1851

2020 showcased a plethora of bankruptcies, restructurings and closings, which led to <a href="https://www.wsj.com/articles/covid-19s-toll-on-u-s-business-200-000-extra-closures-in-pandemics-first-year-11618580619?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-franchise-brands-that-did-not-survive-the-covid-19-pandemic-2715801" target="_blank" rel="nofollow">thousands of businesses closing up shop.</a>And for brands with small margins, weak brand presence or the inability to pivot, the pandemic left them particularly vulnerable. Below are 10 franchise brands that did not survive the COVID-19 pandemic.<h4><a href="https://www.specialtys.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-franchise-brands-that-did-not-survive-the-covid-19-pandemic-2715801" target="_blank" rel="nofollow">Specialty’s Café &amp; Bakery</a></h4>Specialty’s Café &amp; Bakery was founded in 1987 and operated more than 50 cafes in California, Washington and Illinois. Specialty’s was a counter-serve chain cafe that served baked goods &amp; light breakfast and lunch options. After shelter-in-place policies decimated company revenues, stores were forced to close. It announced all locations would be closing effective May 19, 2020.<h4 style="text-align:justify;"><a href="https://souplantation.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-franchise-brands-that-did-not-survive-the-covid-19-pandemic-2715801" target="_blank" rel="nofollow">Souplantation</a></h4>In 1978, bartender Dennis Jay opened the first Souplantation in San Diego, but the company ceased operations May 8, 2020. Souplantation was an American-based chain of all-you-can-eat, buffet-style restaurants. There was no way the restaurants’ longtime self-serve model could survive in the era of COVID-19.<h4><a href="https://www.shopjustice.com/?cid=pgoju%7CG_TXT_BR_TXT-Brand-Core%7CBrand%7Cjustice+clothing+store&amp%3Bogmap=SEM%7CRTN%7CGOOG%7CSTND%7Cc%7CSITEWIDE%7CCORE%7CG_TXT_BR_TXT-Brand-Core%7CBrand%7Cjustice+clothing+store%7C12620345192%7C118752371494&amp%3Bgclid=CjwKCAjwqIiFBhAHEiwANg9szvQzXSFSV9IxzYrKdBgiX7GxGhpWeFmwV_rtOgtbQ4nRLOFzzwo2bhoCEmEQAvD_BwE&utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-franchise-brands-that-did-not-survive-the-covid-19-pandemic-2715801" target="_blank" rel="nofollow">Justice</a></h4>The tween clothing brand was founded in 2004, but after plummeting sales in 2020, it closed all brick and mortar stores over the course of the first few months of 2021. Justice was known as the one-stop shop for on-trend styles in tween girls' clothing. Prior to COVID-19, sales were already decreasing, but the pandemic decimated the brand’s hopes for revival.<h4><a href="https://www.hertz.com/rentacar/misc/index.jsp?targetPage=hertzfranchise.jsp&utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-franchise-brands-that-did-not-survive-the-covid-19-pandemic-2715801" target="_blank" rel="nofollow">Hertz</a></h4>In May 2020, the car rental company filed for Chapter 11 bankruptcy protection but remained in business as it restructured its debt. The company was founded in 1918 but could not fare when the crisis hit. As travel industry demand dried up, particularly among the business travelers who are essential to Hertz's rental business, Hertz could not afford to make a full payment to lenders.<h4><a href="https://izodfranchise.wordpress.com/2017/04/17/first-blog-post/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-franchise-brands-that-did-not-survive-the-covid-19-pandemic-2715801" target="_blank" rel="nofollow">Izod</a></h4>The mid-range clothing company was founded in 1938, but after the coronavirus pandemic shut down the retail industry, it decided to close all stores over the course of 2021. Unfortunately, after stay-at-home orders significantly lowered the brand’s sales numbers, sales plummeted to an unrecoverable point.<h4><a href="https://vanheusen.partnerbrands.com/en?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-franchise-brands-that-did-not-survive-the-covid-19-pandemic-2715801" target="_blank" rel="nofollow">Van Heusen</a></h4>The clothing store was founded in 1881 and offered a wide variety of stylish men's and women's dress shirts. Stay-at-home orders decimated sales, and all stores are closing prior to July 2021.<h4><a href="https://franchise.petvalu.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-franchise-brands-that-did-not-survive-the-covid-19-pandemic-2715801" target="_blank" rel="nofollow">Pet Valu</a></h4>Pet Valu offered everything to keep pets safe, happy and healthy, including food, treats and supplies or services like grooming and adoption. Founded in 1976, the pet food and supplies chain shut down its U.S. stores and warehouses in November 2020 after stay-at-home orders decreased sales numbers<h4><a href="http://www.ownasearsstore.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-franchise-brands-that-did-not-survive-the-covid-19-pandemic-2715801" target="_blank" rel="nofollow">Sears</a></h4>As the cumulative effects of the COVID-19 pandemic and months of lockdowns destroyed the economy, Sears continued to close stores, and there was no end in sight. What was once more than 3,900 stores is now under 30.<h4><a href="https://www.gncfranchising.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-franchise-brands-that-did-not-survive-the-covid-19-pandemic-2715801" target="_blank" rel="nofollow">GNC</a></h4>After a devastating year, GNC, a dietary supplement chain founded in 1935 that sells health and wellness products, including vitamins, minerals and herbal supplement products, declared bankruptcy in April 2020, closing 800 stores. The brand struggled to push through the economic impacts of the pandemic.<h4><a href="https://www.linkedin.com/company/gordmans/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=10-franchise-brands-that-did-not-survive-the-covid-19-pandemic-2715801" target="_blank" rel="nofollow">Gordmans</a></h4>Gordmans was a chain of Midwestern off-price department stores founded in Omaha, Nebraska in 1915. The retailer filed for bankruptcy in May 2020 and announced it would be closing all stores after the brand could not shift quickly enough to the online model.

