Sonny’s franchisee crafts solvency plan

The corporate owner of a half-dozen Sonny’s Real Pit Bar-B-Q franchises in metro Atlanta is close to emerging from Chapter 11 bankruptcy, some six months after filing for protection.

A federal judge in U.S. Bankruptcy Court in Atlanta this week approved Greater Atlanta Bar-B-Q LLC’s disclosure statement, paving the way for the Newnan-based company to seek creditors’ approval of its reorganization plan.

The court deadline for approval of the plan is April 20. Sonny’s has restaurants in Marietta, Lawrenceville, Athens, Conyers, Buford and Jonesboro.

Together, the franchises employ some 260 people.

The plan proposes restructured payments to secured creditors such as Sysco Food Services, which is owed $392,000. Unsecured creditors could receive 50 percent payment over a three-year period, according to the plan.

Greater Atlanta Bar-B-Q owner Ron Donley said he is confident the plan will be approved.

“We’re optimistic that the people will approve the plan,” said Donley, adding that the company could be out of Chapter 11 by mid-May.

The company acquired 14 Sonny’s locations in 2006. Within two years, it had shed more than half of the underperforming ones, including locations in Hiram and Austell.

Sonny’s, based in Maitland, Fla., has more than 138 restaurants, concentrated in the Southeast.