Does B Bops require franchisees to purchase real estate from them?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
Purchases from Required Sources. You are not required by the terms of the Franchise Agreement or otherwise to purchase or lease from the Company or any particular source designated by the Company any goods, services, supplies, fixtures, equipment, inventory or real estate necessary for the establishment or operation of the Franchise. The Company, however, reserves the right under the terms of the Franchise Agreement to require that inventory and other supplies necessary for operation of the Franchise (which may include any new items added to the Licensed System from time to time) be purchased through the Company or a designated source. The Company, however, has no current plans to require that any inventory or supplies be purchased through the Company or any designated source or to add any new items to the Licensed System which must be purchased through the Company or any designated source.
Purchase Specifications. To maintain uniformity in use of the Licensed System, you will be required by the Franchise Agreement to purchase all items necessary to establish and operate the Franchise in accordance with specifications established by the Company, and to purchase items bearing the "B-Bop's" name and logo (primarily consisting of employee uniforms and paper products) from suppliers approved in advance by the Company. Items to be purchased in accordance with specifications include the following:
- (a) Real estate. Your site must be approved by the Company as being suitable for a B-Bop's Restaurant.
- (b) All materials necessary for construction and decoration of the Franchise premises.
- (c) All equipment and fixtures necessary for operation of the Franchise. Specifications for equipment and fixtures relate primarily to the manufacturer and model number of such items.
- (b) All materials necessary for construction and decoration of the Franchise premises.
- (d) An electronic cash register system and related software.
- (e) All signage. Specifications for signage relate primarily to the size, color and manner of display of the "B-Bop's" name and logo.
- (f) All inventories of food and beverage items and ingredients, including the Company's proprietary hamburger seasoning. Specifications for inventory relate primarily to the type and brand of food and beverage items required to prepare the products offered as part of the standard B-Bop's Restaurant menu. The seasoning
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 21–23)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, franchisees are not required to purchase or lease real estate from B Bops or any source designated by them. However, B Bops does require that the site for the restaurant be approved by them as suitable. This means that while franchisees have the freedom to choose their real estate, B Bops retains control over the location's suitability for the franchise.
B Bops maintains specifications for real estate, construction materials, equipment, fixtures, signage, inventories of food and beverage items, ingredients, supplies, and other items necessary for the operation of the franchise. These specifications are based on the experience of B Bops's affiliate in operating ten B Bops Restaurants. Franchisees must purchase all items necessary to establish and operate the franchise in accordance with these specifications.
While franchisees can generally purchase items meeting B Bops's specifications from a source of their choosing, there are exceptions. Franchisees are required to purchase employee uniforms and items bearing the B Bops logo from suppliers approved in advance by B Bops. Currently, Carpenter Uniform Co. of Des Moines, Iowa, is the only approved supplier for employee uniforms, and Martin Brothers Distributing Co., Inc. of Cedar Falls, Iowa, is the only approved supplier of items bearing the B Bops logo. Anderson Erickson Dairy Co. of Des Moines, Iowa, is the only approved supplier of the company's shake mix. These suppliers are not affiliated with B Bops, and B Bops does not receive any revenue from franchisee purchases from these suppliers. B Bops estimates that 90% to 95% of total purchases associated with establishing the franchise and 90% to 95% of total purchases associated with the ongoing operation of the franchise must conform to B Bops's specifications.