Just a few years ago, Salad and Go was one of the restaurant industry’s fastest-growing success stories, expanding rapidly with its affordable drive-thru salads, wraps, and breakfast menu. Now, the Arizona-founded chain has filed for Chapter 11 bankruptcy and permanently closed all of its remaining restaurants, marking one of the year’s biggest restaurant industry collapses.
A rapid rise comes to an abrupt end
Founded in Gilbert, Arizona, in 2013, Salad and Go built a loyal following by offering fresh, healthy meals at fast-food prices. The company expanded into Arizona, Nevada, Texas, and Oklahoma, reaching a valuation of approximately $1.1 billion at its peak. But rapid expansion, particularly into newer markets, ultimately proved difficult to sustain.
On August 5, the company announced it had filed voluntary Chapter 11 bankruptcy petitions and that all remaining locations would permanently close following final guest service that day. The bankruptcy filing is intended to facilitate an orderly sale of the company’s assets and satisfy its obligations to creditors.
Multiple challenges proved too much to overcome
In a statement, Salad and Go said it was unable to overcome sustained pressure on consumer demand, rising operating costs, and challenges stemming from its earlier growth strategy. The company also said a nationwide Cyclospora outbreak in July—although Salad and Go was not implicated—weakened consumer confidence across the fast-casual salad sector and further reduced customer traffic.
Court filings also reveal that Dutch Bros’ parent company has agreed to purchase many of Salad and Go’s drive-thru leases and equipment, allowing those locations to be converted into future Dutch Bros stores across Arizona, Nevada, Texas, and Oklahoma…