Won't Back Down: Rocky Start Leads to Successful Ownership Tenure

Name: Lisa Starnes
Title: Franchise Owner
Company: Starnes Holdings
No. of units: 8 Captain D’s
Age: 65
Family: 2 sons, Rhys and Ryan, 1 daughter, Shauna, and 4 grandchildren, Addison, Charlotte, Ryder, and Arden
Years in franchising: 32
Years in current position: 30

Considering how it all began, Lisa Starnes never imagined she would be leading a thriving franchise business for three decades.  

In 1994, Starnes’ husband came home and announced he had purchased the 10 remaining corporate-owned Captain D’s restaurants in the Dallas-Forth Worth area. While she initially assisted on the administrative side of the business, her primary focus was on raising their two boys. Her younger was on the autism spectrum.  

One year later, her husband suffered a heart attack, leaving him unable to work. In high school, she’d worked as a waitress, but handling restaurant operations for 10 units was a daunting new challenge. All of the struggling locations lost money in their first year. 

“If you can mess it up, I’ve done it,” Starnes says. “It was really ugly for a while. We didn’t have a whole lot of resources. The one thing I knew for sure was that the way we were running things wasn’t working. I had to figure out the best way because I wasn’t going to fail.” 

Managers at each restaurant left within the first six months of her taking over. After two years, the business lost $700,000, forcing her to make the difficult decision to close four stores. Friends and advisors suggested she should sell or declare bankruptcy, but she was determined to press on. 

Starnes leaned on the experience of her restaurant teams as she worked from her kitchen table and set up copiers in the utility room. She closely scrutinized the financial numbers, made sure all items on the menu would be profitable, and incorporated the use of credit cards into the stores’ operations. 

During all that time, her duties as a mother didn’t let up. She was shuttling her son to one doctor’s appointment after another. 

Restaurant performance slowly improved, and she was able to pay off all the debt by 1998. Business stabilized, and she has become one of the top performers in the Captain D’s system for most of her tenure. Starnes opened her eighth restaurant, and first in 15 years, in November. 

She has led with a people-first approach and commitment to what she calls “unreasonable hospitality” by empowering employees to exceed guest expectations. 

As she reaches the twilight of her career, Starnes says she feels rejuvenated by identifying a future leadership team and providing them with the resources and support they will need to succeed. She keeps them in mind when reflecting on her 30-year journey as a Captain D’s franchisee. 

“It makes me smile. When I talk to our teams, I feel so fortunate and blessed,” Starnes says. “If not for this company, I wouldn’t have these people in my life. It has been a wild ride. I don’t know how I would deal with ‘easy.’ It has been an exciting adventure not just for me, but for all of us.” 

PERSONAL 

First job: I started as a waitress when I was 15 at a restaurant my father owned. I waited tables, cooked pies, and basically did anything that needed to be done, including taking my dad home after closing when he was too tired to drive. 

Formative influences/events: I had a lot of influences in my life. My father was a church pastor and then became an entrepreneur. After working in the restaurant over the summer, school responsibilities demanded that I work fewer hours. I worked at a Bible publishing company as a teenager. My mother worked there, and there were a few times I got to attend book sellers’ conventions. I loved the excitement and high energy I found at the booksellers’ convention and in the restaurants. 

Key accomplishments: Being a mother to my children is the best. While I was brought up in a more traditional environment, we had to navigate a situation where I worked a lot of hours outside the home. We had to be intentional in what we did to connect as a family. Professionally, I have been honored to serve on the PAC and DMAC committees for Captain D’s and was grateful to be named Captain D’s Operator of the Year in 2011. 

Biggest current challenge: Being in the restaurant business, labor costs and staffing are challenging. Maintaining high-quality food that is affordable for our guests is something that is nonnegotiable.  

Next big goal: I would like to streamline the administrative side of the business to put more focus on the guest. We have a great team, and I want our energies to be concentrated on taking care of the guests, building sales, and increasing profitability. I have done a lot of the administrative work myself over the past few years, and I plan to shift those responsibilities so that I can spend more time in our restaurants. 

First turning point in your career: Immediately after college, I went to work at Shoney’s Inc. Although the secretarial position was not my goal, I was afforded many opportunities such as working with our spice program and traveling to our distribution centers. I embraced everything that came my way and learned the restaurant business was fun and exciting. 

Best business decision: When faced with the decision to give up or keep going, I have always chosen to keep going. Due to circumstances during my early time as a Captain D’s owner, we lost a lot of money. Others told me to sell or file for bankruptcy. I decided to keep going, and we were able to turn things around and develop a successful business for more than 25 years. 

Hardest lesson learned: I am a believer in a saying I once heard at a Captain D’s meeting: “You cannot change what you tolerate.” Sometimes, you have to make difficult decisions with employees and set proper boundaries. You want people to do well and prosper, but if you keep tolerating behavior that leads to poor results, it will continue.  

