How many company-operated Bojangles restaurants were divested during the period ending December 31, 2023?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
| Franchised | Company- Operated | System Wide | |
|---|---|---|---|
| Restaurants as of December 26, 2021 | 496 | 277 | 773 |
| Opened during the period | 23 | 12 | 35 |
| Closed during the period | (9) | (11) | (20) |
| Acquired during the period | 1 | 4 | 5 |
| Divested during the period | (4) | (1) | (5) |
| Restaurants as of December 25, 2022 | 507 | 281 | 788 |
| Opened during the period | 31 | 11 | 42 |
| Closed during the period | (14) | (3) | (17) |
| Acquired during the period | 4 | - | 4 |
| Divested during the period | - | (4) | (4) |
| Restaurants as of December 31, 2023 | 528 | 285 | 813 |
| Opened during the period | 15 | 2 | 17 |
| Closed during the period | (1) | (3) | (4) |
| Acquired during the period | 19 | 1 | 20 |
| Divested during the period | (1) | (19) | (20) |
| Restaurants as of December 29, 2024 | 560 | 266 | 826 |
Source: Item 22 — CONTRACTS (FDD page 82)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, during the period ending December 31, 2023, 19 company-operated restaurants were divested. This information is crucial for prospective franchisees as it provides insight into the stability and strategic decisions of Bojangles regarding its company-operated locations.
The term 'divested' typically means that Bojangles sold or otherwise transferred ownership of these restaurants to another party, which could include existing franchisees or new owners. This could be part of a broader strategy to refranchise company-operated stores, optimize their portfolio, or manage financial performance.
For a potential franchisee, a high number of divested company-operated restaurants could signal several things. It might indicate that Bojangles is shifting its focus more towards franchising and less on direct operation. It could also reflect challenges in managing company-operated stores, potentially due to higher operational costs or lower profitability compared to franchised locations. Therefore, understanding the reasons behind these divestitures is essential for anyone considering investing in a Bojangles franchise.