Fried hen eating chains had been the main subsector of the fast-food business in 2025 as visitors to hen ideas rose 3% within the 12 months ending September 2025, whereas all ideas dropped 1% in comparison with the earlier 12 months, in response to market analysis agency Circana, as reported by Quick Firm.
Hen ideas did even higher in 2024, rising 4.3% from the earlier 12 months, whereas different kinds of quick-service and fast-casual restaurant chains noticed 1.3% and a couple of.4% development, respectively, in response to The Meals Institute.
Hen chains proceed maintain on fast-food sector
Hen fast-food chains, comparable to Chick-fil-A, Elevating Cane’s, KFC, and Popeyes, may dominate the sector for some time, business knowledgeable Reilly Newman of Motif Manufacturers informed The Meals Institute.
“This is due to the experiences the brands are creating as well as the variety of chicken and how you can enjoy it,” Newman mentioned. “This comes to no surprise, as the experience economy has been taking root across the globe.
“Hen permits for (ample) customization, sauces, and types, relying on the client’s preferences,” Newman mentioned.
Regardless of elevated visitors in each 2024 and 2025, fast-food hen chains suffered monetary difficulties that led to chapter filings.
Hen fast-food chains file for chapter
Among the many hen chains that filed for chapter safety final 12 months was a Woodstock, Ga., franchisee of fast-food chain Southern Basic Hen, which filed for Chapter 11 chapter to reorganize its enterprise on Nov. 3, 2025.
Southern Basic Hen, based mostly in Shreveport, La., is a family-operated chain that was established in 1989 and at present operates 20 corporate-owned places in Arkansas, Louisiana, and Texas. The franchisor has not filed for chapter and operates its enterprise as ordinary.
One other fried hen chain that filed for Chapter 11 safety was De’nsite Inc., the Homewood, In poor health.-based operator of the Harold’s Hen places in Homewood, South Holland, and Olympia Fields, In poor health.
The debtor filed its Subchapter V petition on July 27, 2025, itemizing as much as $50,000 in belongings and $500,000 to $1 million in liabilities.
The three De’nsite Harold’s Hen places will not be affiliated with Harold’s Hen Corp., whose web site lists 47 Harold’s Hen places in 10 states nationwide.
Popeyes Louisiana Kitchen franchisee recordsdata for Chapter 11 chapter.
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Popeyes franchisee recordsdata for Chapter 11 safety
And now, Popeyes Louisiana Kitchen restaurant franchisee Sailormen Inc. filed for Chapter 11 safety after a failed sale of sure places, a default on credit score amenities, and a collection of lawsuits and retailer closings induced the corporate monetary misery, in response to RK Consultants.
The Miami, Fla.-based wholly owned subsidiary of Interfoods of America Inc. filed its petition within the U.S. Chapter Court docket for the Southern District of Florida on Jan. 15, itemizing $100 million to $500 million in belongings and liabilities.
Sailormen, which was based in 1987 with 10 places, is among the largest home Popeyes franchisees within the firm’s system, with over 136 places in Florida and Georgia. It at present employs about 2,900 employees.
The debtor, at one time, owned many extra places, however streamlined its portfolio in 2018 by divesting belongings in Alabama, Louisiana, and Mississippi to concentrate on its core Southeast markets.
Occasions resulting in chapter submitting:
- Failed sale of sure places.
- Default on credit score amenities.
- Collection of lawsuits.
- Lease ensures on closed shops.
Sailormen wanted to file for chapter after struggling extreme liquidity constraints, which worsened after a proposed $1 million divestiture of 16 Georgia places collapsed, resulting in lawsuits and restaurant closures.
The debtor additionally defaulted on credit score amenities totaling about $130 million, held by BMO Financial institution N.A. The lender filed a grievance towards the debtor in December 2025 and sought to nominate a receiver in early January 2026, which prompted the chapter submitting, Bondoro reported.
Chapter halts receivership course of
Sailormen filed for chapter to halt the receivership course of, stabilize its enterprise, and conduct a advertising and marketing and sale course of.
The financial institution alleged the corporate was in speedy hazard of working out of money, as rising labor and meals prices diminished margins, in response to RK Consultants.
Extra bankruptcies:
- 64-year-old furnishings retailer franchisee recordsdata Chapter 11 chapter
- Golf legend’s iconic model recordsdata for Chapter 11 chapter
- Main well being companies supplier recordsdata for Chapter 11 chapter
The debtor reported $233.5 million in gross sales and an $18.8 million internet working loss, pushed by inflation, labor shortages, and lease ensures from 16 closed places.
The debtor’s 10 largest unsecured collectors embody: Cheney Brothers Inc., owed over $623,000; Kelly’s Meals Winter Backyard, owed over $352,000; Kelly’s Meals Jacksonville, owed over $271,000; The Sygma Community, owed over $253,000; Service Properties Belief, owed over $251,000; N. Wasserstrom & Sons, owed over $234,000; A-1 Air Options, owed over $232,000; Xenial Inc., owed over $196,000; Retailer Capital Company, owed over $185,000; and Lewis Brisbois Bisgaard & Smith LLP, owed over $185,000.
Sailormen’s largest unsecured collectors
- Cheney Brothers Inc., owed over $623,000
- Kelly’s Meals Winter Backyard, owed over $352,000
- Kelly’s Meals Jacksonville, owed over $271,000
- The Sygma Community, owed over $253,000
- Service Properties Belief, owed over $251,000
- N. Wasserstrom & Sons, owed over $234,000
- A-1 Air Options, owed over $232,000
- Xenial Inc., owed over $196,000
- Retailer Capital Company, owed over $185,000
- Lewis Brisbois Bisgaard & Smith LLP, owed over $185,000. Supply.
Associated: Missed funds ship main retailer into Chapter 11 chapter
