What is the Royalty Fee for a Byrider Franchisee with 7 or more Byrider Businesses under the Multi-Location Flat Rate?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
the earlier of the date the Franchisee's Business is open to the public or the one-year anniversary of the date of this Agreement. The term "Royalty Fee" shall mean the amount calculated monthly as follows:
| Number of Byrider Businesses | Founder Franchisee | Legacy Founder Franchisee or Interim Founder Franchisee | Legacy Interim Founder Franchisee or Standard Franchisee |
|---|---|---|---|
| 1 | $8,954.00 | $11,192.00 | $12,312.00 |
| 2 | $8,954.00 | $11,192.00 | $11,192.00 |
| 3 | $8,954.00 | $10,073.00 | $10,073.00 |
| 4 | $8,954.00 | $8,954.00 | $8,954.00 |
| 5 | $7,835.00 | $7,835.00 |
Source: Item 22 — Contracts (FDD pages 87–88)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, the royalty fee for a franchisee with 7 or more Byrider businesses operating under the Multi-Location Flat Rate (MLFR) depends on their category designation. The category designations include Founder Franchisee, Legacy Founder Franchisee or Interim Founder Franchisee, and Legacy Interim Founder Franchisee or Standard Franchisee.
For franchisees with 7 or more Byrider businesses, the monthly royalty fees are as follows: $6,715.00 for Founder Franchisees, $6,715.00 for Legacy Founder Franchisee or Interim Founder Franchisee, and $6,715.00 for Legacy Interim Founder Franchisee or Standard Franchisee. This flat rate applies as long as the franchisee meets the Ownership Qualification, which requires at least 51% common equity ownership and voting control among the Byrider Businesses.
If a franchisee fails to meet the Ownership Qualification or does not comply with the terms for MLFR, they will be required to pay the Royalty Fee as originally provided under Sections 1-3 of the Addendum. The company reserves the right to increase the Royalty Fee set forth in Section 3.10 of the Franchise Agreement by the National Consumer Price Index for All Urban Consumers (CPI-U). Any increase will be uniformly applied to all franchisees under the same form of franchise agreement, and the company will notify the franchisee in writing on or before December 1st of each calendar year as to any changes in the amounts for the following calendar year.