Another popular regional burger chain has just filed a bankruptcy
The chain based on Illinois is known for "award-winning" burgers.
Burgers and Fries of Matathie, a chain based on the popular Illinois who claims to serve "award-winning" burgers, is the last fast food restaurant companyChapter 11 Bankruptcy. Its owner, the crave brands, also declared bankruptcy. However, the company's lender raises questions about deposits, calling them a "cascade" and requesting a dismissal.
Mortads operates 13 restaurants in the Chicago area and welcomes some of the best Midwest burgers, according to its website. Like most hospitality companies, the chain had a difficult period during theCOVID-19 [Feminine The pandemic, with its sales that fall by 18% between 2019 and 2020, according toRestaurant Business. However, part of his debt isDue to mismanagement, Lender LQD Financial Corp. Claims. (RELATED:The largest rapid catering chain of America is on a downward spiral, reports say)
Depending on the deposit of bankruptcy, the chain has $ 8.4 million and total assets of $ 6.7 million. The Company also received payroll program loans from over $ 982,000 in 2020 and nearly $ 1.44 million this year to maintain its full-time workforce and 86 part-time employees.
In addition, the chain owes $ 6.65 million, more interest, which it borrowed in 2019 in order to allow former Crave Manager, Steve Karfaridis and CFO Michael Webb to acquire the Company, according to the LQD dismissal deposit. He further alleged that the Company depends on bankruptcy to allow Karfaridis to remain in charge after the lender exercised his right to withdraw him from his leadership position.
LQD also affirms that both owners have misused the millions of people lent to them for the acquisition of personal benefits. If the bankruptcy deposit is rejected, the lender plans to sell the chain to a well-known "operator and good reputation", which will actually save the business.
For more information on restaurant bankruptcies, consult the5 adored hamburger chains that reported bankruptcy in 2020. And do not forget toSubscribe to our newsletter To get all the latest news from the restaurant delivered directly in your inbox.