10 Franchise Brands That Did Not Survive the COVID-19 Pandemic

1851 Franchise

The pandemic was particularly destructive to small businesses, but the mass shutdown of 2020 even pushed some of America’s most iconic brands to the brink.

10-franchise-brands-that-did-not-survive-the-covid-19-pandemic

The Growth Coach

Building a Business and a Life With The Growth Coach

building-a-business-and-a-life-with-the-growth-coach

Dillas Quesadillas

The Top 7 Reasons To Buy a Dillas Primo Quesadillas Franchise

the-top-7-reasons-to-buy-a-dillas-primo-quesadillas-franchise

KLA Schools

A Day in the Life of KLA Schools Franchisee Sital Patel

a-day-in-the-life-of-a-kla-schools-franchisee

Keke's Breakfast Cafe

image of keke's breakfast cafe franchise Jon Ahrendt and John Ehrhard

Jon Ahrendt and John Ehrhard To Share Insights on Franchise Growth and Work-Life Balance With Keke’s Breakfast Cafe in Upcoming Webinar

kekes-breakfast-cafe-franchise-ahrendt-ehrhard-webinar

Minuteman Press International

Minuteman Press franchise owners Karen Fraielli and Valerie Chanoux with their 25-year Award.

Minuteman Press Franchisees Celebrate 25+ Years in Warwick, RI

minuteman-press-franchisees-celebrate-25-years-in-warwick-ri

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Development Website Builder

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

How a Steady Economy Could Help Franchisors Plan Their Next Move

how-a-steady-economy-could-help-franchisors-plan-their-next-move

Bed Bath & Beyond - Franchise Expansion - Retail Strategy - 1851 Franchise

Bed Bath & Beyond Launches Franchise Model as Part of Comeback Strategy

bed-bath-beyond-franchise-expansion-retail-strategy

Senior Entrepreneurship - Franchising - 1851 Franchise

Senior Entrepreneurship Is Rising — And Franchising Is a Key Outlet

senior-entrepreneurship-franchising-silver-startups

U.S. Government Shutdown - Impact on Franchises - 1851 Franchise

Government Shutdown Stalls SBA Loans: How the Shutdown Could Impact Franchises

government-shutdown-impacts-sba-loans-tourism-franchises

Subway Franchisees Resist Expensive Remodel Directives

subway-franchisees-resist-expensive-remodel-directives

image of franchise deep dive from 1851 franchise on doody calls franchise authority brands

DoodyCalls Franchise Costs, Fees, Profit and Data for 2025

doodycalls-franchise-deep-dive

image of mellow mushroom deep dive into financials article from 1851 franchise

Mellow Mushroom Franchise Costs, Fees, Profit and Data for 2025

mellow-mushroom-franchise-deep-dive

How goGLOW Turned Clean Beauty Into a Scalable Franchise and Why It’s Accelerating Now

goglow-clean-beauty-tanning-franchise

How Capriotti’s Sandwich Shop Has Expanded Into One of the Restaurant Industry’s Most Exciting Franchise Opportunities

meet-the-franchisor-capriottis-david-bloom

NJCAR v. Ford - New Jersey Supreme Court Limits Standing Under Franchise Practices Act

New Jersey Supreme Court Limits Standing Under Franchise Practices Act

new-jersey-franchise-practices-act-njcar-v-ford

Top Early Childhood Education and Child Care Franchises for 2025 - 1851 Franchise

Top Early Childhood Education and Child Care Franchises for 2025

early-childhood-education-child-care-franchises

Power Eats: Smoothie King Rolls Out Food Nationwide To Fuel Franchise Growth

smoothie-king-food-menu-power-eats

Top Education Franchises To Consider for 2025 - 1851 Franchise

Top Education Franchises To Consider Investing In for 2025

top-education-franchises-investment-opportunities

1851 Franchisee Spotlight graphic with photo of Barb Volk and KidStrong logo

Why This Orangetheory Fitness Franchise Owner Is Developing KidStrong Franchises

kidstrong-franchise-owner-barb-volk-2025

10 Franchise Brands That Did Not Survive the COVID-19 Pandemic

MORE STORIES LIKE THIS