What is the definition of the 'Continuing Service Fee' for a Bumper Man franchise?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
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- "Continuing Service Fee" means the monthly service fee Franchisee must pay to Franchisor.
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- "Gross Sales" means the total selling price of all Designated Services and all income of every other kind and nature related to the Bumper Business, whether for cash, cash equivalents, or credit, and regardless of collection in the case of credit. In the case of promotional discounts implemented by Franchisor and for which participation in the promotion is required of Franchisee, the amount actually paid by the customer after the discount for the Designated Services, rather than the original amount, will be considered for purposes of calculating Gross Sales. Gross Sales does not
include amounts collected by Franchisee for performance of the Designated Services for an individual consumer on a single vehicle at the request of such consumer.
Source: Item 6 — OTHER FEES (FDD pages 12–15)
What This Means (2025 FDD)
According to Bumper Man's 2025 Franchise Disclosure Document, the Continuing Service Fee is defined as the monthly service fee that the franchisee must pay to the franchisor. This fee is a recurring expense for Bumper Man franchisees.
Understanding the Continuing Service Fee is crucial for prospective franchisees as it directly impacts their ongoing operational costs and profitability. Franchisees should carefully consider this monthly fee when evaluating the financial viability of the Bumper Man franchise. It is important to note that payments are non-refundable unless otherwise specified.
In addition to the Continuing Service Fee, the FDD also defines 'Gross Sales' as the total selling price of all Designated Services and all income of every other kind and nature related to the Bumper Business, whether for cash, cash equivalents, or credit, and regardless of collection in the case of credit. Gross Sales does not include amounts collected by Franchisee for performance of the Designated Services for an individual consumer on a single vehicle at the request of such consumer. This definition is important because the Continuing Service Fee is often calculated as a percentage of Gross Sales.