What is the operating lease obligation for Checkersrallys for the fiscal year ending in 2027?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
essor) and the periods from June 17, 2023 through January 1, 2024 (Successor) and from January 3, 2023 through June 16, 2023 (Predecessor) was $2.0 million, $1.9 million, and $1.0 million, respectively.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
*M
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, the operating lease obligation for the fiscal year ending in 2027 is $964,000. This figure represents the annual undiscounted cash flows for lease liabilities under noncancelable leases as of December 30, 2024.
For a prospective Checkersrallys franchisee, this information is crucial for understanding the company's long-term financial commitments related to property leases. It provides insight into the fixed costs Checkersrallys anticipates paying for its leased locations. This figure is part of a series of future lease obligations, with amounts varying year by year.
Understanding these lease obligations can help a potential franchisee assess the financial stability of Checkersrallys and its ability to manage its lease commitments. It's important to note that these are undiscounted cash flows, meaning they do not account for the time value of money. A detailed review of the complete financial statements and notes is recommended to fully understand the context of these lease obligations.