What does Byrider's Chapter 5 say about accepting down payments on vehicle purchases?

According to Byrider's 2025 Franchise Disclosure Document, "Gross Receipts (CNAC Collections)" include all monies received, such as payments from customer accounts, deferred down payments, payments from bulk sale of customer accounts, and all other amounts received. However, this definition specifically excludes cash down payments received prior to the delivery of the vehicle.

This means that while Byrider franchisees collect various forms of payments related to vehicle sales and financing, cash down payments received before the customer takes possession of the vehicle are treated differently for accounting purposes. These cash down payments are not included when calculating "Gross Receipts (CNAC Collections)."

For a prospective franchisee, this distinction is important for understanding how Byrider calculates royalties and other fees based on Gross Receipts. Franchisees need to be aware of which types of payments are included in Gross Receipts and which are excluded, such as cash down payments received prior to vehicle delivery, to accurately calculate and report their earnings to Byrider.