"On January 15, Popeyes Louisiana Kitchen franchisee Sailormen Inc. filed for Chapter 11 bankruptcy protection in the United States Bankruptcy Court for the Southern District of Florida. Sailormen has been a Popeyes franchisee since the 1980s, and it currently operates 130 locations of the popular fried chicken chain. The conditions leading to the company's bankruptcy filing centered on increased debt burdens, driven by several factors."
""Those factors include, among others, the national impact of the COVID-19 pandemic on restaurant operations, consumer choice, high inflation, increased borrowing rates, and an increasingly limited qualified labor force," the company said in its filing. As reported by Restaurant Business, in 2023, Sailormen parent company, Interfoods of America, had a deal to sell 16 Sailormen-owned locations to another company, but that deal fell through, leaving Sailormen liable for the lease payments on those stores, significantly contributing to the company's financial woes."
On January 15, Sailormen Inc., a long-time Popeyes franchisee, filed for Chapter 11 in the Southern District of Florida. The company operates 130 Popeyes locations across Florida. Increased debt burdens—attributed to the COVID-19 pandemic's impact on operations and consumer choices, high inflation, rising borrowing rates, and a constrained qualified labor pool—drove the filing. A failed 2023 deal to sell 16 Sailormen-owned locations left Sailormen liable for lease payments on those stores and worsened the company's cash flow. Court documents show Sailormen owes about $130 million to various lenders, and some creditors have filed lawsuits.
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