What are the conditions under which Bambu requires new equipment, upgrades, or remodeling as described in Item 6, and how do these relate to the restrictions on sources of products and services in Item 8?

According to Bambu's 2025 Franchise Disclosure Document, franchisees are obligated to renovate, refurbish, remodel, or replace the real and personal property and equipment used in the operation of their Bambū shoppe at their own expense. This is required when Bambu deems it reasonably necessary to comply with the image, standards of operation, and performance capability established by Bambu. If Bambu changes its image, logo, menu, or standards of operation, franchisees will be given a reasonable period to comply with such changes.

Bambu also requires franchisees to purchase certain personal property, signage, and equipment from Bambu's approved suppliers. This ties into Item 8, which states that to maintain the quality and uniformity of Bambū shoppe products and programs, franchisees must purchase all products, including ingredients, food items, shoppe supplies, and programs, from suppliers or distributors designated or approved by Bambu. Bambu reserves the right to designate a single approved supplier, including themselves or their affiliates, for any of these items.

These stipulations mean that a Bambu franchisee may be required to invest in upgrades or remodels to maintain brand standards, and they must source these upgrades, along with other supplies and equipment, from Bambu-approved suppliers. This gives Bambu control over the franchisee's costs and ensures uniformity across all locations, but it also limits the franchisee's ability to seek out potentially lower-cost alternatives. The franchisee is responsible for these costs, which can impact profitability. A prospective franchisee should inquire about the typical frequency and cost of required remodels and upgrades to fully understand the financial implications.