In 2023, how many Checkers outlets ceased operations for reasons other than termination, non-renewal, or reacquisition by the franchisor?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Col. 1 State | Col. 2 Year | Col. 3 Outlets at Start of Year | Col. 4 Outlets Opened | Col. 5 Termina- tions | Col. 6 Non- Renewals | Col. 7 Reacquired by Franchisor | Col. 8 Ceased Opera- tions Other Reasons | Col. 9 Outlets at End of the Year |
|---|---|---|---|---|---|---|---|---|
| 2024 | 4 | 0 | 0 | 0 | 0 | 0 | 4 | |
| District of | 2022 | 1 | 0 | 0 | 0 | 0 | 0 | 1 |
| Columbia | ||||||||
| 2023 | 1 | 0 | 0 | 0 | 0 | 0 | 1 | |
| 2024 | 1 | 0 | 0 | 0 | 0 | 0 | 1 | |
| Totals | 2022 | 413 | 25 | 0 | 0 | 0 | 25 | 413 |
| 2023 | 413 | 19 | 0 | 0 | 0 | 53* | 379 | |
| 2024 | 379 | 18 | 0 | 0 | 0 | 35 | 362 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 78–91)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, in 2023, a total of 53 Checkers outlets ceased operations for reasons other than termination, non-renewal, or reacquisition by the franchisor. This number is marked with an asterisk in the FDD.
This information is crucial for potential franchisees as it provides insight into the stability and potential risks associated with the franchise. Understanding why outlets cease operations, aside from the typical reasons like termination or non-renewal, can highlight underlying issues within the franchise system. These issues could range from market saturation and poor location choices to operational inefficiencies or economic factors affecting profitability.
Prospective franchisees should investigate the reasons behind these closures to assess whether they are isolated incidents or indicative of systemic problems. Further due diligence, including speaking with current and former franchisees, is advisable to gain a comprehensive understanding of the factors contributing to these closures and to evaluate the overall health and sustainability of a Checkers franchise.