Employees stood frozen as doors locked behind them at multiple locations, marking the abrupt end of a fast-casual pizza chain’s once-promising run. Pieology, known for its build-your-own stone-fired pizzas, filed for Chapter 11 bankruptcy in December 2025 through its parent company, Little Brown Box Pizza, after shrinking from 135 locations in 2017 to about 45 still operating.
Founded in 2011, Pieology disrupted the pizza sector with a customization model akin to Subway’s sandwich assembly line. Customers selected toppings for personalized pies baked in high-heat stone ovens, sparking early buzz in the fast-casual space. The concept quickly gained traction, positioning the chain as a pioneer in individualized dining experiences.
Rapid Expansion and Early Warning Signs
Growth accelerated by 2017, with investments from high-profile backers including the co-CEOs of Panda Express and NBA star Kevin Durant. Locations spread across California and into other states. Yet cracks emerged amid market saturation and competition from rivals like Blaze Pizza and MOD Pizza, eroding returns as too many similar outlets crowded key markets.
The Bankruptcy Trigger: Crushing Debt
The filing revealed liabilities between $1 million and $10 million against assets of $100,000 to $500,000, affecting over 200 creditors such as vendors and landlords. Vendor debts included $255,526 owed to a Sysco branch. Sales plunged more than 10% in 2024, with 17 California stores closing that year alone ahead of the petition. In early 2025, founder Carl Chang reclaimed 29 underperforming franchise units for corporate control, but insufficient funding deepened the liquidity crunch. Tax obligations added pressure, including $125,946 to California’s Department of Tax and Fee Administration.
Human and Operational Toll
Closures since 2017 eliminated roughly 90 stores, displacing an estimated 1,650 to 2,750 workers—based on typical staffing of 25 per location—in states including California, Texas, and Florida. Headquarters in Fullerton, California, bore the brunt, with most surviving outlets clustered there: 16 company-owned and 29 franchised. Leadership instability compounded issues, as CEO Shawn Thompson exited in November 2025. Pandemic-era adaptations, like menu simplification and kitchen upgrades for takeout, arrived too late to stem declines fueled by rising labor, rent, and ingredient costs.
Restructuring Hopes Amid Industry Headwinds
Chapter 11 aims to reorganize around the remaining 45 sites, targeting labor efficiencies and menu overhauls. Competitors faced parallel woes: Blaze Pizza saw sales drop over 10% in 2024, MOD Pizza shut more than 44 locations before an acquisition, and brands like Fired Pie and Oath Pizza also filed for bankruptcy. Pieology’s international outposts in Mexico, Spain, and Puerto Rico persist modestly, but domestic woes stalled broader global plans. Shifting tastes have dimmed appeal for the DIY model, as younger diners favor quicker, cheaper options.
Pieology’s path forward hinges on navigating creditor claims and a saturated sector reset. Sustainable scaling and consumer adaptation will determine if it endures as a leaner operation or joins the fast-casual casualties, signaling broader lessons for restaurant chains on balancing ambition with resilience.
Sources:
“Pieology files for Chapter 11 bankruptcy after turnaround fails.” Restaurant Dive, 9 Dec 2025.
“Popular California Pizza Chain Files for Chapter 11 Bankruptcy.” EDhat, 10 Dec 2025.
“Pioneering national pizza chain files for Chapter 11 bankruptcy protection.” TheStreet, 9 Dec 2025.
“Pieology.” Wikipedia, updated 28 Dec 2025.