Under what condition will Byrider charge a Custom Support Fee?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
- c.
If Licensee requests on-site assistance from Licensor, and Licensor agrees that such on-site assistance is reasonably necessary, Licensee will additionally pay Licensor's travel, the then current Custom Support Fee charged by Licensor, and other related business expenses actually incurred in the performance of such services.
These expenses will be invoiced separately other fees, and payment shall be due in full from Licensee within thirty (30) days of the date of invoice.
- e. If Licensee requests assistance from Licensor, and Licensor in its sole judgment determines the assistance is beyond reasonable and customary assistance provided under this Agreement, the Licensor will advise the Licensee that the then current Custom Support Fee will apply. The Licensor will provide the assistance only after the Licensee agrees in writing to the Licensor to pay for such services. These expenses will be invoiced separately from other fees, and payment shall be due in full from Licensee within thirty (30) days of the date of invoice.
| This VETERAN DISCOUNT ADDENDUM (this "Addendum") dated as of | |
|---|---|
| (the "Effective Date") amends and supplements certain terms and conditions of | |
| the Franchise Agreement dated | (the "Franchise Agreement") entered into |
| between BYRIDER FRANCHISING PARTNERS, LLC (the "Company") and | (the "Franchisee"). In the event of any conflict between the terms of the |
| Agreement and the terms of this Addendum, the terms of this Addendum shall control. | All |
| capitalized terms not otherwise defined in this Addendum shall have their respective meanings set | |
| forth in the Agreement. | |
| WHEREAS, Franchisee (or if a legal entity, Franchisee's owner(s)) [is/are] a veteran of | |
| the United States Armed Forces; and | WHEREAS, the Company has agreed to charge Franchisee a reduced initial franchise fee |
| on the terms and conditions set forth herein. | |
| NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of | |
| which is hereby acknowledged, the Company and Franchisee hereby agree as follows: | |
| 1. | Initial Franchise Fee. The Company and Franchisee agree and acknowledge that |
| the Initial Franchise Fee provided in Section 3.8 of the Franchise Agreement shall be $50,000. | |
| 2. | Other Terms. All other terms of the Franchise Agreement shall remain in full force |
| and effect. | |
| IN WITNESS WHEREOF, the parties have executed and delivered this Addendum on | |
| the dates noted below, to be effective as of the Effective Date of this Addendum. | |
| BYRIDER FRANCHISING PARTNERS, LLC | [FRANCHISEE] |
| By | By |
| Michael J. Onda, CEO | [Name], [Title] |
| Date: | Date: |
APPENDIX B
License Fees
Initial Fee: N/A
Data Conversion Fee: N/A
Monthly Usage Fee: $0.00
Custom Support Fee: $0.00
The Monthly Usage Fee and Custom Support Fee are subject to an increase or decrease at the discretion of the Licensor.
An increase per fee shall not occur more than once per calendar year and is subject to at least ninety (90) days advance notice to the Licensee.
Source: Item 23 — Receipts (FDD pages 88–335)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, there are two instances where a Custom Support Fee may be charged. First, if a franchisee requests on-site assistance from Byrider, and Byrider agrees that such assistance is reasonably necessary, the franchisee will be required to pay Byrider's travel expenses, the then-current Custom Support Fee, and other related business expenses actually incurred. These expenses will be invoiced separately, and payment is due within 30 days of the invoice date.
Second, if a franchisee requests assistance from Byrider, and Byrider determines in its sole judgment that the assistance is beyond reasonable and customary assistance provided under the agreement, Byrider will advise the franchisee that the then-current Custom Support Fee will apply. Byrider will only provide the assistance after the franchisee agrees in writing to pay for such services. These expenses will also be invoiced separately, with payment due within 30 days of the invoice date.
Appendix B of the FDD states that the Custom Support Fee is $0.00 as of January 2025. However, the Monthly Usage Fee and Custom Support Fee are subject to an increase or decrease at the discretion of Byrider. Any increase per fee shall not occur more than once per calendar year and is subject to at least ninety (90) days advance notice to the Licensee. This means that while the fee is currently listed as $0.00, Byrider retains the right to implement a Custom Support Fee in the future, provided they give adequate notice. A prospective franchisee should confirm the current Custom Support Fee and clarify what constitutes 'reasonable and customary assistance' to avoid unexpected charges.