Todd Graves, co-founder of Raising Cane’s Chicken Fingers, has reached a significant milestone in his entrepreneurial journey, making his debut on the Forbes 400 list with an estimated net worth of $9.5 billion. The journey to success, however, was far from easy. From working grueling 90-hour shifts in an oil refinery to funding his business idea, Graves’ story is one of grit, determination, and resilience.
A Bold Idea Rejected but Not Forgotten
In the early 1990s, Todd Graves and Craig Silvey developed a unique concept for a restaurant that would only sell chicken fingers while studying at Louisiana State University (LSU). Despite their enthusiasm, their idea didn’t get the support they had hoped for. Silvey’s business professor at LSU graded the concept poorly, marking it as one of the least likely to succeed. But that didn’t stop them.
Faced with skepticism from both academic circles and potential lenders, Graves set out to prove everyone wrong. Banks rejected their loan applications, but Graves was determined to bring their vision to life.
Hard Work Paves the Way to Success
With no money and no financial backing, Graves took on a physically demanding job, moving from Baton Rouge to California to work 90-hour weeks in an oil refinery. He also fished for salmon in Alaska, a testament to the lengths he would go to fund his business. By 1996, he had saved between $40,000 and $50,000 of his own money and secured additional support from family and friends, totaling around $100,000. He also received a Small Business Administration loan.
The funds were just enough to open the first Raising Cane’s Chicken Fingers location in Baton Rouge. It was here that Graves began what would become an extraordinary journey in the fast-food industry.
Raising Cane’s: A Meteoric Rise to the Top
Raising Cane’s, named after Graves’ beloved yellow lab, quickly gained popularity. The business expanded at a pace that surprised even its founder. Today, there are over 800 Raising Cane’s locations worldwide, with the brand generating $3.7 billion in net sales in 2023 alone. According to a company spokesperson, Raising Cane’s has ambitious plans to finish 2024 with nearly $5 billion in sales, making it one of the fastest-growing fast-food chains in the world.
Graves’ tenacity and vision helped him secure his spot as the 107th-richest person in the United States, according to Forbes. He now owns more than 90% of the company, and while the business is thriving, Graves has no interest in taking Raising Cane’s public or selling shares to private investors.
“I want my kids to carry on the values after their mom and I are gone,” Graves said. “They can grow this into a worldwide business while staying true to what made Raising Cane’s special.”
Learning to Balance Risk and Reward
The road to success wasn’t without its challenges. Graves, who had no formal business training when he opened the first Raising Cane’s, had to learn quickly. Working from 8 a.m. to 3:30 a.m. every day, he managed the restaurant’s operations while figuring out the complexities of business management.
In the early days, Graves financed the business through a combination of loans, often offering private investors a 15% interest rate. However, this nearly cost him the business when Hurricane Katrina struck Louisiana in 2005. Of the 28 Raising Cane’s locations open at the time, 21 had to close due to the storm. The massive disruption highlighted the importance of balancing risk, something Graves admitted he learned the hard way.
“I levered everything. Debt to equity, you should have proper balances, and that helps you get through tough times,” he reflected. Yet, it was the company’s ability to reopen quickly after the hurricane that saved it from collapse. Graves credits this quick action for keeping Raising Cane’s afloat during one of its most difficult moments.
Disciplined Growth and Long-Term Vision
Today, Raising Cane’s is on track to become a global brand, but Graves is careful not to rush expansion. His early experiences have taught him the importance of disciplined growth. He preaches caution, emphasizing that growing too quickly can dilute a brand’s value and unique identity.
“The vision of Raising Cane’s is to have locations all over the world, but you have to stay disciplined,” Graves said. “If you are successful, opportunities will come. But growing too fast can turn something special into something ordinary.”
His approach aligns with the wisdom of other notable entrepreneurs like Daniel Lubetzky, founder of Kind Snacks, and Rocket Lab CEO Peter Beck, both of whom advocate for thoughtful decision-making and risk management.
Looking to the Future
As Raising Cane’s celebrates its 28th year and continues to set sales records, Graves is optimistic about the company’s future. Now on its third real-life yellow lab mascot, Raising Cane III, the brand remains as dedicated as ever to its simple, yet highly successful menu concept: crave-able chicken fingers, great crew, and active community involvement.
Graves’ journey is a remarkable reminder that hard work, persistence, and learning from failure are the cornerstones of entrepreneurial success. His advice to budding entrepreneurs? “If people tell you something can’t be done, it makes you strive so much more to do it.”
