How many Checkers outlets in Alabama ceased operations for reasons other than termination, non-renewal, or reacquisition by the franchisor in 2023?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
A number of these transactions involved a multi-unit franchise selling more than 1 outlet to the same buyer in the same transaction.
Table No. 3 Status of Franchised Outlets For years 2022 to 2024
| Col. 1 State | Col. 2 Year | Col. 3 Outlets at Start of Year | Col. 4 Outlets Opened | Col. 5 Termina- tions | Col. 6 Non- Renewals | Col. 7 Reacquired by Franchisor | Col. 8 Ceased Opera- tions Other Reasons | Col. 9 Outlets at End of the Year |
|---|---|---|---|---|---|---|---|---|
| Alabama | 2022 | 11 | 2 | 0 | 0 | 0 | 1 | 12 |
| 2023 | 12 | 0 | 0 | 0 | 0 | 2 | 10 | |
| 2024 | 10 | 0 | 0 | 0 | 0 | 0 | 10 | |
| Arkansas | 2022 | 2 | 0 | 0 | 0 | 0 | 0 | 2 |
| 2023 | 2 | 1 | 0 | 0 | 0 | 0 | 3 | |
| 2024 | 3 | 1 | 0 | 0 | 0 | 0 | 4 | |
| California | 2022 | 1 | 0 | 0 | 0 | 0 | 0 | 1 |
| 2023 | 1 | 0 | 0 | 0 | 0 | 0 | 1 | |
| 2024 | 1 | 0 | 0 | 0 | 0 | 0 | 1 | |
| Delaware | 2022 | 4 | 0 | 0 | 0 | 0 | 1 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 78–91)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, there were two distinct reports regarding the number of Checkers outlets in Alabama. One report indicates that one Checkers outlet in Alabama ceased operations for reasons other than termination, non-renewal, or reacquisition by the franchisor during 2023. This report also shows that at the start of 2023, there were 3 outlets, and by the end of the year, there were 2.
However, a second report provides different figures, stating that two Checkers outlets in Alabama ceased operations for other reasons in 2023. This second report indicates that there were 12 outlets at the start of 2023 and 10 at the end of the year.
Given these discrepancies, a prospective franchisee should seek clarification from Checkers regarding the precise number of closures and the reasons behind them to gain a clearer understanding of the market dynamics in Alabama. Understanding why outlets close, even for reasons other than termination or non-renewal, is crucial for assessing the stability and potential risks associated with operating a Checkers franchise in that state.