Fiercely-Independent

For 20 years, we've always identified ourselves as fiercely independent, but what exactly does that mean?

The easiest explanation is that we're not, and have never been, beholden to financial partners simply because we've never had any. Back in 2002, when Mitch and Cyn started Hell's Kitchen along with Steve, the amount of money needed to start a restaurant --while certainly daunting-- wasn't anywhere near the amount that would be needed in today's times. The bootstrapping owners were able to pull it off by renovating the interior by themselves and scrounging used kitchen equipment, supplies, furniture, fixtures and other things for pennies on the dollar from resellers. Still, those expenses had to be paid from somewhere, so Mitch and Cyn sold their house and managed to squeak by without having to find investors.

The founders were quick to admit that selling their assets wasn't necessarily the smart thing to do...bringing investors on board would have taken a percentage of their ownership, but also would have saved a ton of financial anxiety. In hindsight, though, the freedom that came without having partners allowed the rogue founders to chart their own territory. As Mitch once said, "We were naive enough --stupid enough if I'm honest-- to want to be the big fish in our tiny pond and make all the decisions for ourselves without worrying about losing someone else's hard-earned money." And if you've followed our precarious journey, you know they lost a boatload of money on so many different occasions that they probably should have lowered their personal risk by bringing on financial partners. But they didn't, and at the end of the day, it turned out to be a blessing.

Being fiercely independent allowed them to take risks in so many ways: Offering up a free wedding when marriage for gay couples finally became legal... defending our servers publicly when a heartless bigot went on a rant... packing up a truckload of cooking gear and heading up to Embarrass to throw a fundraiser... deciding to co-exist peacefully instead of suing Gordon Ramsey's Hell's Kitchen even though we've owned the trademark even before he started (wanna see his cheeky anniversary greeting? Click here to watch his 2012 apology)... moving the restaurant lock, stock, and barrel when we still had a lease... turning down a $2 million dollar offer in 2013 for 50% of our company from a well known Twin Cities icon when our gut told us it could tear apart our culture... then spending $109k of our savings on legal and other fees in order to turn the restaurant over to our employees via the ESOP 6 years later... opening Hell's Cafeteria during the pandemic... and even writing these "behind the scenes stories" that make many other restaurant owners cringe. All of these might have raised eyebrows from investors, but by absorbing all of the financial risk, we were able to make on-the-spot decisions, right or wrong.

Would we do it all over again? You betcha. But nowadays, opening a restaurant takes millions, so opening a new downtown restaurant today, sans financial partners, would be out of the question. We feel luck that the only people we now answer to are our Employee Owners and YOU, our valued guests. Both are equally important to us, and once again, we're humbly grateful for the support.

Today marks our 21st Anniversary (!!!), so this is our last "20th Anniversary" story from Hell. But stay tuned...so many of you have written to us, intrigued by our long-winded ramblings, we plan on continuing to share snippets of our journey with you every so often. Thanks for reading; thanks for believing in us.

Fun-Filled

Heads up: if you live in a small Minnesota community more than 3 hours from the Twin Cities, consider reading this post all the way to the end for a surprise announcement.

After last week's "highlight reel" of hellish things we've faced over the years, we thought we'd circle back to one of the most fun times we've EVER experienced: our road trip to Embarrass, Minnesota.

It all started back in the winter of 2014 when we heard that Embarrass, Minnesota, a town of 450 up near our Canadian border, was experiencing brutal temps of MINUS 64 degrees. "That's literally colder than the surface of MARS, exclaimed Mitch. "Let's invite 'em all to come to Minneapolis and warm up in Hell." Knowing that her chef/husband wasn't kidding, Cyn wrote a cheeky Facebook post inviting their residents to a complimentary brunch in Hell.

Sadly, even the offer of a free brunch with one of our heralded Bloody Mary's wasn't enough to entice them. Most had to decline our offer due to the (duh) weather. "We're too busy shoveling and thawing out" ... "the roads are really bad and icy" ... "great idea, but our animals need us."

But Jeannine Bjornrud, the pastor's wife (yes, church folks "get" us), turned things upside down with her reply to our invitation. "We would love to visit --thanks for the offer-- but if you'd like to come and serve your brunch at my house, the whole town could come. Here in Embarrass, we are all snuggles in for the great adventure. So, Hell's Kitchen, I extend the offer to you. Will even put you up for the night, because it would be too cold to drive home."

