About Thrifty Rent-A-Car System Franchise
Thrifty Rent-A-Car System is a nationally recognized vehicle rental brand backed by The Hertz Corporation.
The franchise system has been in operation since 1962, giving it more than six decades of experience in the car rental industry.
Thrifty serves a broad customer base that includes vacationers, corporate travelers, and anyone in need of temporary transportation.
Thrifty Rent-A-Car System 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. Amounts will vary depending on the Program. | 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. Amounts will vary depending on the Program.) 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 $10,000 |
| Audit Fee | Cost of the audit if we discover you have underreported by two percent (2%) or more or we discover you have failed to comply with any provision of the Franchise Agreement or any other agreement between you and us or our affiliate(s). |
| Program Assessments | Will vary. |
| Insurance | Cost of procuring insurance for you. |
| Reservation Charges | $3.84 to $6.30 per passenger car reservation. |
| Rate Management Services | $100 to $6,000 per location per month |
| Travel Industry Commissions | 0-30% of gross rental charges |
| Travel Vouchers | 5% of Net Proceeds of the voucher |
| EDI Cost | $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 | 1% and 5% of gross rental charges. |
| Central Bill Charge Card Service Fees | 2.5% to 6% of gross rental charges |
| Direct Bill Charge Card Service Fees | 3% to 6% of gross rental charges |
| Inspection Fee | Cost of Inspection |
| 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 |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Varies by subject, ranging from 1 to 20 hours of classroom training and 8 hours of on-the-job training for Airport, Off-Airport Counter Observation. |
| Classroom Training | Onboarding Orientation: 4, Introduction to the brand: 4, Pre-Opening Procedures: 1, Fleet Programs: 1, Privacy Policy: 1, Facility Guidelines: 1, Marketing Sales: 1, Revenue Management: 1, Supplies, Required /Forms/Rental Agreements: 1, Privacy Training: 1, Facility Requirements, Fixtures, Signage Requirements: 1, Employee Appearance Uniform Standards: 1, Daily Operating Procedures: 2, Counter Procedures: 3, Brand Service and Programs: 3, Reservations: 4, Fleet Operations: 8, Customer Service/Sales Training: 20, Accident Reporting: 4, Back Office: 8. |
| On-the-Job Training | Airport, Off-Airport Counter Observation: 8 |
| Training Location | Franchisor’s Headquarters (8501 Williams Road, Estero, Florida 33928), your designated location, or online. |
| Additional Training | Franchisor may require remedial training programs and courses at franchisee's sole expense. Optional additional training programs and courses may be offered at franchisee's option and expense. Franchisees must implement a training program for all employees. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | Varies from franchisee to franchisee, identified by city or political subdivision(s). |
| Description | Franchisees are granted a non-exclusive, geographic Franchised Territory. The franchisor retains all rights not expressly granted, including the right to use and franchise others to use the System and Marks within and outside the territory, and to develop other proprietary marks. The franchisor and its affiliates may compete with the franchisee within the territory, including through company-owned outlets, other franchisees, and alternative distribution methods like the Internet. There are no restrictions on accepting reservations from outside the territory, but soliciting outside the territory requires prior written consent. If additional locations are required, they will be noted in Attachment A of the Franchise Agreement. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 5 years |
| Renewal Term | Up to three renewal terms of five (5) years each |
| Renewal Fee | Equivalent to the fees and expenses of Franchisor incurred in connection with renewal, not to exceed $5,000. |
| Renewal Conditions | To renew, the franchisee must not be in default, have made timely payments, complied with all terms and conditions, met then-current qualification and training requirements, paid out-of-pocket costs for renewal application, executed a general release, refurbished/modernized the business to current standards, and achieved performance requirements set forth in Attachment B. Franchisor must have a continuing program for the conduct and operation of a Franchised 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 | Franchisee must be in full compliance with all agreements, current in all ascertainable obligations, demonstrate a bona fide written offer, and the proposed transferee must meet franchisor's standards and qualifications. The transferee must execute a new franchise agreement and ancillary agreements. Franchisor has a right of first refusal. |
