A Popeyes franchisee with more than 100 locations in the southeastern U.S. has reportedly filed for bankruptcy.
Sailormen Inc., which manages 136 Popeyes Louisiana Kitchen locations across Georgia and Florida, filed for Chapter 11 bankruptcy Thursday, according to court documents reviewed by USA Today. The franchisee’s debt totals nearly $130 million, the documents indicate.
Chapter 11 bankruptcy is a process through which a company can come up with a reorganization plan that allows it to still operate while paying back its debts.
The franchisee cited inflation, the COVID-19 pandemic and the "increasingly limited qualified labor force" in court documents filed in the Southern District of Florida, according to USA Today.
The organization did not share any information about potential closures in its court filings, the outlet reports. It reportedly employs about 3,272 hourly workers.
Sailormen Inc. was founded in 1984, and at one point operated stores in Alabama, Florida, Georgia, Illinois, Louisiana, Missouri and Mississippi, according to the obtained court filings.
The organization reportedly sold many of these locations between 2012 and 2018 to focus on its stores in Florida and Georgia. The franchisee also attempted to sell 16 locations in 2023, but the deal fell through, leaving it responsible for the leases, USA Today reports.
Peter Perdue, the president of Popeyes in the U.S. and Canada, said that a "large majority" of restaurants operated by Sailormen Inc. are likely to remain open, according to a note reviewed by Restaurant Business.
“Sailormen has been a successful, growth-oriented franchise organization for many years in our system. A large majority of their restaurants are very profitable, in line with our system average (and some above average)," he said.
The Independent has contacted Sailormen Inc. for comment.
The news follows a series of fast food chain closures in recent months.
Earlier this month, the drive-through chain Salad and Go shuttered all 25 remaining Texas locations, along with 11 stores in Oklahoma. The Colorado-based chain Noodles & Company also recently announced it expects to close up to 35 restaurants in 2026, after shuttering 33 in 2025.
Burger chain Jack in the Box similarly closed dozens of underperforming restaurants across the U.S. last year. The move was part of the brand’s “Jack on Track” plan, which looked to improve the company’s finances.
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