factual

When identifying itself in advertising and promotional materials, what specific phrase must a Budget licensee use in conjunction with the word 'Budget'?

Budget Franchise · 2025 FDD

Answer from 2025 FDD Document

Licensee agrees that it will at all times identify itself only as an Budget licensee; that it will not identify itself as being Budget, or a subsidiary, division, partner, joint venturer, agent or employee of Budget, or as being associated with Budget in any manner other than as an Budget licensee; and that it will in all advertising and promotional materials (including Licensee's stationery, business cards, telephone listings, websites, advertising (whether print, radio, web or television), purchase orders and rentals agreements), use the word "Budget" and the Marks only in obvious conjunction with the words "an Independent Budget System Licensee" or with such other words and with such other phrases as may be prescribed in the Standards.

Source: Item 23 — RECEIPTS (FDD pages 80–426)

What This Means (2025 FDD)

According to Budget's 2025 Franchise Disclosure Document, a licensee must always identify itself as a Budget licensee and avoid implying any other relationship with Budget beyond that of a licensee. Specifically, in all advertising and promotional materials, including stationery, business cards, telephone listings, websites, print, radio, web, television advertising, purchase orders, and rental agreements, the word "Budget" and the associated marks must be used in conjunction with the phrase "an Independent Budget System Licensee."

This requirement ensures that customers understand that the local Budget rental business is independently owned and operated, and not a direct extension of the Budget corporate entity. This distinction is important for managing customer expectations and clarifying liability.

Budget also retains the right to prescribe other phrases in the Standards that a licensee must use. Therefore, franchisees must stay updated with any changes to these standards to ensure compliance in all their advertising and promotional efforts.

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.