This Restaurant Chain Just Filed Bankruptcy: What It Means For Your Location - The Takeout


This Restaurant Chain Just Filed Bankruptcy: What It Means For Your Location - The Takeout

Bad news for TGI Fridays fans: The casual chain has just announced that it is declaring Chapter 11 bankruptcy. (While it would have been ironic had the company done so on a Friday, it actually waited for Saturday to file the paperwork.) Damn, just when we were looking forward to the new holiday cocktail menu (2023's was pretty OTT). Never fear, Fridays rewards members, if your location hasn't closed down yet, there's a chance it will stay open -- at least for the immediate future. Sadly, if it was one of the numerous closures announced pre-bankruptcy, don't hold your breath.

The current TGI Fridays count stands at 163, down from a high of 601 in 2008 and around 270 earlier in 2024. Only 39 of these locations are owned by the parent company, however, while the rest are run by franchisees. The franchised locations aren't included in the filing, and there doesn't seem to be an immediate threat to the company-owned locations either, as they will be staying open while details of the bankruptcy are hashed out.

Nothing is guaranteed, but at this point the company is speaking positively about moving forward and restructuring rather than giving up and closing down for good. Further down the road, it's likely it will need to sell off some locations and non-renew the leases of franchisees who aren't turning a profit. Without a crystal ball, we can't really say what will happen for any given location or for the chain as a whole.

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