What is the estimated range for Soft Costs for a Checkersrallys Conversion Restaurant?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
6. GAS/CONVENIENCE, NON-TRADITIONAL, OR WALMART RESTAURANT
| Type of expenditure | Amount | Method of payment | When Due | To whom payment is to be made |
|---|---|---|---|---|
| Initial Franchise Fee (See Note 1) | $15,000 - $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 |
| Column 1 Type of expenditure | Column 2 Amount | Column 3 Method of payment | Column 4 When Due | Column 5 To whom payment is to be made |
| Restaurant Building Costs (See Note 2) | $2,630 - $149,000 | Dependent upon bank financing | Dependent upon bank financing | Contractors, Suppliers, Lending Institutions |
| Restaurant Equipment & Technology (See Note 2) | $25,000 - $329,538 | As incurred | On ordering | Suppliers |
| Soft Costs (See Note 3) | $8,000 - $30,000 | Dependent upon bank financing | Dependent upon bank financing | Contractors, Suppliers, Lending Institutions |
| Signage including | $4,000 - | As incurred | On ordering | Us or Other |
| Menuboards | $30,000 | Supplier | ||
| Inventory (See Note | $4,000 - | As incurred | When delivered | Suppliers |
| 4) | $12,000 | |||
| Additional Funds - 3 Months (See Note 5) | $50,000 - $120,000 | As incurred | As incurred | Employees, suppliers, utilities, etc. |
| TOTAL ESTIMATED INITIAL INVESTMENT (exclusive of real estate and r |
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 range for soft costs for a Conversion Restaurant is $8,000 to $30,000. These soft costs, as detailed in Note 3, encompass expenses like due diligence, surveys, fees for architects and engineers, and permit and impact fees. These costs can fluctuate based on the franchisee's specific location and region.
These soft costs are payable to contractors, suppliers, and lending institutions and are typically dependent upon bank financing. It's important to note that these figures are estimates, and the actual costs may vary depending on the specific circumstances of the conversion project.
For prospective Checkersrallys franchisees, understanding these soft costs is crucial for budgeting and financial planning. Franchisees should conduct thorough due diligence and consult with professionals to assess the potential soft costs associated with their specific location and conversion project. Given the variability of these costs, it is advisable to obtain detailed quotes and estimates from local contractors and service providers to develop a realistic budget.