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How P. Terry’s Grew a Local Burger Stand Into a 20-Year Legacy of Generosity

Kathy and Patrick Terry share insights on building community through burgers and love

Kathy and Patrick Terry
Kathy and Patrick Terry (photo by Liz Harroun)

When lines stretched miles long at all of P. Terry’s Burger Stand locations on July 10, it wasn’t just about the burgers and fries. Thousands of Texans waited patiently in the summer heat, united by a common purpose: supporting Hill Country flood relief efforts. In a single day, P. Terry’s raised $150,000 for the Austin Disaster Relief Network, but for founders Patrick and Kathy Terry, this moment represented something much deeper — the culmination of two decades spent building genuine relationships with their community.

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Love at first fry at P. Terry’s. (Photo by Liz Harroun)

From Childhood Dreams to Community Commitment

Patrick and Kathy opened their first P. Terry’s on July 5, 2005, at the corner of South Lamar Boulevard and Barton Springs Road in Austin, Texas. Patrick, fulfilling his childhood dream, wanted to create a classic burger stand reminiscent of the famous Mack Eplen’s Drivateria he grew up loving in Abilene, Texas. However, their mission evolved beyond nostalgia when Kathy read Eric Schlosser’s “Fast Food Nation,” inspiring them to focus even more intentionally on quality ingredients and ethical business practices.

“It has always been about providing high-quality food at an affordable price and taking care of everyone — our employees and the community,” Kathy explains. 

This philosophy would become the foundation for everything P. Terry’s would build over the next twenty years.

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Just one year after opening in 2006, the Terrys began their tradition of quarterly “Giving Back Days” — dedicating all profits from specific Saturdays to local charities. Since then, the company has donated more than $2.4 million to organizations that support underserved communities in Austin, Houston and San Antonio. 

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The original P. Terry’s location. (Photo by Liz Harroun)

A Different Kind of Business Philosophy

What sets P. Terry’s apart isn’t just their charitable giving — it’s their fundamental approach to business itself. 

“We’re building for a legacy, not an exit,” Kathy states firmly. “When you build for an exit, someone pays the price. Someone’s job, someone’s family and someone’s stability. I don’t want anybody to have to pay a price for what we do.”

This philosophy explains why the Terrys have consistently turned down offers to sell their growing chain, which now spans 37 locations across Texas. 

“We get joy in connecting with customers and employees every single day,” says Kathy. “So why would we sell it when we already have a purpose that brings joy to us and so many others?”

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Patrick and Kathy Terry, the hearts behind the burger stand. (Photo by Liz Harroun)
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Patrick and Kathy Terry of P. Terry’s. (Photo by Liz Harroun)

Treating Employees Like Family

P.Terry’s values-driven approach is most evident in how they treat their employees.

“This is our family,” Kathy explains. 

This family approach manifests in tangible ways. Every employee receives a birthday cake and celebration, complete with staff singing and photos. Kathy used to bake all the cakes herself, but they now have a full-time employee, Susie, who bakes and delivers cakes across all Austin locations. 

“From day-to-day living, the interest-free loans have had the most impact,” Patrick says. “The idea is that you can have an emergency — your car breaks down or your rent is due — and you can get $500 and pay it back $20 a paycheck or whatever you determine is doable.”

Building Authentic Community Connections

The Terrys’ approach to philanthropy reflects their broader business philosophy: authenticity above all else. 

“Any successful business is based on relationships,” Kathy says. “We have relationships with our vendors, employees, customers and with the community. And it’s those relationships that change our lives and that change other people’s lives.”

Their giving strategy focuses deliberately on local needs, supporting organizations that directly impact their immediate communities. The key to their approach lies in their decision-making process: “Just do the next right thing,” Kathy explains. 

A Philosophy Put to the Test

The Terrys have mastered the balance between authentic giving and meaningful impact, letting their actions speak louder than any marketing campaign. 

“We wanted to be very careful that we weren’t putting too much of a spotlight on ourselves in our effort to give back,” Patrick explains. “But then what we learned is, the more the word got out, the more money we raised. So we are always trying to find that balance in what we ultimately want to achieve.”

The July 2025 flood relief fundraiser became the ultimate test of the relationships P. Terry’s had spent 20 years building. For the Terrys, the success wasn’t measured just in the $150,000 raised, but in what it represented about the bonds they’d built. The Terrys’ business philosophy had been validated in the most meaningful way possible. When the community needed help, people trusted P. Terry’s enough to wait hours in line to support the effort.

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The original P. Terry’s location. (Photo by Liz Harroun)

Looking Forward

As P. Terry’s celebrates its 20th anniversary this year, the company shows no signs of slowing down its community commitment or its steady expansion across Texas. With new locations planned and continued growth throughout their existing markets, the challenge will be maintaining the personal touch that has defined their brand.

For Patrick and Kathy Terry, their values remain unchanged from their early days on South Lamar: quality food at affordable prices, genuine care for employees and an unyielding commitment to the communities they serve. In an industry often driven by quick profits and exit strategies, P. Terry’s stands as proof that doing good and doing well aren’t mutually exclusive — they’re just different ways of measuring success.

Twenty years in, that purpose shows no signs of wavering.

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