Schlotzsky's Franchise, LLC
Industry Restaurants
Genre Fast casual restaurant
Founded 1971 (1971) in Austin, Texas, United States
Founders Don and Dolores Dissman
Headquarters 200 Glenridge Point Pkwy, Suite 200, Atlanta Georgia 30342, United States
Number of locations
Area served
United States
Products Sandwiches, pizzas, salads, wraps & pastas
Parent Focus Brands

Schlotzsky's is a privately held franchise chain of restaurants, specializing in sandwiches. The company is headquartered in Atlanta, Georgia. Schlotzsky's has more than 350 franchised and company-owned locations worldwide. Most locations are in the south and southwestern United States, but the company is expanding into areas across the country, particularly the north and southeast.[1]


In 1971, Don and Dolores Dissman founded the company in Austin, Texas.[2] The initial menu consisted of one sandwich of mixed meats, cheeses and black olives on a freshly made, toasted bun called "The Original."[3] The first sandwich was based on the Muffuletta sandwich.[2] In 1981, the company had 100 franchise stores when real estate investors, John and Jeff Wooley and Gary Bradley, purchased the company for less than $3 million. Bradley split with the Wooleys in 1982, with Bradley taking the real estate business while the Wooleys kept the chain.

The Wooleys expanded Schlotzsky's menu to include panini, specialty pizzas, toasted wraps, salads, soups, and other items.[4] The Wooleys also took the company public on 15 December 1995, trading as BUNZ on NASDAQ,[5]

The chain peaked in 2001 with 759 stores and over $400 million in sales,[6] when same store sales started to plateau. 2003 saw the company posting a $11.7 million loss; as a result The Schlotzsky's board of directors relieved the Wooley brothers from day-to-day management on 17 June 2004 and named Sam Coats as the new chief executive officer of the company.[7] The Wooleys eventually resigned from the board in July 2004.[8]

The company ceased public trading once the Bobby Cox Companies came on board.[9] Under new ownership and management, Schlotzsky’s spent two years strengthening its franchise operations and restructuring the brand.[10][11] The new owners operated the business under the corporate entity Schlotzsky's, Ltd., and began streamlining the menu.[12] Under new ownership and management, Schlotzsky's has strengthened franchise operations and is licensing new franchisees in Texas and other states. The company also plans to open several new corporate-owned stores.[13]

On August 3, 2004 Schlotzsky's filed for voluntary Chapter 11 protection in U.S. Bankruptcy Court in San Antonio, Texas, reporting liabilities of approximately $71.3 million and assets of approximately $111.7 million.[14]

On 21 November 2006, Schlotzsky's was acquired by Focus Brands, an affiliate of private equity firm Roark Capital Group, parent company of Moe's Southwest Grill, Carvel, Cinnabon and Auntie Anne's.[15] The following year, the company named Kelly Roddy as president, who joined Schlotzsky's from H-E-B Grocery Company.[16] With Kelly on board, Schlotzsky's began to plan for growth along with a systemwide reimage,[17] which included updated restaurants, improved menus,[18] table service, and the addition of Cinnabon.[19] The company is currently remodeling its locations across the country with a "Lotz Better" look, which includes bright, bold colors, circle-themed furniture and decor and playful slogans.[20]

In Q3, 2014, Schlotzsky's partnered with Punchh and launched their mobile based loyalty program, the "Lotz4Me app". Guests can play games, scan their receipts, earn rewards and place online orders through the mobile app. [21] [22] [23]


Current slogans are "All 'Round, Lotz Better," "Lotz Better," "Every Bite Lotz Better." Former slogans include "Funny name. Serious sandwich." and "Just one sandwich, it's that good."

See also


  1. "Schlotzsky's Growth Skyrockets". QSR Magazine. 27 June 2011.
  2. 1 2 Smith, Amy (8 October 2004). "Original History". Austin Chronicle. Retrieved 15 October 2008.
  3. "Our Rise to the Top" (Press release). Schlotzsky's. Retrieved 26 October 2005.
  4. "Can Schlotzsky's Be Saved?". Austin Chronicle. 8 October 2004.
  5. "The Life of a Sandwich". Austin Chronicle. 8 October 2004.
  6. "Schlotzsky's new owners want to simplify". Austin American-Statesman. 11 January 2005. Archived from the original on 29 September 2007.
  7. "Schlotzsky's board fires Wooley brothers". Austin American-Statesman. 17 June 2004.
  8. "The Beard Gambit". Austin Chronicle. 8 October 2004.
  9. "Cox Closes Sale of Schlotzsky's". Dallas Business Journal. 10 January 2005.
  10. "Fort Worth company buys Schlotzsky's". Austin American-Statesman. 9 December 2004.
  11. "Schlotzsky's next move". Austin Business Journal. 23 September 2005.
  12. "Schlotzsky's new owners want to simplify". Austin American-Statesman. 11 January 2005.
  13. "Restaurant chains bounce back from bankruptcy". Houston Business Journal. 9 December 2005.
  14. "Schlotzsky's Files for Bankruptcy". QSR. Retrieved 26 April 2018.
  15. "Focus Brands buying Schlotzsky's". Austin Business Journal. 20 November 2006.
  16. "Schlotzsky's Names Kelly Roddy President". QSR Magazine. 10 December 2007.
  17. "Schlotzsky's gears up for a comeback". Austin Business Journal. 4 April 2010.
  18. "Schlotzsky's adds healthier fare to menu". Austin Business Journal. 18 August 2010.
  19. "Schlotzsky's to co-brand with Cinnabon". Fast Casual Magazine. 25 March 2010.
  20. "Schlotzsky's goes all in with Cinnabon, new look". QSR Magazine. 23 March 2010.
  21. "Schlotzsky's Partners with Punchh for Rewards App", July 01, 2014
  22. "Schlotzsky’s Launches First-of-its-Kind Loyalty App with Patent-Pending Referral Technology", June 19, 2014
  23. "Schlotzsky’s new loyalty app features friend-referral rewards", June 19, 2014
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