Nov 2, 2020 · 1h 15m · how-i-built-this
Famous Dave's: Dave Anderson
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gold bands on the timeline = statements, start to end. Hover to read, click to jump. CC turns on captions
In this episode of How I Built This, host Guy Raz interviews entrepreneur Dave Anderson, who details his journey from overcoming severe personal adversity and poverty to building, losing, and ultimately reclaiming the iconic Famous Dave's barbecue empire.
How this conversation actually went
Every chapter scored 0–10 on four independent dynamics. Hover any point for the reasoning behind the score. Guy holds 27.3% of the talking time here. How this is scored →
Guy as informed peer 2.2 Guest teaching 1.4 Guest disagreement 0.4 Guy pushing back 0.1
speaking balance: gold is Guy, purple is the guest (3 minute bins)
Sharpest disagreement ▶ 1:01:06 Condemning corporate McDonaldization of the menu
Dave delivers his sharpest critique, declaring he refused to let a McDonald's executive tell a lifelong pitmaster how to cook barbecue before fully severing ties.
Hardest push from Guy ▶ 51:10 Pushback on barbecue franchising risksGuy challenges Dave on whether shifting Famous Dave's to a franchise model inevitably risked sacrificing recipe control and product quality.
Biggest teaching moment ▶ 25:56 Educating on the missing entrepreneurial mindsetDave firmly corrects Guy's assumption about morale problems, emphasizing that the real deficit was fundamental training in business success and accountability.
Guy holds their own ▶ 1:18 Analytical breakdown of restaurant chain geographyGuy demonstrates deep industry knowledge by citing small-market origin stories like McDonald's, Domino's, and Five Guys to contextualize Famous Dave's launch.
the scores for every segment, with the reasoning behind each
| Chapter | Topic | Guy as informed peer | Guest teaching | Guest disagreement | Guy pushing back | Why |
|---|---|---|---|---|---|---|
| The Origin of the Name "Famous Dave's" | 5 | 1 | 0 | 0 | Guy Raz provides a historical analysis of why major restaurant chains often launch in small, low-rent markets before introducing Dave's background. Dave clarifies the misprinted business card that originated the brand name. | |
| Dave Anderson's Heritage, Upbringing, and Food Foundations | 4 | 3 | 0 | 0 | Dave shares his parents' forced boarding school history and their traditional foods, while Guy brings in culinary history regarding the Great Migration's impact on Chicago barbecue. | |
| Overcoming ADHD and Discovering Visual Perspective | 2 | 1 | 0 | 0 | Dave explains struggling with undiagnosed ADHD and finding inspiration through Zig Ziglar and sales training. Guy listens attentively, connecting the Ziglar reference to a previous guest. | |
| The Terrarium Venture, Bank Loan Triumph, and Blizzard Bankruptcy | 2 | 1 | 0 | 0 | Dave recounts building his terrarium business, securing a signature bank loan, and losing everything in the 1979 Chicago blizzard. Guy prompts the chronology gently. | |
| Revitalizing Tribal Enterprises Through Entrepreneurial Mindset Training | 2 | 3 | 1 | 1 | When Guy suggests low morale was the main culprit for failing tribal businesses, Dave reframes the problem as a fundamental lack of profit-oriented, entrepreneurial mindset training. | |
| Earning a Master's Degree at Harvard Kennedy School | 2 | 1 | 0 | 0 | Dave explains designing his own graduate study at Harvard, pioneering high-stakes tribal bingo, co-founding Grand Casinos, and walking away on Stratosphere's opening night. | |
| Founding the First Barbecue Shack in Hayward, Wisconsin | 2 | 1 | 0 | 0 | Guy playfully notes that Wisconsin is known for bratwurst and cheese rather than pit barbecue. Dave describes the local skepticism he faced building his first shack in Hayward. | |
| Mid-Episode Break and Upcoming Segment Teaser | 2 | 1 | 0 | 0 | Dave details his perfectionist approach to recipes, music curation, and elaborate bathroom design to create a complete sensory marketing experience. | |
| Rapid Word-of-Mouth Expansion to Minneapolis | 1 | 1 | 0 | 0 | Dave explains how organic word-of-mouth demand drove immediate lines around the block when opening his second location in an old Minneapolis gas station. | |
| Battling Alcoholism, Family Intervention, and Entering Sobriety | 1 | 1 | 0 | 0 | Guy asks about Dave's personal struggles, and Dave openly recounts his alcoholism, the family intervention, and reaching 25 years of sobriety. | |
| Initial Public Offering, Corporate Clash, and Structured Training | 3 | 2 | 1 | 1 | Guy pushes on the inherent quality risks of franchising barbecue. Dave responds by explaining the rule of threes and his multimillion-dollar Hog Cabin University training system. | |
| Bureau of Indian Affairs Appointment and Board Exile | 2 | 1 | 0 | 0 | Dave explains taking a BIA post in Washington, D.C., and his deep heartbreak upon returning to find the board refused him a seat. | |
| Mid-Show Break and Book Announcement | 2 | 1 | 2 | 0 | Dave passionately criticizes former McDonald's CEO Ed Rensi for stripping the restaurant's authentic decor and menu elements, explaining why he completely severed ties in 2014. | |
| Returning to Famous Dave's and Partnership with Jeff Crivello | 2 | 1 | 0 | 0 | Guy compares Dave to Colonel Sanders as a brand ambassador. Dave describes being recruited back, working late hours with CEO Jeff Crivello, and rejoining the board. | |
| Pandemic Adaptation, Enduring Legacy, and Views on Hard Work | 2 | 2 | 2 | 0 | When Guy asks his standard luck versus hard work question, Dave respectfully dismisses luck, arguing it is merely a byproduct of unrelenting dedication. | |
| The Food Network Silky Tofu Cooking Mishap | 1 | 1 | 0 | 0 | In an outro anecdote, Dave recounts blowing a $50,000 Food Network championship after being tasked with grilling silky tofu. |
Statements from this episode (20)
Bureau of Indian Affairs Placed Anderson's Parents in Boarding Schools
“Both of my parents, I think is, you know, the unfortunate part of my story, were taken by the Bureau of Indian Affairs away from their families and stuck in Indian boarding schools, basically making orphans out of them.”
