What is the amount of the reduction in the Initial Franchise Fee under the Checkers Existing Franchisee Incentive?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
--|----|-----|---------|----------|-------------------------------------------------------------------------------------| | | | | | | | | | | RESTAURANTS, INC., a Delaware corporation ("Franchisor," "we," "our," or "us"), and | | | | | | | | | | | ("you" or "your" or "Franchisee"). We and you may each | | | | | be referred to as a "Party," or collectively, the "Parties." | | | | | | |
R E C I T A L S
WHEREAS, Franchisor has implemented an incentive program available to qualified existing franchisees of "Checkers" or "Rally's" restaurants under which the Initial Franchise F
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, the Existing Franchisee Incentive provides a $10,000 reduction in the Initial Franchise Fee. This incentive is available to qualified existing franchisees who open their new Checkers or Rally's restaurant within one year of signing the Franchise Agreement. To qualify, the franchisee must already operate at least two Checkers or Rally's restaurants under separate franchise agreements with Checkers.
This incentive is designed to encourage existing franchisees to expand their operations. By reducing the initial franchise fee by $10,000, Checkers lowers the financial barrier for current franchisees looking to open additional locations. This can be a significant benefit for franchisees who have demonstrated success and are looking to grow their business with the brand.
However, franchisees should be aware of the conditions attached to this incentive. To receive the $10,000 reduction, the new restaurant must be opened within one year of signing the Franchise Agreement. Failure to meet this deadline could result in the loss of the incentive. Additionally, the franchisee must remain in good standing with Checkers, complying with all existing agreements. Prospective franchisees should carefully review the terms and conditions of the Existing Franchisee Incentive to ensure they can meet the requirements and take full advantage of the reduced fee.