Does Budget make any representations about a franchisee's future financial performance?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
Budget does not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets. Budget also does not authorize our employees or representatives to make any such representations either orally or in writing. If you are
purchasing an existing outlet, however, Budget may provide you with actual records of that outlet. If you receive any other financial performance information or projections of your future income, you should report it to the franchisor's management by contacting Shari Asarch at (973) 496-3444, the Federal Trade Commission, and the appropriate state regulatory agencies.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 70–71)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, Budget does not make any representations about a franchisee's future financial performance, nor does it make representations about the past financial performance of company-owned or franchised outlets. Budget also does not authorize employees or representatives to make such representations, either orally or in writing.
However, if a prospective franchisee is purchasing an existing Budget outlet, Budget may provide the actual records of that specific outlet. The FDD cautions that if a prospective franchisee receives any other financial performance information or projections of future income, they should report it to Budget's management by contacting Shari Asarch at (973) 496-3444, the Federal Trade Commission, and the appropriate state regulatory agencies.
This policy is typical in franchising. Franchisees should be wary of any financial projections or promises made outside of the formal Item 19 disclosure, as these are not vetted by the franchisor and may be unreliable. It is important for prospective Budget franchisees to conduct their own independent financial analysis and due diligence, consulting with financial advisors and other professionals, to assess the potential profitability of a Budget franchise.