What is the Developer required to consult with the Company about under the B Bops Development Agreement?

According to B Bops's 2025 Franchise Disclosure Document, a Developer operating under a Development Agreement is required to consult with B Bops regarding specific financial aspects of their business. Specifically, the Developer must submit their financial statements to B Bops for review. Additionally, the Developer is obligated to consult with B Bops about their proposals for financing the development of B Bops franchises. These consultations and submissions are to occur at the request of B Bops, giving the company discretion over when and how often these financial reviews take place.

This requirement allows B Bops to maintain oversight of the Developer's financial health and plans for expansion. By reviewing financial statements, B Bops can assess the Developer's ability to meet their development schedule and financial obligations. Consulting on financing proposals enables B Bops to ensure that the Developer's funding strategies align with the brand's standards and long-term goals.

For a prospective B Bops franchisee considering a Development Agreement, this means they should be prepared to share detailed financial information with B Bops and to engage in discussions about their financing plans. This requirement is fairly standard in multi-unit franchise agreements, as it protects the franchisor's brand and ensures the developer has sufficient capital and a sound financial strategy to expand successfully. The frequency and depth of these consultations should be clarified during the due diligence process to fully understand the ongoing obligations.