What must the General Manager devote their time to for a Budget franchise?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
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, while personal involvement in the franchise's daily operations isn't mandatory, Budget strongly advises it. Franchisees are required to employ a General Manager on a full-time basis. This General Manager must have completed Budget's training program.
The General Manager is expected to dedicate their entire time during normal business hours to the management, operation, and development of the Budget franchise. These responsibilities must align with the standards and guidelines outlined in Budget's manuals. The General Manager isn't required to have any equity stake in the Budget franchise itself.
Budget also requires that an on-premises supervisor successfully complete their training program. This ensures that there is always a trained individual present at the franchise location. Furthermore, Budget requires that the beneficial owners and principal officers of the Budget franchise sign specific documents, including a Nondisclosure and Noncompetition Agreement, as part of the Budget License Agreement.