What is a Bumper Man franchisee required to send to the franchisor regarding customer invoices?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
As described in our invoice processing procedures set forth in the Manual, you will send us copies of all customer invoices for bumper repair services you perform for Bumper Man customers. We will bill the customers directly and collect amounts owed according to the invoices you provide. We are not obligated to independently verify your invoices for accuracy or completeness. The invoice submission software requires you to verify that each invoice you submit is true and accurate. We will bill the Bumper Man customers you service directly and collect amounts due as specified in each invoice. If the Bumper Man customer does not pay invoiced amounts when due, we may, at our sole option, attempt to collect such past due amounts, but you are ultimately responsible for ensuring your customers pay invoiced amounts for the services you provide.
We will disburse amounts collected for bumper repair services that you provide during the previous month on the 1st and 16th day of each month based upon the invoices you submit to us, less the Continuing Service Fee and any other amounts due to us under the Franchise Agreement. (Franchise Agreement – Section 4(e)).
If a Bumper Man customer does not meet our standards for creditworthiness, we may decline to process invoices for such customer. You will cooperate with us in collecting past-due amounts and facilitate bringing the Bumper Man customer's account current so that you may resume performing bumper repair services for such Bumper Man customer.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 22–27)
What This Means (2025 FDD)
According to the 2025 Bumper Man FDD, franchisees are required to send copies of all customer invoices for bumper repair services to Bumper Man. The FDD specifies that these invoices are for services performed for Bumper Man customers. The franchisee must use invoice submission software to verify that each invoice submitted is true and accurate. Bumper Man will then bill the customers directly and collect the amounts owed based on the invoices provided by the franchisee.
Bumper Man disburses payments to franchisees for services rendered in the previous month on the 1st and 16th of each month. These payments are based on the invoices submitted by the franchisee, less the Continuing Service Fee and any other amounts owed to Bumper Man under the Franchise Agreement. This arrangement places the responsibility on the franchisee to ensure the accuracy of their invoices, as their compensation directly depends on it.
While Bumper Man handles the billing and collection, the franchisee bears the ultimate responsibility for ensuring that customers pay the invoiced amounts. If a customer's creditworthiness is questionable, Bumper Man may decline to process invoices for that customer. In such cases, the franchisee is expected to cooperate in collecting past-due amounts and facilitating the customer's account to become current, so that the franchisee may resume providing services to that customer. This highlights the importance of the franchisee's role in customer relations and managing payment issues to maintain a steady revenue stream.