factual

How long does Bambu have to notify a franchisee of its decision regarding a proposed non-approved supplier?

Bambu Franchise · 2025 FDD

Answer from 2025 FDD Document

y 15 percent to 20 percent of the total cost of operating a Bambū shoppe after that time

If you want to purchase or use any inventory, products, equipment, supplies, materials, services or programs we have not approved, or purchase or lease these items from a supplier who we have not approved, you must notify us in writing and obtain our approval in advance. The notification should include sufficient specifications, photographs, drawings and other information and samples to determine whether those items or those suppliers meet our specifications. You must pay us a fee of $150 per hour per person in our testing and investigation, and reimburse us for the actual cost of any testing and the reasonable cost of investigation, to determine whether those items or suppliers meet our specifications. We will notify you of our decision within 30 days of receipt of your written request. We may reject a proposed supplier on any basis in our discretion, including for purposes of protecting our trade secrets from third parties or on the basis of the terms offered to us or our franchisees from the proposed supplier compared to any current designated or approved supplier. We do not have written criteria for supplier approval, and therefore such criteria are not provided to our franchisees. If we establish written criteria, we reserve the right to change any criteria regarding any approved supplier or any inventory, equipment, supplies, or services used, offered for sale or leased by franchise

Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 22–26)

What This Means (2025 FDD)

According to Bambu's 2025 Franchise Disclosure Document, if a franchisee wants to purchase or use any inventory, products, equipment, supplies, materials, services or programs that Bambu has not approved, or purchase or lease these items from a supplier who Bambu has not approved, the franchisee must notify Bambu in writing and obtain their approval in advance. The notification should include sufficient specifications, photographs, drawings and other information and samples to determine whether those items or those suppliers meet Bambu's specifications. The franchisee must pay Bambu a fee of $150 per hour per person for testing and investigation, and reimburse Bambu for the actual cost of any testing and the reasonable cost of investigation, to determine whether those items or suppliers meet their specifications.

Bambu will notify the franchisee of its decision within 30 days of receipt of the franchisee's written request. Bambu may reject a proposed supplier on any basis in its discretion, including for purposes of protecting their trade secrets from third parties or on the basis of the terms offered to Bambu or its franchisees from the proposed supplier compared to any current designated or approved supplier. Bambu does not have written criteria for supplier approval, and therefore such criteria are not provided to its franchisees.

If Bambu establishes written criteria, they reserve the right to change any criteria regarding any approved supplier or any inventory, equipment, supplies, or services used, offered for sale or leased by franchisees and the franchisee must comply with such changes within 10 days following written notice from Bambu. This means a Bambu franchisee needs to be prepared to potentially switch suppliers or products on short notice if Bambu changes its criteria.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.