Is Bambu obligated to reimburse franchisees for costs associated with participating in promotions?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee acknowledges that Bambu has no obligation to reimburse Franchisee for the costs associated with participating in these promotions.
From time to time a promotion may not benefit all franchisees in the Bambū system; and if the promotion is not offered in the region, or another unknown hardship arises, Bambu may, at Bambu's option, exempt Franchisee and/or other franchisees on a case-by-case basis.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, franchisees are generally responsible for covering the costs associated with participating in promotional programs. Bambu is not obligated to reimburse franchisees for these expenses. Franchisees are required to participate in various promotional campaigns, including loyalty programs, special offers, and social media initiatives, as directed by Bambu.
Franchisees must honor coupons, loyalty program points, discounts, and other authorized promotional offers at their own expense, unless Bambu specifies otherwise in writing. Bambu implements promotions to increase customer awareness and build business on different levels, and franchisee participation is considered essential for the success of these promotions.
However, Bambu may choose to exempt a franchisee from participating in a promotion if it is not offered in their region or if another hardship arises. This exemption is granted on a case-by-case basis and at Bambu's discretion. This means that while franchisees are generally expected to bear the costs of promotions, there may be circumstances where they are not required to participate, offering some flexibility.
Prospective franchisees should carefully consider the potential costs of participating in these promotions and factor them into their financial planning. It would be prudent to discuss with Bambu what typical promotional costs are and under what specific circumstances exemptions might be granted.