From Customer to CEO: How Neil Hershman Scaled 16 Handles

Neil Hershman’s journey from a finance professional to the CEO of the frozen yogurt franchise 16 Handles serves as a compelling case study in brand acquisition and operational scaling. After leaving a high-pressure career in credit asset management to seek more tangible human connections, Hershman transitioned from a loyal customer to a franchisee in 2019. By 2022, he successfully acquired the entire brand from founder Solomon Choi, leveraging his analytical background to transform the company’s growth trajectory.

Under Hershman’s leadership, 16 Handles has seen significant expansion, growing from fewer than 30 locations to over 80 stores currently in operation or development. This rapid scaling has pushed the company’s annual recurring revenue past the $20 million mark. Hershman attributes this success to a combination of rigorous financial modeling and a commitment to product innovation, such as the introduction of unconventional, bold flavor profiles that differentiate the brand in a competitive market.

Beyond the growth metrics, Hershman’s tenure highlights the critical importance of modernizing legacy business systems. Upon taking the helm, he faced the daunting task of overhauling outdated operational manuals and HR documentation that had remained stagnant for a decade. His experience underscores that successful brand acquisition requires more than just capital; it demands a meticulous commitment to updating the foundational infrastructure of a business to align with modern market realities.

This transition reflects broader trends in the food and beverage industry, where the frozen yogurt market is projected to reach $2.56 billion by 2034. Hershman’s story illustrates that for entrepreneurs, deep familiarity with a brand as a consumer can provide a unique competitive advantage, provided it is paired with the discipline to modernize operations and the willingness to take calculated financial risks.