About Thrifty and/or Thrifty Car Rental Franchise
Thrifty Car Rental is a well established vehicle rental brand operating under the umbrella of The Hertz Corporation.
With franchise operations dating back to 1962, Thrifty has built decades of brand recognition serving both leisure and business travelers across the United States and internationally.
The company offers a full range of rental vehicles from economy cars to SUVs and premium sedans.
Thrifty and/or Thrifty Car Rental Franchise Cost & Fees
Minimum Investment
$879K
Average Investment
$8.4M
Maximum Investment
$15.8M
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $25,000 to $100,000 | One-time payment upon signing |
| Royalty Fee | 6% to 9% of Gross Receipts of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Will vary | National brand fund |
| Total Investment Range | $879,300 – $15,839,000 | Includes build-out, inventory, working capital |
The investment range of $879K–$15.8M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% to 9% of Gross Receipts) and marketing fee (Will vary) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $25,000 | $100,000 |
| Training Expenses | $3,000 | $3,000 |
| Passenger Cars | $750,000 | $15,000,000 |
| Courtesy Vehicles | $55,000 | $350,000 |
| Equipment and Supplies | $5,000 | $20,000 |
| Insurance | $5,000 | $40,000 |
| Real Estate & Improvements | $0 | $0 |
| Professional Fees | $3,000 | $10,000 |
| Computer System, Hardware and Software | $11,500 | $250,000 |
| Optional Software | $1,500 | $15,000 |
| Business License | $100 | $500 |
| Miscellaneous Installation Fees | $200 | $500 |
| Additional Funds – 3 months | $20,000 | $50,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | Five percent (5%) of the average annual gross sales for the three (3) years immediately preceding a transfer by you. |
| Renewal Fee | $5,000 to $25,000 |
| Technology Fee | $8.00 per reservation (EDI Cost) |
| Audit Fee | Cost of the audit if underreported by 2% or more or failure to comply with agreement |
| Program Assessments | Will vary. |
| Insurance | Cost of procuring insurance for you. |
| Reservation Charges | Estimated to range from $3.84 to $6.30 per passenger car reservation. |
| Travel Industry Commissions | 0-30% of gross rental charges |
| Travel Vouchers | Service fee presently equal to 5% of Net Proceeds of the voucher |
| EDI Cost | $6.50 for TSD and $1.50 for OKC Administration for a total of $8.00 per reservation |
| Rental Processing Fee | 2.5% for Auto Feed; 4.6% for manual feed for Insurance and Service Replacement customers |
| Guaranteed Charge Cards - Service Fees | Currently between 1% and 5% of gross rental charges. |
| Charge Cards Guaranteed by Parent - Service Fees (Central Bill) | May range from 2.5% to 6% of gross rental charges |
| Charge Cards Guaranteed by Parent - Service Fees (Direct Bill) | May range from 3% to 6% of gross rental charges |
| Inspection Fee | Cost of Inspection |
| Reservation Assignment Fee | Range of $3 to $7 per reservation made through the Reservation System |
| Interest and Late Fees | Interest at the lesser of the rate we prescribe, or the maximum rate allowed by law, plus a late fee of not less than 5% of the total amount overdue. |
| Supplier Testing | Will vary under circumstances |
| Liquidated Damages for Non-Compliance | $100 per day that the breach persists; additional $5,000 if violation still persists after ninety (90) days. |
| Holdover Fees | The then-applicable Franchise Fee and other such fees and assessments being charged by us. |
| Security Deposit | Will vary under the circumstances |
| Early Termination Fee – Liquidated Damages | Will vary under the circumstances |
| Value Proposition Services | $0 - $150,000 depending on your selection of optional products and services offerings |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 68 hours |
| Classroom Training | 60 hours |
| On-the-Job Training | 8 hours |
| Training Location | Franchisor’s Headquarters, designated location, online, or Airport and Off-Airport Location. |
| Additional Training | The franchisor or its affiliates may provide periodic training for franchisees to supplement and update initial training. Franchisees may be required to attend such additional training programs at the franchisor's discretion, bearing all associated travel, living expenses, and wages. Fees may be charged for additional training requested by the franchisee. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | The Franchised Territory varies from franchisee to franchisee, and will be identified by, at a minimum, the name of a city or other political subdivision(s) in Attachment A to your Franchise Agreement. |
| Description | Franchisees are granted a non-exclusive, geographic Franchised Territory, defined by a city or political subdivision in Attachment A. The franchisor retains all rights to use and franchise the System and Marks within and outside the territory, including for competitive brands or alternative distribution methods like the Internet, without compensation to the franchisee. The franchisor may also require additional locations to be opened within the territory to serve customer demand, with failure to comply potentially leading to termination or reversion of the territory. Franchisees may not advertise outside their territory without prior written consent. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 5 years |
| Renewal Term | Up to three (3) renewal terms of five (5) years each |
| Renewal Fee | Equivalent to fees and expenses of Franchisor incurred in connection with renewal, not to exceed $25,000. |
| Renewal Conditions | To renew, franchisees must provide written notice 9-12 months prior to term end, pay all owed amounts, comply with current qualification and training requirements, pay out-of-pocket costs for renewal application, execute a general release of claims, refurbish/modernize the business to current standards, achieve performance requirements, and the franchisor must have a continuing program for the business and be offering new franchises. |
| Transfer Fee | Five percent (5%) of the average annual gross sales for the three (3) years immediately preceding a transfer by you. |
