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Questions & Answers
Q. What about flat tires? Won't the bikes need constant maintenance?
Q. Won't the bikes get stolen? What happens when a customer doesn't return the bike?
Q. Does the Bike Station have to be protected from the elements?
Q. Where and how does a customer return the rented bike?
Q. Won't the Bike Station require periodic maintenance?
Q. How do you keep track of how long the bike is rented for?
Q. What about vandalism to the Bike Station itself?
Q. What about students and other people who don't have credit or debit cards?
Q. What about insurance? Don't you have a lot of potential liability?

Q: What about flat tires? Won't the bikes need constant maintenance?

Cruiser Bicycle

A: A Cruiser bicycle is virtually maintenance-free. We have used the Cruiser for years in Bike Chicago's rental operations and have found it to require almost no maintenance even under constant usage. The Bike Station's Cruiser has nonstandard parts, requiring nonstandard tools for stripping. The frame is aluminum; the most durable design available, and tires are anti-puncture. Cruisers use the classic, reliable single-gear, coaster-brake design, and are protected with a chain guard.

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Q: Won't the bikes get stolen? What happens when a customer doesn't return the bike?

A: For reasons discussed above, the Cruiser bikes should be unattractive to thieves. In addition, the initial magnetic-card authorization includes a record of the customer's identification as well as a security deposit reserve. If customers fail to return the bicycle, they will be contacted and a charge will appear on their account for the retail price of a new bicycle.

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Q: Does the Bike Station have to be protected from the elements?

A: Bike Station and the bicycles themselves are weather-resistant by design. Rain and cold do not affect their operation. In snowy climates, Bike Stations will be either removed for the winter or covered during the non- rental months. In general we look for locations which are somewhat sheltered, such as under the eaves of a roof or building overhang.

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Q: Where and how does a customer return the rented bike?

A: The customer can return the bicycle to the Bike Station from which it was rented or, in areas with multiple Bike Stations, to any Bike Station with an open slot. Bicycles are identified with a magnetic code, and the computer system keeps track of which bicycles are rented and which are returned. At the customer's request, the interactive terminal prints a receipt for the transaction.

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Q: Won't the Bike Station require periodic maintenance?

A: Yes, a routine maintenance check is scheduled. In addition, the computerized terminal notifies the central office of any malfunctions and will trigger a special maintenance visit.

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Q: How do you keep track of how long the bike is rented for?

A: Bike Station identifies each bicycle via the magnetic card used to rent the bicycle, and thus is able to track when a bicycle was rented, when it was returned, and how long it was out for.

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Q: What about vandalism to the Bike Station?

A: Bike Station is constructed of heavy-gauge steel and is bolted down. In addition it is covered with a glossy, easy-clean, anti-graffiti paint. Since only magnetic cards are accepted, and no coins or cash, thieves have no financial motivation to try to break into the terminal.

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Q: What about students and other people who don't have credit or debit cards?

A: Bike Station can be programmed to accept any type of personal magnetic cards. Such cards can include a university ID for a student; a monthly pass for a commuter; or a single-usage card purchased at a hotel desk.

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Q: What about insurance? Don't you have a lot of potential liability?

A: The company maintains a high-limit liability insurance. Property insurance to cover damage to the Bike Stations and the bicycles will be obtained. Although there is always a potential for liability claims, in five years of renting bicycles, Bike Chicago has had no liability claims.

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LeisureTec, Inc.
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Mailing Address: P.O. Box 87490, Chicago, IL 60680

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