Does Bambu need to approve the LOI and lease prior to execution?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
We will assist you in the negotiation and preparation of a letter of intent ("LOI") with the landlord for your Bambū shoppe. We will provide you a general workflow design or layout for the Franchised Location, typically after you have entered into the LOI for your Franchised Location and before you have signed the lease, provided that you have entered into the Franchise Agreement prior to signing the lease. We will also assist you in the review and negotiations of your lease, by providing you with recommendations and suggestions of lease terms. We must approve your LOI and lease prior to execution. We will provide you with additional consultation in relation to your final shoppe layout, equipment layout and mechanical drawings and other construction documents as we deem appropriate, and we must approve those documents before you submit them for permitting. Our involvement in the negotiation and approval of the lease and in our assistance with the construction documents for the Franchised Location does not constitute a recommendation, endorsement or guarantee by us of the suitability or profitability of the location or the lease, and you will need to take any additional steps necessary to ascertain whether such location and lease are acceptable to you.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 28–38)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, Bambu requires approval of both the Letter of Intent (LOI) and the lease agreement before they are executed. Bambu will assist franchisees in the negotiation and preparation of the LOI with the landlord. They will also provide a general workflow design or layout for the Franchised Location after the LOI is entered into and before the lease is signed, assuming the Franchise Agreement has been signed before the lease.
Bambu also assists in reviewing and negotiating the lease by offering recommendations and suggestions regarding lease terms. However, the franchisee is ultimately responsible for determining if the location and lease are acceptable.
This requirement ensures that the location and lease terms align with Bambu's standards and business model. However, the FDD makes it clear that Bambu's involvement in the negotiation and approval of the lease, and assistance with construction documents, does not guarantee the suitability or profitability of the location or the lease.