Does the estimated initial investment for Checkersrallys restaurants apply if I am reopening an existing restaurant that ceased operations?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
D INITIAL INVESTMENT**
YOUR ESTIMATED INITIAL INVESTMENT
The following charts estimate the initial investment for Restaurants in 5 different formats: (1) the modular design drive-thru restaurant; (2) conversion of a drive-thru restaurant; (3) a site built restaurant; (4) an endcap strip-center; (5) an in-line restaurant in a high-density market; and (6) gas station/station, Non-Traditional, or Walmart restaurant. These estimates may also apply if you are reopening an existing Restaurant that ceased operations.
1. MODULAR DESIGN DRIVE-THRU RESTAURANT
| 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 | NPF Inc. |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 30–39)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, the estimated initial investment for new restaurants may also apply if you are reopening an existing restaurant that ceased operations. The FDD provides estimated initial investments for different restaurant formats, including modular design drive-thru restaurants, conversion of drive-thru restaurants, site-built restaurants, endcap strip-centers, in-line restaurants in high-density markets, and gas station/station, non-traditional, or Walmart restaurants.
However, if you purchase an existing company-owned Checkersrallys restaurant, the initial investment may be greater or smaller than the estimates provided. The price and terms for purchasing an existing Checkersrallys will be determined through mutual agreement. In addition to the initial franchise fee, you will also be required to pay a $10,000 asset transfer fee for that location.
Prospective franchisees should carefully review the different investment scenarios and consider their specific circumstances, as costs can vary significantly based on location, the condition of the premises, and other factors. It is important to discuss the potential costs of reopening a specific location with Checkersrallys to obtain a more accurate estimate.