What is excluded from the appraised value when determining the purchase price of a Bumble Roofing franchise?

According to Bumble Roofing's 2025 Franchise Disclosure Document, when determining the purchase price of a franchise, the appraised value will exclude any consideration for goodwill or the value of the business as an ongoing concern that is created by the Bumble Roofing trademarks and the business system licensed to the franchisee.

In simpler terms, if Bumble Roofing decides to purchase a franchisee's business, the appraisal will only consider the tangible assets and not the intangible value associated with the brand's reputation or the established business operations. This means that the franchisee will not be compensated for the brand recognition, customer loyalty, or the established systems that contribute to the business's success.

This exclusion could significantly impact the purchase price a franchisee receives, as goodwill and going concern value often represent a substantial portion of a business's overall worth. Franchisees should be aware that the appraisal will focus solely on the hard assets, potentially leading to a lower valuation than if the intangible assets were included. This is a common practice in franchising where the brand and system remain the property of the franchisor.