What is the average down payment (cash/trade/deferred) for Byrider stores in the third quartile?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
181,257 | 48.00% | $184,794 | Average Monthly Operating Expenses 36 | $160,803 | 60.00% | $150,553 |
| Third Quartile = 25 Stores | Average | Exceed Avg. | Median | Fourth Quartile = 25 Stores | Average | Exceed Avg. | Median | |--------------------------------------------------------------------------|-----------|-------------|-----------|--------------------------------------------------------------------------|-----------|-------------|-----------| | | | | | | | | | | Vehicle Purchase Price 26 | $6,832 | 52.00% | $6,672 | Vehicle Purchase Price 26 | $6,132 | 44.00% | $6,139 | | Reconditioning Expense 27 | $2,385 | 52.00% | $2,381 | Reconditioning Expense 27 | $2,563 | 52.00% | $2,560 | | Down Payment (cash/trade/deferred) 28 | $2,366 | 44.00% | $2,319 | Down Payment (cash/trade/deferred) 28 | $2,426 | 48.00% | $2,382 | | Gross Mark-Up 29 | $6,929 | 44.00% | $6,915 | Gross Mark-Up 29 | $6,798 | 44.00% | $6,578 | | Installment Contract Amount Financed 32 | $14,969 | 36.00% | $14,800 | Installment Contract Amount Financed 32 | $14,453 | 52.00% | $14,542 | | Interest Rate 33 | 21.34% | 40.00% | 21.00% | Interest Rate 33 | 21.10% | 36.00% | 21.00% | | Monthly Payment Equivalent Amount 34 | $489 | 24.00% | $484 | Monthly Payment Equivalent Amount 34 | $483 | 52.00% | $483 | | Discount Rate 30 | 28.21% | 72.00% | 30.00% | Discount Rate 30 | 28.66% | 88.00% | 30.00% | | | | | | | | | | | Average Trade Percentage 37 | 18.15% | 36.00% | 14.37% | Average Trade Percentage 37 | 19.42% | 44.00% | 17.65% | | Average CoBuyer Percentage 38 | 11.85% | 40.00% | 11.24% | Average CoBuyer Percentage 38 | 14.02% | 44.00% | 13.24% | | | | | | | | | | | All Delinquency (% of portfolio 1 or more days delinquent) 35 | 11.38% | 40.00% | 11.94% | All Delinquency (% of portfolio 1 or more days delinquent) 35 | 13.67% | 72.00% | 11.11% | | Net Charge Off (as % of Portfolio Amount) 39 | 1.25% | 44.00% | 1.32% | Net Charge Off (as % of Portfolio Amount) 39 | 1.08% | 52.00% | 1.07% | | Static Pool Charge Off (Originations from 2 Years Prior) 40 | 25.93% | 52.00% | 25.25% | Static Pool Charge Off (Originations from 2 Years Prior) 40 | 23.20% | 60.00% | 21.54% | | Average Cash on Cash (Originations from 2 Years Prior) 41 | 110.31% | 56.00% | 111.25% | Average Cash on Cash (Originations from 2 Years Prior) 41 | 111.85% | 64.00% | 112.96% | | | | | | | | | | | Warranty Expense/Vehicle Sold 31 | $694 | 56.00% | $685 | Warranty Expense/Vehicle Sold 31 | $806 | 52.00% | $783 | | Average Monthly Marketing Expenses 42 | $5,782 | 56.00% | $4,802 | Average Monthly Marketing Expenses 42 | $5,833 | 44.00% | $6,834 | | Average Monthly Operating Expenses 36 | $170,254 | 76.00% | $156,971 | Average Monthly Operating Expenses 36 | $164,885 | 52.00% | $159,834 |
Notes
- Note 26 "Vehicle Purchase Price" means the average acquisition price per vehicle placed in inventory.
- Note 27 "Reconditioning Expense" means the average expense incurred to acquire and make repairs on an inventory vehicle to prepare it for sale to the public.
- Note 28 "Down Payment" means cash, trade in vehicle, and deferred down payments made by customers in purchasing a retail vehicle.
- Note 29 "Gross Mark Up" means the amount inventory is marked up for profit.
- Note 30 "Discount Rate" means the rate the customer accounts are discounted for sale from the Byrider division to the CNAC division.
- Note 31 "Warranty Expense/Vehicle" means the average of expense per vehicle incurred to make warranty repairs to customer vehicles.
- Note 32 "Amount Financed" means the amount of the sale price financed by the Retail Installment Contract for each vehicle.
