Lab lessons: Modern Grind brews up expansion with help from ASU

Avondale's coffee, tea, and health drink drive-thru partners with the SMB Lab to empower students, strengthen the community, and prepare for its next phase of growth.

The W. P. Carey School of Technology, Innovation, and Entrepreneurship 's Small and Medium-sized Businesses (SMB) Lab, established in 2022, brings together ASU faculty, business leaders, economic development professionals, and Southwest Valley Chamber of Commerce (SWVCC) members to address the challenges faced by local companies. The lab has become a valuable resource for helping small businesses thrive by offering tailored, actionable solutions. Read about the origin of the SMB Lab by clicking here.

Daphnie Kelly is the founder of Modern Grind, a coffee, tea, and health drink drive-thru based in Avondale, Arizona, that's on a mission to make a lasting impact on the community through high-quality products while supporting local businesses, educators, military heroes, youth, and first responders. After experiencing a car accident early last year that left her with brain fog, Kelly began reaching out for business support and was connected to the lab by Amapola Judd-Shimp, vice president of partnerships at the SWVCC. Modern Grind has quadrupled its profit since partnering with the SMB Lab last fall, allowing Kelly's husband to leave corporate America to work for the coffee shop full-time.

Question: Why did you want to participate in the SMB Lab?
Answer: The lab was the perfect fit because it aligns with our mission and my passion. As a former teacher, I love working with aspiring youth — I founded Modern Grind in 2017 as a coffee fundraising company for youth programs — and through the lab, we've had opportunities to work with and guide ASU students. The lab speaks to Modern Grind's dedication to growing and supporting our community through learning opportunities.

Q: What issues did you discuss?
A: We explored purchasing a new point of sale (POS) system with better data capabilities and marketing campaigns, which has helped drive sales tremendously. I am currently working on registering Modern Grind as a minority-owned business, which will allow us to access more partnerships and government contracts.

Q: Why is the SMB Lab a unique resource?
A: The ASU students who participate in the lab are hungry for experience — they are so passionate about what they're doing that some work harder than paid employees. These students are being educated on cutting-edge practices, tools, and technologies, and have access to ample ASU resources. Since small business owners are busy putting out fires, planning, and operating their businesses, this is important because we have less time to research and learn about these resources.

Q: What advice would you give to future participants?
A: Keep an open mind, listen, and take notes so you don't forget important connections or suggestions. Also, be ready to work! The projects following the lab require leg work on the business owner's part. Set aside a few hours each week to manage your W. P. Carey student groups, gather information, offer guidance, or complete your portion of the projects.

Q: What's next for Modern Grind?
A: We've gone into expansion mode! We are searching for a location for Modern Grind 2.0, are focused on increasing our profit margin, and are expanding into a new market: corporate gifting.