What is the assumed interest rate for vehicle financing for a Bumble Roofing franchise?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
ning program attendees.
- Equipment and Vehicles. We do not require that you purchase a vehicle if you already own a suitable one in good condition that meets our then-current standards and specifications and can be dedicated to the Roofing Business, however, you will be required to purchase the vehicle graphics and equipment package from us or our affiliates. If you do not already own a suitable vehicle, you must either lease or purchase one. The above estimates assume that you will lease or purchase a vehicle that meets our then-current standards and specifications, in addition to the required vehicle graphics and equipment to operate a single Franchise in a single territory. The high figure assumes you fund the entire purchase with cash at the highest end of the price range. The low figure assumes you finance with a 20% down payment as described below. As noted in Item 8 certain proprietary products, including vehicle wraps and graphics, certain services, equipment or tools required or developed in the future may be supplied solely by us. These estimates are based on a 20% down payment, with the remainder financed over a 60-month term, at an interest rate of 9% plus three months of payments. Your down payment, term and interest may vary. You must obtain the required initial equipment prior to commencing operations. The required initial equipment consists of one approved vehicle (currently Ford Maverick, Ford Ranger, or Ford F150) plus certain basic tools and equipment including but not limited to a ladder, roofing samples, pressure washer, drone, and ladder rack. If paid in full, your total required equipment cost will range from $46,423 to $79,434. Below, we have shown the total investment to make you aware of the overall costs. These numbers were calculated by using a range of $30,000 to $50,000 for the Ford Truck, plus $5,000 for the required graphics package, and up to $7,000 for various tools and equipment; the high amount includes an additional 12% buffer to account for extra expenses or inflation.
| Equipment Type | Price Range | Down Payment of 20% | Amount Financed at 9% | Monthly Financed Amount at 9% rate | Amount Financed 3 Months | Down Payment plus 3 months |
|---|---|---|---|---|---|---|
| low | low | low | low | low | low | |
| high | high | high | high | high | high | |
| One Ford Truck with Required | $46,423 | $9,285 | $37,138 | $771 | $2,313 | $11,598 |
| Graphics, Tools, and Equipment | $79,434 | $15,887 | $63,547 | $1,320 | $3,960 | $19,847 |
| Total Initial Required | $46,423 | $9,285 | $37,138 | $771 | $2,313 | $11,598 |
| Equipment & Vehicle | $79,434 | $15,887 | $63,547 | $ |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 24–27)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, if a franchisee chooses to finance a vehicle, the estimated initial investment includes an assumed interest rate of 9% for a 60-month term, in addition to a 20% down payment and three months of payments. The FDD notes that the franchisee's down payment, term, and interest rate may vary.
The estimated cost for a Ford truck, including the required graphics package and various tools and equipment, ranges from $46,423 to $79,434. These figures include a range of $30,000 to $50,000 for the Ford Truck, $5,000 for the required graphics package, and up to $7,000 for various tools and equipment. The high amount includes an additional 12% buffer to account for extra expenses or inflation.
The table provided in Item 7 of the FDD breaks down the costs associated with vehicle and equipment financing. For the low end of the range ($46,423), the down payment is estimated at $9,285, with $37,138 financed. This results in a monthly financed amount of $771 and a total of $2,313 for three months of payments. For the high end of the range ($79,434), the down payment is estimated at $15,887, with $63,547 financed. The monthly financed amount is $1,320, totaling $3,960 for three months of payments. Therefore, the down payment plus three months of payments ranges from $11,598 to $19,847.
Prospective franchisees should confirm current interest rates and financing terms with lenders, as these figures are estimates and subject to change based on creditworthiness and market conditions. Understanding these costs is crucial for budgeting and securing the necessary capital to start a Bumble Roofing franchise.