What are the Individual Advertising Investment obligations for a Bumble Roofing franchise?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
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ITEM 6 OTHER FEES
| Type of Fee | A | mount | Due Date | Remarks | |
|---|---|---|---|---|---|
| You must pay us a calendar year-to-da to: Year-to-Date Gross Revenue | Royalty Percentage | Payable to us. See Note 1 for a chart of Minimum Royalties and Note 2 for the definition of Gross Revenues. | |||
| $0 to $2,000,000 | 6.5% | Payable monthly on | If applicable, and at our discretion, the Minimum Royalty may be abated during | ||
| Royalty Fee | $2,000,001 to $5,000,000 $5,000,001 and above Beginning 7-months after opening, the Royalty payable will be equal to the greater of: (a) the amount described in the table above based on year-to-date Gross Revenue; or (b) the A minimum of $65 | 5.5% 4.5% | or before the 5 th day of each month to install roofing. | certain months of the year due to seasonal factors in your Territory. We will determine if seasonal factors apply to your Territory in our sole discretion. Seasonal factors apply to winter weather states in which adverse weather conditions do not allow franchisees | |
| Individual | months of operation $15,000 for each act Territory. | ns, plus an addit | ional | Payable to third-party suppliers or to us for payment directly to National Account | |
| Advertising | After the first year of operations, you must spend each year the greater of (a) $65,000 plus an additional $15,000 for each | As incurred | vendors where required. All advertising must be approved by us prior to publications or use. See Note 3. | ||
| Investment | additional contiguous Territory, or (b) 5% of the prior year's Gross Revenues. | ||||
| Opening Advertising | Minimum of $20,000 over the six-month period commencing as of the month prior to opening and continuing for the five months after opening. | As incurred | Payable to third-party suppliers or us. See Note 4. | ||
| (Initial six months) | |||||
| National Branding & Marketing Fee | Currently 1% of Gr month. Maximum Revenues per mont | of 2% of Gross | er | Same as Royalty Fee | See Note 5. |
Source: Item 6 — OTHER FEES (FDD pages 19–24)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, franchisees have ongoing and opening advertising investment obligations. Throughout the term of the Franchise Agreement, franchisees must spend on individual advertising in accordance with Bumble Roofing's standards and specifications; there is no maximum amount required. After the first year of operations, franchisees must spend annually 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. Franchisees must submit monthly or annual reports to Bumble Roofing, reflecting their advertising expenditures.
For opening advertising, Bumble Roofing requires a minimum investment of $20,000 over the six-month period commencing as of the month prior to opening and continuing for the five months after opening. These funds must be spent on advertising which Bumble Roofing approves. Franchisees must use the marketing materials Bumble Roofing provides in camera-ready form. If a franchisee wishes to develop their own advertising materials, they must have them approved by Bumble Roofing before use.
Bumble Roofing does not provide for placement of local advertising on behalf of the franchisee, making the franchisee responsible for local advertising placement. Franchisees may not use any advertising or marketing materials, including press releases, unless they have been approved in advance in writing by Bumble Roofing, which approval may be withheld at their discretion. Bumble Roofing will respond to requests for approval within 14 business days; if they do not respond within that timeframe, the materials are deemed disapproved. Bumble Roofing will designate the allocation and direct how franchisees should spend their initial marketing spend, and these amounts are in addition to the Ongoing Marketing obligations.