How an entrepreneur went from flipping burgers at McDonald's to opening some of the most famous beach clubs in the world

Artman Agency

Today, Nikki Beach is famous for its luxurious ambience, lavish beach parties, and celebrity clientele. But before the beach club's founder Jack Penrod became a successful entrepreneur, he was flipping burgers as a McDonald's line cook.

Using clever marketing tactics, Penrod worked his way up the ranks of McDonald's before eventually leaving to start his own luxury brand. He became famous in the '80s for opening up Penrod's Beach Club, reviving Miami Beach and turning it into a trendy spot for young travelers and spring breakers.  

In 1998, Penrod introduced the first Nikki Beach club, combining music and dining with fashion, film, and art. Today, Nikki Beach has expanded to include its beach clubs, hotels, a charity, and even an entire lifestyle division. 

We spoke to Penrod to learn about his fascinating rise to success, from the difficulties he faced to his triumphs. 

Nikki Beach is famous for its themed parties, international cuisine, all-white decor, and the top DJs it draws in. The beach clubs were created to honor and celebrate the life of Penrod's daughter Nicole, who passed away in a car crash at the age of 18. The company fulfills its philosophy of "Celebrate Life!" through its many events.

Penrod began working at the age of 9, doing everything from carrying newspapers to cleaning bakery pans to get by. In 1961, he was working at the Greenbrier Hotel in West Virginia when he heard about a new chain — McDonald's — opening up. He thought the idea had a lot of promise, so he left and went to Tallahassee, Florida, to start working as a line cook for 85 cents an hour.

Thanks to his enthusiasm, he was promoted to manager within a few days. Penrod, who was 21 at the time, asked his boss if he could get a share of the gross profit if he was able to make their location the most successful McDonald's of its time. His boss said yes, so he started using some interesting marketing tactics: creating free lunches for schools, delivering burgers to Miss Florida parties, and starting a birthday club at McDonald's.