With the rapid development of e-commerce and the popularity of the Internet， it is more convenient to exchange and return goods. Therefore， the customers’ demands for goods show the characteristics of timeliness， variety， small batch， exchanging and returning. Aiming at Location-Routing Problem with Simultaneous Pickup and Delivery （LRPSPD） with capacity and considering the characteristics of customers’ diversified demands， a mathematical model of LRPSPD & Time Window （LRPSPDTW） was established. Improved FireWorks Algorithm （IFWA） was used to solve the model， and the corresponding neighborhood operations were carried out for the fireworks explosion and mutation. The performance of the fireworks algorithm was evaluated with some benchmark LRPSPD examples. The correctness and effectiveness of the proposed model and algorithm were verified by a large number of numerical experiments. Experimental results show that compared with Branch and Cut algorithm （B&C）， the average error between the result of IFWA and the standard solution is reduced by 0.33 percentage points. The proposed algorithm shortens the time to find the optimal solution， and provides a new way of thinking for solving location-routing problems.