What was the average monthly operating expense for Byrider franchises?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
Years (period ending December 31 in 2022 and 2023) of Company-Owned Stores Open 24+ Months as of 12/31/2023
| 8 Franchise Locations | Average | Exceed Avg. | Median | |--------------------------------------------------------------------------|-----------|-------------|-----------| | | | | | | Vehicle Purchase Price 26 | $5,886 | 50.00% | $5,872 | | Reconditioning Expense 27 | $2,868 | 25.00% | $2,927 | | Down Payment (cash/trade/deferred) 28 | $3,393 | 37.50% | $3,642 | | Gross Mark-Up 29 | $7,447 | 25.00% | $7,535 | | Installment Contract Amount Financed 32 | $14,572 | 50.00% | $14,580 | | Interest Rate 33 | 21.51% | 25.00% | 22.02% | | Monthly Payment Equivalent Amount 34 | $477 | 37.50% | $484 | | Discount Rate 30 | 30.00% | 100.00% | 30.00% | | | | | | | Average Trade Percentage 37 | 32.93% | 50.00% | 33.58% | | Average CoBuyer Percentage 38 | 23.69% | 37.50% | 25.50% | | | | | | | All Delinquency (% of portfolio 1 or more days delinquent) 35 | 9.02% | 75.00% | 8.70% | | Net Charge Off (as % of Portfolio Amount) 39 | 0.78% | 37.50% | 0.79% | | Static Pool Charge Off (Originations from 2 Years Prior) 40 | 16.31% | 50.00% | 15.83% | | Average Cash on Cash (Originations from 2 Years Prior) 41 | 123.40% | 37.50% | 124.90% | | | | | | | Warranty Expense/Vehicle Sold 31 | $1,012 | 50.00% | $992 | | Average Monthly Marketing Expenses 42 | $13,377 | 50.00% | $12,961 | | Average Monthly Operating Expenses 36 | $171,195 | 37.50% | $178,632 |
Byrider Franchised Stores Systemwide Average Figures for Company-Owned Stores Included in Tables A-3 and A-4
Based on 2 Years (period ending December 31 in 2022 and 2023) of Company-Owned Stores Open 24+ Months as of 12/31/2023
STORE RESULTS BROKEN DOWN INTO QUARTILES
| First Quartile = 2 Stores | Average | Exceed Avg. | Median | Second Quartile = 2 Stores | Average | Exceed Avg. | Median |
|---|---|---|---|---|---|---|---|
| 26 | 36 | ||||||
| Vehicle Purchase Price 26 | $5,872 | 50.00% | $5,872 | Vehicle Purchase Price 26 | $5,958 | 50.00% | $5,958 |
| Reconditioning Expense 27 | $2,978 | 50.00% | $2,978 | Reconditioning Expense 27 | $2,963 | 50.00% | $2,963 |
| Down Payment (cash/trade/deferred) 28 | $3,840 | 50.00% | $3,840 | Down Payment (cash/trade/deferred) 28 | $3,316 | 50.00% | $3,316 |
| Gross Mark-Up 29 | $7,581 | 50.00% | $7,581 | Gross Mark-Up 29 | $7,570 | 50.00% | $7,570 |
| Installment Contract Amount Financed 32 | $14,608 | 50.00% | $14,608 | Installment Contract Amount Financed 32 | $14,562 | 50.00% | $14,562 |
| Interest Rate 33 | 22.12% | 50.00% | 22.12% | Interest Rate 33 | 22.44% | 50.00% | 22.44% |
| Monthly Payment Equivalent Amount 34 | $489 | 50.00% | $489 | Monthly Payment Equivalent Amount 34 | $481 | 50.00% | $481 |
| Discount Rate 30 | 30.00% | 100.00% | 30.00% | Discount Rate 30 | 30.00% | 100.00% | 30.00% |
| Average Trade Percentage 37 | 37.02% | 50.00% | 37.02% | Average Trade Percentage 37 | 18.75% | 50.00% | 18.75% |
| Average CoBuyer Percentage 38 | 28.83% | 50.00% | 28.83% | Average CoBuyer Percentage 38 | 14.39% | 50.00% | 14.39% |
| All Delinquency (% of portfolio 1 or more days delinquent) 35 | 8.44% | 50.00% | 8.44% | All Delinquency (% of portfolio 1 or more days delinquent) 35 | 8.70% | 50.00% | 8.70% |
| Net Charge Off (as % of Portfolio Amount) 39 | 0.66% | 50.00% | 0.66% | Net Charge Off (as % of Portfolio Amount) 39 | 0.85% | 50.00% | 0.85% |
| Static Pool Charge Off (Originations from 2 Years Prior) 40 | 13.73% | 50.00% | 13.73% | Static Pool Charge Off (Originations from 2 Years Prior) 40 | 16.82% | 50.00% | 16.82% |
| Average Cash on Cash (Originations from 2 Years Prior) 41 | 127.02% | 50.00% | 127.02% | Average Cash on Cash (Originations from 2 Years Prior) 41 | 123.67% | 50.00% | 123.67% |
| Warranty Expense/Vehicle Sold 31 | $958 | 50.00% | $958 | Warranty Expense/Vehicle Sold 31 | $866 | 50.00% | $866 |
| Average Monthly Marketing Expenses 42 | $12,961 | 50.00% | $12,961 | Average Monthly Marketing Expenses 42 | $16,525 | 50.00% | $16,525 |
| Average Monthly Operating Expenses 36 | $201,678 | 50.00% | $201,678 | Average Monthly Operating Expenses 36 | $187,540 | 50.00% | $187,540 |
| Attended montainy operating Expenses | Q202,070 | +, | riverage monthly operating expenses | Ģ107,510 | Ψ107,5 TC | ||
|---|---|---|---|---|---|---|---|
| % Met or | % Met or | ||||||
| Third Quartile = 2 Stores | Average | Exceed Avg. | Median | Fourth Quartile = 2 Stores | Average | Exceed Avg. |
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 monthly operating expenses for franchise locations vary based on the data set used. For the 8 franchise locations, the average monthly operating expenses are $171,195. For the 92 franchise locations, the average monthly operating expenses are $169,135. For the 100 franchise locations, the average monthly operating expenses are $169,300.
These figures represent the average expenses for operating a Byrider franchise, but it's important to note that individual results may differ. The FDD indicates that 37.50% of the 8 franchise locations exceeded the average, while 60.87% of the 92 franchise locations exceeded the average, and 59.00% of the 100 franchise locations exceeded the average. This suggests that while the average provides a benchmark, a significant portion of franchisees experience higher operating expenses.
Prospective franchisees should consider these figures as estimates and conduct thorough due diligence to understand the specific factors that could influence their operating expenses. Factors such as location, market conditions, and management practices can all impact a franchise's financial performance. Byrider also provides written substantiation for this financial information to prospective franchisees upon reasonable request.
It is also important to note that the median monthly operating expenses for the 8, 92, and 100 franchise locations are $178,632, $159,436, and $159,829, respectively. The median represents the middle data point and can provide a more accurate representation of typical operating expenses, as it is less influenced by extreme values. Therefore, prospective franchisees should consider both the average and median figures when evaluating the potential financial performance of a Byrider franchise.