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According to a filing from Houston’s Southern Texas District, Cajun Cafe in Razoo filed for Chapter 11 bankruptcy protection on Wednesday, October 1st.
In federal court documents obtained by USA Today, Razzoo CEO Philip Parsons said the decision to file for bankruptcy comes after a decline in sales and changes in consumer spending, convenience diner preferences and other factors.
“Therefore, sales (from Razzoo’s Cajun Cafe) continue to be favorable for forecasting in light of fierce competition between casual meal chains to attract consumers who want the best value for their tense budget,” he said in a declaration in favour of bankruptcy filing.
At the time of filing, the restaurant chain operated 20 locations in Texas, North Carolina and Oklahoma. Court records show that the chain closed four unperforming locations in 2024 and 2025.
As of Friday, October 3, it is unclear whether Razzoo’s plans to close the remaining stores are unclear. USA Today contacted Razzoo’s but did not receive a response.
What is Cajun Cafe by Razzoo?
According to bankruptcy court documents, Razzoo opened its first location in Dallas, Texas in 1991, “the goal is to meet the needs of Cajun culture and culinary markets.”
Due to positive cash flow and customer enthusiasm for the restaurant concept, Razzoo had six total locations in Texas by 1996, and by 2021 it had grown to a total of 14 locations.
At Razzoo’s Peak, the chain had 24 locations in Texas, North Carolina and Oklahoma, court filings say.
Other popular chains that have recently filed for Chapter 11 bankruptcy
Razzoo’s bankruptcy filing is as other popular chains recently filed for Chapter 11. BravoBrioRestaurants LLC includes 25 Brio Italian Grille Restaurants and 23 Bravo Italian Kitchen restaurants, filed for bankruptcy for the second time in August in about five years.
A month later, in September, Greek restaurant chain OPA! Real Greek food filed for bankruptcy with plans to liquidate the remaining assets of the California company.
Outside of the casual dining realm, canned food agency DelMonte Foods raised Chapter 11 bankruptcy protection in July.
Contributors: Mary Walrath Holdridge, Mike Snyder & James Powell/USA TODAY
Fernando Cervantes Jr. is a trending news reporter for USA Today. Contact him at fernando.cervantes @gannett.com and follow him at x @fern_cerv_.
