As of January 1, 2024, how many company-operated Checkers restaurants were at the end of the period?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
"CDI", the "Company", "we", "our", or "us"), operates and franchises quick service restaurants in the United States under two similar operating brands, Checkers and Rally's.
The following table summarizes the number and mix of Company-operated and franchised restaurants in operation at the end of each period presented:
| January 1, 2024 (Successor) Zero Successor) For the Periods Ended January 2, January 3, 2022 (Predecessor) Zero Successor) Zero Successor) Zero Successor) Zero Successor) | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| · · | 2023 | 2022 | ||||||||
| Company-operated restaurants | ||||||||||
| Beginning of period | 255 | 266 | 264 | |||||||
| New | 2 | - | 3 | |||||||
| Acquired from franchisee | 4 | 3 | 3.7 | |||||||
| Sold to franchisee | 91 | (9) | 7 | |||||||
| Closed | (19) | (5) | (1) | |||||||
| End of period | 238 | 255 | 266 | |||||||
| Franchisee-operated restaurants | · ' | |||||||||
| Beginning of period | 585 | 585 | 594 | |||||||
| New | 22 | 28 | 26 | |||||||
| Acquired from the Company | 9 | _ | ||||||||
| Sold to the Company | (3) | - | ||||||||
| Closed | (60) | (34) | (35) | |||||||
| End of period | 547 | 58 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, at the end of the period ending January 1, 2024, Checkers had 238 company-operated restaurants. This number reflects changes throughout the year, including new openings, acquisitions from franchisees, sales to franchisees, and closures.
The FDD provides a detailed breakdown of the changes in both company-operated and franchisee-operated restaurants. For company-operated restaurants, the count started at 255 at the beginning of the period, with 2 new restaurants, 4 acquired from franchisees, 9 sold to franchisees, and 19 closures, resulting in the final count of 238.
This information is valuable for prospective franchisees as it provides insight into the dynamics of Checkers' restaurant network. Observing the changes in company-operated restaurants can indicate Checkers' strategy regarding corporate ownership versus franchising. The number of restaurants sold to franchisees versus acquired from them might reflect Checkers' approach to market development and franchisee relationships. The closure rate could also signal potential challenges or areas of concern within the system.
The data also shows the number of franchisee-operated restaurants. At the beginning of the period, there were 585 franchisee-operated restaurants. Throughout the period, there were 22 new restaurants, 9 acquired from the company, 3 sold to the company, and 60 closures, resulting in 547 franchisee-operated restaurants at the end of the period. In total, Checkers had 785 restaurants operating at the end of the period.