Long John Silver's Franchise Cost, Revenue & Review 2026
- Investment
- $1.1M – $4.2M
- Disclosed sales
- not disclosed
- SBA charge-off
- 27.3%
- on 45 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Long John Silver's is a quick-service seafood franchise known for battered fried fish, shrimp, and hushpuppies. Franchisees run standalone or non-traditional locations managing food prep, service, and staffing.
FranchiseVerdict summary · 2026
A Long John Silver's franchise requires a total initial investment of $1.1M – $4.2M, including a $35K franchise fee and an ongoing 5.0% royalty[2]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. SBA 7(a) loans show a 27.3% charge-off rate across 45 loans[1]. FranchiseVerdict grade: C (Average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: medium - issued 12 to 24 months ago; a newer filing is likely on file
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✓ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored5 of 5 headline figures on this page cite a page of the filing.
Overview
- Investment
- $1.1M – $4.2M
- 94th pct Service Resta…
- Avg gross sales
- N/A
- Royalty
- 5.0%
- 12th pct Service Resta…
- Units
- 485
- 89th pct Service Resta…
- SBA charge-off
- 27.3%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Quick-Service Restaurants median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $1.1M – $4.2M including a $35K franchise fee, 5.0% ongoing royalty.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict C (Average), verdict score 38/100 (higher is better). SBA loan charge-off rate of 27.3% across 45 loans (well above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHNegative: net -40 franchised outlets in the latest year (2 opened, 42 closed); 2 signed but not yet open (Item 20).
- FLAGItem 4 discloses a bankruptcy of an officer or of a company an officer ran, not of the franchisor. Review Item 4 for details.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Long John Silver's, LLC
- Parent company
- LJS Partners LLC
- FDD Item 1, page 11 of the 2025 FDD
- Ultimate parent
- Four Oaks Partners, LLC
- FDD Item 1, page 12 of the 2025 FDD
- CEO title
- Chief Executive Officer
- Nate Fowler
- Incorporated in
- DE
- HQ
- 10350 Ormsby Park Place, Suite 300, Louisville, KY 40223
- Auditor
- Coulter & Justus, P.C.
- Audited financials
- Franchisor revenue
- $20.6M
- vs $22.2M prior year
Independent franchisee associations
- Independent Franchisee Association
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Overview
About
- CEO
- Nate Fowler
- Headquarters
- KY
- Founded
- 1969
- FDD year
- 2025
- States available
- 34
Can you afford it, and what does the money buy?
Entry cost runs 439% above the typical quick-service restaurants franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $35K | $35K |
| Working capital (3–6 mo) | $50K | $130K |
| Equipment, build-out, other | $988K | $4.0M |
| Total initial investment | $1.1M | $4.2M |
Source: Long John Silver's 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $1.1M – $4.2M
- Bottom third — review vs category
- Liquid capital req'd
- $50K – $130K
- Bottom third — review vs category
- Franchise fee
- $35K – $35K
- Middle of category vs category
- Royalty
- 5.0%
- typical 6–8%
- Ad fund
- 5.0%
- typical 3–5%
- Total fee load
- 10.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 5.0% of gross sales |
| Technology fee | $6K |
| Training fee | $73K |
| Transfer fee | $5K |
| Renewal fee | $4K |
| Inventory (initial) | $25K – $35K |
| Total fee load | 10.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Long John Silver's makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Long John Silver's unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2025 FDD
Financial Performance
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 10.0% — above the Quick-Service Restaurants median of 7.5%.
