factual

Does the provided text for Budget outline any required actions related to the financial statement?

Budget Franchise · 2025 FDD

Answer from 2025 FDD Document

Exhibit G includes the audited consolidated balance sheets of Avis Budget Group, Inc. as of December 31, 2024 and 2023, and the related consolidated statements of operations, stockholders' equity, comprehensive income and cash flows for the years ended December 31, 2024, 2023, and 2022 and the related notes of Avis Budget Group, Inc. Avis Budget Group, Inc. guarantees our performance of our obligations under the Budget License Agreements we enter into. The instrument of guaranty is included in Exhibit G. We file state specific guarantees of performance with the appropriate agencies in the states where our licenses are registered to be offered and sold.

Source: Item 21 — FINANCIAL STATEMENTS (FDD page 79)

What This Means (2025 FDD)

According to Budget's 2025 Franchise Disclosure Document, Exhibit G includes the audited consolidated balance sheets of Avis Budget Group, Inc. as of December 31, 2024 and 2023, along with related statements of operations, stockholders' equity, comprehensive income, and cash flows for the years ending December 31, 2024, 2023, and 2022. The exhibit also contains related notes. Avis Budget Group, Inc. guarantees Budget's performance of its obligations under the Budget License Agreements. The guaranty instrument is included in Exhibit G. State-specific performance guarantees are filed with the appropriate agencies in states where Budget licenses are registered for offer and sale.

For a prospective Budget franchisee, this means that the financial statements of Avis Budget Group, Inc., Budget's parent company, are relevant to assessing the financial stability and obligations of Budget. Franchisees should review Exhibit G carefully to understand the financial health of the parent company, as it is the guarantor of Budget's obligations. The state-specific guarantees provide an additional layer of security for franchisees, ensuring that Budget is financially capable of meeting its obligations in those states.

It is important for potential franchisees to understand the implications of the parent company's financial statements and guarantees. While the financial statements themselves do not outline required actions, they provide a basis for understanding the financial responsibilities and assurances provided by Avis Budget Group, Inc. to Budget franchisees. Franchisees should consult with a financial advisor to fully understand these documents.

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.