Burger King may have over-excited itself in running its operations to the point where it can’t just ‘grill’ burgers, but it can ‘grill’ its own business.
Their giant franchise, Consolidated Burger Holdings, was recently confirmed ‘burnt’ — filing for bankruptcy after closing nearly 20 branches in Florida and Georgia.
Only 57 branches remain and more may be closing as the company tries to cut costs.
The company now has more than $36 million in debt, and blames the pandemic, inflation, labor shortages, and legal battles with Burger King for the collapse.
Despite spending millions to upgrade restaurants, 2024 revenue is still down $10 million from the previous year.
However, Burger King corporate remains confident that the brand is still ‘on fire’ and is currently replacing troubled franchises with high-performing operators.
Their goal? Generating $230,000 in revenue per branch by 2026, and increasing to $300,000 in the future.
But for now, Whopper fans may need to rethink — which one to go for drive-thru, or maybe it's time we created a new menu like Nasi Lemak King?
