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Updated RecentlyRent-A-Wreck vs Payless Car Rental Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of Rent-A-Wreck vs Payless Car Rental including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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| Investment | $36,600 - $211,000 | $217,900 - $6,300,000 |
| Franchise Fee | $18,000 - $75,000 | $15,000 - $500,000 |
| Royalty Fee | $30/car/mo. | 4-5% |
| Advertising Fee | - | - |
| Year Founded | 1970 | 1971 |
| Year Franchised | 1977 | 1971 |
| Term Of Agreement | 10 years | 5 years |
| Term Of Agreement | 10 years | 5 years |
| Renewal Fee | - | $2.5K |
Business Experience Requirements |
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| Experience | - | |
Financing Options |
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| In-House/3rd Party | In-House/3rd Party | |
| Franchise Fees | Yes/No | No/Yes |
| Start-up Costs | No/Yes | No/Yes |
| Equipment | No/Yes | No/Yes |
| Inventory | No/Yes | No/Yes |
| Receivables | No/No | No/No |
| Payroll | No/No | No/No |
Training & Support |
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| Training | 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. | Ongoing training available as needed |
| Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives |
| Marketing | Co-op advertising, Ad slicks, National media, Regional advertising | National media |
| Operations |
International franchisees required to buy multiple units/master licenses; 30% of all franchisees own more than one unit Number of employees needed to run franchised unit: 2 Absentee ownership of franchise is allowed. (70% of current franchisees are owner/operators) |
47% of all franchisees own more than one unit Number of employees needed to run franchised unit: 4 - 20
Absentee ownership of franchise is allowed. (75% of current franchisees are owner/operators) |
Expansion Plans |
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| US Expansion | - | - |
| Canada Expansion | No | No |
| International Expansion | Yes | Yes |
Company Overviews
About Rent-A-Wreck
Rent-A-Wreck is the Smart AlternativeTM to all your car rental needs. Founded in 1968 and franchising since 1973, we are one of the best-known neighborhood car rental companies in the U.S. and global market.
'Do you really rent wrecks?'
After being in business for many years with one of the most unique and memorable corporate names, we still get calls from people every day asking this question.
Rest assured, our vehicles are more like the cars you drive everyday. We keep our fleet of cars, trucks, and vans clean and well maintained; they are far from wrecks! We hope that our funny name helps you to remember us, and our low cost rentals and high quality customer service will earn and keep your business.
Whether you need a rental vehicle for business, pleasure or something in between, Rent-a-Wreck is here for all your driving needs. Many of our locations stock economy cars and full size luxury sedans; and they also offer pickup trucks, box trucks, min-vans, cargo vans, 15-passenger vans, SUVs, and station wagons for rent as well!
Try any of our locations across the United States and internationally in Norway, Sweden and Denmark.
About Payless Car Rental
Payless Car Rental was established in 1971 in Spokane, Washington, by Les Netterstrom and his wife, Dusty. By 1982, their small two-location car rental business had grown to almost 100 franchises and one corporate-owned location. In 1983, the 150-location company changed its name to Payless Car Rental System Inc. In 1989, Netterstrom sold the company to a Taiwanese investment group. Eighty percent of the privately held company's franchise units are conversions; 47 percent of the franchisees own multiple locations.