What is the condition for Byrider to provide monitoring of receivables and collection productivity?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
Licensor has developed certain computer software programs relating to "buy-here-pay-here" automobile sales and collection management systems, including programs which allow generation of specific retail installment sales and security contracts from input data and monitoring of receivables and collection productivity by Licensee, for use in the automobile sales business (hereinafter referred to as "Licensed Software").
Source: Item 23 — Receipts (FDD pages 88–335)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, Byrider provides monitoring of receivables and collection productivity through its Licensed Software. This software is a key component of Byrider's technology system, designed specifically for "buy-here-pay-here" automobile sales and collection management. The franchisee gains access to this monitoring capability by entering into the Byrider Software Services and User Agreement, which is an exhibit to the Franchise Agreement.
This agreement outlines the terms and conditions for using Byrider's proprietary software, which includes programs that generate retail installment sales and security contracts from input data. The software also enables the monitoring of receivables and collection productivity, which is crucial for managing the financial aspects of the franchise. The Licensed Software includes both components owned and licensed directly by Byrider and components provided by third parties and sublicensed by Byrider.
For a prospective franchisee, this means that access to Byrider's software and the associated monitoring capabilities is contingent upon signing the Software Agreement and adhering to its terms. This agreement is essential for utilizing the technology system necessary to operate the day-to-day business. The franchisee is also responsible for paying the costs associated with the technology system to the appropriate vendor, as detailed in Exhibit D, Appendix B, upon receiving invoices. Exhibit D, Appendix A, identifies the items that are typically required per franchised location.
Furthermore, Byrider retains control over the software and its hosting, as the server portion of the Licensed Software is hosted by Byrider from its data processing facilities. Upon termination or expiration of the Franchise Agreement, access to the Byrider Computer Software will also terminate, except that Byrider will provide information needed to collect receivables and wind down the business.