Add yet another name to the growing list of restaurant chains that have filed for bankruptcy protection this year.
The latest to declare Chapter 11 is Orlando-based Hawkers Asian Street Food, a 15-unit casual-dining chain operating in seven states that had been among the country’s fastest-growing small concepts.
Hawkers reported liabilities between $10 million and $50 million and up to 49 creditors, with estimated assets of $10 million to $50 million, according to a filing Monday in the Middle District of Florida’s Bankruptcy Court.
The bankruptcy filing stems from Hawkers' entrance into a loan agreement in 2023 "with the intention of growing the brand into a household name across the United States," according to a press release from the chain's bankruptcy attorney, R. Scott Shuker.
Over the last two months, though, it has "become clear" that the lender is looking to gain control of the chain, Shuker said, adding that Hawkers has never missed a loan payment.
Filing for Chapter 11 protection will "allow Hawkers to continue normal, uninterrupted operations and vendor payments while company control is re-stabilized in a way that secures a thriving and successful future for Hawkers and its dedicated team," Shuker said.
In 2023, Hawkers made RB’s Future 50 list of the fastest-growing small restaurant chains, with 2022 systemwide sales of $55 million and year-over-year sales growth of 25.7%, according to Technomic data. At that time, Hawkers had 13 units, an 8.3% increase from the year before.
This year, the concept ranked No. 458 on RB’s Top 500 list of the country’s largest chains, according to Technomic.
Four friends, many with family roots in Asia, founded Hawkers in 2011, with the goal to “bring the streets of Asia to the streets of Orlando,” according to the chain’s website.
The chain’s menu focuses on dim sum dishes like Chinese BBQ Pork Baos, Chili Crisp Wontons and Soup Dumplings, as well as egg rolls and pan-Asian offerings like Korean Twice Fried Wings, Coconut Shrimp, Curry Mash and Bibimbap. There’s also an extensive lineup of craft cocktails, sake, Japanese whisky, craft beer and win.
Hawkers joins a long list of restaurant chains both large and small that have sought bankruptcy protection this year, amid rising costs and falling traffic.
Red Bay Coffee and Mary’s Pizza, two small chains based in Northern California, filed for federal bankruptcy protection this month, as did fast-casual burger chain BurgerFi.
Red Lobster, the industry’s largest Chapter 11 filing this year, announced Monday that it has completed its restructuring and has officially appointed Damola Adamolekun as CEO of the 545-unit chain.
“As part of our new ownership structure, we have backers who have a history of making successful investments in restaurants,” Adamolekun said in a statement. “Our comprehensive and long-term investment plan for Red Lobster includes a commitment of more than $60 million in new funding which will help us to deliver improvements across every aspect of our company. I'm looking forward to working with our 30,000-strong team to bring our plan to life."
This story has been updated with comments from Hawkers' bankruptcy attorney.
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