement. Lamb began out in gross sales, then launched Kona Ice in 2007, initially as a facet hustle to show his children about enterprise. He felt the ice cream truck mannequin was outdated, typically related to poor high quality and unreliable operators. When he thought of shaved ice — with its low product and labor prices and its extra interactive nature in comparison with ice cream — he knew it was the proper match.
Kona Ice has since grown right into a 2,200-unit nationwide franchise that is returned greater than $200 million to colleges and native organizations. Regardless of the expansion, the model’s $3,000 annual royalty price hasn’t modified in almost 20 years.
Throughout the pandemic, Lamb expanded his portfolio with Travelin’ Tom’s Espresso, a cell espresso idea (#217 on the Franchise 500) named after his father and Beverly Ann’s Cookies, a dessert truck impressed by his mom.
The remainder of this text is locked.
Be part of Entrepreneur+ right this moment for entry.
