How long does Byrider have to provide written notice of approval or disapproval of a proposed site after receiving the franchisee's written proposal?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
- 6.4 Company's Site Approval. The Franchisee is responsible for purchasing or leasing a suitable site for the Franchisee's Business. Prior to the acquisition by lease or purchase of any such site, the Franchisee shall submit a description of the proposed site and other requested information to the Company together with a letter of intent or other evidence satisfactory to the Company that confirms the Franchisee's favorable prospects for obtaining the proposed site. The Company will provide the Franchisee with written notice of approval or disapproval of the proposed site within thirty (30) days after receiving the Franchisee's written proposal. The Company's approval of the site is subject to the provisions of Section 7.1 of this Agreement. The Company's approval will not be unreasonably withheld. The Company will provide the Franchisee with a written explanation in the event it disapproves a site.
Source: Item 23 — Receipts (FDD pages 88–335)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, Byrider will provide a franchisee with written notice of approval or disapproval of a proposed site within thirty (30) days after receiving the franchisee's written proposal. The FDD specifies that Byrider's approval of the site is subject to the provisions of Section 7.1 of the agreement, and that Byrider's approval will not be unreasonably withheld. If Byrider disapproves a site, they will provide the franchisee with a written explanation.
This 30-day window is a crucial consideration for prospective franchisees as it directly impacts their timeline for securing a location and commencing operations. Franchisees need to factor this review period into their planning to avoid delays. The stipulation that approval will not be unreasonably withheld offers some reassurance to franchisees, suggesting that Byrider will act in good faith during the site selection process.
The requirement for a written explanation in case of disapproval is also beneficial for franchisees. This feedback can help them understand Byrider's concerns and make informed decisions about alternative locations or address any issues with the initial proposal. This level of transparency can foster a more collaborative relationship between the franchisor and franchisee during the critical early stages of establishing the business.
It is important for prospective Byrider franchisees to ensure they submit a complete and well-documented site proposal to facilitate a timely review by Byrider. Understanding the criteria Byrider uses to evaluate sites, as referenced in Section 7.1 of the franchise agreement, will also help franchisees select locations that are more likely to be approved.