Are there specific requirements for Byrider franchise renewal outlined in Article 5.3 of the Franchise Agreement?

According to Byrider's 2025 Franchise Disclosure Document, Article 5.3 of the Franchise Agreement, in conjunction with Article 5.2, outlines the conditions for franchise renewal. A franchisee has the right to obtain three additional, successive franchise terms of five years each. However, if Byrider Franchising Partners is still licensing new franchises, the franchisee may obtain unlimited successive five-year franchise terms, provided they continue to meet the qualifications and conditions for each renewal term.

To renew the Byrider franchise, the franchisee must request to obtain a successive franchise term and comply with the existing Franchise Agreement. Compliance with all financial obligations to Byrider Franchising Partners is also required. The franchisee must also execute the proper documents to renew the franchise agreement.

It is important to note that "renewal" means signing Byrider's then-current franchise agreement, which may contain materially different terms, including fees. This implies that while a franchisee may have the right to renew, the terms of the new agreement could be less favorable than the original, potentially impacting profitability and operational requirements. Prospective franchisees should carefully consider this aspect and seek clarification on potential changes in the franchise agreement upon renewal.