FRANCHISE·WATCH·DESK

Verified — real FDD extraction

Not found in the SBA Franchise Directory — SBA financing may be unavailable; verify with your lender

LONG JOHN SILVER'S SEAFOOD SHOPS

Food & Dining · independent · est. —

Long John Silver's is a quick-service seafood chain selling fried fish, shrimp, and chicken meals with sides. A franchisee builds and operates a restaurant with drive-through and dine-in service, managing kitchen and counter staff serving value-oriented fast-food customers.

LONG JOHN SILVER'S SEAFOOD SHOPS net unit count declined -11.1% from 20232025 per its FDD Item 20.

New to franchising? Start here

A franchise is a business where you (the franchisee) pay a company (the franchisor) for the right to open and run a location using their brand and system — think a local Anytime Fitness or Taco John's owned by a small-business owner, not the corporation.

Before you can buy in, U.S. law requires the franchisor to give you a Franchise Disclosure Document (FDD) — a long legal filing covering its fees, finances, and history. The numbers on this page come straight from that document:

  • Franchise fee — the one-time cost to buy in.
  • Royalty — the ongoing cut of your sales you pay the franchisor.
  • Item 20 — how many locations opened and closed, the basis for our verdict (from Proven & strong down to Distressed — or Too new to judge).

The verdict

Showing strain

Distress

0
STABLE

The disclosed record shows weakness — shrinking units, elevated exits, or churn — worth reading closely before going further.

Exit rate · latest year

8.9%

vs 8.6% across 137 food & dining systems

Cost to open

$1.1M–$4.2M

Item 7 total investment range

SBA loan defaults

No loan record

no SBA 7(a)/504 loans found for this brand

Behind the verdict

the record, factor by factor · Item 20

hi-1.0.0
Net unit growth35%

3-yr trend · Item 20 Table 1

Weak
Exit quality25%

terminations + ceased-ops vs. all exits · Table 3

Fair
Transfer / churn15%

transfers vs. base · Table 3

Strong
Promise-keeping10%

actual vs. projected openings · Table 5

Weak
Transparency15%

Item 19 disclosure + completeness

Weak

Systemwide units

2023–2025

-11.1%
539202350220244792025

Survival record

FDD Item 20 · outlet status by year

In fiscal 2025, 25 of 281 franchised outlets left the system — a 8.9% annualized exit rate, vs 8.6% across 137 food & dining systems. Not every exit is a failure — but this is the measurable floor.

Show the outlet tables
Status (FTC)202320242025
Outlets at start589539502
Opened2215
Transfers24174
Terminations000
Non-renewals1576
Reacquired by franchisor19200
Ceased — other reasons331519
Outlets at end539502479
Net change-50-37-23

What it costs — and what it drags

FDD Items 5–7 · fees, investment, royalty

Buying in means a $35K franchise fee (Item 5) and a total investment of $1.1M–$4.2M (Item 7). The franchisor publishes no earnings claim (Item 19) — ask current and former franchisees for real numbers.

To open (Item 7)

$1.1M–$4.2M

all-in investment range

Franchise fee (Item 5)

$35K

upfront, one-time

Royalty (Item 6)

5%

of sales, ongoing

If a unit does this in annual sales…$1M/yr

Your figure — this brand discloses no Item 19 earnings; validate with current & former owners.

Royalty you'd pay / yr

$50K

5% of sales, before profit

Over a 10-yr term

$500K

royalties alone, excl. ad fund

This is not profit. It's the only money the FDD actually pins down — what you put in, and the royalty you owe on every dollar of sales. Your real take-home depends on labor, rent, food cost, and ramp-to-breakeven, none of which any FDD discloses.

Build a real pro-forma for LONG JOHN SILVER'S SEAFOOD SHOPS with an independent CPA

Distress signals

news-sourced · bankruptcies, closures, lawsuits

No recent closures, bankruptcies, or major lawsuits found in the news for LONG JOHN SILVER'S SEAFOOD SHOPS. That's a good sign — but it reflects news coverage, not a guarantee.

Before you sign anythingfree · 30 min · no commission

A broker is paid by the franchisor to place you. An independent CPA is paid by you — and the job is pressure-testing LONG JOHN SILVER'S SEAFOOD SHOPS's numbers, including talking you out of a bad deal.

Talk to an independent CPA before you buy →

LONG JOHN SILVER'S SEAFOOD SHOPS franchise questions, answered from the filings

What percentage of LONG JOHN SILVER'S SEAFOOD SHOPS franchises closed last year?

In LONG JOHN SILVER'S SEAFOOD SHOPS's latest FDD Item 20 (fiscal 2025), 25 of 281 franchised outlets left the system — an annualized exit rate of 8.9% — compared with 8.6% across 137 food & dining systems tracked here. That counts terminations, non-renewals, and "ceased operations — other reasons." There is no official failure rate, and not every exit is a failure, but this is the measurable floor.

How much does a LONG JOHN SILVER'S SEAFOOD SHOPS franchise cost?

Per LONG JOHN SILVER'S SEAFOOD SHOPS's 2026 FDD, buying in requires an initial franchise fee of $35K (Item 5) and a total initial investment of $1.1M–$4.2M (Item 7).

What royalty does LONG JOHN SILVER'S SEAFOOD SHOPS charge?

LONG JOHN SILVER'S SEAFOOD SHOPS charges an ongoing royalty of 5.0% of gross sales, per Item 6 of its 2026 FDD.

Does LONG JOHN SILVER'S SEAFOOD SHOPS disclose earnings (Item 19)?

No — LONG JOHN SILVER'S SEAFOOD SHOPS's 2026 FDD makes no financial performance representation in Item 19. That is legal and common, but it means the franchisor publishes no earnings claim; ask current franchisees for real numbers.

Is LONG JOHN SILVER'S SEAFOOD SHOPS a good franchise to buy? Health score, exit rate & costs (2026) · Franchise Watch Desk