Tuesday, 7 August 2012


In 1956, the four men set out to start one of the first McDonald's franchises outside the McDonald brothers' home state of California. Ray Kroc had just begun selling McDonald's franchises outside California, and the four friends partnered to buy the right to open McDonald’s restaurants in central Illinois. In June 1956, they opened their first restaurant in Urbana, Illinois, only the third McDonald’s restaurant to open outside California. The Urbana store proved popular with students, professionals, and young families at the University of Illinois. It did so well that the group decided to open additional stores in Decatur, and Peoria, Illinois.

However, Ray Kroc notified them that Peoria and Decatur were not included in the central Illinois territory, and furthermore that changes to the terms of the franchise meant they would owe a higher percentage of their profits to McDonald's. Having invested heavily in the Peoria location, including erecting the building, Lundberg and his partners decided instead to open their own restaurant, and settled on the name Sandy's. The chain adopted a Scottish-based theme to combat the Scottish-rooted McDonald's, even though the latter was not based on a cultural theme of any kind. Lundberg was named president.

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