A struggling franchise chain has revealed that nearly half of its locations were operating under corporate-backed lease agreements that have since become unsustainable, according to its founder. The admissions come as the company faces mounting financial pressures, raising concerns about the viability of its remaining outlets. Analysts suggest the disclosure may signal broader challenges in maintaining its physical presence. The statement underscores the difficulty of balancing corporate support with long-term profitability in a competitive market.
Founder Jorge Barragan said about 40 locations had corporate guarantee arrangements that became untenable for the company
