A. Market and dealership size may cause these numbers to vary, but a Rent-A-Wreck dealer featured in the June 2012 CIADA magazine sells an additional 100 units per year, just to his rental customers.
A. Yes, Rent-A-Wreck works well co-located with an independent dealership. You will become a transportation solution provider for your community, whether the customer need is short or long term. Over time, should you grow the rental business beyond a size large enough to accommodate your lot, then you may move your franchise to a stand alone location at no additional cost.
A. You will fleet desirable vehicles for your rental business. Customers want to rent the same makes and models that are in demand as sales units. Our time tested and proven fleet formula that will help you know exactly when to pull those units out of the rental fleet and in to your sales inventory for maximum profit. In essence, the rental side of your business is creating inventory for the sales side of your lot.
As a franchise owner you are able to work independently and also have the support and brand recognition of the franchising company. The franchising company helps facilitate rapid expansion, lower capital expenditures, lower on-going expenses, and marketing advantages.
A recent study conducted by The United States Chamber of Commerce found that 86% of franchises that opened in the last 5 years still existed under the same ownership and 97% were still open for business. Another recent U.S. Small Business Administration study found that 62% of non-franchise owned businesses were closed within the first six years.
New franchisees are assigned an Area Development Manager (ADM) to ensure a quick and efficient launch. Our goal is for all new locations to be on a fast track to profitability. Our opening processes and the individual attention from our ADM's helps to eliminate the guesswork for our newest franchise owners. Following the store opening, our ADM's remain in constant contact with their franchises, providing advice, support and training.
No Problem! Our five-day initial training program will cover all the information you will need to start a successful Rent-A-Wreck Franchise. Also our knowledgeable ADM's will be readily available to answer any questions you may have and are there to assist you in making your business profitable.
Rent-A-Wreck has a comprehensive five-day initial training seminar that covers all the information you need to open a successful Rent-A-Wreck business. In addition, we also provide opportunities for you to continually expand your knowledge with resources such as our webinars, quarterly newsletters, and regional and national franchisee meetings.
Opening costs vary widely and depend on a variety of factors. Unlike many other Automotive opportunities that require investments in specialized equipment and highly trained technicians, the primary investment in a Rent-A-Wreck franchise is in the fleet of automobiles. A franchise sales manager will discuss initial fleet costs and potential financing options with franchise candidates on an individual basis. Start up costs not related to vehicles are estimated between $10,000-$20,000 and cover assets like furniture, computers, signs, advertising and working capital. If you are opening your Rent-A-Wreck at an existing business such as a car sales lot, these costs can be substantially reduced.
Other start up costs:
One Time Initial Franchise fee: $18,000+ depending on territory size, population and airport service
Ongoing License fee: $43 per car per month
NIADA member discount and donation: Rent-A-Wreck will discount the initial franchise fee by $1,000 for all NIADA members. Also, when a franchise is sold to an NIADA member, Rent-A-Wreck will contribute $1,000 to the local or national dealer association that serves the franchise.
What do I need to do to begin the process of becoming a Rent-A-Wreck Franchisee?