Mexican eating places have been struggling over the previous couple of years. That is partially on account of customers slicing again on their spending, and partly on account of oversaturation.
Individuals love Mexican meals, and that has led to most markets having extra Mexican eating places than they will help. There is no one particular factor hurting Mexican chains versus different struggling eating places.
Consultants haven’t dubbed this a development. As an alternative, it is a part of one thing greater.
“On The Border has been weighed down in recent times by macroeconomic elements which have negatively impacted the corporate,” Jonathan Tibus, restructuring officer for OTB Holdings, stated in On The Border’s Chapter 11 Chapter submitting.
And whereas there have been a number of bankruptcies, a survey by el Restaurante exhibits the information just isn’t all unhealthy.
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The el Restaurante survey confirmed that 45% of Mexican eating places have seen gross sales develop in 2024.
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Virtually 1 / 4 (23%) stated gross sales have been flat.
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The remaining 32% stated gross sales are down this yr.
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In 2023, solely 25 p.c of survey respondents reported that gross sales have been down from the earlier yr.
Regardless of these considerably encouraging numbers, one other Mexican chain, El Burro Loco, has filed for Chapter 11 chapter safety.
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On The Border Mexican Grill & Cantina
Filed: March 2025 Particulars: Closed 40 underperforming areas earlier than/round submitting; 60 company-operated models remained. Property & liabilities have been estimated between $10 million and $50 million.Supply: PacerMonitor -
Tijuana Flats
Filed: April 2024 Particulars: Closed 11 eating places throughout restructuring, modified possession; emerged from Chapter 11 in early 2025 with menu/format refresh plans.Supply: PacerMonitor -
Rubio’s Coastal Grill
Filed: June 5, 2024 Particulars: A quick-casual Mexican chain; filed to restructure after struggles, particularly in California. Closed 48 areas there.Supply: PacerMonitor -
Abuelo’s Mexican Restaurant
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Filed: September 2025
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Particulars: Operated by Meals Ideas Worldwide; peak about 40 areas, right down to 16 or so on the time of submitting. Cited rising prices, labor challenges, falling gross sales. Liabilities/property between $10 million and $50 million.
Supply: PacerMonitor
Whereas it is not a big chain, El Burro Loco had construct a big following in Central Florida. And since its areas are in high-tourist areas, the small chain had an outsized repute.
The chain had an total ranking of 4 stars on Yelp, the place most evaluations have been constructive.
“Strong spot for Mexican meals in Orlando! The meals was nice. I obtained the California burrito and it was loaded with taste, large parts, and every little thing tasted recent. The service was fast and pleasant although it was busy, and so they made positive every little thing got here out scorching. The ambiance is informal and ideal for a late-night chew with clear tables, upbeat power, and a chill vibe total. Costs are truthful for the portion dimension too. Positively a spot I might come again to after I’m craving burrito,” wrote Christian H from Georgia, an Elite 25 reviewer on Yelp.
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