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Asolica > Blog > Finance > Bankrupt fast-food rooster chain closes 1,100 shops
Finance

Bankrupt fast-food rooster chain closes 1,100 shops

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Last updated: January 9, 2026 1:51 pm
Admin
1 month ago
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Bankrupt fast-food rooster chain closes 1,100 shops
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Again within the Nineteen Eighties, rotisserie rooster could have existed, but it surely was not a staple in the best way it has turn into immediately.

Contents
  • Boston Market has closed almost 1,200 shops
    • Boston Market grew quick and fell aside sooner
    • Boston Market chapter briefly
  • Boston Market nonetheless desires new franchisees
  • Boston Market prompted its personal close to demise

Costco, for instance, which has turn into well-known for promoting a complete rotisserie rooster for $4.99, didn’t truly begin promoting the favored merchandise till 1994.

“The famous $4.99 chicken made its official Costco debut in 1994. Aside from a brief dollar increase in 2008 during the Great Recession, Costco has remained committed to keeping the chicken’s price steady despite ongoing inflation,” in response to Eat This, Not That.

The warehouse membership truly loses cash promoting its in style rooster. However Rose Sioson, founding father of Deliciously Rushed and an avid Costco shopper, thinks Costco greater than makes up for it simply by getting prospects by means of the door for that worth rooster.

“Costco may technically lose money on each rotisserie chicken they sell, but trust me —they’re not losing when it comes to what I buy next,” Sioson instructed. “That chicken usually ends up in a cart with salad kits, ready-made mashed potatoes, a bottle of wine, maybe a dessert, and some random item I had zero intention of buying. It’s classic Costco strategy.”

When a serious retailer sells your core product as a loss chief, that is by no means nice for enterprise, however that is just one cause why Boston Market has been pushed to the sting of being absolutely out of existence.

Boston Market has closed almost 1,200 shops

Once I was a toddler rising up outdoors of Boston within the Nineteen Eighties, my aunt used to go to, and he or she typically introduced a rooster from what was then referred to as Boston Hen. On the time, the corporate was a small native chain that was truly based in a Boston suburb.

This was the primary time I had been uncovered to rotisserie rooster, and the idea shortly took off. McDonald’s was even an investor for a short interval.

Boston Market grew quick and fell aside sooner

  • Peak footprint: Boston Market as soon as had over 1,200 U.S. eating places at its nationwide top within the Nineties.
    The drop from 1,200 to 300 befell from the late ’90s to 2023.
  • 2023-2024 decline: The chain shrank precipitously from 300 areas firstly of 2023 to fewer than 30 by early 2024, in response to Restaurant Enterprise On-line.
  • Early 2025 footprint: Estimates point out fewer than 20 areas stay open nationally in early 2025, with many shops disappearing with out discover, a stark collapse from its former scale, added Flavor365.
  • Fluid numbers: Official firm listings on web sites and apps considerably overstate open shops; many listed models are confirmed closed, reported Restaurant Enterprise On-line.

Technically, the chain nonetheless exists, however its proprietor has tried to file for chapter twice.

“Boston Market owner Jay Pandya — who faces hundreds of lawsuits from vendors, franchisors, and employees regarding unpaid bills — filed for personal bankruptcy on Dec. 8, 2023, with the Eastern District of Pennsylvania Bankruptcy Court. Pandya cited $10-$50 million in liabilities and the same range for assets in his bankruptcy paperwork,” Nation’s Restaurant Information reported.

That submitting, and a subsequent one, have been rejected by the courts.

The corporate’s headquarters in Denver have been seized by native authorities in 2023 for $300,000 in unpaid taxes, and a number of distributors have filed lawsuits towards Boston Marketplace for unpaid payments. As well as, many areas have been pressured to shut, or workers have been stocking their shops with meals purchased on the grocery store, as a result of vendor contracts had run out or been canceled, in response to NRN.

The chain additionally faces a courtroom judgment to pay its key provider, U.S. Meals, for $15 million, in response to PacerMonitor.

