When is the initial franchise fee due for a Boulder Designs franchise?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of | Amount | Method of | When Due | To Whom Payment |
|---|---|---|---|---|
| Expenditure1 | Payment | is to be Made | ||
| Initial Franchise Fee2 | $63,000 | Lump sum | Upon signing franchise agreement | Us |
| Initial Training3 | $12,000 | Lump sum | Upon signing franchise agreement | Us |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT YOUR ESTIMATED INITIAL INVESTMENT SINGLE FRANCHISE (FDD pages 16–19)
What This Means (2025 FDD)
According to Boulder Designs's 2025 Franchise Disclosure Document, the initial franchise fee is due upon signing the franchise agreement. For a single Boulder Designs franchise, the initial franchise fee is $63,000. If a prospective franchisee purchases two Boulder Designs franchises simultaneously, the initial franchise fee is $110,000. This fee is paid to Boulder Designs in a lump sum.
This means that a significant portion of the initial investment is required upfront before the franchisee can begin operations. The initial training fee of $12,000 is also due upon signing the franchise agreement. Therefore, a prospective franchisee needs to have access to sufficient capital to cover these initial costs.
It is important to note that all payments to Boulder Designs are nonrefundable unless otherwise stated. This highlights the importance of carefully evaluating the opportunity and ensuring that the franchisee is fully committed before signing the franchise agreement and paying the initial fees. The FDD also mentions that upgrades and related costs for equipment must be paid before signing the franchise agreement.