It’s been an awful (and record) year for restaurant bankruptcies so far, and as English singer Morrissey once sang, “November spawned a monster.” Indeed, at least six Chapter 11 filings have been made in the past several weeks alone, impacting everything from eatertainment to chicken and waffles to bakery concepts. Here’s a closer look.
Anderson Tap House — a restaurant, sports bar, and arcade owned by Joseph Kendrick — filed for Chapter 11 bankruptcy on Nov. 22 in the Southern District Court of Ohio. The restaurant filed as a small business and has under $97,000 in assets, with more than $530,000 in debts. According to the documents, Anderson Tap House opened in August 2022 to “overwhelming success.” After a year in business, its success began to decline because of inflation, and sales dropped 35%.
“Customers were choosing to eat at home more often to cut expenses as prices on commodities rose,” the filing says. “Anderson Tap House took business loans to address the shortfall, but sales continued to decrease to where the debtor was unable to meet its monthly operating expenses and service its debts.”
According to the bankruptcy filings, these losses “crippled” the company and Anderson Tap House was forced to declare bankruptcy. The filing indicates that “funds will be available for distribution to unsecured creditors.”
Quack’s Bakeries, which has three locations in Austin, including the original bakery, a cake shop, and a coffeehouse, filed for Chapter 11 bankruptcy on Nov. 21 in the Western District Court of Texas. Quack’s Bakery has been in business for more than 40 years and is known for its custom, scratch-made cakes and cookies, as well as wedding cakes.
The bakery filed for bankruptcy protection as a small business with just under $97,000 in assets and more than $875,000 in debt. The company has plans to maintain its business and to restructure “while providing distributions to unsecured creditors.”
TMAD Wigwam — a franchisee of Teriyaki Madness — filed for Chapter 11 bankruptcy protection on Nov. 25 in the Nevada Bankruptcy Court. The company operates a Teriyaki Madness location in Henderson, Nev. The filing follows a related filing of V Management Group Nevada Corporation, an outsourced sales and marketing firm, on Nov. 12.
The company, owned by Ohmar Villavicencio, is estimated to have between $500,000 to $1 million in assets, with between $500,000 to $1 million in debt. According to the filing, the company “indicates funds will be available for distribution to unsecured creditors through the restructuring process.
Slater Hospitality and its concepts, including The Terrace, Nine Mile Station, and RFD Social, filed for Chapter 11 bankruptcy on Nov. 22 in the Northern District of Georgia. RFD Social first opened in the summer of 2018 boasting several levels, including The Parlour and The Roebuck Room. 9 Mile Station is located on the top floor of Ponce City Market offering views of Atlanta’s skyline and serving craft beers and sharable food. Slater Hospitality also includes entertainment space Skyline Park, L.O.A. Social Club, and 12 Cocktail Bar.
The company was founded in 2002 with a goal of providing “remarkable experiences through food, drink, and entertainment.” The filings indicate an intention to restructure operations while maintaining business continuity. The company has indicated that funds will be available for distribution to unsecured creditors through a reorganization process. Slater Hospitality lists assets between $0 and $50,000 and liabilities between $1 million and $10 million.
The CookQueen LLC, doing business as Soulfull Seafood, Roots Fruits N Herbs, CookQueen Chicken N Waffles, and CookQueen Cobblers, filed for Chapter 11 bankruptcy on Nov. 4 in the Central District of California. The company lists assets between $1 million and $10 million, and liabilities also between $1 million and $10 million.
Notably, the filing disputes claims for rent toward several cloud kitchen contracts, indicating that the amount of debt is unknown with chief executive officer and owner Donna Williams stating, “I have been locked out.” On Nov. 19, the court sent a notice of dismissal of the case for failure to file all of the appropriate documentation. In its initial filing, the company sought to protect its restaurant equipment and perishable inventory while restructuring. It planned to continue operations and “preserve value for stakeholders.”
DCCM Restaurant Group, operator of Davenport’s Alehouse, filed for Chapter 11 Nov. 22 in the Middle District of Florida, aiming to restructure its operations. In the filing, DCCM lists assets between $0 and $50,000 and liabilities around $1.5 million.
The company notes that funds will be available for distribution to unsecured creditors through an anticipated restructuring process. Davenport’s Ale House opened in 2014 and boasts more than 50 TVs for sporting events, as well as darts, a pool table, basketball goals, and a patio. The menu includes appetizers, wraps and sandwiches, baskets, burgers, loaded fries and tots, specialties like salmon and steak, soups and salads, tacos, desserts, an extensive drink menu with signatures, frozen beverages, fish bowls, and more.
This list adds to filings from Brentwood, Tenn.-based Ludlow Hospitality LLC and Epic Sweets earlier this month. On the year, we’ve seen bankruptcies from Original Harold’s Chicken, Red Lobster, BurgerFi, Tijuana Flats, Roti, Hawkers Asian Street Food, Bucca di Beppo, Fired Pie, World of Beer Bar & Kitchen, Tender Greens and Tocaya, Melt Bar & Grill, Rubio’s Coastal Grill, Sticky Fingers, Boxer Ramen, Oberweis Dairy, Foxtrot/Dom’s Kitchen, TGI Fridays, franchisees for Arby’s, Pizza Hut, Applebee’s, and Dickey’s Barbecue Pit, and more.
Contact Alicia Kelso at [email protected]
Contact Joanna Fantozzi at [email protected]
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