Can Bumble Roofing change the Household Limit for territories?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
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ITEM 12 TERRITORY
Franchise Agreement
You will be granted a Territory in which to operate the Roofing Business under the Franchise Agreement. Your Territory is based on demographics and other characteristics including single-family household density, home values, average income and other characteristics of the surrounding area, natural boundaries, extent of competition and the amount and size of urban, suburban and rural areas. We will grant only one license to a franchisee for up to 100,000 single-family households in the designated geographical location ("Household Limit"). If you are granted a Territory in excess of the Household Limit, then you will need to pay us an Additional Household Fee, which equals $0.25 per single-family household in the Territory in excess of 100,000 single-family households. We will use the most recent population information available in the U.S. Census Data, or other statistical sources of our choosing to determine single-family household counts and densities. You will maintain rights to your Territory even though the count of single-family households in your Territory may increase or decrease. We have the exclusive right to determine the boundaries of your Territory in our sole discretion. We reserve the right to change, modify, or delete the Household Limit in our sole discretion. We will use our business judgment to determine whether the Household Limit makes good business sense for us and all of our franchisees. Enforcing the Household Limit may not be practical when considering limitations on geography, housing availability, natural physical boundaries and population and demographic shifts. In the event that utilizing a Household Limit does not make good business sense as determined b
Source: Item 12 — TERRITORY (FDD pages 37–39)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, Bumble Roofing retains the right to modify or eliminate the Household Limit for territories at its discretion. The initial Household Limit is up to 100,000 single-family households in a designated geographical location. If a territory exceeds this limit, the franchisee must pay an Additional Household Fee of $0.25 per household above the 100,000 limit. Bumble Roofing uses U.S. Census Data or other statistical sources to determine household counts. Franchisees maintain their territory rights even if household counts fluctuate.
Bumble Roofing states that it will use its business judgment to determine if the Household Limit is practical, considering factors like geography, housing availability, natural boundaries, and population shifts. If Bumble Roofing determines that the Household Limit does not make good business sense, it may eliminate it entirely.
This flexibility in adjusting or removing the Household Limit provides Bumble Roofing with the ability to adapt to changing market conditions and demographic shifts. However, it also introduces a degree of uncertainty for franchisees, as the potential size and density of their territories could be altered. Prospective franchisees should consider this when evaluating the long-term potential of their investment and discuss with Bumble Roofing how these changes could impact their business.
The FDD also states that Bumble Roofing can modify a franchisee's territory size when a Successor Franchise Agreement is executed, aligning it with the company's current standards for protected territories. This can occur if there have been changes in population or the number of qualified households, or if Bumble Roofing uses different standards for determining territory size. If the original territory encompasses more than one protected territory under the new standards, the franchisee may be required to execute multiple Successor Franchise Agreements to continue operating in the entire original territory.