Who is responsible for paying taxes related to the Bumper Man business?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
(as of the Effective Date, $500). Franchisee will use the digital version of the Manual in its current form available to Franchisee on the Intranet as instructed. Franchisee will treat the Manual as confidential and maintain the information in the Manual as Confidential Information. Franchisee will return all hard copies of the Manual to Franchisor
immediately on expiration or termination of this Agreement.
(b) Compliance with Applicable Law; Operating Permits. Franchisee will at all times operate the Bumper Business in full compliance with Applicable Law. Franchisee must notify Franchisor in writing immediately upon the commencement of any legal action, suit, or proceeding, any administrative action, or the issuance of an order of any court, agency, or other governmental instrumentality, which may adversely affect the operation of the Bumper Business or Franchisee's financial condition; or the delivery of any notice of violation or alleged violation including arrest of Franchisee (if Franchisee is an individual) or Franchisee's Operating Principal (if Franchisee is an Entity) of any Applicable Law, including those relating to health or safety. Franchisee will refrain from any business or advertising practice which may be injurious to Franchisor's business, to the business of other Bumper Man businesses, or to the goodwill associated with the Marks, provided, however, that nothing in this Section 9(b) or elsewhere in this Agreement restricts or is intended to restrict Franchisee's communications with any state or federal law regulator or enforcement authority about potential violations of law. Franchisee will be solely responsible for procuring and continuously maintaining thereafter all approvals, permits, and/or licenses required for the operation of the Business.
(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
processing such payment.
Source: Item 23 — RECEIPTS (FDD pages 45–180)
What This Means (2025 FDD)
According to the 2025 Bumper Man Franchise Disclosure Document, the franchisee is responsible for operating the Bumper Business in compliance with all applicable laws. This includes being responsible for procuring and maintaining all required approvals, permits, and licenses.
If Bumper Man approves the franchisee's use of personnel, the franchisee acknowledges that they are an independent business. As such, the franchisee is responsible for the control and management of the day-to-day operations, including hiring, discharging, setting, and paying wages and benefits to their personnel. Bumper Man has no responsibility or liability in these matters.
While the FDD excerpt makes it clear that the franchisee is responsible for complying with all applicable laws and managing their personnel, it does not specifically state who is responsible for paying taxes related to the Bumper Man business. A prospective franchisee should seek clarification from Bumper Man regarding tax responsibilities.