What is the condition for Bumble Roofing to administer the Individual Advertising Investment on behalf of a franchisee?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
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You must invest a minimum of $65,000 ("Individual Advertising Investment") for marketing purposes in your Territory during the first 12 months of operations, plus an additional $15,000 for each additional contiguous Territory. The Individual Advertising Investment must be used by you for local advertising, to be selected and placed by you, in your Territory. These funds are reserved only for marketing, promotions and advertising of your Roofing Business. You may not advertise outside your Territory without our approval, which may be withheld in our sole discretion. You must submit proof of your Individual Advertising Investment expenditures to us in the frequency we prescribe (which may be monthly and/or annually), and upon our request. You must obtain our prior written approval of all of your marketing, promotional and advertising materials. We have the right, but not the obligation, to collect up to the minimum required Individual Advertising Investment from you and administer it on marketing and advertising investments in your Territory on your behalf. After the first year of operations, you must spend each year the greater of (a) $65,000 plus an additional $15,000 for each additional contiguous Territory, or (b) 5% o
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 30–37)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, Bumble Roofing has the right, but not the obligation, to collect the minimum required Individual Advertising Investment from a franchisee and administer it on marketing and advertising investments in the franchisee's territory on their behalf.
During the first 12 months of operations, a Bumble Roofing franchisee must invest a minimum of $65,000 for marketing purposes in their territory. For each additional contiguous territory, the franchisee must invest an additional $15,000. These funds are reserved only for marketing, promotions, and advertising of the roofing business.
Bumble Roofing requires franchisees to submit proof of their Individual Advertising Investment expenditures in the frequency they prescribe, which may be monthly and/or annually, and upon their request. Franchisees must also obtain Bumble Roofing's prior written approval of all of their marketing, promotional, and advertising materials. After the first year of operations, franchisees must spend each year the greater of (a) $65,000 plus an additional $15,000 for each additional contiguous Territory, or (b) 5% of the prior year's Gross Revenues.