When is the Asset Transfer Fee due to Checkersrallys?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of expenditure | Amount | Method of payment | When Due | To whom payment is to be made |
|---|---|---|---|---|
| Initial Franchise Fee (See Note 1) | $20,000 - $30,000 | Lump sum | At time of signing the Franchise Agreement. | Us |
| Initial Advertising Deposit | $15,000 | Lump sum | When you begin construction at the Premises | National Production Fund |
| Asset Transfer Fee | $0 - $10,000 | Lump Sum | At time of signing the Franchise Agreement | Us |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 30–39)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, the Asset Transfer Fee is due at the time of signing the Franchise Agreement. The fee ranges from $0 to $10,000 and is paid as a lump sum to Checkersrallys. This fee is applicable when a franchisee is purchasing an existing Checkersrallys restaurant.
This means that if you are acquiring an existing Checkersrallys location from the company, you must pay this fee upfront when you finalize the franchise agreement. It's important to factor this cost into your initial investment calculations. The amount of the fee can vary, so it's crucial to clarify the exact amount with Checkersrallys during the negotiation process.
It is important to note that if you purchase an existing company-owned Checkers Restaurant or Rally's Restaurant, you will also pay a $10,000 asset transfer fee in addition to the initial franchise fee for that location. This is in addition to the initial franchise fee.