From which purchases does Bambu reserve the right to derive revenue?

According to Bambu's 2025 Franchise Disclosure Document, Bambu reserves the right to derive revenue from a franchisee's purchases of food items, products, or programs. This applies whether the franchisee purchases these items directly from Bambu, from Bambu's affiliates, or from other designated or approved sources. This right exists regardless of whether a formal purchase or buying arrangement has been established.

This means that Bambu may receive income not only from the initial franchise fee and ongoing royalties but also from the supplies and products that franchisees are required to purchase to operate their Bambu shops. This revenue stream is in addition to any profit Bambu makes from selling these items directly to franchisees.

For a prospective franchisee, this highlights the importance of understanding the full cost of goods and supplies. It's crucial to evaluate whether the prices charged by Bambu or its approved suppliers are competitive and to consider how these costs will impact the overall profitability of the franchise. Franchisees should also inquire about the specific mechanisms through which Bambu derives revenue from these purchases, to fully understand the financial implications.