What was the average total operating expense for Byrider stores in the second quartile?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
| First Quartile = 2 Stores | First Quartile Average | % Met or Exceed Avg | First Quartile Median | Second Quartile = 2 Stores | Second Quartile Average | % Met or Exceed Avg | Second Quartile Median | ||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Annual Vehicle Sales6 | 409 | 409 | Annual Vehicle Sales6 | 341 | 341 | ||||||
| Sales Revenue2,11 | 7,444,965 | 69.34% | 50.00% | 7,444,965 | 74.89% | Sales Revenue2,11 | 5,810,301 | 70.07% | 50.00% | 5,810,301 | 70.07% |
| Finance Revenue3,11 | 3,292,561 | 30.66% | 50.00% | 3,292,561 | 26.29% | Finance Revenue3,11 | 2,482,362 | 29.93% | 50.00% | 2,482,362 | 29.93% |
| Total Revenue4,11 | 10,737,526 | 100.00% | 50.00% | 10,737,526 | 101.19% | Total Revenue4,11 | 8,292,663 100.00% | 50.00% | 8,292,663 100.00% | ||
| Cost of Goods Sold5 | 6,592,851 | 61.40% | 50.00% | 6,592,851 | 67.84% | Cost of Goods Sold5 | 5,144,648 | 62.04% | 50.00% | 5,144,648 | 62.04% |
| Total Gross Profit7 | 4,144,675 | 38.60% | 50.00% | 4,144,675 | 32.07% | Total Gross Profit7 | 3,148,015 | 37.96% | 50.00% | 3,148,015 | 37.96% |
| Total Operating Expense8 | 2,298,579 | 21.41% | 50.00% | 2,298,579 | 18.07% | Total Operating Expense8 | 2,091,649 | 25.22% | 50.00% | 2,091,649 | 25.22% |
| *Net Income from Operations (before taxes)9 | 1,846,096 | 17.19% | 50.00% | 1,846,096 | 14.39% | *Net Income from Operations (before taxes)9 | 1,056,366 | 12.74% | 50.00% | 1,056,366 | 12.74% |
| Net Income per Vehicle Sold 10 | 4,511 | 4,511 | Net Income per Vehicle Sold 10 | 3,102 | 3,102 |
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 total operating expense for stores in the second quartile is detailed in Item 19. Based on data compiled using composites from December 31, 2022, and December 31, 2023, the average total operating expense for Byrider stores in the second quartile was $2,091,649. This data is derived from a set of franchisee-owned stores.
This figure represents a critical component of a Byrider franchisee's financial performance. Operating expenses encompass all costs associated with running the business, such as rent, utilities, salaries, marketing, and other administrative costs. The average provides a benchmark for prospective franchisees to compare against their own projected expenses. It is important to note that this average is based on a specific group of stores and may not be representative of all Byrider locations.
Prospective franchisees should carefully analyze these figures in conjunction with other financial performance representations provided in Item 19, such as sales revenue, cost of goods sold, and net income. Understanding the relationship between revenue, expenses, and profitability is essential for assessing the financial viability of a Byrider franchise. Additionally, franchisees should consider factors that may influence their own operating expenses, such as location, market conditions, and management practices.
It is also important to note that 50% of the stores in the second quartile met or exceeded this average, indicating a range of performance within this group. Franchisees should investigate the factors that contribute to higher or lower operating expenses to better understand the potential risks and opportunities associated with a Byrider franchise.