| Transfer Conditions | Prior to transfer, the franchisee must be in full compliance with all agreements, current on all obligations, provide written notice of the proposed transfer including transferee details and a signed acquisition agreement, and make a deposit. The proposed transferee must meet current standards, qualifications, and agree to conditions, including executing a new franchise agreement and ancillary agreements. The franchisor has a right of first refusal. |
| Termination for Cause | The franchisor may terminate the agreement for cause, including failure to pay monies due, failure to maintain required insurance, non-compliance with pricing policies, unauthorized use of Marks, failure to comply with any agreement provision, or failure to provide access for inspections. Automatic termination occurs for bankruptcy, unauthorized transfer attempts, or death/disability/dissolution of the franchisee or owner. |
| Non-Compete Period | 12 months after transfer, termination, expiration, or cessation of business operations. |
| Non-Compete Details | During the term of the agreement and for 12 months after its termination or expiration, the franchisee and its owners may not directly or indirectly own, engage in, be employed by, advise, assist, lease or sublease to, invest in, franchise, lend money to, or have any other interest in any Vehicle Rental Business (except under a franchise from the franchisor or its affiliate) within the franchised territory, 100 miles of the territory border, the territory of any other System franchisee, or a 10-mile radius of the territory of any other System franchisee or franchisor/affiliate operated business. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | You must devote a significant amount of personal time, energy and direction, and your best efforts, to developing, conducting, managing and operating Your Franchised Business and to encouraging the use of our world-wide car renting services. You must employ (or you may serve as) a manager who must: (i) be disclosed to us; (ii) complete required training; and (iii) have sufficient Vehicle Rental Business experience to manage and operate Your Franchised Business; and (iv) devote full time to the management and operation of Your Franchised Business. |
| Required Suppliers | Franchisees are required to subscribe to and participate in the franchisor's reservation system, accept credit card services from designated issuers, and accept processing and central billing services from the Parent for centrally billed charge cards. The franchisor reserves the right to require franchisees to purchase all vehicles, equipment, signs, uniforms, rental agreements, computer systems, furnishings, accessories, supplies, and other products and materials from approved suppliers, which may include the franchisor or its affiliates, and may designate a single approved supplier for any required purchase. |
| Supply Restrictions | The franchisor reserves the right to designate a single approved supplier for any required purchase, and such supplier may be the franchisor or an affiliate. The proportion of purchases and leases made in accordance with standards and specifications (including from approved suppliers) is estimated to be approximately 15% for establishing a new business and 10% for operating an existing business. |
| Franchisor Revenue from Suppliers | In the last fiscal year, the Parent derived approximately $7,618,711.56 from reservation charges, $1,042,837.14 from credit card service fees and other back-office services, $703,720.00 from fleet purchases, and $786,432.74 from providing Rate Management Services. The Parent derived approximately $0 from providing Value Proposition products and services to franchisees. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We will not guarantee your note, lease, or obligations. |
Thrifty and/or Thrifty Car Rental Franchise Earnings — Item 19
Thrifty and/or Thrifty Car Rental does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Thrifty and/or Thrifty Car Rental does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Thrifty and/or Thrifty Car Rental Litigation & Risk Flags
5 Pending Actions ListedReview the full FDD for details on pending litigation.
Bankruptcy History DisclosedA bankruptcy disclosure is present in this FDD.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Thrifty and/or Thrifty Car Rental System Growth
Total Units
271
Franchised
66
Company-Owned
205
Thrifty and/or Thrifty Car Rental currently operates 66 franchised locations and 205 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2021 | 45 | 9 | 226 |
| 2022 | 48 | 5 | 265 |
| 2023 | 14 | 7 | 271 |
Transfers: 5 | Closures: 7
State Registrations
Registered in 14 states: CA, NY, HI, ND, IL, RI, IN, SD, MD, VA, MI, WA, MN, WI
Franchisor Financials (Item 21)
Revenue
$9371.0M
Net Income
$452.0M
Total Assets
$24604.0M
Audited by Ernst & Young LLP for year ending December 31.
Thrifty and/or Thrifty Car Rental Franchise — FAQ
The total investment to open a Thrifty and/or Thrifty Car Rental franchise ranges from $879,300 to $15,839,000, per their Franchise Disclosure Document. This includes the initial franchise fee of $25,000 to $100,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Thrifty and/or Thrifty Car Rental charges a royalty fee of 6% to 9% of Gross Receipts of gross sales, plus a Will vary contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Thrifty and/or Thrifty Car Rental Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Thrifty and/or Thrifty Car Rental to ensure you have the most up-to-date version.
Thrifty and/or Thrifty Car Rental does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Thrifty and/or Thrifty Car Rental has been franchising since 1962. The FDD shows an investment range of $879,300-$15,839,000, a 6% to 9% of Gross Receipts royalty, and no Item 19 earnings disclosure. There are 5 pending litigation action(s). Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $25,000 to $100,000 and the total investment ranges from $879,300 to $15,839,000 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Thrifty and/or Thrifty Car Rental and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Thrifty and/or Thrifty Car Rental or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com