What do the low figures for furniture, fixtures and equipment, service center equipment, signage and awning and technology system represent for a Byrider franchise?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
*The low figures for "Furniture, Fixtures and Equipment," "Service Center Equipment," "Signage and Awning" and "Technology System" represent the first three months' payment for leasing. The high figures represent the full purchase price of these items at the high range estimated investment. The decision whether to lease, mortgage or to purchase these requirements is a business decision you must make depending on your financial resources and financing arrangements you make. Whether you receive adequate financing depends upon, among other factors, your overall creditworthiness. Byrider Franchising Partners may assist and advise you on financing matters with third parties for leasing or purchasing initial items or otherwise, but Byrider Franchising Partners is not obligated to do so. As noted in Item 5, the initial franchise fee is refundable if Byrider Franchising Partners receives written notice from you within 60 days from the date of the Franchise Agreement and you sign the form of general release required by Byrider Franchising Partners. All other amounts reflected in this Item 7 will not be refundable unless you are able to negotiate a refund with the particular supplier.
Source: Item 7 — Estimated Initial Investment (FDD pages 32–36)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, the low figures provided for certain initial investments represent the option to lease rather than purchase those items outright. Specifically, the low-end estimates for "Furniture, Fixtures and Equipment," "Service Center Equipment," "Signage and Awning," and "Technology System" represent the first three months' payment for leasing these items. The higher figures represent the full purchase price of these items at the high range estimated investment.
For a prospective Byrider franchisee, this means they have the flexibility to lower their initial investment by leasing equipment and furniture. For example, the estimated initial investment for Furniture, Fixtures, and Equipment ranges from $1,500 to $50,000, Service Center Equipment ranges from $2,000 to $70,000, Signs and Awnings range from $2,000 to $50,000, and Technology/Phone/Security Systems range from $5,000 to $40,000. Choosing to lease rather than buy outright could substantially reduce the initial capital required to start the business.
The decision to lease or purchase is a business decision that the franchisee must make based on their financial resources and financing arrangements. Byrider may offer assistance and advice on financing matters with third parties, but is not obligated to do so. The franchisee's creditworthiness will be a factor in securing financing. This flexibility is common in franchising, allowing franchisees to tailor their initial investment to their financial situation.
It is important to note that while the initial franchise fee may be refundable under certain conditions, all other amounts reflected in Item 7 will not be refundable unless the franchisee is able to negotiate a refund with the particular supplier. Therefore, franchisees should carefully consider their options and negotiate terms with suppliers that align with their financial capabilities and long-term business strategy.