Is it possible to rent a car in Balestrand?

I think the closest location to rent a car is Sogndal Airport—about 25 miles from tiny Balestrand, which has fewer than 900 residents.

I did rent a car in Balestrand in 2016 from https://leigebil.no/. But that site is not working. I did find a page for them on Facebook (https://www.facebook.com/Rentacarbalholm/) and a page on Yelp (https://www.yelp.com/biz/balholm-bilutleige-balestrand), so you might try contacting them at one of those sites.

Good luck! One of my favorite days in Norway was the car trip I took from Balestrand around Sognefjord. PM me if you'd like more info about the route I took and the highlights of what I saw.

So my info is from 2015. I rented a car in Balestrand from Balholm Rent a car. The pick up and drop off was at the Kviknes Hotel, where we were staying. I feel like I saw somewhere that someone had emailed a Balestrand car rental agency, got a response but have heard nothing since. Perhaps it was you? If it was you and the agency was Balholm maybe you could ask the Kviknes if they had any info.

Word is from an online post that the Balholm Bilutleige car rental agency in Balestrand permanently closed in December 2021 due to the pandemic.
That coincides with the date of their final Facebook post.

I swear when I was in Balestrand in September, the couple in front of me in line at Balestrand Fjord Adventure were renting a car, but I can't find any mention of such a service on their website. Nor on that of Balestrand Fjord Angling, which shares the space.

Renting cars in Norway is a seasonal business with the overwhelming demand occurring in the summer. I imagine that small car rental operations—such as any still existing in tiny Balestrand—are not open in February and their websites will not list summer car rental options until late springtime.
That’s if there are any left in business.