Filing Alert: Salad And Go Chapter 11

And Go Concepts, LLC, a Tempe, AZ-based company which owns the Salad and Go restaurant chain, filed for Chapter 11 protection on August 04, 2026, in the U.S....

And Go Concepts, LLC and its debtor affiliates⁽¹⁾, a Tempe, AZ-based company which owns the Salad and Go restaurant chain, filed for Chapter 11 protection on Aug. 4 in the U.S. Bankruptcy Court for the Southern District of Texas.

The company attributes the filing to an aggressive expansion into Texas and Oklahoma (the "Central Region") beginning in 2021 under prior leadership. It spent more than $47.1 million building out a central production commissary in Garland, TX — approximately $72.5 million of total investment including new market tax credit financing — and the region underperformed on sites less accessible and visible than its Arizona locations, unit growth ahead of consumer awareness, and $15 million to $20 million per year of fixed commissary overhead. The Central Region was significantly cash-flow negative even before corporate overhead allocation.

Downsizing proved insufficient. The company closed approximately 41 Central Region locations in September 2025, announced the closure of all remaining Texas and Oklahoma stores in January 2026, and shut the Garland Facility on or about Jan. 11, 2026 — more than 70 closures in total, against a peak footprint of 146 units and a peak valuation of approximately $1.1 billion in 2022 — alongside significant corporate headcount reductions. The retained Arizona and Nevada restaurants ran at roughly break-even at the store level, but residual corporate overhead, dead rent on closed-store leases, and administrative costs left the business in unsustainable cash burn. Rising gas prices, reduced consumer spending, and a cyclospora outbreak accelerated losses over the final 90 days.

The Debtors enter chapter 11 with an unusually clean prepetition capital structure. AGC OpCo, the primary operating entity, carries no secured indebtedness; material funded debt is isolated to the special-purpose entities formed for the Garland financing. Debtor AGC-North Texas Facilities, LLC — inactive since Garland ceased operations — is the borrower under NMTC QLICI loans of $25.4 million from three Regions Bank affiliates, secured by account pledges and a negative pledge and guaranteed by AGC OpCo and non-debtor AGC Holdco, LLC. Existing equity holders contributed approximately $27 million of new-money capital between December 2025 and January 2026 in connection with the AGC Topco, LLC recapitalization, which does not constitute secured indebtedness and has been substantially consumed by prepetition operating losses, dead rent, and wind-down costs.

The Debtors executed an asset purchase agreement on Aug. 4, 2026 — the petition date — with Boersma Bros. LLC d/b/a Dutch Bros (NYSE: BROS) for 51 Arizona and Nevada drive-thru leases at $105.0 million in cash, plus $50 for a bundle of 14 shuttered Texas and Oklahoma leases conveyed as-is. Proposed cure costs across all 65 leases total approximately $0.9 million.

The Debtors are seeking approval as a private sale, with no auction proposed. The APA preserves a fiduciary out for an unsolicited superior offer, backstopped by a $3.8 million termination fee plus expenses and a $10.0 million minimum overbid. Buyer rejection of any Arizona or Nevada lease before closing reduces the price by approximately $2.1 million per site, with an outside date of Dec. 31, 2026. The Debtors state that proceeds should pay all allowed claims in full — an assumption that rests on landlord rejection claims being capped under section 502(b)(6).

Alongside the sale, the Debtors have sought emergency approval of lease and contract rejection procedures, authority to pay PACA/PASA trust claims, priority taxes, and retained-employee wages for the approximately 1,300-person workforce, and authority to draw funds held at non-debtor AGC Topco, LLC, which may or may not become a debtor in these cases.

The company reports $500 million to $1 billion in both assets and liabilities. The filing indicates that there will be funds available for distribution to unsecured creditors. The case number is 26-90753.

⁽¹⁾ For a complete list of debtor entities, see the Chapter 11 Debtors table.

Chapter 11 Debtors

Affiliated Debtors Chart
Source: Bondoro, Court filings

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