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator retention
System contracting at -29.4% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Quick-Service Restaurants medians
How Long John Silver's Compares
Category median of published Quick-Service Restaurants brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 485
- Opened
- 2
- Last reporting year
- Closed
- 42
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 7
- Term expired, not renewed (per Item 20)
- Turnover rate
- 8.7%
- Company-owned
- 228
- Corporate units in the system
- % franchised
- 53%
- vs corporate-owned
- Net growth (3-yr)
- -29.4%
- Net unit change over 3 years
- 3-yr CAGR
- -29.4%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 7
- Transferred
- 17
- Reacquired
- 20
- Franchisor bought back
- Signed, not yet open
- 2
- 0.00 per open outlet · Item 20 Table 5
- Projected new
- 8
- Franchisor's next-year forecast
- Transfer rate
- 0.8%
- Owners selling to other franchisees
- Continuity rate
- 86.0%
- Units that stayed open
- Termination rate
- 0.4%
- Franchisor-initiated terminations
- Ceased ops
- 0.7%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 16 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Where the owners are · Item 20 owner list
15 current owners across 11 states; 11 former (terminated, transferred or not renewed) listed separately.
- AR 4
- TX 2
- CA 1
- KY 1
- MD 1
- MO 1
- NE 1
- NH 1
- NY 1
- OH 1
- SC 1
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
A system losing more than 10% of its units year-over-year is a red flag. Check whether closures are concentrated in specific regions.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 45
- Loan volume
- $26.0M
- Median loan
- $350K
- 50th percentile
- Charge-off rate
- 27.3%
- on 45 loans · rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 72.7%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 28
- Defaults
- 12
- Typical loan rate
- 5.7%
- avg rate to borrowers
- Franchised industry avg
- 21.5%
- brand above franchise avg ↑
- Jobs supported
- 1,561
- 6.0 per loan
- Lender concentration
- 20%
- top lender's share
Borrower mix: 100% went to startups / new businesses, 0% to established operators
Franchise vs independent — in limited-service restaurants, franchised businesses charge off at 21.5% vs 25.0% for independents — franchising is associated with 14% lower SBA default risk in this category.
Vintage analysis
Long John Silver's charge-off rate by loan vintage
Top lenders financing Long John Silver's franchisees
Showing 3 of 28 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for Long John Silver's from SBA 7(a) FOIA data.
- Principal loss rate
- 14.5%
- Avg SBA guarantee
- 76%
- Avg interest rate
- 5.70%
- Avg chargeoff amount
- $315K
- Lender concentration
- 20.0%
- Job velocity
- 6.0 per $100K
- NAICS benchmark
- 15.7%
- NAICS 722211
- Jobs supported
- 1,561
Top SBA lendersTop lender holds 20% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | Comerica Bank | 9 | $7.5M | 11.1% |
| 2 | Bank of America, National Association | 3 | $1.0M | 66.7% |
| 3 | The American National Bank of Texas | 3 | $1.4M | 0.0% |
| 4 | KeyBank National Association | 2 | $65K | 0.0% |
| 5 | Wells Fargo Bank National Association | 2 | $986K | 50.0% |
| 6 | Popular Bank | 2 | $1.3M | 100.0% |
| 7 | The First Citizens National Bank of Upper Sandusky | 2 | $595K | 0.0% |
| 8 | Hanmi Bank | 2 | $767K | 0.0% |
| 9 | BMO Bank National Association | 1 | $612K | 0.0% |
| 10 | U.S. Bank, National Association | 1 | $304K | 100.0% |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| TXTexas | 10 | 3 | 30.0% |
| OHOhio | 8 | 0 | 0.0% |
| CACalifornia | 4 | 0 | 0.0% |
| ARArkansas | 3 | 1 | 33.3% |
| KSKansas | 2 | 0 | 0.0% |
| KYKentucky | 2 | 1 | 50.0% |
| NMNew Mexico | 2 | 0 | 0.0% |
| NYNew York | 2 | 0 | 0.0% |
| PAPennsylvania | 2 | 1 | 50.0% |
| AZArizona | 1 | 1 | 100.0% |
SBA 7(a) lending trend
Borrower profile
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
A 27.3% charge-off rate means roughly 1 in 4 franchisees failed to repay their SBA loan. Investigate what changed.
