What qualification standards must a Budget Renting City follow when qualifying a renter for a Non-Owned Vehicle?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
The Renting City will follow standard procedure to qualify the renter for a Non-Owned Vehicle the same as the Renting City would qualify a renter for their Owned Vehicles. This should meet the requirements of the Avis system qualification standards.
Source: Item 23 — RECEIPTS (FDD pages 80–426)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, when a Renting City franchisee rents a Non-Owned Vehicle, they must follow the same standard procedures used to qualify renters for their Owned Vehicles. These procedures must meet the qualification standards of the Avis system. This means Budget franchisees need to apply the same renter screening and approval processes whether the vehicle is part of their own fleet or belongs to another Budget location.
This policy ensures consistency in renter qualification across the Budget system, regardless of vehicle ownership. By adhering to Avis's qualification standards, Budget aims to minimize risks associated with rentals, such as vehicle damage or theft, and maintain a standard level of renter reliability. This also helps protect the interests of the Owning City, as they rely on the Renting City to properly vet renters who will be using their vehicles.
If a vehicle is converted (not returned upon demand) due to improper qualification of a renter, the Renting City is liable to purchase the vehicle from the Owning City at its book value as of the rental's start date. This liability underscores the importance of adhering to the qualification standards. Conversely, if a vehicle is stolen from a qualified renter, the Owning City assumes full liability, highlighting the shared risk and responsibility within the Budget franchise network.