Checkers & Rally’s Awards New Franchise Every 3 Days, Representing 56 New Locations through Q2

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Brand’s Strong Unit-Level Economics Coupled with Strong Franchisee Validation Propels Growth

Checkers & Rally’s Restaurants, Inc., (Checkers® and Rally’s®) served up more than just Crazy Good Food during the second quarter of 2015. The drive-thru franchise closed out Q2 with 25 new franchisees totaling 56 units year-to-date, well on its way to reaching the goal of 100 units before year’s end.

“Franchisees continue to flock to the Checkers & Rally’s system thanks to our exciting growth potential, magnetic culture and one of a kind consumer proposition,” said Jennifer Durham, Vice President of Franchise Development for Checkers & Rally’s Restaurants, Inc. “From industry newcomers to franchise veterans, people recognize the unique opportunity to grow with our brand, and appreciate our focus on franchisee and franchisor alignment.”

Franchisees are no doubt also drawn to the Checkers & Rally’s brand thanks to its compelling financial proposition. The company has the lowest initial investment of the HQSR category while yielding best-in-class returns. In fact, system wide same store sales have increased 8.6% over the past three years. Paired with the unit level efficiencies, Checkers & Rally’s has nearly doubled its bottom line profit.

The company credits these strong results to improvements in operational performance, utilization of new data systems and scorecards to measure operational execution, innovative new products, and a focus on faster service. Service is now nearly a whole minute faster per transaction based on these improvements.

“We’ve also doubled down on providing our late-night guests with what they crave most,” Durham said. “We have a perfect late-night menu that answers what guests crave, and our focus has resulted in this day part’s growth. We’ve doubled our sales in the late-night day part and more than twenty percent of our business now happens after 10 p.m.”

Bold flavor at an unbelievable value is the name of the game for Checkers & Rally’s, and it’s something both guests and franchisees are responding to in a big way. Guests are drawn to the brand’s constant menu innovation and product development, and franchisees are attracted to the new and repeat customers, and the Company’s focus on the restaurant level profitability. In fact, according to Franchise Business Review’s satisfaction survey completed in 2014, nearly 85 percent of current franchisees are planning to grow with the brand.

There’s a reason Checkers and Rally’s was ranked the No. 1 fast-food restaurant and No. 1 multi-unit restaurant concept in franchise satisfaction by Franchise Business Review – the company owns restaurants alongside its franchisees, meaning it has even more reason to focus on costs, margins, profitability and promotions.

“We believe in order to be a good franchisor, you have to put yourself in the shoes of your franchisees. Not figuratively, literally. We build restaurants and we run restaurants and our franchisees know we’re right there with them,” Durham said.

It’s this unique insight into what its franchisees want and need that has allowed Checkers and Rally’s to sign over 100 new franchisees in the last three years. The brand opened 35 new restaurants during 2014, and plans to add 40-50 in 2015.

Still, Checkers and Rally’s continues to search for passionate franchisees who wish to expand with the company. The brand continues to attract veteran multi-unit operators from established brands, with new franchisees joining the franchise family in 2015 with other operations in Subway, Taco Bell, Burger King, Pizza Hut, Applebee’s, IHOP and Dunkin’ Donuts. With over 4,000 locations available in new markets across the U.S., plenty of opportunities remain for forward-thinking entrepreneurs to find out what current franchisees already know: Checkers and Rally’s is a cut above the competition.

ABOUT CHECKERS & RALLY’S RESTAURANTS, INC.
Based in Tampa, Fla., Checkers & Rally's Restaurants, Inc., an iconic and innovative drive-thru restaurant chain known for its "Crazy Good Food," exceptional value and people-first attitude, operates and franchises both Checkers® and Rally's® restaurants. With more than 800 restaurants and room to grow, Checkers & Rally's is a proven brand with flexible building formats that is aggressively expanding across the country. Checkers & Rally's is a place where franchisees and employees who work hard can create opportunity for themselves, their families, and their communities. In recent years, the brand has been awarded several of the industry's most prestigious awards including: No. 1 Restaurant Franchise in Franchise Business Review’s Top 50 Multi-Unit Franchises for 2015, Top 500 by Entrepreneur Magazine, Best Drive-Thru in America by QSR Magazine and the Hot! Again award from Nation's Restaurant News. For more information about franchise opportunities with Checkers & Rally's, please visit http://www.checkersfranchising.com.

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Lauren Boukas
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