How are fees and charges payable to Bambu?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
o us. All of these fees and charges are nonrefundable. All fees and charges are payable by ACH transfer. Except as described in this Item, all fees and charges are uniformly imposed on franchisees currently acquiring a franchise. We reserve the right to modify these fees and charges including to resolve disputes, to address current business and economic conditions and under other circumstances.
- On or after the 1st day of each month, we will withdraw the monthly Royalty Fee for the current month. On or before July 15th, we will reconcile the Royalty Fee due based on your actual Net Revenues generated between January 1st and June 30th minus the monthly payments made for those months, and we will withdraw any additional amounts due no later than five days after completion of the reconciliation. On or before January 15th of the following year, we will reconcile the Royalty Fee due for the prior calendar year based on your actual Net Revenues generated by your Bambū shoppe in the prior calendar year minus all Royalty Fee amounts previously paid related to your prior year operations, and we will withdraw any additional amounts due no later than five days after completion of the reconciliation. If you are due a credit after the January 15th reconciliation, we will apply the overpayments to future monthly Royalty Fees until the overpayment is fully applied. If you close your Bambū shoppe during a relocation you must pay us the $800 per month Royalty Fee during the closure period. In that event, for purposes of reconciling the Royalty Fees, you shall be deemed to have generated during the closure period Net Revenues on a monthly basis in an amount equal to $800 divided by 3.5 percent (prorated for any partial months)
Source: Item 6 — OTHER FEES (FDD pages 14–18)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, all fees and charges payable to Bambu must be paid via ACH transfer. This means franchisees will need to authorize Bambu to directly debit their bank account for any fees owed. This is a fairly standard practice in franchising, as it ensures timely and consistent payments to the franchisor.
For the monthly Royalty Fee, Bambu will withdraw the fee on the 1st day of each month. Additionally, there will be a reconciliation of the Royalty Fee. On or before July 15th, Bambu will reconcile the Royalty Fee based on the actual Net Revenues generated between January 1st and June 30th, minus the monthly payments already made. Any additional amounts due will be withdrawn no later than five days after the reconciliation. A similar reconciliation process occurs on or before January 15th of the following year for the prior calendar year's Net Revenues. If a franchisee is due a credit after the January 15th reconciliation, Bambu will apply the overpayments to future monthly Royalty Fees until the credit is fully used.
It's important to note that all fees and charges are nonrefundable, and Bambu retains the right to modify these fees and charges to resolve disputes, address business and economic conditions, or under other circumstances. Franchisees should be aware of these terms and factor them into their financial planning. The Royalty Fee is based on the POS System sales records. Franchisees must also purchase certain products from approved suppliers and may be required to purchase specific equipment that Bambu has tested and approved.