Skyline Investors Buys Buddy’s Home Furnishings 

Franchise News Highlights: Pizza Hut Closes 250 Stores; FAT Brands Files Bankruptcy; ‘Real Housewife’ Testifies on Power of Franchising

Skyline Investors has acquired Buddy’s Home Furnishings, a rent-to-own franchisor with some 220 locations in 18 states and Guam. A news release said Skyline will focus on “franchise health and operational improvements with a long-term, collaborative approach.” Los Angeles-based Skyline, a private equity firm, previously invested in Majik Rent-to-Own.

“Skyline brings a collaborative mindset that our franchisees and customers will feel immediately,” CEO Michael Bennett said in the news release. “We’re not just changing ownership; we’re gaining committed partners who understand our business, value our franchise network and are ready to invest in our collective success.”

Skyline Investors founder and managing partner Kevin Tom said “Buddy’s represents exactly the type of platform opportunity we’re built to support. With Buddy’s proven brand and strong franchise network, there’s a clear runway for growth. We’re excited to roll up our sleeves alongside the management team and franchisees to strengthen operations, support local owners with focus on their profitability, and invest in the next chapter of the business.” Buddy’s was founded in 1961 in Tampa.

Pizza Hut to Close 250 Restaurants

Pizza Hut will shutter 250 U.S. restaurants during the first half of 2026, the Associated Press reported. Amid the brand’s struggles, a potential sale of Pizza Hut, which has more than 6,000 U.S. locations, has been afloat for months.

Pizza Hut’s owner, Louisville, Ky.-based Yum! Brands, said the chain’s U.S. same-store sales declined 5% in 2025. Internationally, the brand’s same-store sales rose 1% last year. Pizza Hut ended 2025 with 19,974 stores worldwide, 251 fewer than in 2024, AP said. The brand was founded in 1958.

FAT Brands Files Bankruptcy

FAT Brands, which owns franchises including Fatburger, Great American Cookies, Johnny Rockets, Marble Slab Creamery and Twin Peaks, has filed for bankruptcy, Fox Business reported on Jan. 27. FAT Brands had defaulted on more than $1.3 billion in debt. FAT Brands operates 18 restaurant brands with more than 2,200 locations worldwide, the Fox article noted.

Twin Hospitality Group, which spun off from FAT Brands in 2025 to operate the Twin Peaks sports bar chain, also filed for Chapter 11 bankruptcy. As of 2026, Twin Hospitality operates 114 locations across the U.S. and Mexico, Fox added.

‘Real Housewife’ Praises Franchising on Capitol Hill

In late January, Angie Katsanevas (above) of The Real Housewives of Salt Lake City praised the power of franchising in testimony before a U.S. House committee. She and her husband, Shawn Trujillo, founded the Lunatic Fringe hair salon franchise in 1999. Also testifying before the House Committee on Small Business was Tropical Smoothie Cafe and PJ’s Coffee franchisee Clement Troutman, an incoming board member of the International Franchise Association.

“Franchising gave my family the ability to take our trials and create a model with a tried-and-true blueprint that allows others to be successful,” Katsanevas told the committee. “My story is only possible through franchising, which lets people who couldn’t or wouldn’t otherwise start a business from scratch become entrepreneurs and business owners in their own communities. Perhaps the most important thing Congress can do to protect the franchise model is to enact the bipartisan, bicameral American Franchise Act.” Katsanevas’ full testimony is available here.

The proposed legislation would codify the joint-employer standard – the conditions under which franchisors and franchisees will be held responsible for federal labor violations. At present, the standard typically changes when control of the White House shifts from Democrat to Republican and vice versa. 

“The American Franchise Act ensures I remain an independent employer, preventing the government from treating me as a mere middle manager of a large corporation,” said Troutman, who runs his business with his wife and daughter. Click here for Troutman’s testimony. 

New Program Aims to Cut Franchise Loan Timelines

The funding firm Franchise Now says it can reduce franchisees’ waiting time for loans by 60 to 120 days through its new artificial intelligence-powered DreamStart Funding Program. In a news release, Franchise Now President Sam Phelps stated the rationale for DreamStart: “When funding timelines are compressed, the benefits compound. Franchisors realize royalties sooner, franchisees are able to begin training and open faster, and brokers and consultants are compensated earlier for the value they create.”

DreamStart prequalifies candidates and expedites payment of franchise fees upon receipt of executed agreements. The program, initiated via an online contact form, utilizes common funding methods such as Small Business Administration loans and Rollovers for Business Startups (ROBS). 

Three Brands Give Back

A round of applause for these generous franchises: 

• In 2025, 7-Eleven Inc. raised $14 million-plus to support 113 Children’s Miracle Network Hospitals across the country. Franchisees, customers, employees, vendors and suppliers gave to the cause.
• Batteries Plus donated more than 1.6 million AA and AAA batteries to the U.S. Marine Corps Toys for Tots program during the 2025 winter holidays.
• During the late January arctic blast, Local Concrete Contractor, a national residential concrete finishing franchise, delivered free salt to homeless shelters, elderly residents and homeowners, according to a news release from the franchisor.

Driven Brands Sells IMO; Subway Franchisee Files Bankruptcy

• Driven Brands recently announced that it completed the sale of its IMO international car wash business to Franchise Equity Partners for about $560 million. In a news release, Danny Rivera, president and CEO of Driven Brands, said the deal would allow the franchisor to pay down debt and concentrate on its Take 5 Oil Change brand. 
• MTF Enterprises, a Subway operator with 43 stores in Maine, New Hampshire, Pennsylvania and Virginia, has filed for Chapter 11 bankruptcy protection, RestaurantDive.com reported Feb. 2.