Is the Reservation Fee for a Budget franchise subject to change?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
Licensee will participate in the Reservation System Budget designates and in no other reservation system and will pay to Budget or one of its Related Entities the then-current reservation fees established by Budget or one of its Related Entities for each reservation transmitted to Licensee whether or not the reservation results in a rental ("Reservation Fees").
Licensee will accept and service all reservations at the time of day requested by the customer.
The current Reservation Fee is identified in the Summary Pages (Section 10(d)).
This fee is subject to change at the discretion of Budget.
Source: Item 23 — RECEIPTS (FDD pages 80–426)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, the Reservation Fee is subject to change at Budget's discretion. The current Reservation Fee is listed in the Summary Pages, Section 10(d).
This means that while a prospective Budget franchisee can find the current fee in the referenced section of the FDD, Budget retains the right to modify this fee. This could impact the franchisee's operating costs and profitability.
It is important for a potential franchisee to consider that these fees can be adjusted and to inquire about the frequency and potential magnitude of these changes. Understanding the factors that could influence these fees will allow a franchisee to better prepare for potential financial fluctuations.