When is the Cooperative Advertising fee due for a Checkers franchise?

According to Checkers' 2025 Franchise Disclosure Document, the Cooperative Advertising fee is due monthly, on the 5th day of each month. This fee is determined by the local or regional advertising cooperative that the franchisee is a part of. These payments are then credited toward the franchisee's 4.5% advertising expenditure requirement.

Checkers requires franchisees to spend 4.5% of their Net Sales on advertising and marketing. This 4.5% includes contributions to the National Production Fund (NPF), contributions to regional or local advertising cooperatives, and any amounts spent marketing the franchised restaurant in the local market. If a franchisee is part of a regional or local advertising cooperative, and the required contribution rate, when added to the NPF contribution rate, exceeds 4.5%, the franchisee's advertising expenditures may exceed this amount.

If a Checkers franchise is in an area where an advertising cooperative hasn't been established, Checkers may require the franchisee to spend the difference between the current NPF contribution rate and 4.5% of Net Sales on local marketing. Alternatively, Checkers may require contributing that difference to an advertising purchasing collective that Checkers establishes and controls, or joining a local or regional cooperative that Checkers creates in the designated marketing area. In the latter case, the contribution rate will be determined by the cooperative's bylaws.

Prospective franchisees should inquire about the specific advertising cooperative contribution rates in their area, how these rates are determined, and how the advertising funds are used. Understanding these details will help franchisees budget effectively for marketing expenses and assess the potential impact of cooperative advertising efforts on their business.