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Is Hardees Going Out of Business? Latest Updates 2023

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Daniel Wright
Daniel Wright
Daniel Wright is the Founder and Editor of Around Business UK. With over 14 years of experience in business journalism and a degree in Business Economics from the University of Exeter, he leads the publication in delivering clear, reliable, and actionable insights for UK business professionals, entrepreneurs, and decision-makers.

If you’ve driven by a Hardee’s lately and noticed it shuttered, you aren’t alone. Over the past year, rumors have swirled that the famous burger chain might be on its last legs. But is Hardee’s actually going out of business? The short answer is no, not entirely, though it’s easy to see why folks are asking.

Let’s break down what’s happening with Hardee’s right now—what’s closed, what’s open, and what it means for loyal fans looking for their next biscuit fix.

Hardee’s: Still Here, Still Slinging Biscuits

Hardee’s is a national burger and breakfast chain with a strong presence in the Midwest and Southeast. It’s been around since the 1960s and is owned by CKE Restaurants, which also owns Carl’s Jr. The company operates about 1,000 locations nationwide, though the real number fluctuates a bit, especially following recent closures.

You may have read headlines and social posts suggesting the chain’s about to disappear, but as of now, Hardee’s isn’t preparing for a total shutdown or bankruptcy. The brand continues to serve burgers, biscuits, and loaded breakfasts in many towns and cities across the U.S.

Why the Sudden Wave of Closures?

The confusion started in late 2025. That’s when Hardee’s shut down 77 locations in a single stretch—spanning eight different states and, in some places, leaving regulars scratching their heads.

Now, that’s a lot of closures. Restaurants in Alabama, Florida, Georgia, Illinois, Missouri, Montana, South Carolina, and Wyoming were all affected. One day you could grab a burger after work; the next, paper covered the windows at your local spot.

But these were not random. Most were tied to one big operator: ARC Burger, a major Hardee’s franchisee.

A Franchise Disagreement Turns Messy

Here’s where the story gets complicated. ARC Burger isn’t just any franchise owner—it’s a significant one, backed by High Bluff Capital. Back in 2023, ARC Burger scooped up 81 Hardee’s locations from Summit Restaurant Holdings, a group that had gone bankrupt. Everything seemed fine at first, but money troubles started brewing quietly after.

Turns out, ARC Burger fell behind on payments—by a lot. Over $6.5 million was owed in royalties, rent, and marketing fees, according to reports. When you operate dozens of fast food joints, missing payments is serious business.

Eventually, Hardee’s (really, its parent group CKE) dropped the hammer and terminated ARC Burger’s franchise rights. With the agreement ended, 77 of ARC’s Hardee’s restaurants had to close—most of them pretty suddenly. Staff and customers found out at the same time.

Many of these emptied restaurants were in regions where Hardee’s had been a breakfast staple for years.

The Georgia Chain Reaction

The wave hit Georgia the hardest. Over 30 locations shuttered almost overnight—Atlanta, Buford, Valdosta, and several smaller towns woke up to find their local Hardee’s closed for business.

If you look on Hardee’s website or even Google Maps, some of these Georgia locations aren’t marked as permanently closed. Instead, they’re in this weird limbo: “temporarily closed.” There’s been no clear timeline for a restart, and most folks in those areas aren’t holding out much hope. But a few locals wonder if the doors might reopen under new management eventually.

Meanwhile, some outlets—like the one at 6671 Roswell Road in Sandy Springs—are open as usual. So, it’s not a shutdown of Hardee’s in Georgia, but more of a dramatic shrinking.

Open Sign Still Lit in Many Areas

Not every Hardee’s fan has been left in the lurch. You can still grab a Famous Star and curly fries in plenty of cities and small towns.

Some franchises continue to operate without interruption, especially those not tangled up in the ARC Burger drama. The chain’s main locator page shows hundreds of open spots, and you’ll still spot those red Hardee’s signs along highways and gas station plazas throughout the South and Midwest.

