Starboard Group, a Florida-based restaurant operator, has placed its Wendy’s restaurants into bankruptcy protection.
The business operates 61 Wendy’s locations across the southeast, including Florida. It also owns another 12 restaurant franchises, including Fuzzy’s Taco Shop, McAlister’s Deli, and Subway, unaffected by the bankruptcy filing.
“Placing the Wendy’s division in a Chapter 11 reorganization is the wisest decision we could have made in order to save jobs, strengthen the company and our partners for the future,” Starboard Group CEO, Andrew Levy
Starboard Group CEO Andrew Levy blamed the decision to file for bankruptcy on increased pricing, high interest rates, and shifting consumer needs.
In 2020, the franchise group had 100 restaurants but has been forced to close several recently and now operates 73.
It has been a challenging year for fast-food franchisees. The Sun reports:
This year, three Burger King Franchisees filed for Chapter 11…Operators at Hardee’s, McDonald’s, and Popeyes also filed for bankruptcy. Smaller food chains, including Clover Food Labs and Green District, have also filed for bankruptcy.