A Popeyes franchisee operating more than 100 locations in the southeastern United States has filed for bankruptcy, putting over 130 restaurants at risk. Sailormen Inc., which manages 136 Popeyes Louisiana Kitchen outlets across Georgia and Florida, filed for Chapter 11 bankruptcy on Thursday, according to court documents reviewed by USA Today. The franchisee's debt totals nearly $130 million.
Chapter 11 bankruptcy allows a company to reorganise its debts while continuing operations. Sailormen cited inflation, the COVID-19 pandemic, and an 'increasingly limited qualified labour force' in its filing in the Southern District of Florida. The company employs approximately 3,272 hourly workers and did not disclose potential closures in its court filings.
Founded in 1984, Sailormen once operated stores in Alabama, Florida, Georgia, Illinois, Louisiana, Missouri, and Mississippi. It sold many of those locations between 2012 and 2018 to focus on Florida and Georgia. An attempt to sell 16 locations in 2023 fell through, leaving the franchisee responsible for the leases.
Peter Perdue, president of Popeyes in the US and Canada, said in a note reviewed by Restaurant Business that a 'large majority' of Sailormen's restaurants are likely to remain open. '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 stated.
The bankruptcy follows a series of fast food chain closures in recent months. Salad and Go shuttered all 25 remaining Texas locations and 11 stores in Oklahoma earlier this month. Noodles & Company announced it expects to close up to 35 restaurants in 2026 after shutting 33 in 2025. Jack in the Box also closed dozens of underperforming restaurants last year as part of its 'Jack on Track' plan.
