For a Checkers franchise, what is the estimated range for 'Soft Costs' and to whom are these payments typically made?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of expenditure | Amount | Method of payment | When Due | To whom payment is to be made |
|---|---|---|---|---|
| Soft Costs (See Note 3) | $17,200 - $225,625 | Dependent upon bank financing | Dependent upon bank financing | Contractors, Suppliers, Lending Institutions |
| Type of expenditure | Amount | Method of payment | When Due | To whom payment is to be made |
|---|---|---|---|---|
| Soft Costs (See Note 3) | $0 - $42,250 | Dependent upon bank financing | Dependent upon bank financing | Contractors, Suppliers, Lending Institutions |
| Type of expenditure | Amount | Method of payment | When Due | To whom payment is to be made |
|---|---|---|---|---|
| Soft Costs (See Note 3) | $28,500- $150,000 | Dependent upon bank financing | Dependent upon bank financing | Contractors, Suppliers, Lending Institutions |
- NOTE 3 This estimate includes soft costs such as due diligence, surveys, fees for architects and engineers, permit, and impact fees, which vary by your region and specific location. If you construct an endcap restaurant in a strip-center, retail gas station or convenience store with a single drive-thru, we do not anticipate that you will incur many of these costs as the Premises of the restaurant will already be established.
| Type of expenditure | Amount | Method of payment | When Due | To whom payment is to be made |
|---|---|---|---|---|
| Soft Costs (See Note 3) | 27,500 – 33,000 | Dependent upon bank financing | Dependent upon bank financing | Contractors, Suppliers, Lending Institutions |
| Type of expenditure | Amount | Method of payment | When Due | To whom payment is to be made |
|---|---|---|---|---|
| Soft Costs (See Note 3) | $8,000 - $30,000 | Dependent upon bank financing | Dependent upon bank financing | Contractors, Suppliers, Lending Institutions |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 30–39)
What This Means (2025 FDD)
According to Checkers's 2025 Franchise Disclosure Document, the estimated range for soft costs varies depending on the restaurant model. For a modular design drive-thru restaurant, these costs range from $17,200 to $225,625. For a conversion restaurant, soft costs are estimated to be between $0 and $42,250. For a site-built restaurant, the estimated soft costs are $28,500 to $150,000. Finally, for Checkers restaurants using the data from chunk 9, soft costs are estimated to be between 27,500 and 33,000. For Checkers restaurants using the data from chunk 11, soft costs are estimated to be between $8,000 and $30,000.
These soft costs include expenses such as due diligence, surveys, fees for architects and engineers, permits, and impact fees. The exact amount will depend on the franchisee's specific location and region. However, Checkers notes that franchisees constructing an endcap restaurant in a strip-center, retail gas station, or convenience store with a single drive-thru may not incur many of these costs, as the premises will already be established.
Payments for these soft costs are typically made to contractors, suppliers, and lending institutions. The timing of these payments is dependent upon bank financing. As with all initial investment costs, Checkers does not offer any financing, and the actual costs may be higher than the estimates provided in the FDD, depending on the franchisee's circumstances.