Does Bambu have the right to use financial information transmitted by a Bambu franchisee?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
ee shall provide to Bambu a copy of those records at the same time they are provided to the third party.
- 16.6 Financial Performance Data and Use. Franchisee shall submit to Bambu current financial statements and other reports as Bambu may request to evaluate or compile research and performance data on any operational aspect of its Bambū shoppe. Bambu may also pull this data from other reports and information provided by Franchisee hereunder. Franchisee authorizes Bambu to utilize this information to prepare a financial performance representation, to release this information as necessary to substantiate any financial performance representation made by Bambu, to share such information in summary form as Bambu deems necessary or desirable to share with other franchisees at any annual convention or other franchise business meetings, or in any other manner and with any other parties that Bambu deems appropriate without obtaining any further written consent of Franchisee. All financial information transmitted by Franchisee to Bambu pursuant to this Agreement shall be owned by Bambu as part of the
Business Records as defined in Section 15.9 above, with no duty on the part of Bambu to account to Franchisee with respect to the use and exploitation of the same.
17. TRANSFER
- 17.1 Transfer by Franchisee. The franchise granted herein is personal to Franchisee and, except as stated below, Franchisee shall not transfer, assign, sub-franchise or convey this Agreement or any interest hereunder nor purport to do so without Bambu's prior written consent which consent will not be unreasonably withheld. Franchisee acknowledges that prior to approving any transfer, Bambu may impose reasonable conditions on Franchisee and its purported transferee in addition to those conditions listed in Section 17.2. As used in this Agreement, the term "transfer" shall mean and include the voluntary, involuntary, direct or indirect assignment, sale, gift or other disposition by Franchisee (or any of its owners) of any interest in: (1) this Agreement; (2) the ownership of Franchisee; or (3) the shoppe or any assets of the shoppe.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, Bambu has extensive rights regarding the use of financial information submitted by its franchisees. Bambu can request current financial statements and other reports from franchisees to evaluate and compile research and performance data related to any operational aspect of the franchisee's Bambū shoppe.
Bambu is authorized to use this financial data to prepare financial performance representations, release the information to support these representations, and share the data in summary form with other franchisees during conventions or business meetings. Furthermore, Bambu can use the information in any manner and with any parties it deems appropriate, without needing further consent from the franchisee. All financial information transmitted by the franchisee becomes the property of Bambu as part of the Business Records.
Bambu also reserves the right to disclose data derived from financial and operational reports received from franchisees, without identifying the franchisee unless required by law. Franchisees are also obligated to provide copies of any financial records shared with landlords, lenders, or other third parties to Bambu simultaneously. This broad access and usage rights granted to Bambu over a franchisee's financial data is a significant consideration for prospective franchisees.