Where can I find information about the initial franchise fee for a Bambu franchise?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
| Column 1 | Column 2 | Column 3 | Column 4 | Column 5 | |
|---|---|---|---|---|---|
| Type of Expenditure | Amount (Low) | Amount (High) | Method of Payment | When Due | To Whom Payment Is To Be Made |
| Development Fee (See Notes 1 and 2) | $19,000 | $19,000 | As incurred | Upon execution of the MUD Agreement | Us |
| Additional Amount | $20,000 | $20,000 | As Incurred | Upon execution | Us |
| Due for Initial | of the | ||||
| Franchise Fee | Franchise | ||||
| (See Notes 1 and 2) | Agreement | ||||
| Estimated Initial Investment Expenses Noted in Chart A Minus the Initial Franchise Fee noted in Chart A | $110,000 | $279,000 | See Chart A | See Chart A | Various – See Chart A |
| TOTAL | $149,000 | $318,000 | |||
| ESTIMATED | |||||
| INITIAL | |||||
| INVESTMENT | |||||
| (See Notes 3 and 4) |
Explanatory Notes
-
- This chart shows the estimated initial investment for the right to develop each additional Bambū shoppe associated with a MUD Agreement. Typically, a franchisee will commit to develop one or two additional shoppes, in addition to their initial Bambū shoppe, but you may acquire the right to open more than two additional Bambū shoppes under the MUD Agreement.
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- The Initial Franchise Fee for each Bambū shoppe to be opened under the MUD Agreement is $39,000. At the time you sign the MUD Agreement, you will pay a Development Fee of $19,000 times the number of additional Bambū shoppes to be developed and opened under the MUD Agreement after your first Bambū shoppe. We will apply $19,000 of the total amount of the Development Fee to the Initial Franchise Fee for each additional shoppe you open.
Source: Item 7 — (FDD pages 18–22)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, the initial franchise fee can be found in Item 7, specifically regarding the estimated initial investment for both a standard franchise agreement and a multi-unit development agreement.
For a standard franchise agreement, Item 7 includes a table outlining the estimated initial investment, with a line item dedicated to the initial franchise fee. For a multi-unit development agreement, the initial franchise fee for each additional Bambu location is $39,000. When signing a Multi-Unit Development (MUD) agreement, a Development Fee is required, calculated as $19,000 multiplied by the number of additional Bambu stores to be developed under the agreement. Of this Development Fee, $19,000 will be applied towards the Initial Franchise Fee for each additional store. The remaining balance of the Initial Franchise Fee for subsequent stores is due upon execution of the Franchise Agreement for that store, but must be paid no later than the deadline specified in the MUD Agreement.
Item 7 also includes explanatory notes that provide further details on the initial franchise fee and related costs. For example, it clarifies that training for each Bambu store is scheduled after the initial franchise fee is paid in full. Prospective franchisees should carefully review Item 7 and Item 5 to fully understand the initial franchise fee requirements and payment schedule for both single and multi-unit agreements.