factual

When does Bambu withdraw the monthly Royalty Fee?

Bambu Franchise · 2025 FDD

Answer from 2025 FDD Document

  • On or after the 1st day of each month, we will withdraw the monthly Royalty Fee for the current month.

On or before July 15th, we will reconcile the Royalty Fee due based on your actual Net Revenues generated between January 1st and June 30th minus the monthly payments made for those months, and we will withdraw any additional amounts due no later than five days after completion of the reconciliation.

On or before January 15th of the following year, we will reconcile the Royalty Fee due for the prior calendar year based on your actual Net Revenues generated by your Bambū shoppe in the prior calendar year minus all Royalty Fee amounts previously paid related to your prior year operations, and we will withdraw any additional amounts due no later than five days after completion of the reconciliation.

If you are due a credit after the January 15th reconciliation, we will apply the overpayments to future monthly Royalty Fees until the overpayment is fully applied.

Source: Item 6 — OTHER FEES (FDD pages 14–18)

What This Means (2025 FDD)

According to Bambu's 2025 Franchise Disclosure Document, the monthly royalty fee is withdrawn on or after the 1st day of each month for the current month. Bambu also reconciles the royalty fee twice per year.

On or before July 15th, Bambu reconciles the royalty fee based on the actual net revenues generated between January 1st and June 30th, subtracting the monthly payments already made. Any additional amounts due are withdrawn no later than five days after the reconciliation is complete.

Similarly, on or before January 15th of the following year, Bambu reconciles the royalty fee for the prior calendar year based on the actual net revenues generated, minus all royalty fee amounts previously paid. Any additional amounts due are withdrawn no later than five days after the reconciliation. If a franchisee is due a credit after the January 15th reconciliation, Bambu will apply the overpayments to future monthly royalty fees until the overpayment is fully applied.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.