factual

Is there a renewal fee for a Dollar Rent A Car franchise, and where can the amount be found?

Dollar_Rent_A_Car Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchise Agreement No.: See location numbers listed below.
Agreement Issue Date:
Effective Date: [TBD]
Expiration Date: [5] years after Effective Date
Franchisor: [HERTZ SYSTEM, INC. / DOLLAR RENT A CAR, INC. / THRIFTY RENT-A-CAR SYSTEM, LLC]
Franchisor Notice Address: [HERTZ SYSTEM, INC. / DOLLAR RENT A CAR, INC. / THRIFTY RENT-A-CAR SYSTEM, LLC] Attn: Franchise Operations 8501 Williams Road Estero, FL 33928, USA
Franchisee Name: [ENTITY NAME]
Franchisee Notice Address: [ENTER ADDRESS FOR LEGAL NOTICES – this may or may not be one of the Locations]
Trade Name(s): [CHOOSE AS APPROPRIATE:] “Thrifty” or “Thrifty Car Rental” or “Thrifty Rent-A-Car System” OR “Hertz” or “Hertz Car Rental” OR “Dollar” or “Dollar Rent A Car”
Initial Fee: [ENTER AMOUNT] or [Not applicable]
Future Renewal Terms: Up to [three (3) two (2) one (1)] renewal term[s] of five (5) years [each], subject to the restrictions and qualifications set forth in the Franchise Agreement.
Renewal Fee: Upon renewal, the renewal fee will be equivalent to the fees and expenses of Franchisor incurred in connection with renewal, not to exceed $25,000.

Source: Item 23 — RECEIPTS (FDD pages 102–301)

What This Means (2025 FDD)

According to the 2025 Dollar Rent A Car Franchise Disclosure Document, Dollar Rent A Car franchisees may be required to pay a renewal fee if they choose to renew their franchise agreement. The FDD states that the renewal fee will be equivalent to the fees and expenses Dollar Rent A Car incurs in connection with the renewal. However, the renewal fee will not exceed $25,000.

This means that when a Dollar Rent A Car franchisee's initial franchise term is coming to an end, they have the option to renew for up to three additional terms of five years each, subject to certain qualifications and restrictions outlined in the Franchise Agreement. If the franchisee meets the requirements for renewal and elects to renew their agreement, they will be responsible for paying a renewal fee to Dollar Rent A Car.

The renewal fee is intended to cover Dollar Rent A Car's costs associated with processing the renewal, such as administrative and legal expenses. The exact amount of the renewal fee will depend on the specific expenses incurred by Dollar Rent A Car in each individual case, but the FDD provides assurance that it will not exceed $25,000. This information can be found under Item 23 Receipts.

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.