Will a Byrider franchisee receive compensation for sales made by Byrider Franchising Partners within their Protected Territory?

According to Byrider's 2025 Franchise Disclosure Document, a franchisee will not receive compensation from Byrider Franchising Partners for sales made within their protected territory. The FDD specifies that Byrider or other franchisees may solicit customers inside a franchisee's Protected Territory.

This means that even though Byrider typically grants a Protected Territory comprising a radius of 2 miles surrounding the Business Location, Byrider Franchising Partners or other franchisees can still solicit customers within that territory. The franchisee will not receive any compensation for sales resulting from these solicitations.

This lack of compensation for sales within a franchisee's protected territory could impact a franchisee's potential revenue. It is important to note that Byrider Franchising Partners retains the right to add new programs, products and/or services to the Business at any time and establish, operate and franchise a business offering and selling products and/or services which maybe the same or similar to the products and services offered by the Business under any trade names, trademarks, service marks or logos other than the Marks. Byrider also retains the right to use or license the use of the Marks in business other than the Business.

Prospective franchisees should carefully consider this aspect of the franchise agreement and its potential impact on their business. It would be prudent to discuss with Byrider the specific strategies they employ for soliciting customers within protected territories and to understand how these activities might affect a franchisee's sales and profitability.