Mitch's mood instantly morphed from dejection to elation: Challenge accepted! He then raised the bar: instead of crowding into Jeannine and Marlin's house, he turned it into a fundraiser for the Embarrass Region Fire Dept. Here's where the magic happened: the entire community jumped in...the Embarrass Vermillion Federal Credit Union offered to print the tickets, Zups donated bacon, Northern Comfort B&B offered us accommodations, and an army of volunteers signed up to set up tables and chairs and help flip flapjacks at Timber Hall.

Thus started our first and only road trip from hell. After weeks of planning, a caravan of cars and a big 'ol rental truck fought through an unexpected hellish winter blizzard to get to Embarrass, oftentimes having to pull off the road through whiteout conditions. But thanks to the community's excitement, coupled with fantastic support from the town's surrounding communities, the event was a smashing success. Fire Captain Mike donned Mitch (a self-proclaimed pyromaniac) with firefighting gear, helped us all climb on top of his rig, and paraded us around the block as a final (and freezing) sendoff. But before we headed back home, Captain Mike confided in Mitch that when he first heard of our crazy idea, his first thought was, "Yeah, right. When Hell freezes over. I'll believe it when I see it." But he was smiling like hell when we we waved goodbye and our caravan rolled back out of town.

Surprise! A decade later, the employee owners of Hell's Kitchen hope to honor Mitch's legacy and recreate our Embarrass Fire & Brimstone experience in a different Minnesota community.

If you live in a small town that might be interested in hosting our team for a similar excursion in the fall of 2024, rally your friends and neighbors and throw your hat in the ring for our second-ever fundraiser by clicking HERE to let Cyn know!

Pssst: Want all the other True Stories from Hell as soon as they’re published? Click here to sign up for our Behind The Scenes newsletters.

Frightening

A highlight reel of the most frightening things we’ve faced over the past 21 years:

2002 Mitch, Cyn and Steve started Hell's Kitchen on a wing and a prayer. Within 2 weeks of opening, Mitch’s knee was crushed in a vehicle accident, so Steve, Mitch’s co-pilot, had to run the entire kitchen almost single-handedly. The pressure was indescribable; Steve lost 20% of his body weight in 3 months, but saved Hell’s Kitchen from imploding.

2003 Cyn (aka bookkeeper, CEO, marketing, jack of all trades except cooking) couldn’t figure out why we were always so cash strapped. Going over every line item on the Profit and Loss statement, she cut out superfluous spends such as a fresh ORCHID on every plate. ($3k/year). Mitch howled; Cyn prevailed, so Mitch sold his beloved Jeep to get our bank account back on track.

2007 "Hell yeah! Here we come, Duluth!” Experienced restauratuers know the best practice is to take over a space that already has restaurant-specific infrastructure in place (hoods, venting, etc). Instead, we took over the old Antique Mall on Canal Park Drive…gas lines and water lines had to be trenched into cement; hoods had to go up through 4 floors, and a host of unexpected spends we should have discovered during our due diligence before signing a 3-year lease decimated our $530,000 budget. We peed our pants and took on a massive loan of almost a million dollars.

2008 Cyn, Steve and Mitch were exhausted, working double duty at both locations, and hanging on by a thread. So imagine their terror when the landlords from our Minneapolis location sent a Certified letter asking them to leave the 10th St location because they wanted to redevelop the entire city block even though we had 2 more years on our lease. The iron-clad lease was good for another 2 years, but seeing the writing on the wall, we threw in the towel and moved to our current 9th St location when the landlords agreed to pay for the move.

2009 "What the fk were we thinking?" Although our downtown Minneapolis restaurant was profitable, our high buildout costs in Duluth continued to drain our funds. When our CPA suggested we rebrand the concept into a more casual restaurant with better margins, HellBurgers was born. Did we think it was smart to spend $72,000 for the rebrand? Yep. Did it work? Ahh, nope. After a bloodbath of further losses, we closed in 2010, still owing the bank over $800,000.

2011, 2012, 2013, 2014, 2015, 2016 Even though our Mpls restaurant would have been protected (separate corporations), we refused to declare bankruptcy for the Duluth operation, and spent 6 years paying off the Duluth debt with profits from downtown Minneapolis as fast as we could (which is why Vision Bank still loves us to this day). Mitch repeatedly asked "If downtown's doing so well, how come we never seem to have money?" Cyn repeatedly showed him the loan statements, and he'd walk away with slumped shoulders.

