What is the Royalty Fee for a Byrider Legacy Founder Franchisee or Interim Founder Franchisee with 6 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 | $7,835.00 |
| 6 | $6,715.00 | $6,715.00 | $6,715.00 |
| 7 |
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 Legacy Founder Franchisee or Interim Founder Franchisee operating six Byrider businesses under the Multi-Location Flat Rate is $6,715.00 per month. This flat rate applies as long as the franchisee qualifies for and elects to pay the Multi-Location Flat Rate (MLFR), operates at least two Byrider businesses, and remains in compliance with the Franchise Agreement and all other agreements with Byrider and its affiliates.
The Multi-Location Flat Rate (MLFR) can supersede the standard royalty fee structure, provided the franchisee meets specific conditions. These conditions include maintaining qualification for the MLFR, operating a minimum of two Byrider locations, and adhering to all agreements with Byrider. If a franchisee fails to meet these conditions, they will revert to the standard royalty fee obligations outlined in the addendum.
Byrider retains the right to increase the royalty fee based on the National Consumer Price Index for All Urban Consumers (CPI-U), with adjustments made annually. Franchisees will receive written notification of any changes by December 1st of each year, affecting the subsequent calendar year. This ensures that royalty fees can be adjusted to reflect changes in economic conditions, potentially impacting the overall cost of operating a Byrider franchise.