What agreements must a Bumble Roofing franchisee execute to extend their rights to operate the Roofing Business?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
- (f) Franchisee executes a successor franchise agreement ("Successor Franchise Agreement") and all other agreements in the form then being used by Franchisor in granting new franchises, which may contain materially different terms and conditions than this Agreement, provided that Franchisee will pay Franchisor the Successor Franchise Fee (defined below) instead of the Initial Franchise Fee and the Successor Term will be no less than five years, as described above.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, a franchisee must execute a successor franchise agreement and all other agreements in the form then being used by Bumble Roofing in granting new franchises to extend their rights to operate the Roofing Business for a Successor Term. These agreements may contain materially different terms and conditions than the original agreement.
To qualify for a Successor Term, the franchisee must meet several requirements. They must not have any unresolved breaches of the agreement, nor have received notice of two or more breaches in the 12 months before the Initial Term expires. The franchisee must also provide written notice of their intent to extend the agreement within a specified timeframe, be current on all payments to Bumble Roofing and its affiliates, and meet the then-current qualifications for new or renewing franchisees.
In addition to executing the required agreements, the franchisee must pay a successor franchise fee. This fee is equal to the greater of $5,000 or 25% of the then-existing Initial Franchise Fee. The franchisee must also execute a general release of all claims against Bumble Roofing and its affiliates. Furthermore, they need to upgrade their computer system and vehicle to Bumble Roofing's current standards, provide proof of current licenses, insurance, and permits, and meet any other conditions that Bumble Roofing reasonably requires.
It's important for prospective franchisees to understand that the terms and conditions of the Successor Franchise Agreement may differ significantly from the original agreement. Bumble Roofing also reserves the right to modify the franchisee's territory at the time of renewal to conform to its then-current standards for protected territorial areas. Franchisees should carefully review all renewal requirements and agreements to fully understand their obligations and rights during the Successor Term.