What is excluded from 'Gross Receipts (CNAC Collections)' for Byrider franchises?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
Gross Receipts (CNAC Collections). The term "Gross Receipts (CNAC Collections)" shall mean all monies received, such as payments from customer accounts, deferred down payments, payments from bulk sale of customer accounts, and including all other amounts received, except cash down payments received prior to delivery of the vehicle.
Source: Item 23 — Receipts (FDD pages 88–335)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, 'Gross Receipts (CNAC Collections)' are defined as all monies received, including payments from customer accounts, deferred down payments, and payments from bulk sales of customer accounts. This definition also encompasses all other amounts received by the Byrider franchisee.
However, there is a specific exclusion to this definition. The 'Gross Receipts (CNAC Collections)' do not include cash down payments received prior to the delivery of the vehicle. This means that while most forms of payment and revenue are included in the calculation of gross receipts for royalty purposes, initial cash down payments are not.
For a prospective Byrider franchisee, this distinction is important because the royalty fees owed to Byrider are calculated based on these gross receipts. Knowing exactly what is included and excluded from this calculation ensures accurate royalty payments and financial reporting. Franchisees should pay close attention to this definition to properly track and report their revenue.