What was the reported cost for occupancy and other expenses for Hardees?

According to Hardees's 2025 Franchise Disclosure Document, franchise operations and other expenses include rent and occupancy costs related to franchised restaurants, amortization of franchise agreements, credit losses, and other miscellaneous expenses directly related to franchise operations. These costs are expensed as they are incurred.

This means that Hardees franchisees will bear the costs of rent, property, and related expenses. Additionally, the costs associated with the amortization of the franchise agreement itself are included in this category. Franchisees should be aware that these costs are not capitalized but are instead expensed immediately, impacting the profitability reported in the financial period they occur.

It is important to note that the FDD excerpt does not provide specific dollar amounts for these expenses. A prospective franchisee should review the complete financial statements within the FDD and discuss these costs with existing franchisees to understand the typical range of expenses for occupancy and other related items. This will help in creating a realistic financial projection for their Hardees franchise.