SANTA MONICA Lovie Yancey, founder of the 60-year-old Fatburger chain, died Jan. 26, officials with parent company Fog Cutter Capital Group Inc. announced Tuesday. The cause of death was not disclosed.
Yancey, with business partner Charles Simpson, opened Mr. Fatburger, a walk-up hamburger stand with only three stools, in 1947 near downtown Los Angeles. Five years later, the partners split and Yancey changed the name to Fatburger, growing the brand at a time when there were few African-American women as business owners.
In 1973, Yancey opened her flagship location in Beverly Hills, which became a popular spot for celebrities. In 1980, she began franchising and within five years grew the chain to 32 units. At the time, Fatburger was named the fifth fastest growing U.S. burger chain, after McDonald’s, Burger King, Wendy’s and Jack in the Box, by Entrepreneur magazine.
Yancey later sold the majority of her interests in the chain to a group of New York investors tied to Island Records founder Chris Blackwell, which repositioned the brand in a fast-casual format. In 2001, the chain was acquired by basketball-star-turned-entrepreneur Earvin “Magic” Johnson, who continued to expand Fatburger before selling his controlling interest in 2003 to Portland, Ore.-based Fog Cutter Capital.
Fatburger currently has 93 locations in fifteen states and recently moved to Asia with the opening of a franchise unit in Macao last year. Fatburger restaurants are also expected to open this year in China and Dubai.