What is the length of the term for a Bambu Multi-Unit Development Agreement?

According to Bambu's 2025 Franchise Disclosure Document, the term length for a Multi-Unit Development Agreement (MUDA) extends until the earlier of two dates. The first possible end date is when the franchisee signs the Franchise Agreement for the final Bambu shop to be developed under the MUDA. The second possibility is the deadline outlined in the development schedule for signing that final Franchise Agreement.

This means the term of the MUDA is tied directly to the franchisee's progress in opening the agreed-upon number of Bambu locations. The agreement does not run for a fixed number of years like the standard Franchise Agreement. Instead, its duration is dependent on the franchisee adhering to the development schedule.

For a prospective multi-unit franchisee, this implies that failing to meet the development schedule could shorten the term of the MUDA. Conversely, if the franchisee opens all locations ahead of schedule, the MUDA concludes once the final franchise agreement is signed. This structure incentivizes timely development but also places the risk of early termination on the franchisee if deadlines are missed. It is important to carefully review the development schedule and assess one's ability to meet those milestones before entering into a Multi-Unit Development Agreement with Bambu.