What information must a Byrider Franchisee provide to the company for evaluation of a proposed Assignee?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
e agrees (if the Control Assignment is of this Agreement) to upgrade, remodel, and refurbish the Business Location in accordance with the Company's thencurrent requirements and specifications for Businesses within the time period the Company specifies following the effective date of the Control Assignment; provided the Company will advise the Assignee before the effective date of the Control Assignment of the specific actions that it must take and the time period within which such actions must be taken;
- (12) The Franchisee shall provide the Company with such information as the Company shall require to make such evaluations of the proposed Assignee as it shall deem necessary to satisfy its requirements;
- (13) The Franchisee has first offered to sell, transfer, lease or assign this Agreement and the Franchisee's Business to the Company in accordance with Article XV; unless the Assignee is an immediate family member of Franchisee (or an approved existing owner of the franchise);
- (14) The Franchisee and its transferring owners will not directly or indirectly at any time or in any manner (except with respect to other Businesses the Franchisee owns and operates) identify itself or themselves or any business as a current or former Business or as one of the Company's franchise owners; use any Mark, any colorable imitation of a Mark, or other indicia of a Business in any manner or for any purpose; utilize for any purpose any trade name, trade or service mark, or other commercial symbol that suggests or indicates a connection or association with the Company;
- (15) Any advertisement for the sale of the Franchisee's rights hereunder shall make clear that the Franchisee and not the Company is the offeror;
- (16) The Franchisee shall pay the Transfer Fee to the Company; unless the Assignee is an existing owner of Franchisee or an immediate family member of Franchisee (or one of its owners); and
- (17) The Franchisee and its transferring owners comply with the covenants under Sections 18.1 and 18.2.
The Franchisee acknowledges and agrees that the Company may review all information regarding the Franchisee's Business that the Franchisee gives the Assignee, correct any information that the Company believes to be inaccurate, and give the Assignee copies of any
reports that the Franchisee has given the Company or the Company has made regarding the Franchisee's Business.
14.4 Death or Incapacity of the Franchisee.
A. In the event of the death or incapacity of the Franchisee (if it is a natural person) or the death or incapacity of Franchisee's principal owner (if Franchisee is a legal entity), the Franchisee's or such principal owner's heirs, personal representatives, executors, guardians, administrators or conservators, as applicable, shall, within one hundred eighty (180) days following such death or incapacity, complete the transfer of the Franchisee's interest in this Agreement, the Franchisee's Business and Business Location or, as applicable, of the principal owner's interest in Franchisee, to a person or entity approved by the Company. The person to whom such interests are proposed to be transferred must meet the Company's standards for new franchisees, agree to execute the then-current form of franchise agreement, and, within ninety (90) days after the death or legal incapacity of the Franchisee (or the death or legal incapacity of the principal owner of the Franchisee if the Franchisee is a legal entity), shall have satisfactorily completed the Company's then current Initial Training Program; provided that the transferee will not be required to execute the then-current form of franchise agreement if the transferee is an immediate family member of Franchisee (or the deceased owner if Franchisee is an entity).
Source: Item 23 — Receipts (FDD pages 88–335)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, a franchisee looking to transfer their franchise must provide Byrider with the information the company deems necessary to evaluate the proposed assignee. Specifically, all proposed transferees must fill out and submit Byrider's current franchise application form.
In cases of a "Control Assignment," which involves transferring the Franchise Agreement, the franchisee's business, or a controlling ownership interest, several conditions must be met. The proposed assignee must demonstrate the aptitude, skills, qualifications, credit, and financial resources necessary to manage the business and fulfill the obligations to Byrider. The franchisee must also be in full compliance with all obligations, including paying all monetary obligations, submitting all required reports, and adhering to the Franchise Agreement terms.
Furthermore, neither the assignee nor its owners can have an ownership interest in or provide services to a competitive business. The franchisee must ensure that the business location's lease can be transferred to the assignee, with the assignee assuming all lease obligations. The franchisee must also correct any existing deficiencies at the business location or ensure the assignee agrees to upgrade and remodel the location according to Byrider's current standards. The franchisee must first offer to sell the franchise to Byrider before transferring it to another party, unless the assignee is an immediate family member or an approved existing owner. Finally, the franchisee must pay the transfer fee to Byrider, unless the assignee is an existing owner or an immediate family member.