Moe’s Southwest Grill is closing more locations: See a list of doomed restaurants after franchise bankruptcy

Quality Fresca, a franchisee of Moe's Southwest Grill, has filed for Chapter 11 bankruptcy, reportedly due to financial challenges stemming from "industry headwinds, increased costs, and declining revenue." The Florida-based franchisee sought to close 16 of its 38 Moe's locations, most of which were situated in Florida. If the bankruptcy petition is approved, Quality Fresca would retain only 22 stores.

The company's liquidity issues have been exacerbated by a significant drop in foot traffic, rising food and shipping costs, and decreased labor availability. Fourteen Florida locations, one in Alexandria, Virginia, and one in Brunswick, Georgia, are slated to close, with an effective lease rejection date of August 4 for all locations. Several locations have reportedly already closed, with at least 10 now listed as permanently closed on Google.

Moe's Southwest Grill, which operates approximately 541 locations nationwide, is not directly impacted by the bankruptcy. The franchisor has been grappling with similar financial pressures, as evidenced by the recent filings by Carl's Jr. and Popeyes Louisiana Kitchen. The affected Moe's locations span across various states, including Florida, Georgia, Virginia, and others.