How many breach notifications can a Bambu franchisee receive during the term before being denied a renewal?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
- b.
Has complied with all provisions of this Agreement during the current term, including the payment on a timely basis of all franchise fees, Royalty Fees, Marketing and Technology Fees, inventory purchases, and other fees due hereunder. "Compliance" shall mean, at a minimum, that Franchisee has not received any written notification from Bambu of breach hereunder more than 3 times during the term hereof.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, a franchisee's compliance with the franchise agreement is a factor in determining whether they can renew their franchise. Specifically, to be eligible for renewal, the franchisee must have complied with all provisions of the agreement during the current term.
Compliance, at a minimum, means that the Bambu franchisee has not received more than three written notifications of breach from Bambu during the entire term of the franchise agreement. Receiving more than three breach notifications during the term could jeopardize the franchisee's opportunity to renew their franchise agreement.
This condition highlights the importance of adhering to the terms of the franchise agreement to maintain eligibility for renewal. Prospective franchisees should understand all requirements outlined in the agreement and maintain good communication with Bambu to address any potential issues promptly.