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CHECKERS RESTAURANT OR RALLY'S RESTAURANT

CHECKERS RESTAURANT OR RALLY'S RESTAURANT

Checkers Drive-In Restaurants, Inc. franchises quick-service drive-thru restaurants under the Checkers and Rally’s brands, offering a limited menu of hamburgers, cheeseburgers, hot dogs, famous seasoned fries, sandwiches, and innovative desserts like milkshakes and funnel cake fries at exceptional value. The business model emphasizes convenience through dual drive-thru designs, small footprints, operational efficiency with metrics-driven tools, and a focus on late-night dining in various formats including modular, site-built, conversions, endcaps, in-lines, and non-traditional sites. They target consumers seeking bold, flavorful alternatives to standard fast-food in the competitive QSR market, including high-density urban areas and traffic-generating locations.

332locations
$214K–$1915K
Since 1986
Food & BeverageTampa, FLCheckers Topco, LLCwww.checkers.comDisclaimer

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Franchise Costs

Franchise Fee
$30,000
Initial Investment
$214,000 – $1,915,000
Royalty Rate
4.00%
Brand Fund
2.65%
Fixed Monthly Fees
$209 – $389

4% royalty + 2.65% ad fund + $190-$370/mo technology fee + $159/quarter firewall fee + $19/mo secure payment gateway fee

Financial Performance


Item 19 Financial Performance

Average Gross Revenue
$1,136,036.35
Top Quartile Revenue
$3,102,720
Bottom Quartile Revenue
$197,376

Data Based On: Financial performance data for 484 franchised Checkers and Rally's restaurants (320 Checkers, 164 Rally's) that were open and operating for at least 350 days during the 2025 Fiscal Year.

* The data extracted focuses on existing franchised Checkers and Rally's restaurants open for at least 350 days during the 2025 Fiscal Year, as this represents the most comprehensive data set for established units. Average Gross Revenue was calculated as a weighted average: Checkers Franchised (320 units): Average Net Sales = $1,136,589 Rally's Franchised (164 units): Average Net Sales = $1,134,958 Weighted Average Gross Revenue = (320 * $1,136,589 + 164 * $1,134,958) / (320 + 164) = $1,136,036.35. Median Gross Revenue is set to null because aggregating the medians from two distinct groups (Checkers and Rally's) into a single representative weighted median is not reliably possible without the raw data. Revenue Top Quartile and Revenue Bottom Quartile are derived from the overall range of 'Low and High Net Sales' reported across both brands for these categories. The lowest 'Low Net Sales' was $197,376 (Checkers) and the highest 'High Net Sales' was $3,102,720 (Checkers). No explicit gross profit, net income, net profit, or EBITDA figures or relevant expense/margin data were provided in Item 19 to calculate these metrics or a best guess profit range.

Extracted Item 19 Section

Avg. Revenue: $1,136,036

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How CHECKERS RESTAURANT OR RALLY'S RESTAURANT Compares

Key Insights

  • Lower investment than 75% of Fast Food franchises
FranchiseInvestmentFeeRoyaltyLocations
CHECKERS RESTAURANT OR RALLY'S RESTAURANT
Current
$214K – $1.9M$30K4.0%332
MCDONALD'S$1.5M – $2.6M$45KN/A12,772
LITTLE CAESARS$377K – $1.8M$20K6.0%3,788
KFC (NON-TRADITIONAL)$1.2M – $4.2M$45KN/A3,404
SONIC DRIVE-IN$1.5M – $2.5M$15K5.0%3,120
AFC$54K – $150K$6K8.0%2,974
Fast Food Average
137 franchises
$595K – $1.6M$38K6.7%–

* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 137 Fast Food franchises by location count.

Locations & Growth


Outlet Growth Over Time

Total outlets at end of each year

Geographic Distribution (2025)

Outlets by state across the United States

Top States
1GA
60
2FL
43
3MD
34
4CA
32
5NY
29
6KY
27
7IN
24
8MI
19
9TX
17
10TN
14
11IL
12
12MO
12
13NJ
11
14AZ
10
15LA
9

+15 more states

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SBA Loan History


Historical SBA 7(a) loan data for CHECKERS RESTAURANT OR RALLY'S RESTAURANT franchisees (2013 – 2025)

Total Loans
94
Average Loan
$820,854
Total Volume
$77.2M
Default Rate
3.2%

Loans by Year

SBA 7(a) loan activity over time

* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.

94 SBA loans on record

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Franchisee Contacts

453 franchisee contacts on file from official FDD filings.

453 Contacts Available

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Due Diligence


Litigation (Item 3)

Franchisee Cases3

One case involved a former franchisee's arbitration claim for wrongful termination and misappropriation of advertising funds. Two cases were franchisor-initiated actions to collect unpaid fees from franchisees, both of which were settled.

Bankruptcy (Item 4)

Bankruptcy HistoryNo
No bankruptcy history reported

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
0
Non-Renewals
0
Reacquired
0
Ceased Ops
37
Transfers
42
Sold to Franchisees
4
Projected New
12

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Frequently Asked Questions

The total initial investment to open a CHECKERS RESTAURANT OR RALLY'S RESTAURANT franchise ranges from $214,000 to $1,915,000. This includes a franchise fee of $30,000. Ongoing royalty fees are 4.0% of gross sales.