True Food Kitchen Files for Chapter 11 Bankruptcy

True Food Kitchen filed for Chapter 11 bankruptcy protection in a Texas court on Sunday to address approximately $42 million in debt. The health-focused restaurant chain is pursuing a court-supervised sale as part of a restructuring effort to simplify its business operations.

Concurrent with the filing, the company closed 12 restaurants, leaving 34 locations across 14 states. Court documents attribute the financial distress to the long-term effects of the COVID-19 pandemic and significant management turnover. These factors led to inconsistent expansion strategies and unsuccessful investments in new product lines, while some locations faced declining foot traffic and shifting demographics.

Founded by Andrew Weil and Sam Fox, the chain has been backed by high-profile investors including former Starbucks CEO Howard Schultz and Oprah Winfrey. While Winfrey remains a minority investor, she is no longer a member of the board of directors.