What was the advertising expense related to parties for Checkers from January 17, 2023 through January 1, 2024?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
----------------------------|-------------------------|-------|--------------------------| | | ccessor) | | decessor) | | Accounts receivable from NPF and CDSI | $ 3,325 | $ | 2,261 | | Accrued liabilities | 848 | | 716 | | Second Lien Credit Agreement | 1.0 | | 31,066 | | First Lien and New Money Loans | 66,786 | | • |
| Expense amounts | th Janua | 17, 2023 crough cry 1, 2024 ccessor) | th June | ry 3, 2023 rough 16, 2023 decessor) | 2 | iuary 2, 2023 decessor) | January 3, 2022 (Predecessor) |
|---|
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, the advertising expense for the period of January 17, 2023 through January 1, 2024 (referred to as the Successor period) was $2,191. This figure represents the brand's expenses related to advertising and marketing efforts during that time.
It is important to note that this advertising expense is part of a broader financial picture. The FDD also mentions that Checkers and its franchisees contribute to the Checkers/Rally's National Production Fund (NPF), which is used for creating and producing advertising. These contributions are included in the overall advertising expense reported in the financial statements. Additionally, some franchisees participate in advertising co-ops, which may further influence the total advertising spend in their specific markets.
Prospective franchisees should consider this advertising expense in the context of Checkers' overall financial performance. Understanding how advertising expenses correlate with revenue and profitability can help franchisees assess the potential return on investment for their franchise. Furthermore, franchisees should inquire about the specific advertising strategies and initiatives funded by the NPF and advertising co-ops to ensure they align with their business goals.