What's Next For This NY-Based Fried Chicken Chain After Filing For Bankruptcy?

It's never nice to hear that your favorite chicken spot is struggling, but it's especially unfortunate to learn it's officially filed for bankruptcy. This was the case for Sticky's Chicken Joint, one of the many once-popular restaurants that filed for bankruptcy in 2024. However, after filing for Chapter 11 bankruptcy in April 2024, the New York-based chicken chain might have found some light at the end of the tunnel. A Delaware judge ruled during a recent hearing that Sticky's can proceed with the sale of its assets, keeping its name and a handful of locations up and running in the process.

The sale, which would be for $2 million, would allow Sticky's to avoid filing Chapter 7 bankruptcy — which would see its assets liquidated completely in order to pay back its debt. Seeing as this would likely result in the chain's death, the sale — while not yet official — gives hope to fans of the chain rooting for its success.

Long before the chain's 2024 bankruptcy, Sticky's first opened its doors in 2012, seeing quick success as it grew to four locations by 2018. The chain is best known for its delicious chicken and the assortment of sauces that have gone with it over the past 13 years, the latter of which has become such a key aspect of chicken shops over the years that KFC opened an entire restaurant devoted to special sauces.

However, after years of steady success for Sticky's Chicken Joint, the COVID-19 pandemic hit the chain hard financially. After attempting to adapt to the delivery model that many were forced to adopt in 2020, the lockdown — and the inflation that came during and after it — inevitably resulted in reduced foot traffic to Sticky's locations. This inability to maintain a large consumer base was ultimately the biggest factor in the chain's 2024 bankruptcy.

The 2020s weren't exclusively negative for the New York-based chicken shop, though. The chain made 22 million dollars in sales in 2023 and still has a very loyal fanbase in both New York and New Jersey. It's unlikely this persistent cult popularity will lead to Sticky's joining the fried chicken chains that are actively growing anytime soon, but its potential sale 13 months into bankruptcy is as good of news as any for the restaurant.