How many Carls Jr. restaurants in Washington ceased operations for reasons other than termination, non-renewal, or reacquisition by the franchisor in 2025?
Carls_Jr Franchise · 2025 FDDAnswer from 2025 FDD Document
| State | Year | Restaurants at Start of the Year | Restaurants Opened | Terminations | Non- Renewals | Reacquired by Franchisor | Ceased Operations – Other Reasons | Restaurants at End of the Year |
|---|---|---|---|---|---|---|---|---|
| WA | 2023 | 9 | 0 | 0 | 0 | 0 | 0 | 9 |
| 2024 | 9 | 0 | 0 | 0 | 0 | 0 | 9 | |
| 2025 | 9 | 0 | 0 | 0 | 0 | 8 | 1 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)
What This Means (2025 FDD)
According to the 2025 Carls Jr. Franchise Disclosure Document, eight restaurants in Washington ceased operations for reasons other than termination, non-renewal, or reacquisition by the franchisor during 2025. The FDD provides a table that tracks the number of restaurants that have ceased operations for such reasons. At the start of 2025, there were nine Carls Jr. restaurants in Washington. By the end of 2025, that number decreased to one, with eight restaurants ceasing operations for other reasons.
This information is valuable for prospective franchisees as it provides insight into the stability and potential challenges of operating a Carls Jr. franchise in Washington. The phrase 'ceased operations – other reasons' can include a variety of factors, such as closures due to poor performance, failure to meet brand standards, or disputes with the franchisor that do not result in formal termination.
It is important to note that a high number of closures for 'other reasons' can be a red flag, indicating potential issues with the brand's performance in that specific market or with franchisee relations. A prospective franchisee should investigate the reasons behind these closures to assess the risks and opportunities associated with investing in a Carls Jr. franchise in Washington. Understanding the specific reasons for these closures can help a franchisee make an informed decision and develop strategies to mitigate similar risks.