A number of areas have been affected by the US Meals lawsuit, highlighting how unpaid provider payments contributed to retailer closures, reported Restaurant Enterprise On-line.


Solely a handful of Boston Market areas are nonetheless open.

Shutterstock

Boston Market chapter briefly

  • Chapter 11 makes an attempt: Boston Market’s proprietor (Jay Pandya) filed for Chapter 11 chapter safety on behalf of the corporate twice, however courts rejected each filings on account of procedural and documentation points, in response to RetailWire.
  • Boston Market’s proprietor Jay Pandya filed for private Chapter 11 chapter on Dec. 8, 2023, itemizing $10–50 million in liabilities and property. (Supply:Nation’s Restaurant Information)
    That submitting was terminated early on account of procedural deficiencies, added Restaurant Enterprise On-line.
  • Unpaid obligations: The model faces authorized actions over unpaid hire, provider money owed (e.g., US Meals claims), and again wages, which pressured closures, in response to Flavor365.
  • Evictions & shutdowns: A number of areas have been evicted or ordered closed by authorities on account of unpaid obligations.
  • Model nonetheless exists, however on life assist: A handful of Boston Market eating places are nonetheless technically open, however the chain’s footprint is tiny in contrast with its former scale, studies Flavor365.
  • New openings amid collapse: Regardless of closures, the corporate opened at the very least one new location submit‑chapter filings, indicating makes an attempt at a turnaround, shared RetailWire.

Boston Market nonetheless desires new franchisees

In 2024, Pandaya launched a brand new franchise plan to deliver Boston Market to non-traditional areas. He is licensing the model as a result of it isn’t legally set as much as provide conventional franchises.

“The Boston Market name stands for itself and it is well known throughout the country,” Pandya mentioned in an announcement to Nation’s Restaurant Information on the time. “Now, with everyone’s support we will be able to provide our famous rotisserie chicken and delicious, homemade sides and family meals to everyone. We encourage anyone with a location and a desire to add Boston Market virtually to reach out and partner with us.”

Extra Eating places 

  • Taco Bell and KFC work on simplifying their eating places
  • Chick-fil-A making main change to 425 eating places nationwide
  • Bankrupt beer and pizza restaurant chain closes areas
  • Restaurant chain famed for impolite waiters closes a number of areas

Many have been skeptical of the plan.

“At this point, it’s just a way for him to scam someone,” Gina Busby, former space director of operations for Boston Market, instructed RetailWire. “He owes millions to employees in unpaid wages, me included. He didn’t report wages earned so people can’t get unemployment. He fraudulently [reported] supervisors as 1099 employees. He hasn’t paid expenses owed. More lawsuits and class actions are coming his way.”

Boston Market prompted its personal close to demise

Restaurant analyst Aaron Allen instructed FCNews that the chain prompted its personal decline.

“After distinguishing itself in the 1990s as a cut above fast food, it attempted to compete with those brands by holding its costs down — a move that ultimately led to a reduction in quality, which only undercut it further,” he shared.

“If you chase a lower price- point consumer, you can price yourself out of business,” Allen mentioned.

Grocery shops, too, ate Boston Market’s lunch as they started including rotisserie chickens to their increasing prepared-meal aisles.

“Essentially, Boston Market became a victim of its own success. After helping to popularize the roasted, whole chickens — in some cases, introducing the concept to consumers — the chain eventually saw the likes of Costco serve up the same things for far cheaper,” wrote Steve Feldman, a retail and restaurant professional.

A former worker, Josh Taylor, posted concerning the model’s decline on Linkedin.

“Over-saturation, competition and food expense killed Boston Market. Perhaps you could argue food expense was due to the expanded menu, but people loved all the items on the menu,” he wrote.

Jorge Franchi, president of enterprise analysis agency Franchi Enterprise Enterprises, shared his ideas on the chain’s decline.

“The kitchen grew complex, quality dropped, and service slowed. Customers became confused about what Boston Market really stood for. A push into sandwiches put them in direct competition with McDonald’s and Subway on price. Running two businesses under one roof blurred the brand’s identity and stripped away its advantage,” he shared.

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