factual

What is the estimated total initial investment range for a Checkersrallys franchise, excluding real estate and related costs?

Checkersrallys Franchise · 2025 FDD

Answer from 2025 FDD Document

ased 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.
Asset Transfer Fee $0 - $10,000 Lump Sum At time of signing the Franchise Agreement Us
Restaurant Building Costs (See Note 2) $354,653- $1,292,640 Dependent upon bank financing As agreed Suppliers, Lending Institutions
Restaurant Equipment & Technology (See Note 2) $42,153 - $329,538 As incurred On ordering Suppliers
Soft Costs (see Note 3) $17,200 - $225,625 Dependent upon bank financing Dependent upon bank financing Contractors, Suppliers, Lending Institutions
Signage including $11,914 - As On ordering Suppliers
Menuboards $97,690 incurred
Inventory (See Note $4,000 - $12,000 As When delivered Suppliers
4) incurred
Additional Funds - 3 Months (See Note 5) $50,000 - $120,000 As incurred As incurred Employees, suppliers, utilities, etc.
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
TOTAL ESTIMATED INITIAL INVESTMENT (exclusive of real estate and related costs (see Note 2 and 6)) $514,920 - $2,132,493 #### 2. CONVERSION 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 National Production Fund
Asset Transfer Fee $0 - $10,000 Lump Sum At time of signing the Franchise Agreement Us
Restaurant Building (See Note 2) $322,062- $739,445 Dependent upon bank financing As agreed Contractors, Suppliers, Lending Institutions
Restaurant Equipment & Technology $193,260- $329,538 As incurred On ordering Suppliers
Soft Costs (See Note 3) $50,000- $89,710 Dependent upon bank financing Dependent upon bank financing Contractors, Suppliers, Lending Institutions
Signage including $29,050- As incurred On ordering Us or Other
Menuboards $134,081 Supplier
Inventory (See Note $4,000 - As incurred When delivered Suppliers
4) $12,000
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
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 related costs (see Note 2 and 6)) $683,372 - $1,479,774 #### 3. SITE BUILT 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 National Production Fund
Asset Transfer Fee $0 - $10,000 Lump Sum At time of signing the Franchise Agreement Us
Restaurant Building (See Note 2) $785,150- $1,112,973 Dependent upon bank financing As agreed Contractors, Suppliers, Lending Institutions
Restaurant Equipment & Technology $122,976- $329,538 As incurred On ordering Suppliers
Soft Costs (See Note 3) $28,500- $150,000 Dependent upon bank financing Dependent upon bank financing Contractors, Suppliers, Lending Institutions
Signage including $39,031- As incurred On ordering Us or Other
Menuboards $97,690 Supplier
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
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 related costs (see Note 2 and 6)) $1,064,657 - $1,877,201 # 4. ENDCAP 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 National Production Fund
Asset Transfer Fee $0 - $10,000 Lump Sum At time of signing the Franchise Agreement Us
Restaurant Building Costs (See Note 2) $85,000 - $700,000 Dependent upon bank financing Dependent upon bank financing Contractors, Suppliers, Lending Institutions
Restaurant Equipment & Technology (See Note 2) $199,763 - $329,538 As incurred On ordering Suppliers
Soft Costs (See Note 3) $0 - $42,250 Dependent upon bank financing Dependent upon bank financing Contractors, Suppliers, Lending Institutions
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
Signage including $9,607 - As incurred On ordering Us or Other
Menuboards $61,750 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 related costs (see Note 2 and 6)) $383,370 - $1,320,538 #### 5. IN-LINE RESTAURANT IN HIGH DENSITY MARKET
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
Restaurant Building Costs (See Note 2) $395,000 - $477,250 Dependent upon bank financing Dependent upon bank financing Contractors, Suppliers, Lending Institutions
Restaurant Equipment & Technology (See Note 2) $75,500 - $352,000 As incurred On ordering Suppliers
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
Soft Costs (See Note 3) 27,500 – 33,000 Dependent upon bank financing Dependent upon bank financing Contractors, Suppliers, Lending Institutions
Signage including $14,725 - As incurred On ordering Us or Other
Menuboards $17,729 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 related costs (see Note 2 and 6)) $601,725 – $1,066,979 ## 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 related costs (see Note 2 and 6)) $123,630 - $725,538 NOTE 1 See description of the initial franchise fee in Item 5 of this franchise disclosure document.

NOTE 2 Chart 1: Modular Design Drive-Thru Restaurant. The "Restaurant Building" line item reflects our estimate of the cost of constructing a modular drive-thru restaurant which is manufactured and shipped to the Premises, with an estimated size of approximately 1,008 square feet for the building on a site of approximately 19,080 to 30,000 square feet. The "Restaurant Building" estimate includes the cost of the building, building shipping and building assembly.

Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 30–39)

What This Means (2025 FDD)

According to Checkersrallys's 2025 Franchise Disclosure Document, the total estimated initial investment necessary to begin operation of a Checkersrallys franchise ranges from $123,630 to $2,132,493, excluding real estate and related costs. This broad range reflects the variability in costs associated with different restaurant models, site conditions, and regional factors. The investment covers a variety of expenses, such as the initial franchise fee, advertising deposit, asset transfer fee (if applicable), restaurant building costs, equipment and technology, soft costs, signage, inventory, and additional funds for the first three months of operation.

Prospective Checkersrallys franchisees should carefully review each component of the initial investment to understand the factors that could influence their actual costs. For example, restaurant building costs can vary significantly based on whether the location is a modular design drive-thru, a conversion restaurant, or a site-built restaurant. Similarly, soft costs, which include expenses like due diligence, surveys, and permit fees, can fluctuate depending on the region and specific location. The FDD provides notes with additional details on each of these line items to help franchisees estimate their expenses more accurately.

It is important to note that these figures are estimates, and Checkersrallys cannot guarantee that a franchisee's actual costs will fall within the stated ranges. Factors such as management skill, local economic conditions, and competition in the marketplace can all impact the initial investment required. Additionally, the estimates do not include any debt service. Therefore, prospective franchisees should conduct thorough due diligence, develop a detailed business plan, and secure adequate financing to ensure they have sufficient capital to launch and sustain their Checkersrallys franchise.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.
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