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Asolica > Blog > Finance > Rising beef costs drive BBQ chain into Chapter 11 chapter
Finance

Rising beef costs drive BBQ chain into Chapter 11 chapter

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Last updated: December 20, 2025 5:13 pm
Admin
2 months ago
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Rising beef costs drive BBQ chain into Chapter 11 chapter
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Rising meat costs have wreaked havoc on the barbecue house.

Contents
  • Smoke Rings/Ray Ray’s file Chapter 11 chapter
    • Latest Ray Ray’s closures:
    • Smoke Ring, LLC chapter particulars
    • 2024 and 2025 BBQ‑Associated Chapter Filings

Many eating places have the choice of leaning extra closely on fish or rooster, possibly even pastas and vegetarian choices, when meat costs climb. That is not one thing barbecue eateries can do as a result of whereas they might serve rooster and fish, beef and pork are the celebs of the present.

Omaha Steaks’ CEO, Nate Rempe, stated the nation’s shrinking cattle provide and document demand are driving a “$10-per-pound reality” that might stretch household budgets for years.

“We are headed for what I’m calling…the $10-a-pound reality. By [the] third quarter of ’26, families are gonna see $10 a pound [for] ground beef in the grocery store. So we’re in for a bit of a haul here,” Omaha Steaks’ CEO Nate Rempe advised Fox Enterprise. “I don’t believe we’ll see price[s] come down in any meaningful way until sometime in 2027.”

Floor beef didn’t attain these ranges, however beef costs are up.

  • The FAO Meals Worth Index, which serves as a worldwide benchmark for meals commodity costs, averaged 130.1 factors in July, a 1.6% enhance from June, FAO stated.
  • FAO’s meat worth index hit a brand new all-time excessive of 127.3 factors, up 1.2% from its earlier peak in June, as robust import demand from China and the USA boosted beef and sheep meat costs, the company stated.

“U.S. beef imports have climbed after drought led to a decline in the domestic cattle herd. China shipped in record amounts of beef last year amid growing popularity of the meat,” Reuters reported.

Bureau of Labor Statistics reviews present rising beef costs as properly.

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“Drastically declining cattle inventories have made ground beef retail prices in the U.S. 13% dearer August 2025 than a year back,” in keeping with a Bureau of Labor Statistics (BLS) report. “By August, prices of steak and minced beef had surged by 16.6% and 12.8%, respectively, year-on-year (YoY).”  

Some consultants assume the worst is but to return.

“As high as prices are, I still think the risk is for prices to go up instead of down,” Michael Irgang, president and proprietor of International Danger Administration, a agency specializing in commodity threat administration for the meals and agribusiness industries, advised Meat and Poultry. “It’s a perfect storm of a bunch of different things coming together at the exact same time.”

That provides to the woes of barbecue chains already dealing with struggling shoppers, elevated labor prices, and an total difficult working market. Taken collectively, all of those situation have factored within the Chapter 11 chapter submitting from Smoke Ring, LLC, which operates eating places underneath the Ray Ray’s, Ray Ray’s Hog Pit, and Ray Ray’s Ohio Fashion model names.

Smoke Rings/Ray Ray’s file Chapter 11 chapter

Ray Ray’s first opened in 2009. The corporate shared its philosophy on its web site.

“What makes us different is our love for American barbecue traditions and how we combine that old-school smoke with new-school magic. From the beginning, our approach has attracted dedicated barbecue fans because they trust three things about Ray Ray’s,” it posted.

The chain had already closed some areas previous to its Chapter 11 chapter submitting.

Latest Ray Ray’s closures:

  • Johnstown location: Closed as of Nov. 12, 2025.
  • Marion location: Closed as of Nov. 12, 2025.
  • Linworth meals truck: Closed in November 2025 as a part of consolidation.
    Supply: Columbus Underground

The chain didn’t state in its chapter submitting whether or not it deliberate to shut every other areas. At present, 4 areas stay in operation, in keeping with the Ray Ray’s Hog Pit web site.

  • Clintonville (Columbus) – dine-in & carry-out. Ray Rays Hog Pit
  • Franklinton (at Land-Grant Brewing): BBQ service inside a brewery.
  • Westerville: Drive-thru & walk-up carry-out.
  • Granville: Dine-in & drive-thru.


Ray Ray’s has been a neighborhood favourite since 2009.

Ray Ray's Hog Pit

Smoke Ring, LLC chapter particulars

  • Case title:Smoke Ring, LLC has filed Chapter 11 chapter, in keeping with Inforuptcy.
  • Courtroom:United States Chapter Courtroom for the Southern District of Ohio (Columbus Division): The federal chapter court docket protecting Ohio’s central area. Case quantity:2:25-bk-55608: That is the distinctive docket quantity assigned to the submitting.
  • Filed:December 19, 2025: A voluntary Chapter 11 petition was submitted on this date. Inforuptcy
  • Money owed and property: The corporate reported between $1 million and $10 million in boths property and liabilities.
  • Choose: Assigned to Choose Mina Nami Khorrami.
  • Standing:Debtor in possession, the corporate stays accountable for its enterprise operations whereas restructuring.
  • Enterprise handle & DBA names:
    • 6670 Busch Blvd., Columbus, OH 43229
    • Also called Ray Ray’s, Ray Ray’s Hog Pit, and Ray Ray’s Ohio Fashion.
  • Subsequent step deadline: Beneath Subchapter V guidelines, a reorganization plan is due by March 19, 2026.
    Sources: Inforuptcy, PacerMonitor

2024 and 2025 BBQ‑Associated Chapter Filings

  • Smokin’ Dutchman Holdings (Dickey’s Barbecue franchisee): A franchise operator of Dickey’s Barbecue Pit in Michigan filed for Chapter 11 chapter to reorganize debt for 4 Dickey’s areas, citing monetary pressure from franchise obligations ($2.1M debt), reported Nation’s Restaurant Information.
    Smokin’ Dutchman (Michigan): Typically referenced in reviews underneath Dickey’s franchisee context, highlighting stress within the franchise BBQ ecosystem, in keeping with QSR Journal.
  • Sticky Fingers Eating places LLC (BBQ chain): Filed for Chapter 11 chapter in March 2025 after years of monetary strain, together with management modifications and restaurant closures; property had been small in comparison with liabilities, in keeping with Tasting Desk.
  • Burnt BBQ & Tacos (Plano, TX): Filed for Chapter 11 Subchapter V chapter on July 23, 2025. A small‑enterprise BBQ‑fashion idea combining BBQ and tacos with restricted debt, shared TheStreet.

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