15 frequently asked questions answered with data from the 2024 Franchise Disclosure Document.
The total initial investment to open a Payless Car Rental System, Inc. franchise ranges from $626K to $1.6M (2024 FDD). This includes the franchise fee, equipment, build-out, inventory, and working capital needed before opening.
View full investment analysisThe initial franchise fee for Payless Car Rental System, Inc. is $50K (2024 FDD). This one-time fee is paid to the franchisor when signing the franchise agreement and covers the right to use the brand, systems, and initial training.
View full investment analysisData sourced from the Payless Car Rental System, Inc. 2024 Franchise Disclosure Document (FDD). Always review the most current FDD and consult with a franchise attorney before making investment decisions.
No, Payless Car Rental System, Inc. does not require franchisees to have dedicated real estate (2024 FDD). This can significantly reduce startup costs and ongoing overhead.
View full investment analysisPayless Car Rental System, Inc. charges a royalty fee of 7.5% of gross sales (2024 FDD). This ongoing fee is typically paid weekly or monthly to the franchisor for continued use of the brand and support systems.
View full fees analysisThe total ongoing fee rate for a Payless Car Rental System, Inc. franchise is approximately 7.5% of gross sales (2024 FDD). This includes the royalty fee, a 0.0% marketing/advertising fund contribution, a $42/month technology fee, and other recurring charges.
View full fees analysisPayless Car Rental System, Inc. has been involved in 10 litigation cases over the past 3 years (2024 FDD). There are currently 7 pending cases. There is at least one class action lawsuit pending.
View full litigation analysisNo, the Payless Car Rental System, Inc. franchisor has no bankruptcy filings in their disclosure history (2024 FDD).
View full litigation analysisPayless Car Rental System, Inc. offers exclusive territory rights to its franchisees (2024 FDD). The franchise agreement does not include encroachment protection. Online sales rights are shared between the franchisor and franchisee.
View full territory analysisPayless Car Rental System, Inc. currently operates 109 locations (2024 FDD) (12 franchised, 97 company-owned). The system contracted by 7.6% over the past year. The 3-year compound annual growth rate is 1.3%.
View full growth analysisThe 1-year franchisee turnover rate for Payless Car Rental System, Inc. is 9.2% (2024 FDD). This includes closures, terminations, non-renewals, and transfers. A lower turnover rate generally indicates higher franchisee satisfaction and system stability.
View full growth analysisPayless Car Rental System, Inc. does not include an Item 19 financial performance representation in their FDD (2024 FDD). This means the franchisor has chosen not to disclose revenue, profit, or other financial figures in the Franchise Disclosure Document.
View full financials analysisThe initial franchise agreement term for Payless Car Rental System, Inc. is 10 years (2024 FDD). Franchisees can renew 5 times for 5-year periods. The total potential term is 35 years.
View full contract analysisPayless Car Rental System, Inc.'s post-termination non-compete clause restricts former franchisees from operating a competing business for 1 year within 5 miles of the former location (2024 FDD).
View full legal analysisNo, Payless Car Rental System, Inc.'s franchise agreement does not require mandatory arbitration (2024 FDD). Disputes may be resolved through litigation. The agreement includes a jury trial waiver.
View full legal analysisYes, Payless Car Rental System, Inc. provides site selection assistance to help franchisees find the right location (2024 FDD). The franchisor also provides technology support and systems.
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