For a Bambu franchise, what is the duration of the non-compete restriction after the franchise term?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
The following modifications are made to the Disclosure Document only to the extent required by the Indiana Franchises Act, IND. CODE § 23-2-2.5, and the Indiana Deceptive Franchise Practices Act, IND. CODE § 23- 2-2.7:
- The following statement is added to Item 12:
Indiana law prohibits us from establishing a franchisor-owned outlet engaged in a substantially identical business within your exclusive territory, or if no exclusive territory is designated, that competes unfairly with you within a reasonable area.
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- The Summary column of Items 17(r) and (w) in the Chart in Item 17 are deleted and replaced by the following:
- 17(r): No competing business for 2 years within 10 miles of your shoppe.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to the 2025 Bambu Franchise Disclosure Document, the standard non-compete restriction after the franchise term is two years within a 10 mile radius of the shoppe for franchisees in Indiana.
Specifically, an addendum for Indiana franchisees modifies Item 17 in the FDD. Item 17(r) is modified to state that there is a restriction on operating a competing business for 2 years within 10 miles of your Bambu shoppe.
It is important to note that this specific restriction applies only to franchisees operating in Indiana due to state-specific franchise laws. Franchisees in other states should carefully review their Franchise Agreement and any applicable state laws to understand the terms of their post-term non-compete obligations. Prospective franchisees should clarify with Bambu what specific non-compete terms will apply to them based on their location.