What was the total reported value of property and equipment, net, for Checkersrallys as of January 1, 2024?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
| - | 5,472 | 5 | 2,714 | | 4,440 | | 3,526 | | | | | $ | 7,879 | $ | 4,791 | $ | 8,826 | $ | 8,004 | | |
(Tabular Dollars in Thousands, Except Share and per Share Data)
10. Property and Equipment, Net
Property and equipment, net consisted of the following as of January 1, 2024 (Successor) and January 2, 2023 (Predecessor):
| January 1, 2024 (Successor) | revesion. | ary 2, 2023 decessor) | Estimated Useful Lives | ||
|---|---|---|---|---|---|
| Land | $ | 6,735 | $ | 4,207 | 3 |
| Leasehold and land improvements | 804 | 2 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, the total reported value of property and equipment, net, as of January 1, 2024, was $29,309. This figure represents the depreciated value of Checkersrallys's physical assets, such as land, buildings, equipment, furniture, and fixtures, after accounting for accumulated depreciation.
For a prospective franchisee, this number provides insight into the scale of physical assets Checkersrallys owns and manages. It can be used to assess the capital intensity of the business and understand the level of investment Checkersrallys has in its physical infrastructure. Keep in mind that this value reflects the company's overall holdings and not necessarily the investment required for a single franchise location.
It's important to note that the value of property and equipment, net, can fluctuate due to factors such as new acquisitions, depreciation, and asset impairments. For example, the document mentions impairment charges related to property and equipment due to store closures. Reviewing these changes over time can provide a more comprehensive understanding of Checkersrallys's asset management practices and financial health.