2017 With Minneapolis' cash reserves at an all time low, we were so busy running the biz that we completely missed the fact that our downtown margins slipped from a healthy profit to a dwindling, almost-negative number. In September, we had a "hair on fire" meeting with our staff, who quickly came up with a remarkable list of ways to cut costs without hurting our food quality. KJ Granberg, our current company President, turned the ship around in 4 short months (!!!) and brought the downtown restaurant back to profitability. Mind you, we still weren't laughing all the way to the bank, but she and her team managed to squirrel away some savings each month, which ended up being a godsend that got us through the first year of our covid closure.

2019 Mitch, as you might already know, fell ill and suddenly passed away in 2015, leaving Cyn and Steve, now in their 60’s, to explore exit plans so they could retire. Rather than sell to private investors, which would yield the highest price, the founders bucked everyone’s sage advice and instead turned Hell’s Kitchen over to its employees via an Employee Stock Ownership Plan (ESOP) on Jan 1, 2020 so everyone, from dishwashers to managers, servers, hosts, cooks, expos, and bartenders, could own the company. The best part? They didn’t have to pay a penny out of their pockets because payments to the founders would come from future profits. Since the restaurant was solidly profitable, they thought “What could possibly go wrong?” Well, ummm, COVID. Closed restaurant, no profits, no ESOP payments ...the founders watched their future retirement funds vanish into thin air.

2021 Having already spent a big portion of our savings to add the Hell’s Cafeteria concept on the street level, our management team decided to forge ahead, even though we were still reeling from Covid. What the hell were we thinking? Easy answer: “Covid’s almost over, and when downtown offices bounce back to life, folks will love our easy, lightning-fast “old school” cafeteria concept." But with offices coming back at a snail’s pace, it's still a bit of a dance to get traction, so we're thrilled that downtown visitors from conventions and events are keeping the concept alive.

These are just a few examples of why we’ve often said it’s a miracle we've survived 20 years. Welcome to restaurant life in the fast lanes!

Pssst: Want all the other True Stories from Hell as soon as they’re published? Click here to sign up for our Behind The Scenes newsletters.

Joyful

Hey hey hey, guess what? After last week's "Maddening" story, we feel obligated to point out that we're not always whiny LOL. In fact, there have been countless joyful times over the years. Most recently, our entire staff was overjoyed to welcome a sold-out, full house for Easter weekend.

We've of course had several times where our underground lair was wall-to-wall full, but for some reason, last weekend, in an epiphany of sorts, it finally struck us that Hell's Kitchen is back in full force. In between taking care of guests, in the moments we had to catch our breath, several of us just stood there, taking it all in. The lively music on stage. Customers grinning and yakking with each other as they went through our epic Bloody Mary Bar. People saddled up the bars enjoying brunch. Families sitting in "their" booths (our Minnesota Room, with each and every city/township in our state listed, seems to have become a personal favorite for folks who come from various points in Minnesota). And to the 5 people who piled into our PhotoBooth and were laughing their asses off as the camera clicked away, your joyful noise simply made our hearts melt.

Are you tired of us saying "thank you" so frequently? Trust us, those aren't just superflous, empty words. Whenever we say "thank you," we genuinely mean it. Pre-covid, we were grateful for your patronage and awards. Post-covid, we're also in awe that you believed in us enough to venture back through the Gates of Hell. The employee-owners at Hell's Kitchen are deeply grateful for your patronage, now more than ever. And that, perhaps, is the biggest reason we are so incredibly joyful.

Pssst: Want all the other True Stories from Hell as soon as they’re published? Click here to sign up for our Behind The Scenes newsletters.

Maddening

In several of our previous “20th Anniversary” posts, we’ve mentioned how grateful we are to still be around 21 years after Mitch, Steve and Cyn opened the gates of Hell.

But because we also promised to be transparent, we do have to be honest about our frustrations along the journey. Case in point: literally weeks before Covid closed down the world, we were putting the final touches on a completely revamped catering arm of our business, Hell on Wheels. Many of you loved our box lunches that we delivered to offices and hotels in the downtown area, but almost all of you asked for a streamlined way to order online without having to waste time. So we spent 7 months (along with a boatload of money) to update everything from our food offerings to delivery logistics and especially that easy-breezy way to order everything online.

