What is the Late Fee charged by Boulder Designs?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
| Name of Fee | Amount1 | Due Date | Remarks |
|---|---|---|---|
| Technology Fee5 | Currently $65 per month, but up to $175 per month. We reserve the right to increase each calendar year by an amount not to exceed 10% of the prior year's fee. | Monthly | For the development and use of online and System technology, including but not limited to internet, website, email, intranet/extranet, and communications technologies, some of which may be implemented in the future. |
| Recommended Local Advertising Spend | 10% of Annual Gross Revenues | As invoiced | We highly recommend you spend a minimum of 10% of annual gross revenues on local advertising. After you have begun operations, by the 31st of January of each year, you must furnish us an accurate accounting of your expenditures on local advertising for the preceding one-year period regardless of the amount spent. |
| Marketing Fee | Currently $0 per month | Monthly | We anticipate charging an amount no greater than $200 per month once implemented. We will provide you with prior notice before any increases in the monthly Marketing Fee are imposed. Once this fee is implemented the fee cap will increase each calendar year by an amount not to exceed 10% of the prior year's cap. |
| Late Fees | $100 per incident | 11th day of each month | Applies to all overdue Royalty Fees, and other amounts due to us. Also applies to any understatement in amounts due revealed by an audit. Late fees will continue to accrue each month when balances due from previous months carry over into the curr |
Source: Item 6 — OTHER FEES (FDD pages 11–16)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, a franchisee will be charged a late fee of $100 per incident. This fee applies to all overdue Royalty Fees and other amounts due to Boulder Designs.
Importantly, the late fee also applies to any understatement in amounts due that are revealed by an audit. The due date for these fees is the 11th day of each month.
The FDD specifies that late fees will continue to accrue each month when balances due from previous months carry over into the current month. This means that if a franchisee fails to pay the overdue amount, they will be charged an additional $100 each month until the balance is cleared. This could potentially lead to a significant accumulation of debt if not addressed promptly.
It is common practice in franchising to charge late fees to encourage timely payments. Franchisees should ensure they understand all payment deadlines and potential penalties for late payments to avoid incurring these fees.