What is the Bumper Man franchisee's obligation regarding check or credit verification services?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
(c) Credit Card and Other Methods of Payment. Franchisor may, at its option, designate in writing credit and debit card issuers or sponsors check or credit verification services, financial center services, and electronic funds transfer systems, and upon any such designation by Franchisor, Franchisee must maintain credit card relationships with such credit and debit card issuers or sponsors check or credit verification services, financial center services, and/or electronic funds transfer systems in connection with the operation of the Bumper Business and refrain from using any services or providers that Franchisor has not approved in writing or for which Franchisor has revoked its approval. Franchisor may modify its requirements and designate additional approval or required methods of payment and vendors for
Source: Item 23 — RECEIPTS (FDD pages 45–180)
What This Means (2025 FDD)
According to the 2025 Bumper Man Franchise Disclosure Document, Bumper Man has the option to designate specific credit and debit card issuers or sponsors, check or credit verification services, financial center services, and electronic funds transfer systems. If Bumper Man designates any of these, the franchisee is obligated to maintain relationships with the designated entities for their Bumper Business operations.
This means a franchisee must use the payment processing and verification services that Bumper Man approves. The franchisee cannot use other services unless Bumper Man provides written approval. Furthermore, Bumper Man can change these requirements, adding or removing approved payment methods and vendors as they see fit.
This requirement ensures consistency and potentially favorable rates or terms negotiated by Bumper Man on behalf of all franchisees. However, it also limits the franchisee's autonomy in choosing service providers and could potentially require them to switch providers if Bumper Man changes its designated services. Franchisees should inquire about the typical duration of these designations and the criteria Bumper Man uses to select and approve these services.