Work week: At this point, my hours are flexible. So many things can be handled via text, phone conferences, web meetings, etc. The most important part is making sure I am available to our teams, addressing and responding to their needs, so that our guests are taken care of, and our business is growing. 

Exercise/workout: Yeah, right! 

Best advice you ever got: In business, you must prioritize trust, integrity, and alignment of values above all else. The background of a person matters less than their character and reliability. That is a combination of a lot of things I’ve heard from many people over the years. 

What’s your passion in business? I have two passions that are the main motivating factors in my life. The first is my passion for our team. There was a time in my life when my pastor suggested that I go to work for my employees. That is what has provided the fuel for me to keep going even when things have not been easy. I have been given so many opportunities in my life, and I would like to be able to provide that for others. When you join our company, whether you stay for a while or forever, I want us to contribute to your growth and improvement. In return, I want us to be better because you were here. 

How do you balance life and work? I balance life and work carefully. There are times when work requires my full attention, and other times when family takes priority. The key is being intentional about where I focus my energy, making sure that my business and personal lives receive the care they deserve.  

Guilty pleasure: British comedies. 

Favorite book: My favorite book changes constantly. Right now, I am finishing up Grant by Ron Chernow. I enjoy biographies, but I must admit an affinity for Jane Austen. 

Favorite movie: “Gone with the Wind.” 

What do most people not know about you? I am not as demure as I sometimes come across to others. 

Pet peeve: Arrogance. 

What did you want to be when you grew up? Initially, I wanted to be a wife and mother. As I matured, I also wanted a career. One thing I did not want to be was a secretary, and that was ironically one of the best experiences to groom me for leadership. 

Last vacation: I usually take one to two-day excursions and rarely go for an entire week or more. I enjoy spending time with friends and family. I feel more comfortable with mini breaks as opposed to extended vacations. 

Person you’d most like to have lunch with: Mother Teresa.

MANAGEMENT 

Business philosophy: I believe in excellence with practicality. While we always strive for perfection, we are people first, and that matters.  

Management method or style: My management style is nontraditional, and I believe in maximizing the abilities of others. In a perfect world, when I leave, my team will be well taken care of. If I could make it happen, the employees would own the company. 

Greatest challenge: Balance. I want to be the best businessperson, humanitarian, mother, daughter, and friend to all. My desire is to be available, and that also requires boundaries. 

How do others describe you? I believe others would describe me as a hardworking and authentic leader. 

Have you ever been in a mentor-mentee relationship? What did you learn? Not formal mentorship, but I have learned from every experience and everyone around me. I learn every day from our teams, other franchise owners, friends, and family. I do not expect that to end. 

One thing you’re looking to do better: I want to lead our company more efficiently. I would like to be more involved in our communities. I’m doing this by putting others in leadership roles and giving them the support around them to succeed. 

How you give your team room to innovate and experiment: I give a lot of latitude, and I listen. We must follow procedures to meet cost and sales goals, but our general managers, under supervision, essentially run their own company. They order, hire, schedule, and maintain clean restaurants. 

How close are you to operations? Very. While I am not in every restaurant every day, I am always in contact with our management teams and available to them. 

What are the two most important things you rely on from your franchisor? I rely on my franchisor to protect and strengthen the brand not just through procurement and marketing, but also through operational standards that ensure consistency for our guests across the entire brand. I also expect a true franchise partnership, one that listens, adapts, and supports. There must be open communication and respect with decisions being made to foster better training, operator profitability, and sustainability. 

What you need from vendors: I need vendors who are reliable and consistent. They need to do what they say they are going to do. A great vendor also realizes that this is a partnership and that our profitability is tied to each other. It is innovation with practicality. I want to embrace change that works and not just change for change’s sake. 

Have you changed your marketing strategy in response to the economy? How? I rely heavily on our franchisor for marketing. Locally, we are trying to develop more social media, targeted print drops, and value offerings. 

How is social media affecting your business? Social media is an extraordinary concept that affects our business in practical ways. We used to look at the street sign as the first impression a guest has of your business. Today, social media shapes first impressions, drives traffic, and amplifies our reputation, making every post an extension of our brand and culture. When it is used intentionally, it connects us to guests, supports our teams, and strengthens the consistency and trust we’ve built across all locations.  

In what ways are you using technology (like AI) to manage your business? AI touches our business in more ways than we may even realize, streamlining operations and shaping guest experiences behind the scenes. Our franchisor is actively leveraging AI in areas like recruitment, marketing, and operational insights, helping us run more efficiently and connect more effectively with both guests and team members. 

How do you hire and fire? We combine old-school personal touch with modern technology. Candidates can apply traditionally or via QR codes, and onboarding is handled efficiently through Paychex to ensure compliance and consistency. For performance management, we set clear expectations and follow a structured process of verbal and written warnings before termination. 

