Does Budget authorize its representatives to make financial performance representations in writing?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
Budget does not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets. Budget also does not authorize our employees or representatives to make any such representations either orally or in writing. If you are
purchasing an existing outlet, however, Budget may provide you with actual records of that outlet. If you receive any other financial performance information or projections of your future income, you should report it to the franchisor's management by contacting Shari Asarch at (973) 496-3444, the Federal Trade Commission, and the appropriate state regulatory agencies.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 70–71)
What This Means (2025 FDD)
According to the 2025 FDD, Budget does not authorize its employees or representatives to make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets, either orally or in writing. This means that prospective Budget franchisees should not rely on any financial performance claims made by Budget representatives.
However, if a prospective franchisee is purchasing an existing Budget outlet, Budget may provide the actual records of that outlet. This is an exception to the general rule against financial performance representations.
The FDD instructs prospective franchisees to report any unauthorized financial performance information or projections to Budget's management, the Federal Trade Commission, and the appropriate state regulatory agencies. This is to ensure that franchisees are not misled by inaccurate or unsubstantiated claims.