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Salad and Go Files for Chapter 11 Bankruptcy Amid Operational Struggles
Consumer Services · Restaurants · cnbc · 2026-08-05
SG, WING, JMKE, YUM, CMG, DNUT
Fast-casual chain Salad and Go has filed for Chapter 11 bankruptcy and plans to close all remaining locations following a difficult period of industry headwinds.
What Happened
Bankruptcy Filing: Salad and Go has officially initiated Chapter 11 bankruptcy proceedings and announced the permanent closure of all its remaining locations. The company cited a combination of strategic growth challenges, rising operational costs, and declining consumer demand as primary drivers for this decision.
Impact of Health Concerns: The company noted that a recent cyclospora outbreak, while not directly linked to their specific operations, severely damaged consumer confidence across the entire fresh produce industry. This widespread mistrust of lettuce caused a significant drop in traffic, compounding existing financial pressures on the brand.
Expansion and Leadership Shifts: Founded in 2013, the chain had previously pursued an aggressive expansion strategy under private equity ownership. Following leadership changes and a series of store closures in Texas and Oklahoma, the company's footprint was reduced to approximately 70 locations before the final shutdown.
Industry-Wide Fallout: The cyclospora outbreak has affected multiple major restaurant chains, including Taco Bell and Chipotle, which also reported traffic dips due to consumer anxiety. While larger competitors have shown signs of recovery, the smaller Salad and Go was unable to overcome the combined weight of these external and internal challenges.