What documentation is required when a Bambu franchisee provides notice of a proposed franchise transfer?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
- d.
Provision by Franchisee of written notice to Bambu 30 days prior to the proposed effective date of the transfer, such notice to contain information reasonably detailed to enable Bambu to evaluate the terms and conditions of the proposed transfer, an which at a minimum includes a written offer from the proposed transferee.
- e.
The proposed transferee shall have provided information to Bambu sufficient for Bambu to assess the proposed transferee's business experience, aptitude and financial qualification, and Bambu shall have ascertained that the proposed transferee meets such qualifications.
- f.
Execution by Franchisee of a general release, in a form satisfactory to Bambu, of any and all claims against Bambu, its affiliates and their respective officers, directors, members, managers, employees and agents.
- g.
Payment by Franchisee or the proposed transferee of a transfer fee ("Transfer Fee") in the amount set forth in Attachment I.
The Transfer Fee covers the training for up to three representatives of transferee.
Bambu reserves the right to charge Franchisee its then current rate for training any additional representatives of transferee.
The Transfer Fee is payable when Franchisee presents the written offer from the proposed transferee to Bambu.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, a franchisee must provide written notice to Bambu 30 days before the proposed effective date of the transfer. This notice must contain reasonably detailed information to allow Bambu to evaluate the terms and conditions of the proposed transfer. At a minimum, the notice must include a written offer from the proposed transferee.
In addition to the written notice, the proposed transferee must provide information sufficient for Bambu to assess their business experience, aptitude, and financial qualifications. Bambu must ascertain that the proposed transferee meets these qualifications. The franchisee must also execute a general release, in a form satisfactory to Bambu, of any and all claims against Bambu and its affiliates, including their officers, directors, members, managers, employees, and agents.
Furthermore, the franchisee or the proposed transferee must pay a transfer fee, the amount of which is detailed in Attachment I of the Franchise Disclosure Document. This fee covers training for up to three representatives of the transferee, with Bambu reserving the right to charge its current rate for training any additional representatives. The transfer fee is payable when the franchisee presents the written offer from the proposed transferee to Bambu. These requirements ensure that Bambu maintains control over who enters its franchise system and that the new franchisee is adequately prepared.