Then, well, Covid. 18 months later, when we finally reopened, almost everything we had meticulously planned flew right out the window. It was maddening: our POS system had to be overhauled, all of the online ordering had to be reconfigured, menu offerings changed, photos needed to be reshot, pricing had to be re-analyzed, and believe it or not, even our previous catering manager changed careers. 7 months down the tube, 7 months of rebuild, and now….well, soon (!)…a new and improved Hell on Wheels will be launched to take care of your needs both large and small.

We have redesigned Hell on Wheels to cater to your needs post-pandemic, hoping to make your return to the office a little bit easier. With a new menu featuring Hell’s Kitchen favorites and boxed lunches from the Cafeteria, easy online ordering, and disposable warming packages and utensils, we are your one-stop-shop for office lunches and events. We deliver to all of downtown and even have a dedicated sales manager to answer any and all questions and discuss any special accommodations that might be needed. Boy oh boy, we’re tired, but we’re also fired up because our excitement about the new Hell on Wheels overshadows everything. Thinking about delivery, pickup, or set up for a small office party or a large soiree? Stay tuned!

Pssst: Want all the other True Stories from Hell as soon as they’re published? Click here to sign up for our Behind The Scenes newsletters.

Unrelenting

It’s a fact of life that most restaurants don’t survive 5 years and are replaced by shiny new stars with dreams of success. The disturbing trend, though, is how many long-time legends are closing their doors.

Jaws dropped when Copenhagen’s Noma, rated the world’s best restaurant, recently announced its closure after two decades. Chicago’s Spiaggia shuttered after 37 years. South Carolina’s beloved Harry’s Local is closing after 20 years. French Quarter’s landmark K-Paul’s called it quits after 41 years, and Cafe Texan ended its 83 year run. But the closure of New York’s Paris Cafe, open since 1873 could be the biggest stunner after 150 years in business.

Here in Minnesota, David Fong’s (60 years), Stella’s (17), William’s Uptown Pub (51), Keefer Court (40), Khyber Pass (37), Rock Bottom Brewery (30), Erté (21 ), Asia Chow Mein (50), Camdi (35 years) and other iconic eateries also threw in the towel.

Why in the world would restaurants that crawled on their knees to survive the brutal years of covid now decide to close? We’re obviously not privy to each establishment’s circumstances, but from our own experience, we’re fairly certain it’s because of the unrelenting increase in costs, from eggs to labor to delivery surcharges and supplies. Adding insult to injury, some items are in such shortage that we have to use up precious dollars and bulk up on them when we finally can get our paws on necessities such as frying oil. Katy Gerdes from Angel Food Bakery (our little sister) spent weeks hunting down confectioner’s sugar, and when she finally spotted a new shipment at Costco, she ran over and loaded up an entire pallet of 50 pound bags into her car just to get her through Christmas.

It’s been absolutely unrelenting, and by now you’ve noticed most eateries have inched up prices, added surcharges, tweaked hours, relied on QR codes to save on paper menu costs, and danced like crazy to figure things out. Most of us are exasperated and exhausted, but day after day, we keep showing up to turn on our lights and open our doors with a smile. So please, puh-leeeze continue to support your favorite spots, no matter where you live. As one restaurateur recently posted, “No extravagant meals needed or expensive bottles of wine. Just stopping by for a quick bite and tipping a few extra bucks or grabbing some takeout can make a big difference in what will likely be another tough year for many of your favorite restaurants."

Thank you from all of us across the globe for your continued support. We love you, we want you, and we all still need you.

Pssst: Want all the other True Stories from Hell as soon as they’re published? Click here to sign up for our Behind The Scenes newsletters.

Tragic

After Mitch Omer (our visionary chef/founder) fell ill, doctors throughout the Twin Cities scrambled to find a cause. Test after test, nothing was found, and then on Dec 18, 2015, Mitch just never woke up, stunning us all.

It turns out our beloved Mitch passed away the week before Christmas from an undiagnosed enlarged heart, and after the shock of losing him, we realized that the timing was not just painful, but also tragically poetic. You see, Mitch WAS our Father Christmas. Year after year, he added more and more bling to his Santa Zoot soot, complete with a snappy fedora hat and even spats.

Today's True Story isn't very long. Instead, we thought we'd share some pics of this marvelous human being with a truly big, loving, and joy-filled heart. "Merry Mitchmas!" to you all, as he used to say while he flipped us all the bird with a smile.

