---
title: "Gigi’s Cupcakes, Mr. Gatti’s Pizza Franchises Declare Bankruptcy"
url: https://burnaze.com/article/7aef2366-ad5f-4d74-929a-473b1683aa14
source: "1851 Franchise"
original_url: https://1851franchise.com/gigis-cupcakes-mr-gattis-pizza-franchises-declare-bankruptcy-2708815
category: "Pizza"
industry: "Restaurants"
segment: "Pizza"
topics: ["Finance & M&A"]
published: 2019-01-09T15:10:44.000Z
modified: 2026-11-01T02:30:42.364Z
image: https://newimage.1851franchise.com/cdn-cgi/image/quality=85,format=webp,width=1280,height=720/story/featureImage/8869eac8d5ea9e9a524a6dc36e2aead97834.jpg
---

# Gigi’s Cupcakes, Mr. Gatti’s Pizza Franchises Declare Bankruptcy

**TL;DR:** Gigi's Cupcakes and Sovrano LLC, owner of Mr. Gatti's Pizza, have filed for Chapter 11 bankruptcy. Both chains are affiliates of FundCorp, a private equity group based in Fort Worth, Texas.

*originally published in 1851 Franchise on 2019-01-09. [Read the original](https://1851franchise.com/gigis-cupcakes-mr-gattis-pizza-franchises-declare-bankruptcy-2708815).*

## Story

Gigi's Cupcakes and Sovrano LLC, owner of Mr. Gatti’s Pizza, have both filed for Chapter 11 bankruptcy, according to a report in Nation’s Restaurant News.

Both chains are affiliates of FundCorp, a private equity group based in Fort Worth, Texas. According to the article, Gigi’s bankruptcy filing petitioned to have its case joined with Sovrano. FundCorp bought the 96-unit cupcake chain in 2016, at which point the franchise brand relocated from its Nashville base to Texas. In the filing, Gigi’s listed liabilities ranging from $1 million-$10 million.

Sovrano purchased Austin, Texas-based pizza chain Mr. Gatti’s in 2015, and has since grown the brand to nearly 100 units. Sovrano listed liabilities ranging from $10 million-$50 million.

## Entities

- 1851 Franchise (publication)
- Restaurants (sector)
- private equity (topic)
- Mr Gatti's Pizza (company)
- chapter 11 bankruptcy (topic)
- franchise bankruptcy (topic)

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Originally reported by 1851 Franchise (https://1851franchise.com/gigis-cupcakes-mr-gattis-pizza-franchises-declare-bankruptcy-2708815). Summarized by Burnaze (https://burnaze.com/article/7aef2366-ad5f-4d74-929a-473b1683aa14).