Which item in the Budget Disclosure Document relates to additional development in the Territory?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
| OBLIGATION | SECTION IN AGREEMENT | ITEM IN DISCLOSURE DOCUMENT |
|---|---|---|
| w. Non-competition covenants | 1.6 and 11.9 and the Nondisclosure and Noncompetition Agreement of the Budget License Agreement | Item 17 |
| x. Dispute Resolution | 14.9 to 14.13 of the Budget License Agreement XIX of the Intercity Program | Item 17 |
| y. Intercity Rentals | The Intercity Rules and Regulations | Items 1, 6, 8, 16, and 17 |
| z. Personal Guarantee | 12.7 and Exhibit A of the Budget License Agreement were intentionally deleted | Items 1, 7, 15 |
| aa. Assignment of account | 7.7 and 14.5 of the Budget License | |
| and other receivables | Agreement | |
| bb. Lien on equipment and | 7.7 of the Budget License Agreement | |
| property | ||
| cc. Honor National Account agreements and participate in Programs | Art. VI. 9.13, 11.10 and VI of the Budget License Agreement | Items 1, 6, 11, and 12 |
| dd. Additional | 8.6 of the Budget License Agreement | Item 12 |
| development in | ||
| Territory |
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 37–61)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, Item 12 is related to additional development in the territory. Specifically, section 8.6 of the Budget License Agreement outlines the obligations regarding additional development in the territory, and this is disclosed in Item 12 of the FDD.
For a prospective Budget franchisee, this means that Item 12 contains important information about any requirements or expectations Budget has for franchisees to expand or further develop their territory beyond the initial location. This could include details on the timeline for additional development, the criteria for evaluating the need for expansion, and any financial obligations associated with developing the territory further.
Understanding the terms in Item 12 is crucial for franchisees to plan their long-term business strategy and financial investments. Franchisees should carefully review this section to understand their rights and responsibilities regarding territory development and to ensure they are prepared to meet Budget's expectations for growth.