Business Description

America's # 1 neighborhood car rental company, RENT-A-WRECK has attained the highest ratings in the franchising industry. For 5 successive years, Entrepreneur Magazine rated RENT-A-WRECK # 1 in its category for the prestigious Franchise 500 awards. The annual Success Magazine named RENT-A-WRECK 'one of the best-managed franchises in America.' Success surveyed over 2,800 franchise companies in all industries and ranked RENT-A-WRECK 4th.

Franchisor Background

Year Established:  1973

Franchising Since:  1978

Operating Units:
Franchised Units:	317	100%
Company-Owned Units:	0	0%
Total Operating Units:	317	100.0%
Geographic Distribution: U.S.: 281 88.6% In 49 States Canada: 0 0% In 0 Canadian Provinces International: 36 11.4% In 3 Foreign Countries   Total: 317 100.0%

North America:
States/Provinces with the largest number of operating units:

Density	Units
1. New York	34
2. New Jersey	31
3. California	33

Registered in Following Registration States: California, Florida, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island, South Dakota, Virginia, Washington, Wisconsin, District Of Columbia

Financial Requirements

Investment:
Minimum Net Worth:	$200K
Cash Investment:	$25K
Total Investment:	$100-362K
Average Total Investment:	$231K
Fees:
Initial Franchise Fee:	$8.5K
Average Franchise Fee:	$9K
On-Going Royalty:	$30/Car
Average Royalty:	-1%
Advertising Fee:	$7/Car

Average Number of Employees: 2 Full-time, 1 Part-time

Space Needs (in square footage): 1,500

Preferred Sites: Free-standing Building, Storefront, Strip Center

Other Sites:

Encourage Conversions? No

Earnings Claims Provided?: No

Franchisee Qualifications
Ranked from 1 (unimportant) to 5 (important):
Financial Net Worth:	4
General Business Experience:	5
Specific Industry Experience:	2
Formal Education:	3
Psychological Profile:	3
Personal Interview(s):	3
Terms of Contract
Term of Initial Contract:	5 Year(s)
Term of Renewal Period:	5 Year(s)
Passive Ownership:	Allowed, But Discouraged
Area Development Agreements?	No
Sub-Franchising Contracts?	No
Franchisees Allowed to Expand Within Territory?	Yes
Support and Training
International Franchise Association:	No
Canadian Franchise Association:	No
Franchisee Association/Member:	Yes, Member
Size of Corporate Staff:	12
Site Selection Assistance?	No
Lease Negotiation Assistance?	No
Financial Assistance?	Yes, Indirect
Marketing Support:
Co-Op Advertising:	Yes
National Advertising:	Yes
Regional Advertising:	No
Local Advertising:	No
Marketing Materials:	Ad Slicks, Brochures, Catalogs, Coupons/rebates, Direct Mailers, Emails, Promotional Items, Radio Ads, Site Signs, Television Ads, Trade Show Exhibits, Videos
Additional Services:	Grand Opening, In-house Marketing, Marketing Research, Newsletter, Online Extranet, Press Releases, Sales Strategies
Other Marketing Support:	None Specified
On-Going Support:
Central Data Processing:	Not Applicable
Central Purchasing:	Not Applicable
Field Operation Evaluation:	Included in Fees
Field Training:	Included in Fees
Initial Store Opening:	At Additional Cost
Inventory Control:	Not Applicable
Franchisee Newsletter:	Included in Fees
Regional or National Meetings:	At Additional Cost
800 Telephone Hotline:	Not Applicable
Training:
1. Laurel, MD	1 Week
Expansion Plans
Projected New Units Over Next 12 months: 20 U.S.: Yes, All United States Canada: No Overseas: Yes, All Countries	Request Franchisor Info   Submit an online form to receive information from Rent-A-Wreck of America.