What is the annual limit on the increase of the Premium Compliance Training fee charged by Byrider?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
| Name of Fee 1 | Amount | Due Date | Remarks |
|---|---|---|---|
| Penalty for | If underpaid by more than 2%, an amount equal to 3 times the Royalty Fees and/or the Advertising Fees that are due | Upon an audit showing a discrepancy between your books and your royalty payments to Byrider Franchising Partners | See Note 9 below. |
| Underpayment | |||
| of Fees | |||
| Additional | Initial Training Program: $2,500 for\neach employee in addition to Designated Manager Premium Compliance Training: $18 per person/year Other Training Courses: $500- $2,500 per course | When services are rendered or billed annually (premium compliance) | Various courses are offered both in-person and online. Online training via OnTrack is free with the exception of premium compliance content. Premium Compliance Training fee is subject to change based on annual increase or vendor changes, but it will not be increased annually by more than $200.00. See Item 11 for detailed information about training services. |
Source: Item 6 — Other Fees (FDD pages 21–32)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, the Premium Compliance Training fee is subject to change based on annual increases or vendor changes. However, the annual increase will not exceed $200.00. The initial Premium Compliance Training fee is $18 per person per year.
This means that while Byrider can adjust the Premium Compliance Training fee, the increase in any given year is capped at $200. For a prospective franchisee, this provides some predictability regarding training costs. The franchisee can anticipate that the annual Premium Compliance Training fee per person will not increase by more than $200 each year.
Franchisees should note that this limit applies specifically to annual increases. The fee could still change by more than $200 if there are vendor changes. It is important to factor in potential training costs when evaluating the overall financial investment in a Byrider franchise.