What must a Bambu franchisee obtain before executing any letter of intent or lease for the Franchised Location?

According to Bambu's 2025 Franchise Disclosure Document, a franchisee must obtain Bambu's prior written approval before executing any letter of intent or lease for the Franchised Location. Bambu will assist the franchisee with the negotiation and review of the letter of intent for the lease, and the lease, for the Franchised Location, as Bambu determines appropriate in its discretion. This assistance includes suggestions and recommendations concerning the terms and conditions of the letter of intent and lease provisions. However, it remains the franchisee's responsibility to negotiate and accept the final terms of the lease and related documents.

This requirement ensures that the location and lease terms align with Bambu's standards and protect the brand's interests. The franchisee must also ensure that the lease contains a use clause approved by Bambu and signage criteria that provides for adequate branding of the Bambu shoppe. This is crucial for maintaining uniformity and brand recognition across all franchise locations.

While Bambu offers assistance and recommendations, the FDD clarifies that Bambu's involvement in the lease negotiation or approval is primarily for Bambu's benefit and does not constitute a recommendation, endorsement, or guarantee of the location's suitability or profitability. Therefore, prospective franchisees are advised to take all necessary steps to ascertain whether the location and lease are acceptable to them, including engaging their own legal counsel to review the letter of intent and lease.

After the lease is signed, the franchisee must provide a copy of the signed lease to Bambu within 15 days of its execution and notify Bambu when they take possession of the Franchised Location. This process ensures that Bambu remains informed and can provide further guidance as the franchisee proceeds with the construction and opening of the Bambu shoppe.