When are the National Production Fund Contributions due for a Checkers franchise?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS (See Note 1) |
|---|---|---|---|
| Royalty | 4% of your Net Sales | Semi-monthly, | Net Sales is defined in Note 2 |
| or 2% of your Net | on or before the | below. See Note 2 for the | |
| Sales if you operate a | 5th and 20th | 2025 Growth Incentive | |
| Restaurant from a | day of each | Program and Reimage | |
| Non-Traditional Site. | month. | Incentive Program. | |
| National Production Fund Contributions (See Notes 3 and 4) | You will be required to pay up to 3% of your Net Sales (currently, 2.65% of your Net Sales). | Monthly, on the 5th day of each month. | Varies. The amount is credited toward your 4.5% advertising expenditure requirement. Your contribution rate is subject to change from time to time. |
| Cooperative Advertising (See Notes 4 and 5) | Determined by your local or regional advertising cooperative. | Monthly, on the 5th day of each month. | Payments to local or regional advertising cooperatives are credited toward your 4.5% advertising expenditure requirement. |
Source: Item 6 — OTHER FEES (FDD pages 21–30)
What This Means (2025 FDD)
According to Checkers's 2025 Franchise Disclosure Document, National Production Fund (NPF) contributions are due monthly, specifically on the 5th day of each month. These contributions are a percentage of the franchisee's Net Sales, and the FDD states that franchisees are required to pay up to 3% of their Net Sales, with the current rate being 2.65%.
The NPF contributions are part of Checkers's advertising expenditure requirements, where franchisees must spend 4.5% of their Net Sales on advertising and marketing. The NPF contribution is credited toward this 4.5% requirement. This means that the money paid into the NPF counts towards the total amount a franchisee is required to spend on advertising.
Prospective franchisees should note that the NPF contribution rate is subject to change. Additionally, Checkers franchisees are required to participate in special regional promotions if provided with 90 days' notice and must pay any regional advertising fees associated with those promotions. These fees are in addition to the minimum 4.5% advertising expenditure requirement and are not credited towards it.