How do you train and retain? Captain D’s has a very good guest service specialist training program that we utilize. It uses a phone app for easy training access. We give our general managers 45 hours for training new hires so that we can be fully staffed as we train without affecting the direct labor cost of the restaurant. Overall, I believe our retention comes through relational connection. When you are blessed to have team members who have been with you for 15, 20, or 30 years, over time, your work family just becomes your family. 

How do you deal with problem employees? We believe in clear expectations and accountability. When performance issues arise, we address them through verbal and written warnings, providing employees an opportunity to improve before making final employment decisions. 

Fastest way into your doghouse: Being disrespectful. Disrespecting our guests or fellow team members is never okay. 

BOTTOM LINE 

Annual revenue: More than $9 million. 

Goals over the next year: I would like to strengthen and develop our team, increase sales, consistently enhance guest experience across all locations, and lay the groundwork for a long-lasting legacy that supports our employees and the culture we’ve built. 

Growth meter: How do you measure your growth? Sales above all else. Sales growth with cost controls results in profitability. We also want to be a part of our community. Over the years, we have been blessed to give back, and that is a definite sign of growth for me.  

Vision meter: Where do you want to be in five years? 10 years? In five years, I want our business to continue to thrive with strong, empowered teams, consistent performance across all locations, and a culture where employees feel valued and supported. In 10 years, I hope to have built a lasting legacy where the company can sustain itself and potentially be led or owned by the people who helped grow it. I would like our values of excellence, practicality, and people-first leadership to continue to guide every decision.  

Do you have brands in different segments? Why/why not? I do not have other brands. I continue to choose Captain D’s because it balances proven systems with the ability to empower people, letting me build strong teams, deliver great guest experiences, and run a sustainable, high-performing business.  

How is the economy in your region(s) affecting you, your employees, your customers? The Dallas-Fort Worth economy remains robust compared with many other metro areas. It has ongoing job growth and rising wages. However, growth has slowed, and cost pressures persist, which influences consumer spending and makes labor quality and retention especially competitive for businesses like ours. We remain focused on supporting our team, maintaining strong operations, and providing a welcoming experience for every guest. 

Are you experiencing economic growth in your market? Our regional economy continues to grow. Jobs are still being added, and people are still moving here, but the pace has slowed compared to recent years. That moderation can make it feel like business is flat even though the Metroplex is still expanding overall. 

How do changes in the economy affect the way you do business? Changes in the economy affect nearly every aspect of how we run our business. We strive to operate lean while remaining sensitive to the offers and pricing of our competitors. At the same time, we focus on improving service, maintaining high-quality food, and providing value to our guests while protecting our margins to ensure long-term sustainability. 

How do you forecast for your business? We forecast our business by combining historical sales data, seasonal trends, and insights from our managers on the ground. We track traffic patterns, labor needs, and inventory requirements, and we adjust for local events, promotions, and competitor activity. This approach allows us to plan staffing, inventory, and marketing effectively while staying flexible to meet real-world conditions. 

What are the best sources for capital expansion? Over the years, I have used traditional banking, SBA, private investors, and retained earnings. It ultimately depends on the size of the project and the cost of capital. 

Experience with private equity, local banks, national banks, other institutions? Why/why not? With private equity, you have more flexible terms but may have to give up some control. When using local banks, it is invaluable to have a personal banker who understands your company and your needs. You do have to have a track record and provide financials. National banks are not as personal, and a change in personnel at the bank can alter the relationship. 

What are you doing to take care of your employees? We take pride in supporting our employees with a comprehensive benefits package, including health insurance, 401(k), and vacation time for both full-time and part-time team members. We recognize and reward longevity through milestone awards at years one, three, five, and every five years thereafter. Our store management team participates in bonus programs tied to store performance. These programs reflect our commitment to valuing employees, fostering loyalty, and creating a workplace where people can grow and succeed. 

How are you handling rising employee costs (payroll, minimum wage, healthcare, etc.)? Gingerly. Rising employee costs affect nearly every aspect of our business from payroll to benefits. We manage these increases by operating lean, optimizing scheduling, and using data-driven labor forecasting to ensure efficiency. We also focus on providing competitive wages, benefits, and incentives to attract and retain the best team members while maintaining service quality, operational consistency, and profitability.  

What laws and regulations are affecting your business, and how are you dealing with them? We comply with labor, health, safety, and food regulations through training, operational checks, and close collaboration with our franchisor, ensuring safe, consistent, and efficient operations. 

How do you reward/recognize top-performing employees? Top performers are recognized through annual evaluations, promotions from within, and performance-based bonuses that support growth and reward excellence. 

What kind of exit strategy do you have in place? My exit strategy focuses on securing the long-term success of the business and our team, ideally passing leadership to those who have helped build it while I transition to mentoring and the next chapter of life.