What is a 'Conversion Restaurant' in the context of a Hardees franchise?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
The Franchised Restaurant may be a newly developed restaurant or the conversion of an existing quick service restaurant brand (at times referred to as a "Conversion Restaurant").
Source: Item 1 — The Franchisor and any Parents, Predecessors, and Affiliates (FDD pages 9–22)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, a 'Conversion Restaurant' refers to the transformation of an existing quick-service restaurant into a Hardees franchise. This means that instead of building a new Hardees location from the ground up, a franchisee can rebrand and remodel an already operating restaurant of a different quick-service brand to become a Hardees. This option is specifically available at Travel Center Locations or Gas and Convenience Locations.
Choosing to convert an existing restaurant can potentially offer certain advantages. For instance, the location is already established as a food service venue, and some infrastructure may already be in place, potentially reducing initial setup costs and time. However, it's important to note that Hardees may have specific requirements for conversions to ensure brand consistency and quality standards are met.
Hardees also offers development incentive programs for franchisees who develop three or more Hardees restaurants or convert an existing restaurant to a Hardees restaurant. These incentives, offered as part of the 2025 HR Travel Center Development Incentive Program, may include reduced initial franchise fees, royalty fees, and APO (Advertising Production Organization) fees, as detailed in Items 5 and 6 of the FDD. Prospective franchisees should carefully review the requirements and conditions of these incentive programs to determine eligibility and potential benefits.