Under what conditions will Checkers implement a co-op for Checkers Restaurants?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
We have the right to establish local and/or regional advertising cooperatives for Checkers Restaurants and/or Rally's Restaurants in your local or regional area, covering such geographical areas as we may designate from time to time. Currently, geographical areas for co-ops are determined by our marketing department and we implement a co-op if we determine in our sole discretion that a percentage of Net Sales of all Restaurants in the area can buy sufficient rating points in television, radio, outdoor, print and digital/social or some appropriate combination. We have the right in our sole discretion to form, change, dissolve or merge advertising cooperatives.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 46–57)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, Checkers has the right to establish local and/or regional advertising cooperatives for Checkers Restaurants and/or Rally's Restaurants. These co-ops would cover geographical areas designated by Checkers from time to time.
Checkers will implement a co-op if the marketing department determines that a percentage of Net Sales of all Restaurants in the area can buy sufficient rating points in television, radio, outdoor, print and digital/social media, or some appropriate combination of these. This determination is made at Checkers' sole discretion.
Checkers also retains the right to form, change, dissolve, or merge advertising cooperatives at its sole discretion. This gives Checkers significant control over the advertising and marketing strategies employed by franchisees in different regions. For a prospective franchisee, this means that participation in a co-op is not guaranteed, and the structure of any co-op can change based on Checkers' decisions.