Where can I find the beneficial owners of the Budget Licensee as identified in the agreement?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
wner of a legal person that is the Licensee, the executor, administrator, conservator or other personal representative of such natural person will transfer his or her interest to a third party approved by Budget within three (3) months thereof. Such transfers, including transfers by devise or inheritance, will be subject to the same conditions as any lifetime transfer. Failure to so dispose of such interest within said period of time will constitute a breach of this Agreement. If, after the death or permanent incapacity of such natural person, the Rental Business are not being managed by a competent and trained manager (as determined by Budget in its sole discretion), Budget is authorized to immediately appoint a manager pursuant to the terms of Paragraph 11.10, to maintain the operation of the Rental Business until an approved assignee will be able to assume the management and operation of the Rental Business.
- 12.5 Beneficial Owners of Licensee. Licensee represents and Budget enters into this Agreement in reliance upon the representation that the individuals identified in the Summary Pages (Section 6) and Exhibit G are the sole beneficial owners (in the stated proportions) of Licensee.
- 12.6 Nondisclosure and Noncompetition Agreement.
Source: Item 23 — RECEIPTS (FDD pages 80–426)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, the individuals identified as the beneficial owners of the Licensee, along with their ownership proportions, can be found in the Summary Pages (Section 6) and Exhibit G of the agreement. Budget enters into the agreement relying on the accuracy of this representation.
Budget requires all persons who are beneficial owners and principal officers of the Licensee to execute Budget's standard Nondisclosure and Noncompetition Agreement, the current form of which is set forth in Exhibit C. Additionally, all beneficial owners of the Licensee must execute Budget's standard Personal Guarantee, as detailed in Exhibit A.
Furthermore, the Licensee is obligated to maintain a current list of all owners of record and all beneficial owners of any class of voting securities or securities convertible into voting securities. This list must be furnished to Budget upon execution of the agreement, within ten days of any change, and at any other reasonable times upon Budget's request. This ensures Budget has up-to-date information regarding the ownership structure of the franchise.