What is the Initial Franchise Fee reduction offered by Checkers for a Non-Traditional Site?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
nto this Addendum by reference.
-
- Qualifications. You represent, and in connection with signing this Addendum have provided us (or agree to provide promptly upon our request) relevant supporting documentation, that: (a) you are authorized, or will obtain due authorization, to establish and operate a Restaurant within or from the premises of a Non-Traditional Site; and (b) you will remain a franchisee in good standing, and comply with the Franchise Agreement.
-
- Reduced Fee(s). The following fees are modified in the Franchise Agreement to reflect Franchisee's operation of the Restaurant from a Non-Traditional Site:
- a. **Initial
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, franchisees who operate a restaurant at a non-traditional site are eligible for a reduction in the initial franchise fee. Specifically, the initial franchise fee is reduced by $15,000 from the standard amount typically due for a new Checkers restaurant.
This reduction is reflected in a modification to Section 6.01 of the Franchise Agreement. To qualify for this reduced fee, the franchisee must be authorized to establish and operate a Checkers restaurant within a non-traditional site and remain a franchisee in good standing, complying with the Franchise Agreement.
This incentive aims to encourage the development of Checkers restaurants in locations such as airports, universities, or food courts, which may have different operational characteristics and potentially lower startup costs compared to traditional standalone locations. The reduced royalty fee of 2% of Net Sales, as also mentioned in the addendum, further supports this incentive for non-traditional sites.