What right does Checkers offer to qualified persons?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
Offered**
We offer qualified persons the right to own and operate a Checkers Restaurant or Rally's Restaurant at a location to be agreed upon under our standard form franchise agreement (the "Franchise Agreement"). A copy of the Franchise Agreement is attached as
Exhibit B. If you sign a Franchise Agreement to acquire a Checkers franchise or Rally's franchise, then you will have the right to establish and operate your Checkers Restaurant or Rally's Restaurant (each referred to as the "Franchised Restaurant") at the location we approve (the "Premises").
We offer qualified persons the right to develop multiple Restaurants within a specific geographic area. We have included in this Franchise Disclosure Document relevant information about our standard form development agreement (the "Development Agreement"). A copy of the Development Agreement is attached as Exhibit C. The Development Agreement requires you to open an agreed-upon number of Checkers Restaurants or Rally's Restaurants in accordance with a development schedule and to sign our then-current form of franchise agreement (which may from the current form of Franchise Agreement included with this Franchise Disclosure Document) prior to each Franchised Restaurant you open.
We may offer for sale, and sell as franchises, some company-owned Checkers Restaurants or Rally's Restaurants in certain geographic areas. In connection with these franchise transactions, we may retain franchise or business brokers to negotiate with a prospective franchisee to reach mutually acceptable terms of a separate sale of assets agreement and any sale, lease or sublease of the real estate. In addition, a Franchise Agreement for the purchased restaurant(s) will have to be signed (which, in addition to the normal initial franchise fee, will require payment of a $10,000 asset transfer fee – See Item 5) and, possibly, also a Development Agreement for the further development of Checkers Restaurants or Rally's Restaurants in the geographical area where the purchased restaurant(s) is/are located. Depending on the circumstances, we also may vary the financial and other terms of our Franchise Agreement and Development Agreement in connection with the sale of company-owned Checkers Restaurants or Rally's Restaurants.
We also may offer franchises for Restaurants in foreign countries. This Franchise Disclosure Document does not describe the terms of any international franchise rel
Source: Item 1 — THE FRANCHISOR AND ANY PARENTS, PREDECESSORS AND AFFILIATES (FDD pages 9–14)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, Checkers offers qualified individuals the right to own and operate either a Checkers or Rally's Restaurant at an agreed-upon location, as detailed in their standard franchise agreement. Upon signing the Franchise Agreement, the franchisee gains the right to establish and operate their Checkers or Rally's Restaurant, referred to as the "Franchised Restaurant," at a location approved by Checkers.
In addition to single-unit franchises, Checkers also offers qualified individuals the opportunity to develop multiple restaurants within a specific geographic area through a Development Agreement. This agreement requires the franchisee to open a pre-determined number of Checkers or Rally's Restaurants according to a development schedule. Prior to opening each restaurant, the franchisee must sign Checkers' then-current form of franchise agreement, which may differ from the one included in the current Franchise Disclosure Document.
Checkers may also offer existing company-owned Checkers or Rally's Restaurants for sale as franchises in certain areas. These transactions may involve franchise or business brokers to negotiate mutually agreeable terms for the asset sale, real estate arrangements, and the franchise agreement. In addition to the standard initial franchise fee, an asset transfer fee of $10,000 is required. Depending on the circumstances, Checkers may also modify the financial and other terms of their Franchise Agreement and Development Agreement in connection with the sale of company-owned restaurants.
It is important to note that the 2025 Franchise Disclosure Document does not cover the terms of international franchise relationships. For prospective franchisees interested in international opportunities, further inquiry would be needed to understand the specific terms and conditions.