Across the United States, Harley-Davidson dealerships are closing their doors to customers. From San Francisco to Kewanee, Illinois, and down from Titusville, Florida, long-running stores have called it quits, with some stores giving no reason for their closure. Others who hesitated to offer an explanation blamed poor management, the worsening economy, or the simple math of declining sales.
A century-old family franchise in San Francisco closed suddenly in 2024 just six years after the business was handed over to new management that could not keep up with corporate standards. In Florida, a franchise ended without explanation. In New York City, one fan-favorite franchise folded under economic pressure after being in business for nearly 30 years. They gave the products in offers up to 75% off in the last days of its operation.
The closures are the latest sign of how the brand’s footprint is shrinking. Even with more than 650 franchises still standing nationwide, the network is thinning, especially in small markets. Businessmen talk about shrinking margins and an increasingly top-down corporate structure that makes independence difficult. Harley’s image now faces changing consumer habits and the rise of cheaper and technologically sophisticated alternatives such as CFMoto’s motorcycles. The Motorcycle Company may still make more profits, but the community around those sales is quietly declining.
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Harley’s retail network is consolidating into fewer larger operations, which could indicate the company is in deep trouble. George Gatto, president of the NPDA’s Harley-Davidson Dealer Council, says it’s simply because dealers aren’t making money, as reported by Revzilla. This all started in the time of the COVID, when the supply fell behind in the light of the increasing demand, and the concessionaires were worked for cash. Limited inventory meant bikes were sold at full price, and the discounts all but disappeared.
But soon enough, the pandemic came to an end, interest rates rose, and demand fell. Manufacturers had expected the boom to last, and kept pushing excess inventory to dealers, who then had to pay tens of thousands of dollars in “floor plan” interest.
Another thing that didn’t help was the franchisees investing in grand buildings when sales were strong. This has resulted in increased fixed costs, such as cooling, heating, maintenance, staffing, and insurance, which come back to bite them now when sales are low. Declining retail sales, along with Harley’s expanded e-commerce platforms continued to eat away at the customer base, resulting in many dealers throwing in the towel and closing up shop.
Harley-Davidson reported a profit of $377 million in the third quarter of 2025, more than triple the same period a year earlier. However, right behind that number lies a disturbing pattern. Global motorcycle sales by the company fell by 6%, while in North America sales fell by 5%. This means that fewer units are being sold and there may not be enough consumer demand for sellers to survive in the long run.
Harley-Davidson’s new CEO, Artie Starrs — who took over in August 2025 — made that clear to the Milwaukee Journal Sentinel when he credited the company’s sale of its financial services arm for the improved numbers. This brought the company $1.25 billion in cash, which helped reduce debt and buy back shares.
Still, Harley has struggled with unit sales of late, with shipments down 45% over the past decade. The Harley-Davidson Motor Company is profitable on paper, but its presence on America’s back roads – along with the showrooms that helped support it – continues to decline.
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