For a Boulder Designs franchise, are there procedures for securing approval for alternative suppliers for items that must be purchased from Boulder Designs?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
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You must purchase certain supplies and equipment necessary for the Franchised Business from us. Currently we are the only approved supplier for a Concrete Mixer, Transport Trailer, truck signage, marketing and initial supplies, manuals, and other necessary equipment as well as optional equipment and supplies as set forth in Schedule 1 of the Key Terms Page (Exhibit 1 to the Franchise Agreement). We do not permit franchisees to contact with alternative suppliers for these supplies and equipment, and accordingly there are no procedures for securing approval for alternative suppliers for such items.
Except as described above, neither we nor any of our affiliates is currently an approved supplier. None of our officers owns an interest in any other privately-held supplier or a material interest in any publicly-held supplier.
Other Products, Supplies and Materials
You must purchase all products, goods, services, supplies, fixtures, materials or equipment and signs; and other materials and supplies used in the operation of the Franchised Business that meet the specifications and quality standards that we have established periodically and from suppliers and manufacturers that we have approved, as described in the Manual(s).
You must use only envelopes, business cards, letterhead, labels and documentation imprinted with the Marks and colors that we have prescribed and approved.
Specifications and Standards
We have the right to approve sources of services or products sold in Franchised Businesses. Any changes to or modifications of the System, the Manual, or any standard will be promptly communicated to you.
You must comply with our specifications for brands and types of equipment used in your Franchised Business. If you propose to purchase any items for use in your Franchised Business from an unapproved source for which we have identified, designated, or approved supplier(s), you must request our approval first.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 20–22)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, there are specific procedures for requesting approval of alternative suppliers for certain items, but not for all. For items and services where Boulder Designs has not identified approved suppliers, franchisees can purchase from any source as long as the items and services meet Boulder Designs' specifications. However, for certain supplies and equipment deemed essential for the Franchised Business, Boulder Designs is the only approved supplier.
Specifically, Boulder Designs requires franchisees to purchase a Concrete Mixer, Transport Trailer, truck signage, marketing and initial supplies, manuals, and other necessary equipment, as well as optional equipment and supplies, exclusively from them. The FDD explicitly states that Boulder Designs does not permit franchisees to contract with alternative suppliers for these specified items. Therefore, there are no procedures in place for franchisees to seek approval for alternative suppliers for these mandatory purchases.
For other items, if a franchisee proposes to purchase from an unapproved source when Boulder Designs has already identified or approved a supplier, the franchisee must request approval. Boulder Designs may then inspect the supplier's facilities and request information, specifications, and samples for testing. Boulder Designs will notify the franchisee of their decision within 90 days. Failure to receive approval within this timeframe is considered a denial. Upon written acceptance, the supplier will be added to the Approved Suppliers List, allowing the franchisee to purchase from them.
Boulder Designs applies general criteria when evaluating potential suppliers, including their ability to meet quality specifications, production and delivery capability, safety standards, integrity, and the legality of their products or company. This process ensures that franchisees have the opportunity to seek alternative suppliers for some items, while maintaining quality control and standardization for essential equipment and supplies.