factual

Under the Intercity Program, what rental qualifications must a Budget franchisee enforce for customers?

Budget Franchise · 2025 FDD

Answer from 2025 FDD Document

Under the Budget License Agreement, you must adhere to Budget's rental rates to the maximum extent the law allows, including for maximum rates. You also must honor all rental rates that you communicate to Budget for your Budget Franchise. Under the Intercity Program, you must enforce and abide by certain minimum rental qualifications for customers when renting vehicles owned by another Budget Franchise or a Budget affiliate.

Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 65–66)

What This Means (2025 FDD)

According to Budget's 2025 Franchise Disclosure Document, franchisees participating in the Intercity Program must enforce certain minimum rental qualifications for customers. This applies specifically when renting vehicles that are owned by another Budget franchise location or a Budget affiliate.

The Intercity Program appears to facilitate rentals between different Budget locations, ensuring consistent standards and proper vehicle management. By adhering to minimum rental qualifications, Budget aims to maintain a level of quality and reduce risks associated with rentals, such as damage or loss of vehicles.

For a prospective franchisee, this means they must be aware of and implement the specific rental qualifications dictated by Budget under the Intercity Program. These qualifications are not detailed in this section, so further investigation is needed to understand the exact criteria. Franchisees must also adhere to Budget's rental rates to the maximum extent the law allows and honor all rental rates communicated to Budget for their franchise.

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.