Under what conditions is the Initial Franchise Fee for a Bumper Man franchise partially refundable?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
ion, claims arising under this Agreement and federal, state and local laws, rules and regulations.
4. FEES.
Franchisee will pay the fees described below and comply with the following provisions:
- (a) Initial Franchise Fee. Franchisee will pay to Franchisor an Initial Franchise Fee in the amount set forth in the Summary Page.
- (b) Initial Fee Refund. The
Source: Item 23 — RECEIPTS (FDD pages 45–180)
What This Means (2025 FDD)
According to Bumper Man's 2025 Franchise Disclosure Document, the initial franchise fee is partially refundable under specific conditions. If a franchisee fails to complete the initial training program to Bumper Man's satisfaction, a portion of the initial franchise fee may be refunded.
However, Bumper Man will retain a portion of the initial franchise fee to cover the costs and expenses incurred for providing the initial training and onboarding support. The amount retained by Bumper Man for these expenses will not exceed $15,000.
This means that while a franchisee may receive a partial refund if they do not successfully complete the initial training, they will not receive the entire initial franchise fee back, as Bumper Man will deduct up to $15,000 to cover their training and onboarding costs. This is a fairly standard practice in franchising, as it compensates the franchisor for the resources they've already invested in the franchisee.