What is the definition of 'Net Revenues' for a Bambu franchise?

According to Bambu's 2025 Franchise Disclosure Document, "Net Revenues" is defined as the total gross revenue a franchisee derives from operating their Bambu shop. This includes all sales for cash or credit, regardless of whether the revenue has actually been collected. The revenue includes sales of both merchandise and services.

However, the definition of "Net Revenues" for a Bambu franchise excludes certain items. Specifically, it does not include sales taxes, use taxes, gross receipts taxes, or other similar taxes that are added to the sales price and collected from customers. Additionally, any bona fide refunds, rebates, and discounts are subtracted from the gross revenue to arrive at the net revenue figure.

This definition is important because the royalty fee that Bambu franchisees pay is based on their net revenues. Franchisees need to understand exactly what constitutes net revenue to accurately calculate and pay their royalty fees. The FDD specifies that the royalty fee is based on the POS system sales records, so franchisees should ensure their POS system is properly configured to track and report net revenues according to this definition.