factual

With whom must a Byrider franchisee enter into a Software Services and User Agreement?

Byrider Franchise · 2025 FDD

Answer from 2025 FDD Document

You must license Byrider Franchising Partners' Proprietary Computer Software from Byrider Franchising Partners and enter into a Software Services and User Agreement (see Exhibit E attached to the Franchise Agreement) with Byrider Franchising Partners for ongoing service and support to the Proprietary Software and all other components of the technology system. Byrider Franchising Partners does not provide lease packages for its Proprietary Software but may provide you with a list of third parties that offer lease packages for the entire technology system as described in Item 11. Any financing you arrange for the purchase or lease of the technology system may not contain terms that encumber the Proprietary Software in any way. Under no circumstances will the ownership rights to the Proprietary Software change from Byrider Franchising Partners to you or to a third party.

Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 36–40)

What This Means (2025 FDD)

According to Byrider's 2025 Franchise Disclosure Document, a franchisee must license Byrider's proprietary computer software from Byrider Franchising Partners. As part of this, the franchisee must enter into a Software Services and User Agreement with Byrider Franchising Partners for ongoing service and support of the proprietary software and all other components of the technology system.

This agreement is mandatory, as Byrider Franchising Partners requires franchisees to use their proprietary software. While Byrider Franchising Partners does not offer lease packages for the software itself, they may provide a list of third parties that do offer lease packages for the entire technology system. However, any financing arranged for the technology system must not encumber the proprietary software in any way, and ownership of the software remains with Byrider Franchising Partners.

This requirement ensures that all Byrider franchisees use a standardized technology system, which can help maintain consistency and quality across the brand. However, it also means that franchisees are dependent on Byrider Franchising Partners for the software's functionality and support. Prospective franchisees should carefully review the Software Services and User Agreement to understand their rights and obligations related to the software, including any potential costs for updates, maintenance, or support.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.