Fred DeLuca, the legendary co-founder of Subway, left an indelible mark on the restaurant franchise industry. Yet, beyond his global success, he had a profound personal impact on individual business leaders. For Sam Ballas, the Founder and CEO of East Coast Wings + Grill, Fred was not just a mentor but a guide whose lessons shaped his leadership and the trajectory of his brand.
Fred’s approach to mentorship was unique—he didn’t simply offer a roadmap of his success, but emphasized the importance of learning from mistakes. For Sam, these lessons provided a foundation that has allowed East Coast Wings + Grill to thrive with intentionality, operational excellence, and sustainable growth.
A Thoughtful Approach to Growth: Responsible Franchising
One of the most transformative pieces of advice Fred shared with Sam centered on responsible franchising. While many entrepreneurs are tempted to chase rapid expansion, Fred encouraged Sam to prioritize sustainable growth rather than speed.
“Fred influenced my decision to grow East Coast Wings + Grill into a lifestyle brand rather than chasing rapid expansion,” Sam recalls. “Early in the brand’s development, Fred shared stories that encouraged me to take a more thoughtful approach to growth—focusing on long-term success rather than short-term gains. At that time, I realized that my goal wasn’t to be the biggest—it was to build something that would last.”
This emphasis on deliberate growth led Sam to concentrate on getting to 20 stores before considering broader expansion. This measured approach wasn’t just about numbers; it was a strategy that allowed Sam to evaluate how growth impacted both the brand and himself as a leader. This mindset shift marked a pivotal moment in Sam’s leadership journey.
Operational Integrity: Building Strong Unit-Level Economics
One of Fred’s most powerful lessons was the importance of operational integrity. He believed that the success of any franchise rested on its ability to maintain high standards consistently across all locations. This philosophy resonated with Sam, who has since adopted these principles to ensure East Coast Wings + Grill delivers exceptional value to both customers and franchisees.
“In a convention hall conversation with me, Fred spoke about the importance of establishing a ‘break-even’ calculator and using field inspection forms to maintain consistency and operational excellence,” Sam shares. “When I suggested I haven’t developed some of the tools, Fred told me that he would help. Days later, he emailed Subway procedures and formulas to me, down to the location field visit reports so that I could study these processes. Even though our processes are much different today, for an emerging brand at that time, it was huge.”
By focusing on operational excellence, Sam has helped to ensure that East Coast Wings + Grill franchises are profitable and sustainable. The tools Fred introduced, from financial models to inspection frameworks, continue to be the backbone of the brand’s operational strategy. This commitment to unit-level solid economics has been crucial in helping the company navigate and thrive amid the complexities of the full-service restaurant industry.
Strategic Market Entry: Expansion with Foresight
Another cornerstone of Fred’s mentorship was his emphasis on strategic market entry. Rather than entering new markets impulsively, Fred encouraged Sam to approach expansion with caution and foresight, ensuring that each decision aligned with the long-term vision for the brand.
“Fred shared with me some of his struggles entering new markets domestically and internationally. He stressed the importance of choosing markets strategically, and he always approached new opportunities with careful consideration,” Sam explains. “He showed me that just because a market looks promising doesn’t mean it’s the right time to enter.”
For Sam, this lesson has been instrumental in avoiding the pitfalls of over-expansion—a common challenge in the franchise industry. By taking the time to understand each new market, East Coast Wings + Grill has been able to grow steadily while maintaining its brand integrity and operational excellence.
Controlling the Brand’s Space: Staying True to Core Values
Fred’s guidance extended beyond strategy and operations. He also advised the importance of maintaining control over his brand’s space. For Fred, controlling space wasn’t just about physical locations—it was about ensuring that the brand’s growth remained aligned with its core values and long-term vision.
“He made me think of the value of controlling our space, especially in a competitive industry like full-service restaurants,” Sam recalls. “It wasn’t just about where we opened stores, but how we ensured that our expansion was always aligned with our brand vision.”
These lessons have impacted some of Sam’s approaches to leadership. By maintaining control over the brand’s space, East Coast Wings + Grill has been able to grow thoughtfully without sacrificing the principles that define the brand. In an industry where rapid growth can sometimes lead to the dilution of core values, this focus on control has allowed East Coast Wings + Grill to stand out as a brand that prioritizes integrity oversize.
A Legacy of Smart Growth
Fred DeLuca’s mentorship has left an enduring mark on Sam Ballas and East Coast Wings + Grill. The lessons of responsible franchising, operational integrity, strategic market entry, and brand control have all contributed to the company’s success. But perhaps the most important lesson Fred imparted was the value of learning from both success and failure.
“I replay the talks on those bad days and still remember the last time Fred and I crossed paths,” Sam says with a smile. “After introducing me to his sister, he turned to her and said, ‘This kid hasn’t grown big, but he’s grown smart.’ That comment resonated with me deeply, and I credit much of my measured approach to Fred’s guidance. My decision to prioritize smart, responsible, and sustainable growth over rapid expansion is a testament to his wisdom.”