Perks per Share

Unlisted bonds

Chilango

2014 Burrito Bond

In liquidation
What bondholders got Burritos for bondholders Retail bond

Chilango serves burritos and other Mexican food. In 2014, when it had seven restaurants in central London, it raised money from individual investors through Crowdcube to open more. Tortilla bought the restaurant business in 2022.

In liquidationChilango Bonds plc is in liquidation. The report covering the year to 11 October 2025 records no payments to unsecured creditors and says their future distribution prospects were “Not known”.

What bondholders got

Bond issuer: Chilango Bonds plc.

The 2014 Burrito Bond offered 8% annual cash interest, paid twice a year, over an initial four-year term. The minimum loan was £500. The terms offered every bondholder a voucher for two free burritos, and the first 100 investors were offered an invitation to a restaurant party. Anyone lending £10,000 or more was also offered a Black Card for a free burrito each week until 31 July 2018 or repayment of the bond, if sooner.

The 2014 Crowdcube offer

Investors applied through Crowdcube and lent money to Chilango Bonds plc. Mucho Mas Limited, which ran the restaurants, guaranteed the payments. The bonds were unsecured, could not be transferred and could not be sold on a stock exchange.

How long the burritos lasted

The invitation’s summary promised a weekly burrito for the life of the bond. Its Black Card terms were narrower: at most four years, ending on 31 July 2018 or repayment. Only the bondholder could use the card. The two-burrito voucher expired on 31 December 2014. Neither covered drinks or extras.

What the liquidator recovered

The liquidator received money from the insolvency of Mucho Mas Limited, the restaurant company that guaranteed the bonds. The report records nothing paid to unsecured creditors, so that receipt does not establish a payment to bondholders.

The invitation on Scribd

Scribd hosts a copy of the invitation. Crowdcube’s July 2014 campaign confirms the offer. City A.M.’s report at launch also described the cash interest and burrito rewards; the invitation sets out the exact terms.

History

  1. No creditor distribution recorded

    The liquidator’s report covers the year to 11 October 2025. Its unsecured-creditor table records payments to date as nil and future distribution prospects as unknown.

  2. Bond issuer entered liquidation

    The liquidator’s report records 12 October 2020 as the appointment date. The bond issuer remains in liquidation despite the restaurant brand’s later sale.

  3. Bondholders faced a restructuring

    City A.M. reported that shareholders backed a plan to convert Chilango’s burrito-bond debt into preference shares. It put bondholders’ total investment at £5.8 million. Shareholders had voted on that plan as an alternative to paying bondholders 10p in the pound. The vote did not establish what bondholders ultimately received.