According to the Budget FDD, what system must a Budget Franchise participate in?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
ultimate parent, none of our officers own an interest in any supplier.
Designated and Approved Suppliers.
Your Budget Franchise must participate in Wizard, according to the Rental System Agreement. ABCR administers the Wizard System and is the only supplier of reservation and rental system services to Budget Franchises. ABCR also provides reservation and rental processing services using Wizard for Avis and the Avis Rent A Car business network. All of the fees and other revenues that ABCR currently receives from Budget Franchises for providing Wizard services are described in Item 6. During 2024, Wizard Services, Inc. received approximately $2,213,492.72 from providing reservation services to the Network (based on Wizard Service, Inc.'s internal unaudited financial records) which represents 1.13% of its total revenue of $195,045,351. Except as described in this Item, neither Budget nor its affiliates derive any revenue as a result of required purchases or leases of franchisees.
Budget requires you to execute the Rental System Agreement with ABCR, which agreement provides for all reservation and back office functionalities to your Budget Franchise. Under the Rental System Agreement you must buy certain hardware, software, and communications utilized in connecting to Wizard only from Approved Suppliers (see Item 11). In connection with a Thin Client infrastructure providing you with PCI compliant access to the Wizard System, the Thin Client Terminals must be purchased from an Approved Supplier through ABCR. The fee collected from you is forwarded to the supplier. (Schedule B to the Rental System Agreement and Schedule 4 of t
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 32–34)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, a Budget franchisee must participate in the Wizard system, as outlined in the Rental System Agreement. ABCR administers the Wizard System and is the only supplier of reservation and rental system services to Budget franchises. ABCR also provides these services to Avis and the Avis Rent A Car business network.
In 2024, Wizard Services, Inc. received approximately $2,213,492.72 from providing reservation services to the Network, which represents 1.13% of its total revenue of $195,045,351. Franchisees are required to execute the Rental System Agreement with ABCR, which provides reservation and back office functionalities. This agreement mandates that franchisees purchase certain hardware, software, and communications equipment used to connect to Wizard exclusively from Approved Suppliers.
Specifically, Thin Client Terminals, which provide PCI compliant access to the Wizard System, must be purchased from an Approved Supplier through ABCR. The fees collected for these terminals are then forwarded to the supplier. Additionally, Site Surveys must also be purchased only from Approved Suppliers. This requirement ensures that all Budget franchises utilize a standardized system for reservations and back-office operations, maintaining uniformity and quality control across the network.