Under what condition can Bumble Roofing terminate the Franchise Agreement related to financing?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
t 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 Franc
Source: Item 10 — FINANCING (FDD page 30)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, Bumble Roofing may terminate the Franchise Agreement if a franchisee fails to pay the remaining balance of the total initial franchise fees when purchasing multiple contiguous territories. This applies when Bumble Roofing, at its discretion, allows the franchisee to pay the total initial franchise fees in installments while the franchisee is in the process of obtaining funding from a financial institution.
Specifically, the franchisee must make an initial payment consisting of 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 must be paid in full upon the earlier of (i) 90 days from the execution of the Franchise Agreements or (ii) the date the franchisee receives the funding. This initial payment is non-refundable.
This condition is significant for prospective franchisees as it highlights the importance of securing financing promptly when purchasing multiple territories. Failure to meet the payment deadlines can result in the termination of the Franchise Agreements, and the initial payment is non-refundable, representing a financial risk for the franchisee. Franchisees should ensure they have a solid financing plan in place before entering into such an agreement with Bumble Roofing.