What is the range of the Development Fee for a Traditional Byrider franchisee under the Area Development Agreement Rider?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
VELOPMENT AGREEMENT RIDER
| Expenditures | Estimated Amount or Estimated Low-High Range* (Traditional Franchisee) | Estimated Amount or Estimated Low-High Range* (Ultra Franchisee) | When Payable | Method of Payment | To Whom Paid |
|---|---|---|---|---|---|
| Development Fee (1) | $17,500- $87,500 | $20,000- $100,000 | Upon Execution of Area Development Agreement | Lump sum | Byri |
Source: Item 7 — Estimated Initial Investment (FDD pages 32–36)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, the Development Fee for a Traditional Byrider franchisee under the Area Development Agreement ranges from $17,500 to $87,500. This fee is payable upon the execution of the Area Development Agreement.
The Development Fee is determined by multiplying $17,500 by the number of franchises the franchisee commits to developing under the Area Development Agreement. The standard agreement typically requires a commitment to acquire between 1 and 5 franchises. This means the development fee will be $17,500 for a single franchise commitment, $35,000 for a 2-franchise commitment, $52,500 for a 3-franchise commitment, $70,000 for a 4-franchise commitment, and $87,500 for a 5-franchise commitment.
It is important to note that the Development Fee is fully earned by Byrider upon receipt and is non-refundable. However, Byrider will credit the fee in $17,500 increments against the Initial Franchise Fees that become due as the franchisee executes Franchise Agreements. This credit applies specifically to Traditional Franchisees. Prospective franchisees should carefully consider the number of franchises they commit to developing, as this decision directly impacts the initial Development Fee and the subsequent credit applied to the Initial Franchise Fees.