If a prospective franchisee of Checkers requests written substantiation for the financial performance representations, will Checkers disclose the identity or sales data of any particular restaurant without the owner's consent?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
Written substantiation for the above financial performance representations will be made available to the prospective franchisee upon reasonable request. However, we will not disclose the identity or sales data of any particular Restaurant without the consent of that owner, except to any applicable state registration authorities or except in connection with the sale of a particular existing Restaurant that we own.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 72–78)
What This Means (2025 FDD)
According to Checkers's 2025 Franchise Disclosure Document, Checkers will provide written substantiation for financial performance representations to prospective franchisees upon reasonable request. However, Checkers will not disclose the identity or sales data of any specific restaurant without the owner's consent. The exceptions to this policy are disclosures to applicable state registration authorities or in connection with the sale of a particular existing restaurant that Checkers owns.
This policy protects the privacy of existing Checkers franchisees and their business data. It ensures that sensitive information is not shared with potential competitors or other parties without permission. Prospective franchisees can review the overall financial performance data without knowing the specifics of any single location, maintaining confidentiality within the Checkers franchise system.
If a prospective franchisee is considering purchasing an existing Checkers outlet, Checkers may provide the actual records of that specific outlet. This exception allows the potential buyer to assess the financial performance of the particular location they are interested in acquiring. Any other financial performance information or projections received outside of these channels should be reported to Checkers' management, the Federal Trade Commission, and appropriate state regulatory agencies to ensure compliance and validity.