Is there a prepayment penalty for Bumble Roofing's financing?

According to the 2025 Bumble Roofing Franchise Disclosure Document, Bumble Roofing does not offer direct or indirect financing to franchisees, except in limited circumstances for a portion of the initial franchise fee. Item 7 states, "Other than the Initial Franchise Fee, we will not provide any direct or indirect financing, as described more fully in Item 10." Therefore, the FDD does not specify any prepayment penalties related to Bumble Roofing's financing because Bumble Roofing generally does not provide financing.

However, Item 5 describes a scenario where Bumble Roofing may allow a franchisee to pay the total initial franchise fees in installments when purchasing multiple contiguous territories, particularly if the franchisee is seeking funding from a financial institution. In this case, the franchisee pays 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 when the franchisee receives funding, whichever comes first.

Since the FDD does not provide details on prepayment penalties, it is important for a prospective Bumble Roofing franchisee to ask the franchisor directly about any potential prepayment penalties if they receive financing from Bumble Roofing for the initial franchise fee or if installment payments are arranged. Additionally, if a franchisee obtains financing from a third-party lender, the terms and conditions of that financing, including any prepayment penalties, would be determined by the lender and should be carefully reviewed by the franchisee.