Finances and Deals
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Permission granted by Tijuana Flats
Tijuana Flats files for Chapter 11, gains new owners
The fast casual chain also closed 11 restaurants after undergoing a unit-by-unit analysis of financial performance, occupancy costs and market conditions.
By Julie Littman • April 19, 2024 -
Justin Sullivan via Getty Images
Why Red Lobster could be headed toward bankruptcy
The chain only paid a quarter of its bills on time in February and over half were 61 to 90 days late, according to data from Creditsafe.
By Julie Littman • April 19, 2024 -
Bruce Bennett via Getty Images
4 things to know about TGI Fridays’ acquisition by Hostmore
The chain’s biggest franchisee has been reducing expenses since 2022, which should help the combined company start on stronger financial footing in the U.K.’s public market.
By Julie Littman • April 18, 2024 -
Bruce Bennett via Getty Images
TGI Fridays enters $220M agreement to combine with UK franchisee
The deal with Hostmore, worth over $220 million, will lead to TGI Fridays trading on the London Stock Exchange under “TGIF” symbol.
By Julie Littman • April 16, 2024 -
Halfpoint via Getty Images
Q&AAsk an expert: How can brands protect struggling franchisees from bankruptcy?
A bad franchisee can do “irreparable harm” to its parent chain, but early intervention can help avoid sales shortfalls and covenant defaults, said Chris Desiderio of Nixon Peabody.
By Aneurin Canham-Clyne • April 15, 2024 -
Permission granted by Waitr Holdings
ASAP goes bust
ASAP, once known as Waitr, ceased its operations over the last few weeks and let go of its executives, prior to filing for Chapter 7 bankruptcy on Tuesday.
By Aneurin Canham-Clyne • Updated April 2, 2024 -
Courtesy of Chipotle
Fast casuals outperform QSRs as pricing erodes fast food’s low-income advantage
Chains like Chipotle and Wingstop exceeded analyst expectations for sales and EBITDA last quarter, while QSR giants lagged, per a TD Cowen report.
By Julie Littman • April 1, 2024 -
Courtesy of Five Iron Golf
Danny Meyer’s PE firm invests $20M in Five Iron Golf
Enlightened Hospitality Investments’ minority investment will help the golf-simulator chain accelerate growth and increase its offerings.
By Julie Littman • March 12, 2024 -
Retrieved from Chipotle on October 03, 2023
Chipotle doubles tech venture fund spending to $100M
The chain’s second round of $50 million for its Cultivate Next fund comes less than two years after the project was announced, and as Chipotle tests equipment developed by partner companies.
By Aneurin Canham-Clyne • Feb. 28, 2024 -
iStock/Jacob Wackerhausen
Sponsored by Instant FinancialThe cost of cash for restaurants
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Feb. 26, 2024 -
Courtesy of Dunkin'
Roark rumored to be seeking Inspire Brands IPO
With a potential valuation of $20 billion, an IPO for the parent company of Dunkin’ and Arby’s would be one of the biggest in the restaurant industry in over 20 years.
By Julie Littman • Feb. 15, 2024 -
Kate Tornone/Restaurant Dive
Boston Market owner Jay Pandya files for bankruptcy a second time
Pandya originally filed for bankruptcy in December, but that case was dismissed after he failed to respond to court orders for more information.
By Julie Littman • Feb. 14, 2024 -
Courtesy of Popeyes
17-unit Popeyes franchisee files for bankruptcy
RRG said losses at three of its units made it impossible to sustain timely lease payments at its remaining stores, pushing the operator to seek Chapter 11 protections.
By Aneurin Canham-Clyne • Feb. 6, 2024 -
Kate Tornone/Restaurant Dive
US Foods wins $11.9M suit against Boston Market by default
A federal judge found Boston Market engaged in bad faith and intentionally avoided engaging with process servers in a lawsuit over unpaid bills.
By Aneurin Canham-Clyne • Feb. 1, 2024 -
Michael Thomas via Getty Images
Deep DiveCost pressures may drive restaurant franchisee bankruptcies in 2024
Issues with margins or cash flow due to supply shocks, labor shortages and other disruptions can push operators into covenant default over their debts, experts said.
By Aneurin Canham-Clyne • Jan. 30, 2024 -
Permission granted by Caribou Coffee
JDE Peet’s reaches $260M licensing deal with Caribou Coffee
The transaction will allow JDE Peet’s to expand its premium portfolio in North America, while Caribou could focus on its growing coffeehouse business.
By Christopher Doering • Jan. 22, 2024 -
Justin Sullivan via Getty Images
Thai Union Group looks to sell stake in Red Lobster
The seafood group, which been a minority stakeholder in Red Lobster since 2016, said it decided to divest after ongoing financial troubles at the chain.
By Julie Littman • Jan. 17, 2024 -
Justin Sullivan via Getty Images
RBI to acquire Carrols Restaurant Group for $1B
The transaction, which is expected to close in Q2, will accelerate the pace of the franchisee’s Burger King remodels from 45 to 120 annually.
By Julie Littman • Jan. 16, 2024 -
Bruce Bennett via Getty Images
TGI Fridays to close 36 underperforming restaurants
The casual chain also sold eight units in the Northeast to former CEO Ray Blanchette following a year of C-suite upheaval.
By Julie Littman • Jan. 4, 2024 -
Courtesy of Pinstripes
Pinstripes bowls into public markets
After completing its combination with Banyan Acquisition Corp. last week, the eatertainment chain began trading on the New York Stock Exchange Tuesday.
By Julie Littman • Jan. 2, 2024 -
Courtesy of Burger King
From the archivesA look back at 8 major franchisee bankruptcies in 2023
Burger King, Popeyes, McDonald’s and more saw multi-unit operators go belly-up due to struggles with inflation, low traffic and rising costs.
By Aneurin Canham-Clyne • Dec. 1, 2023 -
Courtesy of Toast Media Kit
Toast’s growth slows
The restaurant fintech noticed “a modest slowdown” in same-store sales in the latter half of Q3 that continued into October, the company’s CFO said Tuesday.
By Caitlin Mullen • Nov. 8, 2023 -
Justin Sullivan via Getty Images
Denny’s franchisee files for bankruptcy
Denn-Ohio reported negative net income of $1.3 million in 2022 after struggling with rising labor, food and delivery costs for two years.
By Julie Littman • Nov. 3, 2023 -
River North Photography via Getty Images
TCBY, Mrs. Fields franchisor acquired by Pearl Street Equity
The purchase of the brands, for an undisclosed sum, is intended to “take [their] franchisee support to the next level.”
By Aneurin Canham-Clyne • Oct. 26, 2023 -
Spencer Platt / Staff via Getty Images
Pret A Manger enters joint venture with franchisee to extend US growth
Existing franchisee Dallas International will take control of 50 units across the Northeast and develop 10 more on the East Coast by 2026.
By Julie Littman • Oct. 20, 2023
