What is the range of interest rates for Checkers financing obligations relating to sales of restaurants maturing through October 1, 2039?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
| 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 |
| Total financing obligations | 7,850 | 7,923 |
| Less: current maturities | (67) | (77) |
| Total financing obligations, less current maturities | $7,783 $ | 7,846 |
Source: Item 23 — RECEIPTS (FDD pages 92–384)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, financing obligations relating to sales of restaurants maturing through October 1, 2039, bear interest rates ranging from 3.20% to 7.06%. The total financing obligations are $7,850 and $7,923. After deducting current maturities, the total financing obligations are $7,783 and $7,846.
It's important to note that these figures represent financing obligations related specifically to restaurant sales with maturity dates extending to October 1, 2039. These rates may not reflect all financing arrangements available to franchisees or the prevailing market conditions at the time a franchisee seeks financing. Prospective franchisees should confirm the availability and terms of financing with Checkers and other lending institutions.
Understanding the interest rates and terms associated with financing is crucial for franchisees as it directly impacts their profitability and cash flow. Franchisees should carefully evaluate their financing options and consider factors such as interest rates, repayment terms, and collateral requirements before making a decision.