- Note 33 "Interest Rate" means the average rate of interest charged in the Retail Installment Contract.
- Note 34 "Monthly Payment Equivalent Amount" means the scheduled payment obligation of the customer in the Retail Installment Contract. The majority of payments are made on a semi-monthly or bi-weekly basis and this figure represents the monthly equivalent.
- Note 35 "All Delinquency" means all dollar amounts as a percentage of the portfolio in which the customer is not current on their payments.
- Note 36 "Operating Expenses" includes on-site and off-site costs associated with the operation of a used vehicle sales and finance operation such as salaries, commissions, collection expenses, personnel costs, utilities, telephone, facilities costs, policy, repair expense, advertising, royalties and advertising fund contribution, and others.
- Note 37 "Average Trade Percentage" means the number of vehicles traded in when a consumer purchases are vehicle divided by the number of gross sales.
- Note 38 "Average CoBuyer Percentage" means the number of retail installment contracts with a second guaranter divided by the number of gross sales.
- Note 39 "Net Charge Off" (as a % of portfolio) means the Net Charge Off divided by the Contract Balance from the previous month.
- Note 40 "Static Pool Charge Off" means the Net Charge Off percentage of dollars that were originated 2 years prior.
Note 41 – "Average Cash on Cash" means the amount of cash collected on accounts that were originated 2 years prior divided by the amount financed from origination 2 years prior.
Note 42 – "Average Monthly Marketing Expenses" means the dollars spent on advertising, agencies, and referrals to create brand awareness and acquire new customers.
Some outlets have earned this amount. Your individual results may differ. There is no assurance you will earn as much.
Byrider Franchising Partners will provide written substantiation for this financial information to prospective franchisees upon reasonable request.
Other than the preceding financial performance representation, Byrider Franchising Partners does not make any financial performance representations. Byrider Franchising Partners also does not authorize its employees or representatives to make any such representations either orally or in writing. If you are purchasing an existing Byrider Business, however, Byrider Franchising Partners may provide you with the actual records of that business. If you receive any other financial performance information or projections of your future income, you should report it to Byrider Franchising Partners' management by contacting Jeffrey B. Higgins, 12802 Hamilton Crossing Blvd., Carmel, Indiana, 46032, 317-249-3000, the Federal Trade Commission, and the appropriate state regulatory agencies.
ITEM 20
OUTLETS AND FRANCHISEE INFORMATION
All figures in the following tables are as of December 31 of each year. For states not listed in a table, there was no activity to report during our last 3 fiscal years.
Systemwide Outlet Summary For years 2021 to 2023
Table No. 1
| Outlet Type | Year | Column 3 Outlets at the Start of the Year | Column 4 Outlets at the End of the Year | Net Change |
|---|---|---|---|---|
| Franchised | 2021 | 135 | 137 | +2 |
| 2022 | 137 | 125 | -12 | |
| 2023 | 125 | 113 | -12 | |
| Company- | 2021 | 9 | 9 | +0 |
| Owned | 2022 | 9 | 12 | +3 |
| 2023 | 12 | 15 | +3 | |
| Total Outlets | 2021 | 144 | 146 | +2 |
| 2022 | 146 | 137 | -9 | |
| 2023 | 137 | 128 | -9 |
Table No.
Source: Item 19 — Financial Performance Representations (FDD pages 63–81)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, the average down payment (cash/trade/deferred) for stores in the third quartile is presented in Item 19. Based on a group of 25 stores, the average down payment is $2,366. In another group of 23 stores, the average down payment is $2,430. This figure includes cash, trade-in value, and deferred payments.
For a prospective Byrider franchisee, this indicates the typical initial investment customers make when purchasing a vehicle. Understanding the average down payment can help franchisees forecast cash flow and manage customer financing options. The FDD also indicates that for the group of 25 stores, 44% of the stores exceeded this average, while for the group of 23 stores, 43.48% of stores exceeded the average.
It's important to note that these figures are averages and can vary based on location, market conditions, and individual store performance. Franchisees should consider these factors when developing their business plans and financial projections. Reviewing the median down payment figures ($2,319 and $2,322 respectively) may also provide a more accurate representation, as it is less influenced by outliers.
Prospective franchisees should also inquire about the range of down payments accepted at existing Byrider locations to better understand the potential variability and to prepare for different customer scenarios. Understanding the down payment trends in their specific market area will be crucial for setting competitive pricing and financing strategies.