NASSAU, BAHAMAS — Tropical Gyros is set to open three new franchise locations in the coming months, with talks underway for expansion to the United States and three Family Islands—even as its founder admits he’s “in a fight” with volatile ingredient prices and soaring electricity costs that threaten to undermine profitability.
Chef Kevin Culmer, the owner/operator of the restaurant chain, told Eyewitness News, “It is challenging right now. I’m in a fight. I will tell you no lie—my franchisees are in a fight too. And because I’ve taken on that responsibility, I have to do my due diligence to find more affordable products. I’m now responsible for their ability to achieve a profit.”
Tropical Gyros currently operates six locations: three corporate (including one in Freeport) and three franchises—with three more coming soon.
“We’re following a similar model to what Wendy’s did,” Culmer explained. “They strategically placed their locations along traffic routes so customers didn’t have to deviate too far out of their way. That’s exactly how we’re approaching it now—with saturation along key corridors.”
Beyond Nassau, Culmer revealed that expansion talks are ongoing with interested franchisees in Abaco, Eleuthera, and Bimini, along with exploratory conversations about launching in the United States—a long-held vision he believes is both achievable and symbolic.
“It would warm my heart, not just from a business standpoint but from a national pride perspective, to see a Bahamian brand created and developed here make it internationally,” Culmer said. “I truly believe Tropical Gyros can compete with any U.S. franchise.”
Weekly inquiries about franchising continue to pour in, he added—evidence of the brand’s growing appeal.
Still, Chef Culmer noted that as Tropical Gyros expands its footprint, the business is also grappling with severe input cost volatility. Food prices—especially for chicken, the chain’s primary protein—have become increasingly erratic.
“The Friday before Labor Day, I bought a case of chicken at $87. When I returned that Tuesday after the holiday, the same case was $137. No notice. No warning. How do you operate like that?”
In response, Chef Culmer recently traveled to the Dominican Republic in search of more stable, direct supply channels. There, he began discussions with poultry producers and government officials about developing a supply pipeline.
“We’re talking about producing chicken—not just thighs, but wings, breasts, legs—at a cheaper price. But there’s still red tape to cut through before imports from the DR are approved.”
Culmer said he is looking at developing a warehouse-style production center with a walk-in freezer and cooling system, which would allow the business to directly import and store bulk goods.
“It’s unfortunate, but we’re being forced to operate like international franchises that bring in most of their supplies. Our cost of goods has gone from 37 percent seven years ago to 58.5 percent today.”
Food prices aren’t the only issue. Electricity bills, Chef Culmer said, have become “unexplainably volatile,” despite consistent usage across all stores.
“Our electricity usage doesn’t change. We turn the lights and A/C on and off at the same time every day. Yet one month the bill is $2,100, next month it’s $3,200, then it drops to $2,600. There’s no logic to it.”
These soaring overheads have left little choice but to adjust menu prices in some cases—though Culmer emphasizes that Tropical Gyros remains committed to affordability.
“We raised chicken item prices by a dollar, but that doesn’t even begin to cover the $50-per-case increase we’re seeing. It’s not about making more profit—it’s about surviving.”
Despite the challenges, Tropical Gyros’ growth trajectory shows no signs of slowing down.
“We’re grateful to the Bahamian public. They’ve really supported us. Now it’s about building smart and protecting the business from forces outside our control.”
