What was the net value of Checkersrallys' property and equipment as of December 30, 2024?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
ignificant audit findings, and certain internal control-related matters that we identified during the audit.
Tampa, Florida April 1, 2025
CONSOLIDATED BALANCE SHEETS
(In thousands, except share and per share data)
| Successor | ||
|---|---|---|
| December 30, | January 1, | |
| 2024 | 2024 | |
| ASSETS | ||
| Current assets | ||
| Cash and cash equivalents | $ 15,562 | $ 12,557 |
| Accounts and notes receivabl |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, the net value of property and equipment as of December 30, 2024, was $31,679. This figure represents the depreciated value of Checkersrallys's physical assets, such as buildings, equipment, and vehicles, after accounting for accumulated depreciation. This number is labeled as 'Property and equipment, net' on the balance sheet.
For a prospective franchisee, this figure provides insight into the capital intensity of Checkersrallys's operations. A higher net value of property and equipment might suggest that Checkersrallys requires significant investment in physical assets to operate its business model, which could translate to higher initial investment costs for franchisees. Conversely, a lower value might indicate a less capital-intensive model.
It's important to note that this value is a snapshot in time and can be influenced by factors such as depreciation methods, asset acquisitions, and disposals. Additionally, the FDD includes details about depreciation expense, which was $6.0 million for the fiscal year ended December 30, 2024. Reviewing these details can provide a more comprehensive understanding of Checkersrallys's asset management and capital expenditure strategies. Franchisees should consider these factors when evaluating the financial health and investment requirements of a Checkersrallys franchise.