What was the fixed interest rate for the Other Non-Vehicle Debt for Dollar Rent A Car?
Dollar_Rent_A_Car Franchise · 2025 FDDAnswer from 2025 FDD Document
| Facility | Weighted Average Interest Rate as of December 31, 2024 | Fixed or Floating Interest Rate | Maturity | December 31, 2024 | December 31, 2023 |
|---|---|---|---|---|---|
| Other Non-Vehicle Debt(3) | 15.76% | Fixed | Various | — | 2 |
Source: Item 23 — RECEIPTS (FDD pages 102–301)
What This Means (2025 FDD)
According to Dollar Rent A Car's 2025 Franchise Disclosure Document, the fixed interest rate for Other Non-Vehicle Debt was 15.76% as of December 31, 2024. This debt had various maturity dates. The amount outstanding for this debt was not specified as of December 31, 2024, but it was $2 million as of December 31, 2023.
This information is relevant for prospective Dollar Rent A Car franchisees because it provides insight into the company's debt structure and associated interest rates. The Other Non-Vehicle Debt is primarily comprised of $1 million in finance lease obligations as of December 31, 2023.
Understanding the interest rates and maturity dates of Dollar Rent A Car's debt can help a potential franchisee assess the financial stability and risk associated with investing in the franchise. A high interest rate on debt could indicate higher financial risk for the company. Franchisees should consider these factors when evaluating the overall financial health of Dollar Rent A Car.