Can Boulder Designs change the designated or 'Approved Supplier' for supplies and equipment?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall purchase certain supplies and equipment necessary for the Franchised Business from the Franchisor. Franchisor retains the right to add, delete or change such requirement regarding the designated or Approved supplier for such supplies and equipment. Currently the Franchisor shall be the sole supplier for such equipment and initial supplies, and other optional equipment and supplies as set forth in Schedule 1 of the Key Terms Page (Exhibit 1 to the Franchise Agreement). Franchisee shall not contract with alternative suppliers for these supplies and equipment, and accordingly there are no procedures for securing approval for alternative suppliers for such items.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, Boulder Designs retains the right to modify the requirements regarding designated or approved suppliers for supplies and equipment. Boulder Designs is currently the sole supplier for certain equipment and initial supplies, as detailed in Schedule 1 of the Key Terms Page (Exhibit 1 to the Franchise Agreement).
Boulder Designs franchisees are obligated to purchase specific supplies and equipment directly from Boulder Designs. Franchisees are prohibited from contracting with alternative suppliers for these designated items, and there are no established procedures for franchisees to seek approval for alternative suppliers. This requirement ensures uniformity and quality control within the Boulder Designs franchise system.
This policy has significant implications for prospective franchisees. It limits their ability to negotiate prices or source supplies from other vendors, potentially affecting their operating costs and profit margins. While using approved suppliers can ensure consistent quality, franchisees should carefully evaluate the pricing and terms offered by Boulder Designs for these mandatory supplies and equipment. Franchisees should also be aware that Boulder Designs may profit from these required purchases.