Wendy’s, the popular fast-food chain known for its square burgers and frosty desserts, has been the subject of a viral rumor that it is closing all its stores in 2023. The rumor spread like wildfire on social media platforms, causing panic and confusion among loyal customers and fans. But is there any truth to this claim? Or is it just another hoax that has been blown out of proportion? In this article, we will examine the facts behind the rumor and the reality of Wendy’s situation.
The Situation that Fueled a Rumor of Wendy’s Closing All Stores in 2023 Started
The rumor originated from a report that came out last week, revealing that Starboard Group, a large Wendy’s franchisee that operates around 72 locations in Florida, Alabama, Illinois, Missouri, and Wisconsin, had filed for Chapter 11 bankruptcy. The report stated that Starboard Group had closed nine of its unprofitable restaurants shortly before the filing, and blamed the bankruptcy on a combination of post-COVID consumer habits, ever-increasing costs to do business, and significantly higher interest rates.
Starboard Group is not the only quick-service restaurant franchisee that has faced financial difficulties in 2023. Several other franchisees of brands such as Burger King, Hardee’s, McDonald’s, and Popeye’s have also filed for bankruptcy protection this year, citing similar challenges. The pandemic has taken a toll on the restaurant industry, especially on those that rely heavily on dine-in traffic and have high debt levels.
However, Starboard Group’s bankruptcy does not mean that Wendy’s as a whole is going out of business. In fact, Starboard Group’s 72 closed locations account for only around 2% of the 6,000 Wendy’s locations open around America.
Wendy’s itself is not involved in the bankruptcy proceedings, and has stated that it is working with Starboard Group to ensure a smooth transition of the affected restaurants to new operators. Wendy’s has also reported positive sales growth and strong performance in the third quarter of 2023, despite the challenging economic environment.
The rumor that Wendy’s is closing all stores in 2023 is only half true. There is definitely a bunch of Wendy’s stores closing around America, but not close to all of them.
Wendy’s is still a viable and profitable business, and has plans to expand its presence in both domestic and international markets. Wendy’s fans can rest assured that their favorite burgers and frosties are not going anywhere anytime soon, unless you live in the very specific areas we talked about above.
