How long after receiving notice of overdue payments does a Bambu franchisee have to make the payments before the franchise agreement can be terminated?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
If Franchisee fails to pay any fees, inventory or supply payments, or any other amounts due Bambu or its affiliates, including any amounts which may be due as a result of any subleases or lease assignments between Franchisee and Bambu, within five days after notice to Franchisee that such fees or amounts are overdue.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, a franchisee has a limited time to rectify overdue payments before facing termination of their franchise agreement. Specifically, if a Bambu franchisee fails to pay any fees, inventory or supply payments, or any other amounts due to Bambu or its affiliates, they have only five days after receiving notice that such payments are overdue to make the required payments.
This five-day cure period is a critical aspect of the franchise agreement. Missing this deadline can trigger the termination of the agreement, which means the franchisee could lose their rights to operate the Bambu franchise. This condition underscores the importance of maintaining diligent financial management and ensuring timely payments to Bambu.
It's important to note that this termination condition applies to 'any fees, inventory or supply payments, or any other amounts due.' This broad language suggests that any financial obligation to Bambu, regardless of its nature, falls under this strict payment timeline. Prospective franchisees should be aware of this short cure period and factor it into their financial planning and operational procedures to avoid potential default and termination of their Bambu franchise agreement.