Powerful Tribes – Ruth’s Chris Steak House

a Message from NEAL

Some entrepreneurs dream of creating a product or service that can become the biggest and best in the world. And others start out with a smaller dream–often in order to solve a problem–that nonetheless evolves over time and gains the wind at its back of a dedicated and capable tribe.

In this newsletter I’m pleased to share the story of a businesswoman who created the largest group of fine dining restaurants in the United States without ever intending to do so. Ruth Fertel was a 38-year-old divorced mother of two who at first was simply trying to solve the problem of earning money to put her boys through college. But before long her friends and loyal customers were begging her to allow them to expand her chain of steak houses with their signature sizzling steaks, creamed spinach, and impeccable service.

Her story is a great reminder that an underestimated but devoted team can help us grow our mission into what it wants to become.

Wishing you fulfillment,

Powerful Tribes – Ruth’s Chris Steak House: The Broads of Broad Street

“It was really rough for a while,” said Ruth Fertel of being a 38- year-old divorced mother living in New Orleans in the early 1960s. She worked at Tulane Medical School as a lab technician to make ends meet. However, she eventually decided she would need to go into business for herself in order to accomplish her mission of raising funds to send her two boys to college.

Fertel saw an ad in the newspaper in 1965: “Steak House For Sale $18,000.” Without hesitating, she mortgaged her house and bought it. She had no restaurant experience and knew nothing about cooking steaks.

The seller was supposed to stay onboard for a few weeks to show Fertel how to run the restaurant, but he emptied the cash register and walked out. Fertel was a woman who thrived on challenges and she quickly taught herself how to do everything–cooking, serving, accounting. She’d even butcher the steaks by hand, often with the door ajar so her customers could see how hard she was working.

To help her, Fertel hired an all-female serving staff made up of single mothers, because she viewed them as hardworking and reliable. Ruth’s Chris Steak House became the only upscale restaurant in New Orleans with female waiters. Fertel said “We went out of our way to please our customers. We spoiled them.” According to Takeoutery, Ruth’s Chris customers affectionately nicknamed them the “Broads of Broad Street.”

Fertel began searing her steaks at 1800 degrees in a broiler and serving them on heated plates with a pat of butter. This created a loud sizzle that could be heard from afar, and a delicious aroma as the steaks were served. Within six months she was earning more than double from her restaurant what she had been paid as a lab technician.

After expanding to three locations in New Orleans, Fertel granted franchises to some of her best customers which helped her further grow her tribe. Ruth’s Chris was acquired by Darden Restaurants in 2023, and now has over 100 restaurants. Despite her success and the growth of her company, for Fertel it was always, “One steak at a time.”

Her waiters were all single mothers–“I knew they would be hardworking and reliable.”

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