Will Byrider provide a written explanation if it disapproves a proposed site for the franchisee's business?
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 franchisees are responsible for finding a suitable site for their business. Before acquiring the site, the franchisee must submit a description of the proposed site and other requested information to Byrider, along with a letter of intent or other evidence confirming the franchisee's favorable prospects for obtaining the site. Byrider will then provide written notice of approval or disapproval within 30 days of receiving the franchisee's written proposal.
Importantly, Byrider's approval of the site is subject to certain provisions in the franchise agreement, and Byrider states that it will not unreasonably withhold approval. If Byrider disapproves a site, it will provide the franchisee with a written explanation for the disapproval.
This process is typical in franchising, as the location of a business is critical to its success. Byrider's requirement for site approval and its commitment to providing a written explanation for disapproval protects both Byrider's brand and the franchisee's investment. Franchisees should carefully consider Byrider's site selection criteria and seek assistance from real estate professionals to identify suitable locations.