What is the 'Hosting Facility' used for in the Byrider franchise system?

According to Byrider's 2025 Franchise Disclosure Document, the 'Hosting Facility' is where the server portion of the Licensed Software is hosted by Byrider from its data processing facilities. The Licensed Software is related to "buy-here-pay-here" automobile sales and collection management systems. This includes programs that generate retail installment sales and security contracts from input data, as well as monitoring receivables and collection productivity.

For a prospective Byrider franchisee, this means that the core software system necessary to operate the business is not housed at their physical location but is instead managed remotely by Byrider. Franchisees will access this software and its services through the internet. Byrider is responsible for maintaining the server and the data processing facilities, ensuring the software runs correctly. The franchisee is responsible for their own network connectivity and security measures to access the system.

This arrangement centralizes the software management and updates, ensuring all franchisees are using the same version of the software. However, franchisees must ensure they have robust and secure internet connections to access the 'Hosting Facility.' Additionally, franchisees are responsible for the security of their own systems and data transmission to the Hosting Facility. Byrider can suspend or limit a franchisee's access to the Services upon ten (10) days written notice if any amounts due Byrider are more than thirty (30) days past due or as otherwise provided in the Franchise Agreement.

Byrider retains the right to modify the components of the Licensed System at its discretion. The franchisee is responsible for ensuring that the Licensed System fulfills their individual requirements and goals. The franchisee must use the Licensed System and access the Hosting Facility as directed by Byrider from time to time.