Growth in the hospitality industry requires more than just a strong gastronomic concept. Opening new venues—whether company-owned or franchised—demands solid financial planning and the support of a specialised partner to guide every key decision. This was the starting point for Lemongrass, a Thai cuisine restaurant chain, when it decided to rely on Kaizen Consulting to structure its growth in an orderly and sustainable way.
The challenge: growing without disrupting operations
When Lemongrass approached Kaizen Consulting, the company was in a phase of expansion. New restaurant openings—both company-owned and franchised—were already on the table, but it faced a clear limitation:
financing these new openings was constraining its ability to grow.
The group had a very limited banking pool, which made it difficult to access sufficient and flexible funding to undertake several openings simultaneously. This was not a one-off requirement, but rather the desire to establish ongoing financial support that would allow the business to grow with confidence.
If this situation was not resolved, the risk was clear: missed expansion opportunities and a slowdown in brand development.
The objective: opening new restaurants and supporting franchisees
Lemongrass had a very clear goal:
- To finance the opening of new company-owned restaurants.
- To facilitate access to financing for its franchisees, independent companies that commit to the brand and generate value through royalty payments.
This second point was particularly relevant, as not all financial institutions are willing to finance franchise projects managed by companies other than the parent group.
The solution: a tailored financial structure
At Kaizen Consulting, we designed a financial structure adapted to the realities of the hospitality sector and the specific needs of the project:
- A long-term investment loan to cover construction and fit-out costs.
- Technology leasing (renting) to finance kitchen equipment—an especially efficient solution in hospitality, as it preserves liquidity and allows equipment to adapt to the evolution of the business.
Thanks to this combination, Lemongrass was able to address both the opening of a standard restaurant and the financing of a dark kitchen for one of its franchisees. In addition, the process was agile and efficient: in less than one month, we structured and closed the necessary financing so that the opening could take place within the planned deadlines.
The added value: ongoing support and franchisee financing
Beyond the specific transaction, this project highlights one of Kaizen Consulting’s key value propositions: continuous strategic support.
We not only analyse when the best financial moment is to open new restaurants, but also facilitate access to financing for franchisees—despite them being independent companies—thanks to our relationships with multiple financial institutions and our in-depth knowledge of the sector.
Sustainable long-term growth
Today, Lemongrass has a stronger and more flexible financial structure that allows it to continue growing in an orderly manner, seize new opportunities and strengthen its franchise model. A further example of how a well-designed financial strategy can become a true driver of business growth.