What could kill this investment?
SBA loans charge off at 27.3% — 70% above the 16.0% national norm, i.e. higher lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Long John Silver's presents high-risk investment opportunity due to accelerating unit decline, lack of financial transparency, and unclear path to profitability in a shrinking system.
Litigation (Item 3)
Subject: officers or affiliates. The franchisor is not a named party in these cases.
0 case reference(s): 0 pending, 0 settled.
Bankruptcy (Item 4)
Subject: an officer. An officer’s own bankruptcy or a company an officer ran, not the franchisor’s
Officer Tim Newton (CTO) was CTO of ASAP, Inc. which filed Chapter 7 in Delaware Bankruptcy Court (Case No. 24-10681-MFW) on April 2, 2024, as part of bankruptcy of parent Waitr Holdings Inc. (Case No. 24-10676-MFW). No bankruptcy of LJS or its principals.
Audited financials (Item 21)
Yes · Coulter & Justus, P.C.
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Total franchisor revenues for FY ended Dec 29, 2024 = $20,636,426 (Royalties and other franchise income $10,689,134; Advertising fund revenues $9,313,929; Other operating revenues $633,363). Company-owned restaurant net sales of $196,723,369 are reported separately below franchisor operating loss in the consolidated statements of operations and are not included in franchisor revenues.
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 38 / 100 verdict
- 01MEDSevere unit decline of 13.5% YoY (485 units) indicates systemic contraction and loss of franchisee confidence
- 02MINORNo average revenue or net income disclosure (Item 19) prevents informed ROI analysis and suggests poor unit economics
- 03MED20-year term locks franchisees into declining brand with limited exit options
- 04MINORNon-traditional restaurant format requiring 6% royalty on likely lower volumes suggests margin compression strategy
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 10.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 20 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 1 mi |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 1 year |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 14 |
| Curable defaultsℹ | 7 |
| Mandatory arbitration | No |
| Arbitration location | Not applicable – litigation only in Jefferson County, KY |
| Jury trial waiver | No |
| Governing law | KY |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 0 hrs
- On-the-job training
- 160 hrs
- Training location
- LJS certified training restaurants operated by franchisees or LJS/its affiliates and at meeting facilities
- Ongoing training
- Required
- Time to open
- 18 mo
- From signing to launch
- Site selection
- LJS reviews, approves, disapproves or conditionally approves proposed sites. Franchisee selects, LJS must approve.
- Franchisor financing
- Not offered
- Item 10
- POS system
- Xenial Cloud POS
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Xenial Cloud POS
Item 20 · call current owners
Franchisee Contacts
26 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Long John Silver's franchise?
The total investment to open a Long John Silver's franchise ranges from $1.1M – $4.2M, with an initial franchise fee of $35K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Long John Silver's franchise owners earn?
Long John Silver's makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Long John Silver's?
Long John Silver's is franchised by Long John Silver's, LLC. Its parent company is LJS Partners LLC. The ultimate parent named in the FDD is Four Oaks Partners, LLC. Source: FDD Item 1, 2025 filing.
What is Item 19 in the Long John Silver's FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Long John Silver's FDD and qualifies whose outlets they describe.
What is Long John Silver's's franchise failure rate?
Based on SBA 7(a) loan data, Long John Silver's has a charge-off rate of 27.3% across 45 loans, meaning 27.3% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Long John Silver's franchise locations are there?
As of their most recent FDD filing, Long John Silver's has 485 total units in the United States, including 257 franchised units and 228 company-owned units. 2 new units were opened in the latest reporting year.
Is Long John Silver's a good franchise to buy?
FranchiseVerdict rates Long John Silver's as a C-grade franchise with a verdict score of 38 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
Are you the franchisor?
If you represent Long John Silver's, you can request corrections or provide updated information.
Other Quick-Service Restaurants franchises
Compare similar franchise opportunities in the Quick-Service Restaurants category
Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.