From Fastcompany · · 1m 50s
H&R Block shuts hundreds of stores in strategy shift
The tax preparation company has closed 319 franchised locations in two years while reacquiring stores, signalling a shift away from physical retail.
In brief
The tax preparation company has closed 319 franchised locations in two years while reacquiring stores, signalling a shift away from physical retail. H&R Block closed 319 franchised retail locations in two years as it reacquires stores and shifts strategy toward company ownership and online services. Originally…
H&R Block's shrinking footprint
H&R Block had 1,816 franchised physical outlets as of the end of June 2026, down from 2,135 at the end of June 2024. That is a net decline of 319 franchised storefronts over two years.
Company-owned stores gain ground
H&R Block saw a net gain of 116 company-owned stores over the same two fiscal years, though not enough to offset the franchised location losses overall.
Overall store count declines
H&R Block reported 8,561 outlets at the end of fiscal 2026, a net decline of 203 outlets over the two-year period from fiscal 2024.
Strategy shift toward ownership
H&R Block says the reduction is mostly due to a change in strategy that includes bringing franchised locations back under company-owned operations.
Company explains the shift
A spokesperson told Fast Company: "Recent changes in our franchise portfolio reflect a normal shift in ownership mix, that includes reacquiring a number of franchise locations and integrating them into our company-owned operations."
“Recent changes in our franchise portfolio reflect a normal shift in ownership mix, that includes reacquiring a number of franchise locations and integrating them into our company-owned operations.”
Broader transformation underway
The company says its retail footprint continues to evolve as part of H&R Block's broader transformation strategy, reflecting changing business needs.
Online services drive change
One potential reason for the strategy shift is that more people rely on online platforms, including H&R Block's own, to do their taxes or use other services.
Precedent from 2018
H&R Block closed 400 U.S. offices in 2018, amounting to 4 percent of its storefronts at the time, as customer preferences shifted.
What matters most
H&R Block closed 319 franchised retail locations in two years as it reacquires stores and shifts strategy toward company ownership and online services.
