When is the Initial Franchise Fee for Bumble Roofing payable?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
n this Item.
ITEM 5 INITIAL FEES
Franchise Agreement
Initial Franchise Fee. You must pay us an Initial Franchise Fee equal to $49,500, provided that your Territory is less than 100,000 single-family households ("Household Limit"). The Initial Franchise Fee is payable in full when you sign a Franchise Agreement, and except as described below, is not
refundable. Other than the Initial Franchise Fee, there are no other initial fees charged to you. If your Territory is larger than the Household Limit, we reserve the right to charge you an increased Initial Franchise Fee, which will be determined on a case-by-case basis.
Additional Household Fee. If we permit you to purchase additional geographic areas for a specific Territory so that the Territory exceeds 100,000 single-family households, then you must pay us an additional fee in an amount equal to the single-family households in your Territory in excess of 100,000 multiplied by $0.25 (the "Additional Household Fee"). We do not anticipate granting a single Territory that exceeds 149,999 single-family households. The Additional Household Fee is earned upon receipt and not refundable under any circumstances.
For example, if we permit you to purchase additional geographic areas for your Territory so that the individual Territory consists of a total of 120,000 single-family households, then you must pay us an Additional Household Fee equal to $5,000, for a total Initial Franchise Fee of $54,500 (which is equal to $49,500 + $5,000).
VetFran Discount. We are a member of the International Franchise Association ("IFA"), and support and participate in IFA's VetFran Program. If you are an honorably discharged veteran who meets our qualifications for new BUMBLE ROOFING® franchisees, we will discount the Initial Franchise Fee by 15%. The VetFran discount may be used only once for one Territory. The VetFran discount may applied toward the purchase of only one of the franchise concepts offered by us and our Affiliates.
Multi-Territory Discount. If you license multiple contiguous Territories from us at the same time (for which you are signing separate Franchise Agreements for each Territory), the Initial Franchise Fee that you must pay under the second and each additional Franchise Agreement will be as follows:
| # of Territories | Household Limit* | Cumulative Initial Franchise Fees | Individual Franchise Fee* | |
|---|---|---|---|---|
| 1 | 100,000 | $49,500 | $49,500 | |
| 2 | 200,000 | $94,000 | $44,500 | |
| 3 | 300,000 | $132,000 | $38,000 | |
| 4 | 400,000 | $167,000 | $35,000 | |
| 5 | 500,000 | $200,000 | $33,000 | |
| 6 | 600,000 | $230,000 | $30,000 | |
| 7 | 700,000 | $260,000 | $30,000 | |
| 8 | 800,000 | $290,000 | $30,000 | |
| 9 | 900,000 | $320,000 | $30,000 | |
| 10 | 1,000,000 | $350,000 | $30,000 | |
| *Additional Territor | v mav be purchased for $0 | 0.25/single-family household |
*Discounted franchise fee is only applicable when territories are purchased at the same time
In the event that you purchase multiple contiguous Territories at the same time, and you are in the process of obtaining funding from a financial institution for the purpose of paying the Total Initial Franchise Fees, then we may, in our discretion, permit you to pay the Total Initial Franchise Fees in installments and upon signing of the Franchise Agreements as follows: (a) payment of the full Initial Franchise Fee for Territory 1 plus a minimum of $5,000 for each additional Territory due at the time you sign the Franchise Agreements, and (b) the remainder to be paid for the additional Territories in full upon the earlier of (i) 90 days from the execution of the Franchise Agreements or (ii) the date you receive the funding. The initial payment is non-refundable. If you fail to pay the remaining balance of the Total Initial Franchise Fees, then we have the right to terminate your Franchise Agreements.
Source: Item 5 — INITIAL FEES (FDD pages 16–19)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, the initial franchise fee of $49,500 is due in full when you sign the Franchise Agreement, assuming your territory is less than 100,000 single-family households. If the territory exceeds this limit, Bumble Roofing reserves the right to charge an increased initial franchise fee, determined on a case-by-case basis.
For franchisees purchasing multiple contiguous territories and seeking financing, Bumble Roofing may allow installment payments. This involves paying the full initial franchise fee for the first territory, plus a minimum of $5,000 for each additional territory upon signing the Franchise Agreements. The remaining balance for the additional territories is due either 90 days from the execution of the Franchise Agreements or upon receiving funding, whichever comes first. It's important to note that the initial payment is non-refundable, and failure to pay the remaining balance could result in the termination of the Franchise Agreements.
Bumble Roofing also offers discounts under certain circumstances. Honorably discharged veterans who meet the qualifications for new franchisees receive a 15% discount on the initial franchise fee through the VetFran program. Employees of existing franchisees may also be eligible for a discount, potentially up to 50%, based on their years of service. These discounts, however, may be subject to repayment if the franchisee's ownership falls below 75% or if a transfer occurs within the first three years of the Franchise Agreement. The VetFran discount is the only discount that can be combined with any other discounts.
In limited circumstances, Bumble Roofing may offer to finance up to 50% of the initial franchise fee. Additionally, a refund of 50% of the initial franchise fee is possible if the franchisee does not obtain all necessary licenses and permits within six months of signing the Franchise Agreement, provided they have made commercially reasonable efforts to do so. Otherwise, the initial fees are generally non-refundable.