The crisis hit them too! The famous hamburger giant has declared bankruptcy and is closing its branches one by one.

BurgerFi has joined the bankruptcy frenzy in the restaurant industry with a bankruptcy filing in Delaware. It has been announced that the company's debts have reached up to $500 million and its future is uncertain. After the bankruptcy filing, all eyes are on the chain's next steps.

OPERATING 162 RESTAURANTS

The company, which includes BurgerFi and Anthony's Coal Fired Pizza, operates a total of 162 restaurants. Many locations, including the recently opened BurgerFi branch in New York, are at risk of closure.

BurgerFi competes with Shake Shack and Five Guys, offering a cheeseburger for about $11 at its 102 restaurants. The Florida-based company announced last month that the threat of bankruptcy had increased and reported that it had only $4.4 million left in its cash reserves as of August.

CUSTOMERS ARE SAD

BurgerFi closed 14 of its branches last year and another 8 in the first quarter of 2024. The company, which reported a loss of $18.4 million in the second quarter, painted a sad picture for its fans and employees. While there are still 102 BurgerFi branches operating nationwide, Anthony's Pizza has 60 restaurants. Most of these locations are in Florida, Maryland, North Carolina, New York, and Indiana.

While BurgerFi did not present a plan to improve its financial situation to the bankruptcy court in Delaware, experts say that this filing resembles the path followed by other chains such as Rubio's, Red Lobster, and Buca di Beppo.