Are Byrider franchisees required to enroll in the centralized call center program for collecting customer payments?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
the Franchise Agreement.
- 7/ This program provides a centralized call center that collects and processes on time CNAC customer payments. Your enrollment in this program is optional. If you, or your affiliate, already operate a Byrider business, you will be required to pay to participate in this optional program.
- You must indemnify Byrider Franchising Partners for any claims or costs incurred by Byrider Franchising Partners in defending claims against your Business.
Source: Item 6 — Other Fees (FDD pages 21–32)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, enrollment in the centralized call center program for collecting customer payments is optional for new franchisees. However, if a franchisee or their affiliate already operates a Byrider business, they are required to participate in the optional program. This program is designed to collect and process CNAC customer payments in a timely manner. CNAC Collections are defined as 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 payment received prior to delivery of the vehicle.
For prospective franchisees, the option to enroll in the centralized call center program offers flexibility in managing customer payments. New franchisees can evaluate the program's benefits and costs to determine if it aligns with their business strategy. However, existing Byrider business operators do not have this choice and must participate if they want to add a new franchise.
The FDD does not specify the costs associated with the centralized call center program. Therefore, a prospective franchisee should inquire about the fees, terms, and conditions of the Software Services and User Agreement (Exhibit E) to fully understand the financial implications of participating in the program. Understanding these costs is crucial for making an informed decision about enrolling in the program or, if already operating a Byrider business, understanding the additional costs of opening another franchise.