1986
761
$350,000
$20,000
$2,132,493
No
Checkers & Rally’s is a dynamic and fast-growing drive-thru fast-food franchise that has been serving bold, flavorful meals since 1986. Renowned for its signature burgers, seasoned fries, hot dogs, and milkshakes, the brand has carved out a unique niche in the U.S. quick-service restaurant (QSR) industry. With a focus on speed, value, and customer satisfaction, Checkers & Rally’s has established a strong presence across the nation.
The franchise operates under two brand names—Checkers and Rally’s—offering a streamlined menu and efficient service model that caters to the on-the-go consumer. Its distinctive double drive-thru design and compact store formats allow for high-volume service in diverse locations, from urban centers to suburban areas.
In recent years, Checkers & Rally’s has undergone a revitalization, introducing a modernized restaurant prototype and a reimaging program that enhances the customer experience while maintaining its core values. These initiatives have contributed to increased sales and a growing number of franchise opportunities nationwide.
Why Invest in This Franchise?
Proven Business Model: Checkers & Rally’s has demonstrated consistent performance with an average annual revenue of $1.06 million per unit, showcasing the effectiveness of its drive-thru-centric approach.
Flexible Store Formats: The franchise offers various development options, including modular drive-thru units, conversions, and non-traditional locations, allowing franchisees to select the model that best fits their market and investment capacity.
Strong Brand Recognition: With over 760 locations across the U.S., Checkers & Rally’s benefits from widespread brand awareness and customer loyalty, providing a solid foundation for new franchisees.
Comprehensive Support: Franchisees receive extensive training and ongoing operational support, ensuring they are well-equipped to manage and grow their businesses effectively.
Attractive Incentives: The brand offers competitive royalty and advertising fee structures, along with potential reductions for veterans and women entrepreneurs, making it an appealing option for diverse investors.
Established Year: 1986 (Checkers), 1984 (Rally’s)
Founders: James E. Mattei (Checkers), James E. Patterson (Rally’s)
Franchise Units: As of 2024, Checkers & Rally’s operates a total of 761 locations nationwide.
Company History: Checkers was founded in Mobile, Alabama, and Rally’s in Louisville, Kentucky. The two brands merged in 1999, forming Checkers Drive-In Restaurants, Inc., headquartered in Tampa, Florida.
Ownership: Privately held corporation
Market Presence: Strong presence in urban and suburban markets across the United States
Industry Category: Quick-Service Restaurant (QSR)
Recent Developments: In 2025, the brand introduced a new restaurant prototype that reduces square footage by nearly half, enhancing operational efficiency and reducing real estate costs.
Checkers & Rally’s is committed to ensuring franchisee success by offering a robust, multi-layered support system that covers every stage of the franchise journey—from initial setup to ongoing operations.
Site Selection: The franchise team helps identify prime locations based on traffic patterns, demographics, competition analysis, and real estate feasibility.
Lease Negotiation: Guidance is provided to secure favorable lease terms that minimize financial risk.
Restaurant Design & Construction: Checkers provides a standardized design for drive-thru efficiency, including layout, kitchen equipment, and signage, along with support for contractors and vendors.
Permitting & Licensing: Assistance in navigating local, state, and federal regulations, health permits, and zoning approvals.
Initial Training: Intensive pre-opening training at a corporate or nearby store location, covering:
Operations management
Customer service excellence
Inventory & supply chain management
Food safety and hygiene standards
POS system usage and reporting
Marketing strategies and community engagement
Hands-On Practice: Franchisees and their management team receive on-site training during the first weeks of operation, ensuring familiarity with day-to-day tasks.
Field Consultants: Dedicated support managers visit stores regularly to offer guidance, monitor performance, and provide actionable recommendations.
Performance Analytics: Access to real-time sales and operational reporting tools to track progress and identify opportunities for improvement.
Standard Operating Procedures (SOPs): Detailed manuals covering every aspect of store operation, including opening/closing procedures, staffing, and quality control.
National Marketing Campaigns: Corporate-managed advertising initiatives across TV, digital, and social media to drive brand recognition.
Local Store Marketing Assistance: Guidance and resources for local promotions, events, and social media campaigns tailored to each franchise location.
Promotional Materials: Access to professionally designed in-store signage, menu boards, and marketing collateral.
Continuous Education: Regular workshops, webinars, and refresher courses to keep franchisees updated on industry trends, menu innovations, and operational improvements.
Technology Integration: Assistance with digital ordering, loyalty programs, and mobile app integration for streamlined operations and customer engagement.
Crisis Management & Problem Solving: Support in handling operational challenges, staffing issues, or unexpected disruptions.
Checkers & Rally’s seeks franchisees who are entrepreneurial, motivated, and committed to delivering high-quality service in the fast-paced quick-service restaurant (QSR) industry. The ideal candidate possesses a combination of financial capability, operational aptitude, and a growth-oriented mindset.
Experience: While prior restaurant experience is preferred, it is not mandatory. Candidates with backgrounds in retail, foodservice management, or other customer-centric businesses are also ideal.
Management Skills: Strong leadership and team management skills are crucial, as franchisees will oversee staff, operations, and customer service quality.
Multi-Unit Potential: Individuals with the ability and interest to operate multiple locations or expand within their territory are highly encouraged, as Checkers supports multi-unit growth.
Minimum Net Worth: $900,000 or more, ensuring the franchisee can sustain initial investment and operational costs.
Liquid Assets: At least $350,000 available per location to cover franchise fees, startup costs, and working capital.
Investment Mindset: Ability to commit both financially and strategically to the long-term success of the franchise.
Entrepreneurial Spirit: A self-motivated individual who takes initiative and is willing to actively participate in the business operations.
Customer-Focused: Passion for delivering excellent service and creating a positive experience for every customer.
Resilience & Adaptability: Ability to handle the fast-paced environment of the QSR industry, adapt to changing trends, and overcome operational challenges.
Integrity & Professionalism: Commitment to upholding the brand’s reputation, standards, and values in every aspect of the business.
Market Awareness: Interest in urban or suburban areas with strong customer traffic and growth potential.
Territorial Flexibility: Willingness to explore opportunities in new or underserved markets, with guidance from Checkers’ corporate team.
Long-Term Vision: Desire to grow the business over time, potentially developing additional locations under multi-unit franchise agreements.
Collaborative Approach: Ability to work closely with the corporate team, field consultants, and fellow franchisees to leverage best practices and collective growth strategies.
| Financial Category | Details / Range |
|---|---|
| Total Investment Required | $514,920 – $2,132,493 (depending on location, store format, and construction costs) |
| Minimum Liquid Assets Required | $350,000 per location |
| Minimum Net Worth Required | $900,000 |
| Franchise Fee | $20,000 – $30,000 per location |
| Royalty Fee | 4% of gross sales |
| Advertising / Marketing Fees | 4.5% of gross sales (national & regional campaigns) |
| Infrastructure / Build-Out Cost | $400,000 – $1,200,000 (varies by site & store size) |
| Working Capital | Approximately $50,000 – $150,000 |
| Expected ROI | High potential; average unit generates $1.06 million annual revenue |
| Break-Even Time | Typically 18 – 22 months |
| Revenue Streams | Food and beverage sales, delivery, catering, and limited merchandise sales |
| Multi-Unit Expansion Potential | Encouraged; corporate supports multi-unit development agreements |
| Additional Costs | Permits, insurance, POS systems, initial inventory, staff recruitment & training |
