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One other Mexican restaurant chain information Chapter 11 chapter

EditorialBy EditorialOctober 11, 2025No Comments4 Mins Read

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Mexican eating places have been struggling over the previous couple of years. That is partially attributable to customers chopping again on their spending, and partly attributable to oversaturation.

Individuals love Mexican meals, and that has led to most markets having extra Mexican eating places than they will assist. There is not any one particular factor hurting Mexican chains versus different struggling eating places.

Specialists haven’t dubbed this a development. As an alternative, it is a part of one thing greater.

“On The Border has been weighed down in recent times by macroeconomic elements which have negatively impacted the corporate,” Jonathan Tibus, restructuring officer for OTB Holdings, mentioned in On The Border’s Chapter 11 Chapter submitting.

And whereas there have been a number of bankruptcies, a survey by el Restaurante reveals the information isn’t all dangerous.

  • The el Restaurante survey confirmed that 45% of Mexican eating places have seen gross sales develop in 2024.

  • Nearly 1 / 4 (23%) mentioned gross sales have been flat.

  • The remaining 32% mentioned gross sales are down this yr.

  • In 2023, solely 25 % of survey respondents reported that gross sales had been down from the earlier yr.

Regardless of these considerably encouraging numbers, one other Mexican chain, El Burro Loco, has filed for Chapter 11 chapter safety.

A number of Mexican restaurant chains have filed for Chapter 11 bankruptcy protection.Shutterstock
A lot of Mexican restaurant chains have filed for Chapter 11 chapter safety.Shutterstock
  • On The Border Mexican Grill & Cantina
    Filed: March 2025 Particulars: Closed 40 underperforming places earlier than/round submitting; 60 company-operated items remained. Property & liabilities had been estimated between $10 million and $50 million.Supply: PacerMonitor

  • Tijuana Flats
    Filed: April 2024 Particulars: Closed 11 eating places throughout restructuring, modified possession; emerged from Chapter 11 in early 2025 with menu/format refresh plans.Supply: PacerMonitor

  • Rubio’s Coastal Grill
    Filed: June 5, 2024 Particulars: A quick-casual Mexican chain; filed to restructure after struggles, particularly in California. Closed 48 places there.Supply: PacerMonitor

  • Abuelo’s Mexican Restaurant

  • Filed: September 2025

  • Particulars: Operated by Meals Ideas Worldwide; peak about 40 places, right down to 16 or so on the time of submitting. Cited rising prices, labor challenges, falling gross sales. Liabilities/property between $10 million and $50 million.
    Supply: PacerMonitor

Whereas it isn’t a big chain, El Burro Loco had construct a big following in Central Florida. And since its places are in high-tourist places, the small chain had an outsized status.

The chain had an total score of 4 stars on Yelp, the place most opinions had been constructive.

“Strong spot for Mexican meals in Orlando! The meals was nice. I acquired the California burrito and it was loaded with taste, huge parts, and all the pieces tasted recent. The service was fast and pleasant regardless that it was busy, they usually made positive all the pieces got here out scorching. The ambiance is informal and excellent for a late-night chew with clear tables, upbeat power, and a chill vibe total. Costs are honest for the portion dimension too. Undoubtedly a spot I might come again to once I’m craving a great burrito,” wrote Christian H from Georgia, an Elite 25 reviewer on Yelp.

The chain didn’t have a web site, however shared an outline of its enterprise on Yelp.

“Style the colourful and genuine Mexican Road Meals delights and embark on a culinary journey at El Burro Loco, the place the colourful flavors of Mexico come alive! Put together to have your style buds tantalized as our devoted crew of culinary artisans crafts every dish with ardour and care,” it shared.

The chain, which began as a meals truck, has not shared what is going to occur throughout its Chapter 11 chapter. It has, nevertheless, closed its “BVL” location, however mentioned that its flagship on Worldwide Drive (a serious vacationer vacation spot) would stay open.

BVL is Buenaventura Lakes, a group close to Orlando.

  • El Burro Loco Meals Corp filed for Chapter 11 chapter in Florida Center District Courtroom on October 10, 2025.

  • Case #: 6:25-bk-06539

  • It’s a Voluntary Chapter 11 submitting, beneath Subchapter V.

  • Plan deadline for the Chapter 11 Subchapter V plan is January 8, 2026.

  • Debtor’s identify: El Burro Loco Meals Corp, additionally does enterprise as El Burro Loco, El Burro Loco Twisted Mexican Delicacies, El Burro Loco I-Drive.

Supply:Inforuptcy

The submitting signifies that El Burro Loco Meals Corp is searching for to reorganize its money owed and operations beneath the safety of the chapter court docket, aiming to return to profitability, in response to Inforuptcy.

No debt or property info has been made publicly accessible but.

Associated: Controversial Trump Burger chain closes all places (blame ICE)

This story was initially reported by TheStreet on Oct 11, 2025, the place it first appeared within the Eating places & Quick Meals Business Information part. Add TheStreet as a Most well-liked Supply by clicking right here.

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