What happens if a Boulder Designs franchisee does not successfully complete the initial training?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
nduct the initial training program either in person at its headquarters or at another designated location or locations, as Franchisor requires. Initial Training amount is fully earned and nonrefundable upon completion of the Franchisee's training. If Franchisee does not successfully complete the initial training, Franchisor reserves the right to deduct any amount from Franchisee's Initial Training Fee to cover Franchisor's expense and the cost of providing the initial training course in addition to Franchisee paying Franchisor the On-Site Training Cancellation Fee and the other rights of Franchisor pursuant to this agreement.
Initial Training Fee is allocated to Franchisor's cost and expense in providing such training to the Franchisee and its initial manager;
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, if a franchisee does not successfully complete the initial training program, Boulder Designs retains specific rights regarding the initial training fee and may also require the franchisee to pay an on-site training cancellation fee. Boulder Designs reserves the right to deduct from the franchisee's initial training fee an amount sufficient to cover its expenses and the cost of providing the initial training.
In addition to the potential deduction from the initial training fee, the franchisee may also be responsible for paying Boulder Designs an On-Site Training Cancellation Fee. The amount of this fee can vary depending on the type of scheduled training program, how far in advance the cancellation notice is provided, and the costs incurred by Boulder Designs in rescheduling travel arrangements.
Furthermore, before opening the franchised business, the franchisee must complete initial training to the satisfaction of Boulder Designs. The franchise agreement also states that the franchisor is not obligated to provide training to the franchisee's particular level of satisfaction, but as a function of the franchisor's experience, knowledge, and judgment.