Who is responsible for the costs of upgrading the Business Location for a Byrider Successor Franchise Agreement?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
- D.
The Franchisee has made, at its expense, such expenditures necessary to upgrade, remodel and redecorate the Business Location and the fixtures, equipment and supplies used in the Franchisee's Business to conform to the requirements of the System and the image of the Business at the commencement of the Successor Franchise Agreement (the "Necessary Modifications"); provided that the Company will not require any modifications to the exterior signage if the Company required an exterior signage modification within the five (5) years immediately preceding the expiration of this agreement.
The Company shall notify the Franchisee of the Necessary Modifications within ninety (90) days after receipt of the Successor Franchise Notice;
Source: Item 23 — Receipts (FDD pages 88–335)
What This Means (2025 FDD)
According to the 2025 Byrider Franchise Disclosure Document, the franchisee is responsible for the costs associated with upgrading the Business Location to meet the System's requirements for a Successor Franchise Agreement. Specifically, the franchisee must cover the expenditures necessary to upgrade, remodel, and redecorate the Business Location, including fixtures, equipment, and supplies, to conform to Byrider's standards and image at the commencement of the Successor Franchise Agreement. However, Byrider will not require modifications to the exterior signage if they required an exterior signage modification within the five years immediately preceding the expiration of the agreement.
Byrider will notify the franchisee of the required modifications within ninety days after receiving the Successor Franchise Notice. This allows the franchisee time to plan and budget for the necessary upgrades. It is important for prospective franchisees to understand that these upgrade costs can be significant and should be factored into their financial planning when considering a successor franchise agreement.
This requirement ensures that all Byrider locations maintain a consistent brand image and meet current operational standards. While the franchisee bears the cost, the franchisor's notification period provides some predictability. Franchisees should inquire about the typical scope and cost of these upgrades during their due diligence to better prepare for this potential expense.