What is the maximum monthly Marketing Fee that Boulder Designs can charge?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
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Marketing Fee
We have the right to operate a marketing program that we will administer, for the general benefit of the Boulder Designs System. Currently the monthly Marketing Fee is $0; however, when implemented, we have the right to increase the Marketing Fee up to $200 per month. We will provide 30 days' prior notice before imposing any increases to the Marketing Fee. In addition, once imposed, the Marketing Fee cap will increase each calendar year by an amount not to exceed 10% of the prior year's cap. There were no Marketing Fees collected in our fiscal year en
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 24–32)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, the company currently does not charge a monthly marketing fee. However, Boulder Designs retains the right to implement a marketing program for the benefit of the Boulder Designs system. If implemented, the initial monthly marketing fee could be up to $200. Boulder Designs will provide franchisees with 30 days' notice before implementing any increases to the marketing fee.
Importantly, once a marketing fee is imposed, the maximum fee can increase each calendar year. The increase is capped at 10% of the prior year's maximum. For example, if the marketing fee is implemented at the maximum of $200 per month, the following year the maximum could increase by $20 (10% of $200) to a new maximum of $220 per month.
As a prospective franchisee, it's important to note that these marketing fees are not held in a separate fund and are not subject to audit. While Boulder Designs anticipates that all franchisees will contribute at the same rate, there is no contractual obligation for them or their affiliated businesses to do so. Franchisees should also be aware that there is no franchisee advertising council to provide guidance or suggestions regarding advertising and marketing matters.