From CNBC: 2024-09-11 13:59:27

BurgerFi, a popular burger chain known for its higher-quality burgers, filed for Chapter 11 bankruptcy protection due to struggles with declining traffic and high interest rates. Founded in 2011, the company went public in 2020 and later bought Anthony’s Coal Fired Pizza & Wings. BurgerFi has assets of $50-75 million and debts totaling $100-500 million.

In the quarter ended April 1, BurgerFi reported revenue of $42.9 million and a net loss of $6.5 million, with same-store sales at its burger chain falling 13%. The company, which has 162 restaurants, half of which are run by franchisees, has joined a growing list of restaurant chains using bankruptcy to turn around their businesses.

The challenges faced by BurgerFi reflect broader struggles in the restaurant industry, with many chains, independents, and franchisees encountering difficulties. The company’s bankruptcy filing comes after previous warnings about its ability to operate, making it yet another casualty in an industry grappling with financial challenges.



Read more at CNBC: Restaurant chain BurgerFi files for Chapter 11 bankruptcy protection