What was the total net lease cost for Checkers from January 3, 2023 through June 16, 2023?

According to Checkers's 2025 Franchise Disclosure Document, the total net lease cost for the period from January 3, 2023, through June 16, 2023, was $9,366. This figure represents the sum of various lease-related expenses, including finance lease costs, amortization of right-of-use assets, interest expense on lease liabilities, operating lease costs, and variable lease costs, minus any sublease income Checkers received during that time. This information is derived from Checkers's financial statements, which provide a breakdown of these costs.

For a prospective franchisee, understanding the components of the total net lease cost is crucial. Operating lease costs typically cover the base rent for the restaurant location. Finance lease costs, amortization, and interest expenses relate to leases where Checkers essentially owns the asset over the lease term. Variable lease costs might include expenses that fluctuate based on usage or other factors. Sublease income, if any, would offset these costs, potentially reducing the overall financial burden.

It's important to note that these figures reflect Checkers's overall lease expenses as a company, and an individual franchisee's lease costs will depend on their specific location and lease terms. Franchisees should carefully review their lease agreements and understand all associated costs, including rent, common area maintenance (CAM) fees, property taxes, and insurance. Additionally, franchisees should inquire about any potential sublease opportunities or other ways to offset their lease expenses. Understanding these costs is essential for projecting profitability and managing cash flow.