For breakfast regulars and burger loyalists outside the affected states, the daily routine hasn’t really changed.

Why Is Hardee’s Facing So Many Hiccups?

So, what’s driving these closures and problems? It’s not just franchise disputes or late payments. Hardee’s has had a bumpy road for a while now.

Over the last ten years, Hardee’s has seen about a 12% drop in sales within the U.S. That translates to a big bite out of its profits. Since 2014, the brand has closed almost 200 restaurants in the United States, which is about a fifth of its locations.

Part of the problem is competition. Look up and down the drive-thru lanes on a busy main road—Wendy’s and McDonald’s are everywhere, and both chains keep innovating, from menu items to apps and loyalty programs.

Then, you have the challenges inside the franchise system itself. Hardee’s has faced off with its own franchise owners over things like technology upgrades and mandatory fees. Franchisees say the company keeps pushing expensive equipment, new digital tools, and higher fees, raising their costs when profit margins are already tight. It’s a back-and-forth that makes life harder for some of the smaller operators.

Economic Pressures: More Than Just Burgers

These headaches don’t exist in a vacuum. The fast food business has never been more competitive, and lenders are wary.

Margins are thin, food inflation is real, and wages are up for hourly workers in food service. Analyst notes about Hardee’s say lenders are hesitant to fund new Hardee’s locations or expansions because of slow growth and weaker performance compared to other chains.

Unit economics—a restaurant industry term for how much profit a single location can make—just hasn’t kept up with burger giants like McDonald’s or Wendy’s. If running a Hardee’s is more expensive and brings in less revenue, that makes it tougher for franchisees to pay fees and stay afloat.

All these things combine into a risky cocktail that’s led to shrinkage in the Hardee’s network. Still, you don’t see headlines about the company filing for bankruptcy or liquidating assets, at least as of summer 2025.

If you’re interested in how other fast food brands are weathering these challenges, there’s more coverage over at Around Business, especially about trends in franchise and quick service restaurants.

Who Owns Hardee’s Now? And Where is It Headquartered?

Behind the brand signs and drive-thru speakers, Hardee’s is part of CKE Restaurants Holdings, which also controls Carl’s Jr. (on the West Coast). A lot of decisions, like terminating franchise agreements, come from the CKE HQ, not necessarily from the local Hardee’s managers you see daily.

The actual Hardee’s business office is in Franklin, Tennessee—not California or the Midwest. CKE is owned by Roark Capital, a private investment group you may not know unless you follow restaurant industry news. Roark has a sprawling portfolio of restaurant names, including several you’d recognize.

Where Does Hardee’s Go From Here?

So, is Hardee’s going out of business? All signs point to “no”—at least not in the way some people worry about. Yes, it’s smaller than it was a decade ago, and yes, another round of closures wouldn’t shock most industry watchers. But there’s been no announcement of a full shutdown, and business keeps running at hundreds of locations.

If you’re in a city that lost a Hardee’s, your options are suddenly a lot more limited. But for most folks in Hardee’s strongholds—places like Tennessee, North Carolina, or parts of the upper Midwest—the day-to-day hasn’t really changed. Biscuits and burgers are still on the menu.

Like a lot of classic fast food brands, Hardee’s is dealing with changing tastes, shifting economics, and pressure from bigger, nimbler rivals. The next couple of years might mean more shakeups or menu tweaks, but it’s unlikely we’ll see the entire chain vanish overnight.

In simple terms: Hardee’s is not disappearing nationwide, but the tough times haven’t ended. If you want a Frisco Burger or a made-from-scratch biscuit, there’s a good chance you can still find one. Just check online first—the wave of closures and “temporarily closed” signs has made things a little less predictable these days.

And for those who are watching old favorites fade from the strip-mall scene, Hardee’s is a reminder that even familiar brands have to work to keep their spot in America’s lunch rotation.

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