Q&A: Does Hertz Franchise in the UK?

As one of the UK’s leading car rental companies, Hertz operates a huge range of different services on top of its car rental facility. This includes Hertz truck and van rental; Hertz entertainment services (offering vehicles for events and television/film productions); Hertz lease; Hertz car sales; Hertz equipment rental (for construction and industrial use); and Hertz claim management. The car rental franchise also offers Hertz 24/7, which customers can use to rent a car for shorter lengths of time – such as by the day or even by the hour.

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An impressive global brand: What makes Hertz different?

Hertz has been in operation for more than 90 years and has built its reputation as a high-quality rental service that is trusted by the masses. Many people choose Hertz because of its affordability, reliability and flexibility – three attributes that make the brand a highly successful franchise in the vehicle rental sector.

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The various aspects of Hertz’s business model feed into each other to boost the success of the business as a whole; for example, the reliability of Hertz’s vehicles can be put down to the fact that the brand eliminates cars from its rental programme once they reach a year of service, selling them on in Hertz’s Car Sales division.

In today’s article, we are going to consider whether or not Hertz franchises in the UK, how successful the global brand is and what it takes to start a franchise with it. Then we’re going to consider two more car rental franchises that are slightly more budget-friendly options for newbie franchisees who don’t have access to so high an investment.

Does Hertz franchise in the UK?

Yes, you’re in luck! Hertz does operate a franchise model in the UK and also across 10,000 locations in over 145 countries. It has fostered partnerships with airports, rail companies and hotels in order to maximise profitability. The franchise is looking for potential franchisees to further expand the business across the globe and those interested in starting up their own unit should apply via Hertz’s website.

The UK car rental industry - where does Hertz come into it?

In the UK, the vehicle rental and leasing industry comprises more than 3,500 businesses and employs over 37,000 people, contributing almost £50 billion to the economy every year (BVRLA). Opening a franchise in the car rental industry has the potential to be a highly lucrative business move. But how does Hertz sit in the marketplace?

Well, there are currently around 38,000 individuals employed with the brand and it has revenues of around $9.5 billion (Fortune 500). Hertz’s national and international popularity could have something to do with the fact that large vehicle rental franchises tend to have the upper hand in the rental market.

Smaller businesses can suffer from a lack of brand awareness and, as a result, lack of trust. Also, it is likely that renters will have to return the vehicle to the same depot they collected it from if there is only one in the region, meaning that limitations are put on drivers’ trips from the get-go.

What does it take to start a Hertz franchise?

Interested to learn more about how you can invest in this franchise opportunity? Read on to find out more about what it takes to start your own franchise.

1. Have access to the required investment cost

While there is no official information relating to the cost of a Hertz franchise, recent figures suggest that a prospective franchisee should have a net worth of at least £395,000 and access to around £118,000 in liquid capital. By following the Hertz business model and utilising available franchise support, franchisees could expect to see a revenue of around £450,000 after two years.

Hertz doesn’t finance the fleet. For more information about this process, click here.

2. Be the sort of franchisee it’s looking for

Although a lot of franchise opportunities don’t ask that interested candidates have any previous experience in the industry, expertise is something that Hertz looks fondly on. To be considered, you should preferably have worked as a dealer in the past and therefore have a thorough understanding of buying and selling vehicles.

It’s also looked on fondly to have a background in travel or tourism and have excellent interpersonal skills.

3. Register your interest and fill in the online franchise form

You can submit the form from this link here.

4. How long it the approval process?

It usually takes between 60 and 90 days for the approval process to go through and the legal documentation to be completed. If you return your application and support documents in a timely manner and completed to high standard, this process could be quicker.

Other opportunities with Point Franchise

Hoping to invest in a brand with a lower investment cost that still has an established customer base and excellent reputation? Look no further than Green Motion and Hot Rod Fun.

Green Motion Car and Van Rental

• Green Motion is the only car rental company in the world that is managed solely by franchisees. As its name suggests, it is also a franchise that considers its impact on the environment. Thanks to Richard Lowden, who founded the company in 2005, customers who opt to rent from Green Motion can choose from zero-emission, electric vehicles, hybrid vehicles, low CO2 vehicles and filtered diesel vehicles.
• This franchise has seen huge success over the last 10 years, having opened branches across 40 different countries, including 22 in the UK. The brand has also established more than 45 distribution channels, including Expedia, Rentalcars and Holiday Autos. As a result, Green Motion is now the sixth largest car and van rental company in the world.
• Green Motion franchise is on the lookout for single and multi-unit franchisees who can further expand the rental company. It will take £140,000 to become a franchisee, as well as £39,500 in franchise fees. At a time when experts and the general public alike are looking for ways to reduce their carbon footprint, this car rental business offers a potentially lucrative business opportunity that is also kind to the environment.

Hot Rod Fun

• For something a little bit different, investors could forego the standard vehicle rental route and franchise with Hot Rod Fun, an automotive franchise that provides hand-crafted Wenckstern hot rod cars for fun, guided tours across Europe. Members of the public can drive miniature replicas of the vintage automobile from the 1920s, 30s and 40s that are street-legal on some European roads.
• This is a quirky franchise that enables tourists to see Europe in a truly unique way. A Hot Rod Fun franchise requires a total investment of £75,000 and a franchise fee of £40,000, after which, franchisees can delight customers with a taste of automotive history.

Start the engine with a Hertz franchise

This article has established that Hertz does in fact offer franchising opportunities but, unsurprisingly, due to its vast scale and power across the globe, it asks for a reasonably high investment cost. We have had a brief look at just two other franchise opportunities, but we have plenty more on our books. While Green Motion is our only car rental franchise at the moment, ChipsAway is a successful car repair franchise and Etyres is an impressive online tyre franchise. Make sure to research each franchise opportunity in detail so you can be sure it’s the right fit for your personality, skills, goals and investment level.