What interest rates do the financing obligations relating to Checkers restaurant sales bear, and when do they mature?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Successor | ||||
|---|---|---|---|---|
| December 30, 2024 | January 1, 2024 | |||
| Financing obligations relating to sales of restaurants maturing at | ||||
| various dates through October 1, 2039, bearing interest rates | ||||
| ranging from 3.20% to 7.06% | 7,850 | 7,923 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
According to Checkers's 2025 Franchise Disclosure Document, financing obligations relating to the sales of restaurants mature at various dates through October 1, 2039. These obligations bear interest rates ranging from 3.20% to 7.06%. This information is based on the financial statements provided in the FDD.
For a prospective Checkers franchisee, this indicates that if the company provides financing to facilitate the sale of a restaurant, the terms of that financing will include interest rates within the stated range and maturity dates extending up to October 1, 2039. This is relevant for franchisees who may consider purchasing an existing Checkers restaurant from the company and require financing to do so.
It's important for potential franchisees to carefully review the specific terms of any financing offered by Checkers, including the exact interest rate, maturity date, and any associated fees or conditions. Understanding these details is crucial for assessing the financial feasibility and long-term profitability of acquiring a Checkers franchise.