Is a Boulder Designs franchisee prohibited from soliciting employees of other Boulder Designs franchisees after the termination or expiration of their franchise agreement?

According to Boulder Designs' 2025 Franchise Disclosure Document, a franchisee is generally not prohibited from soliciting or hiring employees of other Boulder Designs franchisees. However, if a franchisee hires an employee from another Boulder Designs franchise who attended the franchisor's training within 12 months of being hired, the franchisee must pay the other franchisee the then-current training fee of Boulder Designs, plus the other franchisee's actual costs for sending its employee to training. These costs include travel, lodging, wages, and food. This policy aims to compensate the original franchisee for their investment in training the employee.

This arrangement is fairly specific within the franchise agreement, outlining the financial responsibilities a franchisee undertakes when hiring trained personnel from within the Boulder Designs system. It encourages franchisees to invest in training their employees while also allowing for the movement of employees between franchises, provided there is appropriate compensation for the training investment. This can be seen as a way to balance the interests of different franchisees within the Boulder Designs network.

It is important for prospective Boulder Designs franchisees to understand these conditions, as they can impact hiring decisions and costs. Franchisees should factor in potential training fee liabilities when considering hiring employees from other franchises. This policy promotes a degree of fairness and investment protection within the Boulder Designs franchise system, ensuring that franchisees who invest in training their staff are not disadvantaged if those employees move to another franchise location shortly after training.