Krystals, an 88-year-old fast food chain best known for its small, square hamburgers served on steamed buns, filed Chapter 11 bankruptcy on Sunday.
Krystals stated that there were several contributing factors to the filing. Some of these are increasing competition, shifting consumer tastes and the rise of online delivery platforms.
The tight market has made it difficult for the company to find employees and it is common for fast food restaurants to have 200% turn over rate, according to the filing.
The company has between 50 million and 100 million dollars in debts, and its restaurants will remain open for the duration of the bankruptcy process, according to CNN Business.
“The actions we are taking are intended to enable Krystal to establish a stronger business for the future and to achieve a restructuring in a fast and efficient manner,” a Krystals spokesperson said.
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