| Termination for Cause | Franchisor may terminate for cause, including failure to pay monies due (30 days notice), failure to maintain insurance (10 days notice), failure to comply with pricing (30 days notice), unauthorized use of Marks (30 days notice), failure to comply with other agreement provisions (30 days notice), or failure to furnish access for inspections (3 days notice). Automatic termination without notice occurs for bankruptcy, unauthorized transfer attempts, or death/disability/dissolution of franchisee/owner. Repeated defaults (3 or more in 12 months) even if cured, or material decrease in financial stability, also constitute grounds for termination. |
| Non-Compete Period | 12 months after transfer, termination, expiration, or cessation of operations. |
| Non-Compete Details | During the term of the agreement and for 12 months thereafter, franchisee and 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 franchisor/affiliate) within: (i) the Franchised Territory; (ii) 100 miles of the border of the Territory; (iii) the territory of any other System franchisee; (iv) a ten (10) mile radius of the border of the territory of any other System franchisee; or (v) a ten (10) mile radius of any Thrifty Business operated by franchisor or its affiliate. Also prohibits engaging in a transaction comparable to a Transfer to an entity operating a Vehicle Rental 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. You must employ (or you may serve as) a full-time manager who has sufficient Vehicle Rental Business experience, completes required training, and devotes full time to the management and operation of Your Franchised Business. Owners and managerial employees must sign confidentiality and non-competition agreements. |
| Required Suppliers | Franchisor may require purchase/lease of cars, equipment, signs, uniforms, rental agreements, Computer System, furnishings, accessories, supplies, and other products and materials from designated suppliers or franchisor/affiliates. Franchisees must purchase hard copy rental agreements and computer system software from approved suppliers. Franchisor reserves the right to designate a single supplier for any required purchases. |
| Supply Restrictions | Franchisor may specify items that must be purchased or leased from approved suppliers that meet standards and specifications. Franchisees must obtain written approval for unapproved suppliers, which may involve inspections and testing at the franchisee's expense. Approval may be denied or revoked. |
| Franchisor Revenue from Suppliers | During the last fiscal year, Parent or its affiliates derived approximately $803,250.00 due to fleet purchases made by franchisees (and franchisees of our affiliates), which amounts to 0.0092% of Parent’s total revenue. Franchisor and its affiliates may earn revenue from suppliers for participation in the Value Proposition and/or for purchases made by franchisees, including fees, bonuses, and commissions. In 2018, one such arrangement was in place but no compensation was received. |
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 Rent-A-Car System Franchise Earnings — Item 19
Thrifty Rent-A-Car System 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 Rent-A-Car System 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 Rent-A-Car System Litigation & Risk Flags
3 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 Rent-A-Car System System Growth
Total Units
265
Franchised
67
Company-Owned
198
Thrifty Rent-A-Car System currently operates 67 franchised locations and 198 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 1 | 1 | 63 |
| 2021 | 6 | 1 | 68 |
| 2022 | 3 | 3 | 67 |
Transfers: 3 | Closures: 5
Public Figures (Item 18)
The following public figures are associated with this franchise: Kenan Thompson
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Revenue
$8685.0M
Net Income
$1355.0M
Total Assets
$22496.0M
Audited by Ernst & Young LLP for year ending December 31.
Thrifty Rent-A-Car System Franchise — FAQ
The total investment to open a Thrifty Rent-A-Car System 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 Rent-A-Car System charges a royalty fee of 6% to 9% of Gross Receipts of gross sales, plus a Will vary. Amounts will vary depending on the Program. contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Thrifty Rent-A-Car System 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 Rent-A-Car System to ensure you have the most up-to-date version.
Thrifty Rent-A-Car System 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 Rent-A-Car System 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 3 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.
Similar Automotive Franchises
Interested in Thrifty Rent-A-Car System?
Get free info on this franchise. We will send you a detailed FDD report by email.
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 Rent-A-Car System 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 Rent-A-Car System or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com