What is the interest rate used to calculate the monthly financed amount for a Bumble Roofing franchise?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
be supplied solely by us. These estimates are based on a 20% down payment, with the remainder financed over a 60-month term, at an interest rate of 9% plus three months of payments. Your down payment, term and interest may vary. You must obtain the required initial equipment prior to commencing operations. The required initial equipment consists of one approved vehicle (currently Ford Maverick, Ford Ranger, or Ford F150) plus certain basic tools and equipment including but not limited to a ladder, roofing samples, pressure washer, drone, and ladder rack. If paid in full, your total required equipment cost will range from $46,423 to $79,434. Below, we have shown the total investment to make you aware of the overall costs. These numbers were calculated by using a range of $30,000 to $50,000 for the Ford Truck, plus $5,000 for the required graphics package, and up to $7,000 for various tools and equipment; the high amount includes an additional 12% buffer to account for extra expenses or inflation.
| Equipment Type | Price Range | Down Payment of 20% | Amount Financed at 9% | Monthly Financed Amount at 9% rate | Amount Financed 3 Months | Down Payment plus 3 months |
|---|---|---|---|---|---|---|
| low | low | low | low | low | low | |
| high | high | high | high | high | high | |
| One Ford Truck with Required | $46,423 | $9,285 | $37,138 | $771 | $2,313 | $11,598 |
| Graphics, Tools, and Equipment | $79,434 | $15,887 | $63,547 | $1,320 | $3,960 | $19,847 |
| Total Initial Required | $46,423 | $9,285 | $37,138 | $771 | $2,313 | $11,598 |
| Equipment & Vehicle | $79,434 | $15,887 | $63,547 | $ |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 24–27)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, the interest rate used to calculate the monthly financed amount for vehicle and equipment purchases is 9%. This rate is applied to the financed amount after a 20% down payment, with the remainder financed over a 60-month term. The FDD also indicates that this interest rate, down payment percentage, and financing term may vary depending on the franchisee's specific circumstances.
To illustrate, the document provides a breakdown of costs associated with a Ford truck, graphics, tools, and equipment. For the lower-end estimate of $46,423, a 20% down payment would be $9,285, leaving $37,138 to be financed. At a 9% interest rate, the estimated monthly payment would be $771. For the higher-end estimate of $79,434, the down payment would be $15,887, the financed amount $63,547, and the monthly payment $1,320. These calculations also include an additional three months of payments.
Prospective Bumble Roofing franchisees should consider that these figures are estimates and that actual financing terms will depend on their creditworthiness and the lending policies of financial institutions. It is advisable to consult with financial advisors to explore all available financing options and to understand the potential impact of varying interest rates and terms on their monthly payments and overall investment.