factual

How does operating a Checkersrallys restaurant from a Non-Traditional Site affect the Initial Franchise Fee?

Checkersrallys Franchise · 2025 FDD

Answer from 2025 FDD Document

tions," "Subsections," and/or "Exhibits" shall mean the applicable Section(s), Subsection(s), and/or Exhibit(s) of the Franchise Agreement, unless specified otherwise below. The Recitals above are incorporated into this Addendum by reference.

    1. Qualifications. You represent, and in connection with signing this Addendum have provided us (or agree to provide promptly upon our request) relevant supporting documentation, that: (a) you are authorized, or

Source: Item 22 — CONTRACTS (FDD pages 91–92)

What This Means (2025 FDD)

According to Checkersrallys's 2025 Franchise Disclosure Document, the initial franchise fee is affected if a franchisee operates from a Non-Traditional Site. Specifically, the standard initial franchise fee for a new Checkersrallys restaurant is reduced by $15,000. This reduction is applied to Section 6.01 of the Franchise Agreement, which details the initial franchise fee.

This modification incentivizes franchisees to consider Non-Traditional Sites, which Checkersrallys defines as locations that generate their own customer traffic, such as military bases, airports, or college campuses. These sites often have unique operational characteristics and may require a different investment level, justifying the reduced initial fee. The reduced fee can make opening a Checkersrallys franchise more accessible in these specialized locations.

It's important to note that while the initial franchise fee is reduced, other aspects of the franchise agreement remain in effect unless specifically modified by an addendum. For example, the franchisee must still meet qualifications to operate at a Non-Traditional Site and comply with the overall Franchise Agreement. This ensures that all Checkersrallys locations, regardless of their location type, maintain brand standards and operational integrity.

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.