What is Dollar Rent A Car's role in the site selection process for a franchisee's location?
Dollar_Rent_A_Car Franchise · 2025 FDDAnswer from 2025 FDD Document
- 13.5. Site Selection and Approval.
Although the primary responsibility for selecting a site for Your Franchised Business shall be Yours, We and Our Affiliate shall review Your selection and inform You of Our approval or disapproval prior to the opening of Your Franchised Business as set forth in Section 12.3.
Our approval of Your selection is not a guaranty or warranty as to the suitability or profitability of the Location.
Source: Item 23 — RECEIPTS (FDD pages 102–301)
What This Means (2025 FDD)
According to the 2025 Dollar Rent A Car Franchise Disclosure Document, franchisees have the primary responsibility for selecting a site for their franchised business. However, Dollar Rent A Car and its affiliates will review the franchisee's site selection and inform them of their approval or disapproval before the opening of the business, as detailed in Section 12.3 of the agreement.
It is important to note that Dollar Rent A Car's approval of a site does not constitute a guarantee or warranty regarding the suitability or profitability of that location. This means that while Dollar Rent A Car provides guidance and feedback, the ultimate success of the location remains the franchisee's responsibility.
This arrangement is fairly typical in the franchise industry, where franchisors offer support in site selection but do not assume liability for the location's performance. Prospective Dollar Rent A Car franchisees should carefully research and analyze potential locations, considering factors such as local market conditions, competition, and accessibility, even with the franchisor's input.