What is the initial franchise fee for a Checkers restaurant located at a Non-Traditional Site?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
in the future.
Non-Traditional Site Addendum
If the Franchised Restaurant is to be located at a Non-Traditional Site, you must enter into our Non-Traditional Site Addendum attached as Exhibit B-3. The Non-Traditional Site Addendum requires you to pay a reduced initial franchise fee of $15,000 and a reduced royalty fee level of 2% of Net Sales at the Franchised Restaurant (as reduced from the standard royalty fee of 4% for new Franchised Restaurants); and, to the extent we or our affiliates can reasonably arrange with the membership of your regional or local cooperative, a reduced cooperative advertising contribution level equal to 50% of the contribution level payable by fellow members of your regional or local cooperative (whose restaurants are not located at a Walmart or other Non-Traditional Site), if any such cooperative already exists
Source: Item 5 — INITIAL FEES (FDD pages 17–21)
What This Means (2025 FDD)
According to Checkers's 2025 Franchise Disclosure Document, the initial franchise fee for a restaurant located at a Non-Traditional Site is $15,000. This reduced fee is applicable if the franchisee enters into the Non-Traditional Site Addendum, which is attached as Exhibit B-3 to the FDD.
In addition to the reduced initial franchise fee, franchisees operating at Non-Traditional Sites also benefit from a reduced royalty fee of 2% of Net Sales, which is lower than the standard 4% royalty fee for new Checkers restaurants. There may also be a reduced cooperative advertising contribution level, potentially equal to 50% of the contribution level payable by other members of a regional or local cooperative, if one exists in the restaurant's area. This reduction depends on arrangements made with the cooperative's membership.
It is important for prospective franchisees to carefully review the Non-Traditional Site Addendum (Exhibit B-3) to fully understand the terms and conditions associated with operating a Checkers restaurant at such a location. This includes understanding the criteria for what qualifies as a Non-Traditional Site and any specific obligations or requirements that may apply.