Fast food isn't immune to hard times. In 2023, many chains closed locations, and the trend is expected to continue.
Rising costs are squeezing profit margins, and inflation is making it hard to get ahead financially. Many familiar quick-serve chains are facing a tough year in 2024.
Here's a look at some fast-food chains that could be downsizing locations or even disappearing entirely in the coming months.
Earn cash back on everyday purchases with this rare account
Want to earn cash back on your everyday purchases without using a credit card? With the Discover®️ Cashback Debit Checking account (member FDIC), you can earn 1% cash back on up to $3,000 in debit card purchases each month!1
With no credit check to apply and no monthly fees to worry about, you can earn nearly passive income on purchases you’re making anyway — up to an extra $360 a year!
This rare checking account has other great perks too, like access to your paycheck up to 2 days early with Early Pay, no minimum deposit or monthly balance requirements, over 60K fee-free ATMs, and the ability to add cash to your account at Walmart stores nationwide.
Don’t leave money on the table — it only takes minutes to apply and it won’t impact your credit score.
Apply for a Discover Cashback Checking account today
Boston Market
Boston Market has been plagued by lawsuits, unpaid bills, and closed restaurants for some time. The chain’s owner, Jay Pandya, has filed for personal bankruptcy twice.
Boston Market had 300 locations at the beginning of 2023. But last year, it closed many locations due to evictions for unpaid bills and government shutdowns for unpaid sales taxes. As of right now, there are just 27 operating Boston Market restaurants.
Unless this company experiences a serious turnaround, 2024 might be the end for Boston Market.
Hardee’s
Summit Restaurant Holdings, a major franchisee of Hardee’s restaurants, filed Chapter 11 bankruptcy after closing 39 restaurants in 2023.
The spree of closures has continued into 2024, with several Illinois locations closing in January. We will find out whether this is the end of Hardee’s troubles.
Burger King
Burger King closed hundreds of stores in 2023. The high number of closures was linked to three different franchisees filing for bankruptcy and many more shuttering unprofitable stores.
However, executives hope this sad chapter in the company's history is behind them. Burger King is reinvesting in more marketing and remodeling stores to the tune of $400 million.
Hopefully, the restaurant chain's rate of closures will slow in 2024, but only time will tell.
Get a protection plan on all your appliances
Did you know if your air conditioner stops working, your homeowner’s insurance won’t cover it? Same with plumbing, electrical issues, appliances, and more.
Whether or not you’re a new homeowner, a home warranty from Choice Home Warranty could pick up the slack where insurance falls short and protect you against surprise expenses. If a covered system in your home breaks, you can call their hotline 24/7 to get it repaired.
For a limited time, you can get your first month free with a Single Payment home warranty plan.
Krystal
Krystal has been in trouble for some time. The burger chain filed for bankruptcy in 2020. Fortress Investment Group then acquired Krystal and brought it under the SPB Hospitality umbrella.
By the end of 2022, the number of Krystal restaurants had decreased by 21% over the previous five years.
The plan now is to sell corporately owned stores to multi-unit franchise operators and expand Krystal’s footprint. Jack in the Box is using a similar strategy.
White Castle
As one of the oldest American burger chains, you might expect White Castle to avoid the woes of newer establishments. But when you get sued for biometric privacy law violations, you’re bound to run into trouble — no matter how good the food is.
White Castle faces a judgment of a staggering $17 billion for scanning employees’ fingerprints without consent. Media reports have speculated that a ruling of this magnitude could jeopardize the long-standing restaurant’s future.
Trending Stories
Steak ‘n’ Shake
In 2018, Steak ‘n’ Shake had 626 locations. That number dwindled to less than 500 as of 2023. This unnerving trend has continued despite increasing sales.
In 2021, Biglari Holdings stepped in just in time to prevent Steak ‘n’ Shake from filing for bankruptcy. The investment group overhauled the brand, switching it from family dining to a counter-serve and drive-thru restaurant.
However, the overhaul slowed down in 2023, with just two restaurants undergoing such a conversion. That change has Steak ‘n’ Shake fans nervous about what the upcoming year will bring.
Bagger Dave’s
Bagger Dave's Burger Tavern has been closing locations since 2015. This company doesn't have the presence of McDonald's or Wendy's, but at one time, it had 26 stores across Michigan, Indiana, and Ohio.
Now, that number is down to six.
In a press release, BT Brands — which owns a 40% stake in the company — announced it would convert the existing restaurants into new concepts later in 2024. The Bagger Dave's as we knew it may be gone for good.
Bottom line
Reduced traffic and sales, higher prices, and customers decreasing what they spend on fast food all spell trouble for the fast-food industry in 2024.
The good news is that there are still plenty of thriving chains and local restaurants to enjoy if you want to go out to eat more. Still, nobody likes to see their favorite restaurant disappear.
Lucrative, Flat-Rate Cash Rewards
FinanceBuzz writers and editors score cards based on a number of objective features as well as our expert editorial assessment. Our partners do not influence how we rate products.
Wells Fargo Active Cash® Card
Current Offer
$200 cash rewards bonus after spending $500 in purchases in the first 3 months
Annual Fee
$0
Rewards Rate
Earn unlimited 2% cash rewards on purchases
Benefits
- Low spend threshold for its welcome offer — $200 cash rewards bonus after spending $500 in purchases in the first 3 months
- Cell phone protection benefit (subject to a $25 deductible)
- Can redeem rewards at an ATM for literal cash
Drawbacks
- Foreign transaction fee of 3%
- No bonus categories
- Select “Apply Now” to take advantage of this specific offer and learn more about product features, terms and conditions.
- Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months.
- Earn unlimited 2% cash rewards on purchases.
- 0% intro APR for 12 months from account opening on purchases and qualifying balance transfers. 19.74%, 24.74%, or 29.74% Variable APR thereafter; balance transfers made within 120 days qualify for the intro rate and fee of 3% then a BT fee of up to 5%, min: $5.
- $0 annual fee.
- No categories to track or remember and cash rewards don’t expire as long as your account remains open.
- Find tickets to top sports and entertainment events, book travel, make dinner reservations and more with your complimentary 24/7 Visa Signature® Concierge.
- Up to $600 of cell phone protection against damage or theft. Subject to a $25 deductible.
Subscribe Today
Want extra-cash moves to come right to you?
Stop browsing endlessly. Get proven ways to earn pocket money, help cover rent, and crush your debt — sent to your inbox daily.
Author Details