Anderson Paid $2,500 to Join an MLM Fuel Additive Business in 1971
“And it cost 2500 dollars to join.”
Anderson Sold Terrariums to Almost Every Major Florist in Chicago
“So after that first
Summer, I had almost every major retail florist in the city of Chicago.”
Bank President Granted Anderson a $10,000 Signature Loan Without Collateral
“And with that, he wrote out a check for 10,000 dollars on my signature loan.”
The 1979 Chicago Blizzard Bankrupted Anderson's Early Terrarium Business
“It was just so tough that because of the snowstorm, I ended up going bankrupt. Lost everything because of that.”
Lac Courte Oreilles Tribal Enterprises Were Losing Over $500,000 Annually
“We were losing money like water flowing out of a sieve. Hundreds of thousands of dollars, easily a half a million dollars a year we were losing.”
Reagan Commission Ranked Anderson's Tribal Turnaround Among Top Eight Nationally
“Within three years we turned around all the businesses, we're now making money, we now have accountability, and we got recognized by President Reagan's Commission on Indian Reservation Economies as being one of the top eight Most progressive tribes in the coun…”
Anderson Took Grand Casinos Public and Built the Las Vegas Stratosphere
“We actually took Grand Casinos public. So that's the first time I was part of a company that went public. And we went on to build eight casinos all over the country. In fact also built Stratosphere.”
Only a Few Native American Tribes Achieved Significant Wealth From Gaming
“There's a lot of small tribes that have small gaming enterprises, but the one thing they're able to do is keep people employed. And there's probably only a handful of tribes that really have come into significant wealth.”
A Printer Error Accidentally Created the Name 'Famous Dave's'
“Well, the road to Famous Dave's, not only are we in a small town, but I was also eight miles out of town, and on the road out of town, there's like Dave's Guns, Dave's Antiques, Dave's Boats, so I was going to name my place Dave's Famous Barbecue Shack. We're …”
Original Famous Dave's Served 6,000 Weekly Customers Without Any Paid Advertising
“Even though I never advertised, it wasn't but months that the word quickly has spread throughout Wisconsin, and even as far away as Iowa. I mean, we're serving 6000 people a week”
Anderson: Taking Famous Dave's Public Was the Worst Mistake of My Life
“I think that was one of the worst mistakes of my life, going public, because I didn't realize that when you go public, you don't own it anymore.”
Famous Dave's 1996 IPO Was Priced at $6 but Opened at $11
“We were supposed to open up at six dollars. We ended up opening at 11.”
Anderson Regrets Not Fighting Corporate Management to Keep a Smaller Footprint
“And today I wish I had fought harder. And I had trusted my gut more, because I would have stayed to the smaller footprints, and I would have stayed to a smaller core menu.”
Famous Dave's Board Refused to Give the Founder a Seat in 2005
“Yes, that's one of the unfortunate things of publicly traded companies. They felt they didn't need me, you know.”
Former McDonald's CEO Tried to Turn Famous Dave's Into a 'McRib'
“He tried to turn Famous Dave's into a McRib. Got rid of a lot of the history of Famous Dave's. There was a lot of fun antiques that were part of the decor. He started pulling the stuff off the walls. He started getting rid of you know, our honey buttered cornb…”
Anderson Severed All Legal and Financial Ties With Famous Dave's in 2014
“I basically, emotionally, legally, financially, was separated out of Famous Dave's.”
Margin Calls Wiped Out Most of Dave Anderson's Equity in Famous Dave's
“Well, there were times when Famous Days had its lows, where I put up my stock as a collateral, and there were margin calls, and by time things were where they were, there wasn't much left.”
Founders Lose Commercial Ownership of Their Name After an Eponymous IPO
“Well, you know, one of the things I didn't realize is that when the company went public is you don't own your name anymore.”
Jeff Crivello Was the First CEO to Bring Anderson Back to Board
“Today, there's without a doubt, Jeff listens to me.
Jeff is the first CEO that actually brought me back to the board and said, you know, the board needs to hear your ideas, Dave, because after all, you know, I, I'm one of the few barbecue restaurant owners th…”