Back Yard Burgers makes comeback, eyes KC as growth market

Back Yard Burgers is targeting Kansas City, along with a few other select markets, as it looks to make a comeback from bankruptcy. | Courtesy of Backyard Burgers
Back Yard Burgers is targeting Kansas City, along with a few other select markets, as it looks to make a comeback from bankruptcy. | Courtesy of Backyard Burgers

Back Yard Burgers is targeting Kansas City as one of a few growth markets as it attempts a comeback after filing for bankruptcy nearly two years ago. According to David McDougall, CEO of the Nashville, Tenn.-based restaurant chain since January 2013, the company exited Chapter 11 in January 2013 and has posted steady sales gains since then.

Back Yard Burgers, which was first launched in 1987 and peaked in October 2012 with 160 stores, now has 68 stores remaining, including seven locations in Missouri. Pharos Capital Group, an equity firm headquartered in Dallas and Nashville, has invested in the company since 2008 and is now 100 percent equity owner.

Gene Scassellati, a Back Yard Burgers franchisee for 17 years, owns all three locations in the Kansas City area. Scassellati said he doesn’t plan to open more stores in the area, but he thinks the chain’s approach of recruiting new franchisees could bring the area total back to its previous high of about dozen locations within a couple of years.

Read more at Kansas City Business Journal


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