How is the Checkersrallys renewal fee determined?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS (See Note 1) |
|---|---|---|---|
| Renewal Fee | Up to 50% of then current standard initial franchise fee, depending on the length of your successor franchise term. | Upon signing the new franchise agreement. | If your successor franchise term is 10 years, the renewal fee is 33.33% of the then current initial franchise fee for a new Restaurant; if your successor franchise term is 20 years, the renewal fee is 50% of the then-current initial franchise fee. |
Source: Item 6 — OTHER FEES (FDD pages 21–29)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, the renewal fee is determined by the length of the successor franchise term, and it can be up to 50% of the then-current standard initial franchise fee. This fee is due upon signing the new franchise agreement.
Specifically, if the successor franchise term is 10 years, the renewal fee is 33.33% of the then-current initial franchise fee for a new Checkersrallys Restaurant. If the successor franchise term is 20 years, the renewal fee increases to 50% of the then-current initial franchise fee.
For a prospective franchisee, this means that renewing their franchise agreement with Checkersrallys will require a significant payment, the exact amount of which will depend on the initial franchise fee at the time of renewal and the length of the renewal term they choose. It is important to note that the initial franchise fee may change over time, so the renewal fee could be higher or lower than the initial fee paid for the original franchise agreement. Franchisees should consider these costs when planning for the long-term operation of their Checkersrallys franchise.