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Travel and events

Car rental company financial model, built free.

A three-statement Excel model for a car rental and vehicle hire operator, built from your own figures and checked to balance.

  • Free account
  • No card
  • Usually ready within the hour

We use generative AI in parts of our process, so mistakes can occur. Every model should be checked by a person before it is relied on. Read more

The business

Rents cars, vans and campervans by the day from airport and city locations, earning rental days × daily rate plus insurance and extras, paying airport concession fees, and buying, depreciating and reselling a fleet funded with asset-backed debt (uses the Industrials rental-fleet jobs).

See the sampleHow the model works

In short

  • 01

    Three linked statements

    Income statement, balance sheet and cash flow, linked in every period.

  • 02

    Valued two ways

    Discounted cash flow and trading multiples, side by side.

  • 03

    Monthly to annual

    Monthly, quarterly, half-yearly or annual periods, for up to 30 years.

  • 04

    Checked every period

    A Checks sheet shows the balance sheet balances and the cash reconciles.

The sample

The sample, as Excel draws it.

Built by the same system and checks as yours, on illustrative figures: every sheet as Excel draws it, or live.

Annual · 10 years · Low detail
Car rental company sample model.xlsx
The Summary sheet of the sample car rental company model

Illustrative figures: the sample describes no real business. The live preview shows values; your model’s Excel file has every formula.

How it works

How the model works for a car rental company.

  1. How it earns revenue3 formulas
    Rental fleet: cost, capex and disposals · All rental fleet classes
    Proceeds from used equipment salesUnits sold at original costSale price of used equipment (% of original cost)
    Rental fleet: cost, capex and disposals · All rental fleet classes
    Closing fleet unitsOpening fleet unitsUnits soldUnits bought
    Rental fleet: cost, capex and disposals · All rental fleet classes
    Fleet unit-years (average fleet units × years)Opening fleet unitsClosing fleet unitsshare of the year
  2. What drives its costs3 formulas
    Direct costs (top-down) · Across the business
    Cost of salesRevenuefrom statementsGross margin
    Operating expenses · Across the business
    Total FTEsOperations and deliverySales and marketingTechnologyFinance, HR and administration
    Operating expenses · Across the business
    Total average FTEsOperations and deliverySales and marketingTechnologyFinance, HR and administration
  3. What it invests in3 formulas
    Leases
    Principal elements of lease paymentsLease payments (cash)from cashInterest on lease liabilities
    Leases
    Closing lease liabilitiesLease 1Lease 2Lease 3Lease 4Lease 5Lease 6
    Leases
    Lease payments (cash)Lease 1Lease 2Lease 3Lease 4Lease 5Lease 6
  4. How it is funded3 formulas
    Debt
    RepaymentsScheduled repaymentsPrepayments from an equity raise and the cash sweep
    Debt
    Closing balanceOpening balanceDrawdownsRepayments
    Debt
    Interest expenseOpening balanceAll-in interest rateshare of the year
  5. How profit becomes cash3 formulas
    Working capital
    Trade receivablesRevenuefrom statementsDebtor daysDays in period
    Working capital
    InventoryDirect costs (positive)from statementsInventory daysDays in period
    Working capital
    Trade payablesCash operating costs (positive)from statementsCreditor daysDays in period
What it covers

19 parts, each one tested.

Every part is a tested building block with its own checks: yours is put together from the ones your business needs.

  • CPI forecastConsensus curve with long-run anchor
  • Direct costs (top-down)Gross margin %
  • Operating expensesHeadcount build by function
  • Corporate costsFixed cost base indexed to CPI
  • Working capitalFull working capital
  • Income taxCorporate rate with tax losses
  • DebtAmortising term loan
  • Discounted cash flow valuationDCF on free cash flow to the firm
  • Multiples valuationEV / EBITDA multiple
  • Interest-rate hedgingHedged share at a fixed rate
  • LeasesLease register
  • Key-metric summaryLast-twelve-month and run-rate metrics
  • Covenant tests and headroomLVR, gearing and ICR for property
  • Borrowing base and security coverReceivables and inventory borrowing base
  • Case selectionStackable stress toggles
  • Discount rate (WACC)CAPM at target gearing
  • Interest-rate forecastMarket forward curve
  • Rental fleet: cost, capex and disposalsFleet cost (OEC) roll-forward
  • Rental revenueUnits × time utilisation × rate
Key numbers

The numbers it tracks.

  1. 01fleet size
  2. 02fleet utilisation
  3. 03revenue per day
  4. 04depreciation per unit per month
  5. 05gain or loss on disposal
  6. 06EBITDA
Used for

What it is used for.

Also used for
  • Scenarios and sensitivities
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See a finished model, sheet by sheet

The sample is built on illustrative figures and describes no real business. Models are calculations prepared from the information you provide. They are not financial advice and must be independently verified. See our terms.