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Over 100 Popeyes at Risk for Closure After Franchisee Files for Bankruptcy (Is Yours One?)

Here's what it means for Popeyes customers as financial stress hits the chain.

By Hannah Diffey

Edited by Sara Albertelli

Updated Feb. 17, 2026

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A major Popeyes franchisee that operates a large number of restaurants in the southeastern United States, Sailormen Inc., recently filed for Chapter 11 bankruptcy, raising concerns about the future of more than 100 locations.

If you rely on familiar fast-food stops, this news could have financial and convenience impacts, especially as budgets tighten, making it harder to stretch your fast food budget without sacrificing quality or taste.

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Confirmed Popeyes closures

Court records show that Sailormen Inc. moved quickly after filing for Chapter 11 on January 15. By January 22, the company had already closed 17 Popeyes restaurants across Florida and Georgia, calling the affected stores "underperforming" in its filings.

Florida's closed locations

2005 Ohio Ave. N., Live Oak, FL 32064
1601 S. U.S. Hwy. 1, Fort Pierce, FL 34950
5156 S. Dale Mabry Hwy., Tampa, FL 33611
2729 S.E. Hwy. 70, Arcadia, FL 34266
175 S. Hwy. 17 E., Palatka, FL 32131
649 S. McDuff Ave., Jacksonville, FL 32205
1124 N. Young Blvd., Chiefland, FL 32626
27740 U.S. Hwy. 27, Leesburg, FL 34748
200 Green Way, Keystone Heights, FL 32656
812 S. Sixth St., Macclenny, FL 32063
1833 Kings Rd., Jacksonville, FL 32209
2015 N. Wickham Rd., Melbourne, FL 32935

Georgia closed locations

401 N. First St., Jesup, GA 31545
2106 Memorial Dr., Waycross, GA 31501
1610 S. Georgia Parkway W., Waycross, GA 31503
68 W. Coffee St., Hazlehurst, GA 31539
3319 Altama Ave., Brunswick, GA 31520

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Multiple more Popeyes in Florida could be impacted

Sailormen operates a significant number of Popeyes restaurants throughout the state, and its debt struggles, driven by rising costs and labor challenges, could mean even more underperforming stores may be sold or shuttered as part of the restructuring plan.

Florida's restaurant scene has been growing, but the costs of rent, wages, and supply chain expenses have squeezed many operators. For customers who frequent these spots for lunch with friends or a quick dinner run, any closures might mean a longer drive to the next nearest location.

Georgia is also home to many more at-risk restaurants

Georgia is another state where a large number of Sailormen-operated Popeyes restaurants are located.

Industry observers note that if leases for underperforming units are rejected or if buyers aren't found in a timely manner, some more Georgia Popeyes could close. Still, company leadership and Popeyes corporate say that the majority of these restaurants are currently profitable, and the bankruptcy process is about reorganization rather than complete shutdown.

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These Popeyes closures are not necessarily permanent

Chapter 11 bankruptcy filing doesn't automatically mean all restaurants are closing. Sailormen Inc. is using this legal process to restructure its debt and negotiate with landlords and lenders, with the goal of keeping as many locations open as possible.

Court-supervised reorganizations often allow a business to continue normal operations while adjusting finances. Still, leases for less profitable stores could be rejected in Chapter 11, which might lead to closures if new tenants aren't found.

Why Sailormen filed for bankruptcy

Several factors led to the bankruptcy filing, including ongoing cost pressures from inflation, higher labor costs, and the lingering effects of the COVID-19 pandemic on consumer behavior. Sailormen also attempted to sell a bundle of restaurants in 2023, but that deal fell through, leaving the company responsible for continued rent and operating costs.

Like many franchisees across the U.S., Sailormen faced tightening profit margins, and rising interest rates didn't help when it came time to refinance or reduce debt. All of this culminated in a nearly $130 million debt load being listed in bankruptcy filings.

What Popeyes corporate is saying

Popeyes Louisiana Kitchen corporate leadership has stressed that this bankruptcy is about the franchisee's finances, not the brand's overall stability. The parent company, part of Restaurant Brands International, which also owns Burger King and Tim Hortons, continues regular operations and nationwide marketing efforts.

Executives have noted that most of the restaurants operated by Sailormen are performing at or above average, and corporate support is aimed at helping maintain service continuity during restructuring.

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Who could lose their jobs

Although bankruptcy doesn't mean immediate closures, the ripple effects could affect employees, suppliers, and local communities. Sailormen's restaurants employ thousands of hourly workers, and if stores are sold or closed, staffing changes may follow.

Communities with heavy reliance on these locations for affordable dining and local jobs may feel the impact stronger, especially in small towns where a single restaurant could be a regular gathering spot.

What Popeyes customers could expect in the short term

For now, most Popeyes restaurants under Sailormen's umbrella remain open and serve customers normally.

However, some restaurants that were underperforming even before the bankruptcy could be among the first candidates for closure or sale to new owners.

What this means for your wallet

Whether you're planning a casual lunch out or looking at how to stretch your fast food budget, it's worth keeping an eye on local Popeyes locations. If your favorite spot is part of the Sailormen group, changes could be on the horizon, and closures might lead to price shifts or new competitors moving in as leases change hands.

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Bottom line

Becoming aware of local restaurant trends, especially unexpected ones like bankruptcy filings, could help you avoid surprising financial mistakes when dining out or planning errands around your favorite stores. Monitoring corporate announcements and local business news could keep you a step ahead of closures and changing service hours.

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