What is the 2025 Cooperative Contribution Rate for Checkers franchisees located in New York?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Market | 2025 Cooperative Contribution Rate |
|---|---|
| Louisville | 1.85% |
| MFL | 1.85% |
| New Orleans | 1.85% |
| New York | 0.00% |
| Orlando | 2.00% |
| St. Louis | 1.85% |
| Tampa | 1.85% |
| Toledo | 1.85% |
| Washington, DC | 1.85% |
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 46–57)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, the cooperative contribution rate for franchisees located in New York is 0.00%. This means that, as of the FDD issuance, Checkers franchisees in New York are not required to contribute a percentage of their net sales to the cooperative advertising fund. This contribution is separate from the National Production Fund (NPF). The NPF is used for creating marketing materials and advertising campaigns.
However, the cooperative contribution rates are subject to change. The document states that these rates can change at any time based on the cooperative's bylaws or a vote by its members or executives. This implies that while the rate is currently 0.00% for New York, it could increase in the future.
It's important for prospective franchisees to understand that advertising cooperatives are independently administered, with assistance from Checkers and an outside accounting firm. Decisions are generally made by a majority vote, with one vote per restaurant. Checkers may control the cooperative in areas where company-owned restaurants constitute the majority. Franchisees should review the co-op's bylaws to fully understand how it operates and how contribution rates are determined, as well as what circumstances might warrant varied participation or contribution levels among certain members.