Under what circumstances is the Bambu relocation fee refundable to the franchisee after it is paid?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee acknowledges that Bambu has earned the relocation fee upon receipt thereof, and that the fee is under no circumstances refundable to Franchisee after it is paid, unless otherwise specifically set forth in this Agreement.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, the relocation fee is generally non-refundable once paid. The FDD states that Bambu considers the relocation fee earned upon receipt. However, there is a conditional exception: the relocation fee may be refundable if specifically set forth in the Franchise Agreement.
This means that a franchisee should carefully review their Franchise Agreement for any clauses that might stipulate conditions under which a relocation fee could be refunded. It is crucial to understand these terms before paying the fee, as the standard policy is that no refunds are given.
Prospective Bambu franchisees should seek clarification from Bambu regarding specific scenarios where a relocation fee might be refundable. This could include instances where the relocation is not completed due to unforeseen circumstances or if Bambu does not approve the new location after the fee has been paid. Understanding these potential exceptions is vital for financial planning and risk assessment.