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Nancy Luna
- Todd Graves opened the first Raising Cane's in Louisiana on August 28, 1996.
- He wrote a business plan for a chicken fingers chain as a college assignment. He got a bad grade.
- Graves is worth $7.6 billion, and is the wealthiest resident in Louisiana, according to Bloomberg.
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While attending Louisiana State University in the mid-1990s, Todd Graves wrote a business plan for a fast-food restaurant that sold only fried chicken tenders.
His professor gave him the lowest grade in the class. But Graves didn't let the criticism stop him.
He worked to raise his own funds and eventually opened his chicken tender restaurant Raising Cane's in 1996. Cane's now has more 750 restaurants in the US and internationally. The chain, whose loyal fans are known as "Canaics," plans to add about 100 more new locations in 2024.
As founder, Graves has close to a 90% stake in the company. His net worth is $7.6 billion, according to a new analysis by Bloomberg.
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Here's how Graves turned a bad grade into a billion-dollar business.
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Todd Graves, the founder of Raising Cane's, is one of the world's 500 richest people, according to Bloomberg.
Todd Graves opened the first Raising Cane's on August 28, 1996.
He turned a menu of fried chicken fingers into a billion dollar business. According to Bloomberg, his net worth is $7.6 billion. He is Louisiana's wealthiest resident and the 307th wealthiest person worldwide.
Source: Bloomberg and Raising Cane's website.
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Graves wrote a business plan for Raising Cane's while attending Louisiana State University. His professor gave him a low grade.
While attending Louisiana State University in the 1990s, Graves came up with idea for opening a fast food restaurant with a menu of only fried chicken fingers.
His professor said the unhealthy niche food concept wouldn't fly. His business plan received the lowest grade in class.
Graves tried to get bank loans, but financial institutions also turned him down.
He didn't give up.
Source: Raising Cane's website and Orange County Register.
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Graves believed fast food eaters would love fried tenders, which he called "the filet mignon of the chicken." So he raised his own funds.
In a 2016 interview with the Orange County Register, Graves said he saw the flavor potential of opening a restaurant that served fried boneless tenderloin meat.
"It's the filet mignon of the chicken," he told the Register.
Determined to launch the business, he moved to Los Angeles in 1994 to work as a boilermaker at an oil refinery in Southern California. He put in 90-hour weeks to raise the seed money to open Raising Cane's.
Source: Orange County Register and Raising Cane's website.
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Graves left Los Angeles for Alaska, where he found he could earn more money fishing.
Graves moved to Alaska in 1995 when he learned he could earn more money in commercial fishing.
He camped on the tundra for a month before landing a job as a fisherman. He worked 20-hour days fishing for sockeye salmon in Bristol Bay in Southwest Alaska.
Source: Raising Cane's website.
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With enough seed money, he returned to Louisiana to build Raising Cane's.
Graves originally planned to call the restaurant "Sockeye's," a nod to his time in Alaska. Upon a friend's advice, he decided to name the restaurant after his beloved yellow Labrador Retriever, Cane. The dog was a frequent visitor of the construction site.
Raising Cane's opened on August 28, 1996. Graves renovated an old building at the entrance of Louisiana State University in Baton Rouge. Due to issues with the cash registers, the restaurant didn't open until after 9 p.m.
Graves took to the streets to wave in customers. The restaurant stayed open until 3:30 a.m.
Source: Raising Cane's website.
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Raising Cane's is a fast-food brand with a cult-like fan base known as Caniacs.
The menu at Raising Cane's is simple: fried chicken tenders, Texas Toast, coleslaw, crinkle cut fries, sodas, fresh-squeezed lemonade, and fresh-brewed iced tea. The chain's Cane's Sauce is considered legendary. Its recipe is only known by store general managers, the chain once said on X in 2015, formerly Twitter.
The chain's fresh, never-frozen, chicken tenders are cooked to order.
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Raising Cane's logged more than $3.1 billion in sales in 2022.
Raising Cane's turned 27 years old this year. Its 646 restaurants in the US logged more than $3.1 billion in sales in 2022, according to market research firm Technomic.
It's been one of the fastest growing restaurant chains in the US, opening more than 50 restaurants a year since 2018 – when it had 400 locations. In 2022, the chain opened 79 restaurants, according to Technomic.
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Graves promotes Raising Cane's relentlessly on his social media channels.
Today, Graves refers to himself as "CEO, Fry Cook and Cashier of Raising Cane's Chicken Fingers."
Technically, he is now the co-CEO. In 2018, AJ Kumaran, the chain's chief operating officer, became co-CEO. Graves and Kumaran, who remains COO, have shared the co-CEO title since 2018.
Graves is prolific on Instagram, where he has more than 525,000 followers.
He promotes Raising Cane's relentlessly on his social media channels. His most recent post highlighted VIPs at the chain's Formula 1 suite in Las Vegas, Nevada.
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In 2020, Graves gave up his salary to save jobs.
Graves and co-CEO Kumaran gave up their salaries when dining rooms were shutdown during the onset of the pandemic in March 2020.
While other restaurant chains had to layoff workers, Raising Cane's was able to keep all of its 25,000 workers employed.
Source: Inc.com
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In 2021, Graves takes a starring role in a Discovery + series.
In spring 2021, Graves hosted a new Discovery + new series called "Restaurant Recovery." In the 10-episode series, Graves helped struggling independent restaurant owners get back on their feet after dining rooms reopened during the Covid-19 pandemic.
"The pandemic has been devastating to the restaurant industry as a whole, but thankfully, due to our drive-thrus at Raising Cane's, we were fortunate to maintain our business," Graves said. "As a result, it became so important to me to pay it forward to those in need by offering financial and professional support. Our hope is that by providing a platform to highlight and amplify their awareness, these restaurants will be able to bounce back stronger than before."
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In June 2023, the chain opened the first of 25 restaurants planned in New York City.
This year, Raising Cane's opened the first of 25 restaurants planned for the greater New York City area. The stores will open over the next three years in Manhattan and its surrounding boroughs.
The first restaurant opened in Times Square in late June 2023.
"Not only is this our first within New York City, but it provides yet another opportunity to serve our craveable chicken finger mealsto those who love us and those who have yet to try," Graves said. "I am personally excited for all that is to come in New York and across the world for Cane's."
At the time, Raising Cane's had 740 restaurants in 36 states, the Middle East, and Guam. The chain said it expects to open 100 restaurants in 2023, and another 100 in 2024.
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