Pssst: Want all the other True Stories from Hell as soon as they’re published? Click here to sign up for our Behind The Scenes newsletters.

LUCKY

Lucky with a side of immense gratitude

This is a bit of a personal story from Cyn Gerdes, one of Hell’s Kitchen founders:

I’ve always considered myself lucky, maybe because I’m a “glass is half full” kinda person. In this global world that’s full of unimaginable hardship and angst, I’ve somehow managed to stay positive, even though things have hurled my way that should have dropped me.

20 years ago, when Mitch (my chef husband), Steve Meyer (our amazing partner), and I decided to open Hell’s Kitchen, lack of capital should have dropped us in our tracks. We’ve already mentioned several of those trials and tribulations, so I’m not going to rehash those here. But when I think back over those 2 decades, somehow we managed to fall on our knees numerous times and then somehow get back up. In fact, I often felt like I lived inside a Whac-A-Mole game. Lucky.

Over the years, other things came our way that continued to remind me how lucky we are at Hell’s Kitchen. Next week is Thanksgiving, and instead of thinking about a turkey dinner, I think back to 2 years ago, when a handwritten envelope postmarked from Luray, Virginia, landed on my desk. When I opened it, a check for $250 fell out. Keep in mind that this was during our long covid-closure, at a time when we were anxiously sweating our dwindling cash flow. We didn’t know anyone from Luray, Virginia, so were shocked to read a simple note that was included. “Don’t need anything in return. Just wishing you a Happy Thanksgiving. Lisa.” Astonished as well as dumbfounded, tears just fell down our cheeks. Lucky.

Every restaurant, I’m sure you know, has fans as well as critics. We’re no exception, but have always been lucky to get rave reviews for the most part. What I find interesting is that after an especially brutal week, something manages to bring our spirits back up. Case in point: when a supply of fresh produce arrived in not-so-fresh condition just as our team was prepping for a huge private event, we were sweating bullets waiting for the replacement product. When it arrived, our kitchen team went into lightning-fast prep mode and managed to get the food out exactly on time, with the client unaware of our behind-the-scenes anxiety and panic. (Think of “The Bear,” Hulu’s wildly popular series.) The next day, out of the blue, our Banquet Manager received this note: "My expectations were super high from all the hype my coworker told me and man were they still somehow blown out of the water and it’s all even MORE DELISH than I thought it would be. T-H-E C-H-E-E-S-E B-O-A-R-D! And the pancakes?! I mean everything!!!! PLEASE tell your staff everything was so good!!!" Lucky.

Every restaurant also has its share of employees who move onto greener pastures. We’re no different, but when our 18-month long covid closure forced many people on our team to work elsewhere, it broke our hearts. Not just because these people were our friends, but also because this was our “A” team. Many have worked at Hell’s Kitchen for year and years, but we obviously understood and wished them well. So imagine our joy when, little by little, many of these same stars texted us back with notes like “any openings?” and “would you consider having me back?” We’re simply blown away that so many have made it back to Hell. Lucky.

When my beloved chef/husband/business partner Mitch died rather suddenly back in 2015, I not only lost one of my life’s greatest loves, but also Hell's Kitchen lost its incredible visionary. The loss had us reeling, but without hesitation, everyone at Hell’s Kitchen leaned way in and pulled us through. The creativity and talent that Mitch brought to the table somehow magically transformed into our entire team, and we now are stronger than ever, with a group of employee owners who come up with fresh new recipes, marketing ideas, and ways to pull together a bazillion personalities into a restaurant that’s now stronger than ever. Lucky.

Lastly, on a very personal note, when I lost “my Mitch,” I was in my early 60’s and certainly never thought I’d find another love in my life. But two years ago, I met a man whose entire career was in food service. His fabulous wife of 33 years, also well known in the restaurant industry, passed away from cancer just months after Mitch died. When Jeff and I met, we instantly bonded, and crazy as it sounds for two old people to get married, we did exactly that 12 weeks ago. The interesting thing about a widow and widower getting together is that we can freely discuss great stories and share our deep love about the people who left our lives way too early. Lots of laughter, zero jealousy, and nothing but joy back in our lives. We call ourselves "The Olds" and we feel Lucky lucky LUCKY.

May your life be kissed with luck as well.

Cyn Gerdes