factual

For a Budget franchise, what manual is referenced regarding the General Manager's responsibilities?

Budget Franchise · 2025 FDD

Answer from 2025 FDD Document

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ITEM 15 OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS

Budget does not require you to participate personally in the direct operation of your Budget Franchise, but strongly urges you to do so.

You must employ on a full-time basis, at all times during the term of your Budget License Agreement, at least one General Manager who has completed the instruction Budget furnishes and who will devote his or her entire time during normal business hours to the management, operation, and development of your Budget Franchise as required in the Standards and the Manual. Your General Manager need not have an equity interest in the Budget Franchise or in you. An on-premises supervisor must successfully complete Budget's training program.

Persons who are the beneficial owners and principal officers of your Budget Franchise must sign certain documents included in the Budget License Agreement, including Budget's Nondisclosure and Noncompetition Agreement. Budget may negotiate provisions in this section for the Budget License Agreements it offers to Budget Licensees.

Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD page 65)

What This Means (2025 FDD)

According to Budget's 2025 Franchise Disclosure Document, the General Manager's responsibilities are detailed in the Standards and the Manual. Budget requires franchisees to employ a full-time General Manager who has completed Budget's instruction and will devote their time to managing, operating, and developing the Budget franchise.

The FDD also states that Budget may modify the Manual and the Standards periodically through bulletins, supplements, and other communications, and franchisees must comply with these modifications. The table of contents of the Manual is attached as exhibit L, and the annual manual has a total of 538 pages.

Prospective franchisees should review the Manual and Standards carefully to understand the full scope of the General Manager's responsibilities and how Budget may modify these requirements over time. Understanding these obligations is crucial for the successful operation of a Budget franchise.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.