Can the Checkersrallys technology fee increase?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
must be submitted for approval prior to distribution. |
| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS (See Note 1) |
|---|---|---|---|
| Transfer Fee | Transfer of a Single Restaurant: $20,000 (or $10,000, if the transferee is an existing franchisee) Transfer of Multiple Restaurants: $20,000 (or $10,000, if the transferee is an existing franchisee) for the first Restaurant, plus $5,000 for each additional Restaurant to be transferred as part of a single transaction. | Upon transferring the franchise. | |
| 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. |
| Training Fee | Varies (estimated to be $1,000 or less per additional attendee) | Upon receipt of our bill. | We do not charge training fees for 2 attendees at initial training but may charge fees for additional attendees and for additional training. See Item 11. |
| Technology Fee | Currently, $190 to $370 plus applicable taxes (subject to increase based on our and our third party provider's increased costs, in providing the technology services, including increased costs associated with technological innovation and product development necessary for industry competitiveness) | Quarterly | In connection with the required Aloha POS system, you must pay us or our affiliate ongoing costs for the Aloha Command and Configuration Center and Menu Management services. We offer enhanced technology services on an optional basis. If you choose to sign-up for our enhanced technology services, the Technology Fee will increase to $370 per quarter. |
Source: Item 6 — OTHER FEES (FDD pages 21–29)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, the technology fee, which currently ranges from $190 to $370 plus applicable taxes, is subject to increase. These increases are based on Checkersrallys's and their third-party provider's increased costs in providing technology services. This includes increased costs associated with technological innovation and product development necessary for industry competitiveness.
This means that as a Checkersrallys franchisee, you should anticipate potential increases to the technology fee over the term of your franchise agreement. These increases are tied to the evolving technology landscape and the need to maintain a competitive edge. The FDD specifies that the technology fee is paid quarterly.
Furthermore, the document indicates that if a franchisee chooses to sign up for enhanced technology services, the technology fee will increase to $370 per quarter. This suggests that there are different tiers of technology services available, with corresponding fee structures. It is important for prospective franchisees to understand what these enhanced services entail and whether they are necessary for their business operations.
In addition to the technology fee, Checkersrallys franchisees are also required to obtain a firewall system and use a point-to-point encryption credit card and payment processing solution, both of which are also subject to potential increases based on the third-party provider's costs. These costs are currently listed as $190 - $211 plus applicable taxes for the firewall fee and $67 - $215 plus applicable taxes for the secure payment gateway fee.