The main objective of the expedition was to capture the town of Granada, effectively cutting Spanish America in half and giving Great Britain access to the Pacific Ocean.

"[8] The expedition, consisting of the transport Penelope, two brigs, three sloops, and a tender, the Royal George, sailed from Jamaica on 3 February 1780, escorted by the 21-year-old Captain Horatio Nelson in the 28-gun HMS Hinchinbrook.

[2] On 24 March, after many delays awaiting the arrival of several Miskito Indian bowmen under Major James Lawrie, which failed to appear,[10] the expedition anchored off San Juan del Norte.

[5] The Spanish gained in strength, thanks to assistance from San Miguel, Choluteca and other adjoining provinces, while sickness continued to take a heavy toll among the British troops, forcing the order for withdrawal to be given on 30 November.

Despite having surrendered it, Don Juan de Ayssa was promoted to lieutenant colonel, as was recorded in the Royal Order of 12 June 1781: he had alerted the other garrisons in the area, bravely defended the fort, suffered hardships as a prisoner of war, and contributed greatly to creating difficulties for the British operations.