Sausalitos Files for Insolvency, Impacting Over 40 Locations
The American-Mexican restaurant chain seeks to maintain operations while addressing financial challenges.
Sausalitos, the well-known restaurant chain celebrated for its large cocktails and American-Mexican cuisine, has officially filed for insolvency, impacting operations across more than 40 locations in Germany.
Despite the bankruptcy filing, the company has announced that its self-operated restaurants will remain open during this period.
Approximately 1,000 employees will receive secured wages through the end of May 2024.
The insolvency application was submitted to the local court in Munich, covering various entities, including Sausalitos Holding GmbH and Sausalitos Aachen GmbH.
It has been clarified that locations operated by franchisees will not be directly affected by the insolvency filing.
Michael Schuster from the law firm Jaffe has been appointed as the insolvency administrator.
Schuster has indicated that the immediate goal is to ensure continued operations while seeking an investor to secure the future of Sausalitos as a catering concept.
The company has attributed its financial difficulties to the ongoing repercussions of the COVID-19 pandemic, which has markedly altered consumer behavior and resulted in a decline in customer numbers.
Additionally, broader economic pressures within Germany have contributed to reduced revenues and profitability.
The segment specializing in 'beverage-oriented service gastronomy' has been particularly hard-hit.
Founded by Thomas Hirschberger in 1994, Sausalitos opened its first location in Ingolstadt and has since grown to establish over 40 sites throughout Germany following a sale to investors in 2014.
Despite the bankruptcy filing, the company has announced that its self-operated restaurants will remain open during this period.
Approximately 1,000 employees will receive secured wages through the end of May 2024.
The insolvency application was submitted to the local court in Munich, covering various entities, including Sausalitos Holding GmbH and Sausalitos Aachen GmbH.
It has been clarified that locations operated by franchisees will not be directly affected by the insolvency filing.
Michael Schuster from the law firm Jaffe has been appointed as the insolvency administrator.
Schuster has indicated that the immediate goal is to ensure continued operations while seeking an investor to secure the future of Sausalitos as a catering concept.
The company has attributed its financial difficulties to the ongoing repercussions of the COVID-19 pandemic, which has markedly altered consumer behavior and resulted in a decline in customer numbers.
Additionally, broader economic pressures within Germany have contributed to reduced revenues and profitability.
The segment specializing in 'beverage-oriented service gastronomy' has been particularly hard-hit.
Founded by Thomas Hirschberger in 1994, Sausalitos opened its first location in Ingolstadt and has since grown to establish over 40 sites throughout Germany following a sale to investors in 2014.
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