A growing number of restaurant chains have been struggling in 2024 with dropping sales, restaurant closures, and declining customer traffic, forcing some to resort to bankruptcy in the hopes of staying afloat.
Now, a struggling burger chain based in the Midwest is the latest to face bankruptcy this year in a bid to revive its business.
The parent company of Kuma's Corner—known for serving up thick, over-the-top burgers and draft beer in a rock and roll-themed setting—officially filed for Chapter 11 bankruptcy earlier this month.
Indoor dining and capacity restrictions, for example, were implemented across the country. Kuma's also temporarily closed all of its restaurants in the early days of the COVID-19 pandemic, resulting in lost business.
On top of the COVID restrictions, the fast-growing popularity of smash burgers probably hasn't helped Kuma's financial situation.
While smash burgers are known for having thin, caramelized patties, the burgers at Kuma's Corner are big and loaded with messy, bold toppings.
Other prime examples include the prime rib-topped "Tribute" burger and a "Plague Bringer" festooned with crushed garlic, housemade hot sauce, pepperjack cheese, jalapeños, tortilla strips, and roasted garlic mayo.
Kuma's Holdings is only the latest restaurant company to contend with bankruptcy this year. Earlier this month, the fast-casual Mexican chain Rubio's Coastal Grill filed for Chapter 11 bankruptcy shortly after it abruptly closed 48 underperforming restaurants in California.