What is the average installment contract amount financed for Byrider stores in the first quartile?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
r 31 in 2022 and 2023) of Stores Open 24+ Months as of 12/31/2023
STORE RESULTS BROKEN DOWN INTO QUARTILES
| First Quartile = 25 Stores | Average | Exceed Avg. | Median | Second Quartile = 25 Stores | Average | Exceed Avg. | Median |
|---|---|---|---|---|---|---|---|
| Vehicle Purchase Price 26 | $7,166 | 52.00% | $7,162 | Vehicle Purchase Price 26 | $6,579 | 48.00% | $6,72 |
| Reconditioning Expense 27 | $2,395 | 64.00% | $2,134 | Reconditioning Expense 27 | $2,214 | 48.00% | $2,287 |
| Down Payment (cash/trade/deferred) 28 | $2,597 | 36.00% | $2,332 | Down Payment (cash/trade/deferred) 28 | $2,552 | 48.00% | $2,457 |
| Gross Mark-Up 29 | $7,148 | 52.00% | $7,190 | Gross Mark-Up 29 | $6,942 | 56.00% | $7,092 |
| Installment Contract Amount Financed 32 | $15,484 | 52.00% | $15,661 | Installment Contract Amount Financed 32 | $14,388 | 56.00% | $14,621 |
| Interest Rate 33 | 20.80% | 44.00% | 20.35% | Interest Rate 33 | 21.45% | 48.00% | 21.23% |
| Monthly Payment Equivalent Amount 34 | $495 | 44.00% | $487 | Monthly Payment Equivalent Amount 34 | $480 | 40.00% | $476 |
| Discount Rate 30 | 29.28% | 6 |
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 installment contract amount financed for stores in the first quartile varies depending on the data set used. For the group of 25 franchisee-owned stores, the average installment contract amount financed is $15,484. When considering a group of 23 franchisee-owned stores, the average installment contract amount financed is $15,522. For the group of 2 company-owned stores, the average installment contract amount financed is $14,608.
These figures represent the average amount financed through installment contracts at Byrider locations that fall within the lowest performing 25% of stores analyzed. The difference in averages between the different sets of stores could be attributed to various factors such as location, market conditions, and operational strategies.
A prospective franchisee should consider these figures as a general benchmark. It is important to note that these are averages, and individual store performance can vary significantly. Understanding the factors that contribute to the differences in performance across quartiles is crucial for developing a successful business strategy.
It would be beneficial for a potential franchisee to discuss with Byrider the specific criteria used to define each quartile and the strategies employed by higher-performing stores to achieve better financial results. Further investigation into the demographics and market conditions of the stores in each quartile could also provide valuable insights.