factual

What reports is a Bumble Roofing franchisee required to furnish to the franchisor?

Bumble_Roofing Franchise · 2025 FDD

Answer from 2025 FDD Document

During the Initial Term and any Interim Period, Franchisee shall furnish each month and/or year, as Franchisor prescribes, and upon Franchisor's request, to Franchisor an accounting of Franchisee's previous month's or year's Individual Advertising Investment expenditures on a form approved by Franchisor. Franchisor has the right, but not the obligation, once Franchisee commences operations, to collect up to the minimum required Individual Advertising Investment from Franchisee and administer it on marketing and advertising investments in Franchisee's Territory on Franchisee's behalf.

Source: Item 22 — CONTRACTS (FDD page 53)

What This Means (2025 FDD)

According to Bumble Roofing's 2025 Franchise Disclosure Document, franchisees must furnish an accounting of their Individual Advertising Investment expenditures to the franchisor. This accounting must be provided monthly or yearly, as prescribed by Bumble Roofing, and upon their request. The accounting must be on a form approved by Bumble Roofing.

During the first 12 months of operations, a Bumble Roofing franchisee must spend a minimum of $65,000 on promotional advertising within their territory. If a franchisee has additional contiguous territories, they must spend an additional $15,000 per territory. After the first year, the franchisee must spend the greater of (a) $65,000 plus $15,000 for each additional contiguous territory, or (b) 5% of the prior year's Gross Revenues.

Bumble Roofing retains the right, but not the obligation, to collect up to the minimum required Individual Advertising Investment from the franchisee and manage these funds for marketing and advertising investments within the franchisee's territory on their behalf. This provides Bumble Roofing with control over how advertising funds are spent, ensuring brand consistency and potentially more effective marketing campaigns. Franchisees should be aware of these advertising obligations and reporting requirements as they represent a significant ongoing expense.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.