factual

What is the minimum population size for a Boulder Designs territory?

Boulder_Designs Franchise · 2025 FDD

Answer from 2025 FDD Document

You will not receive an exclusive territory. You may face competition from other franchisees, from businesses that we own, or from other channels of distribution or competitive brands that we control. You will operate the Franchised Business from an approved location within a defined geographic area (the "Territory"), which will have a minimum population of 225,000. The geographic area is typically defined by county. You may relocate the physical location of business to another location within the Territory with our prior written consent.

We currently offer two types of territories: a "Separate Territory" or a "Shared Territory." If you acquire franchise rights for a Separate Territory, then so long as you are in compliance with your obligations under the Franchise Agreement, we will not grant anyone but you the right to operate a Boulder Designs Business within your territory, subject to our reserved rights below. If you acquire franchise rights for a Shared Territory, then we may grant two or more franchisees the right to operate Boulder Designs Businesses within a larger Territory, such as a metroplex or designated marketing area. Boulder Designs reserves the right to reduce Shared Territory rights proportional to the population of the larger Territory.

Source: Item 12 — TERRITORY (FDD pages 32–34)

What This Means (2025 FDD)

According to Boulder Designs' 2025 Franchise Disclosure Document, the minimum population size for a territory is 225,000. The FDD specifies that a franchisee will operate their Boulder Designs business within a defined geographic area, referred to as the "Territory," which must have at least this minimum population. The territory is typically defined by county.

Boulder Designs offers two types of territories: Separate and Shared. If a franchisee acquires a Separate Territory, Boulder Designs will not grant anyone else the right to operate a Boulder Designs business within that territory, provided the franchisee is compliant with the Franchise Agreement. However, for a Shared Territory, Boulder Designs may grant multiple franchisees the right to operate within a larger territory, such as a metroplex. In the case of a Shared Territory, Boulder Designs reserves the right to reduce the territory rights proportionally to the population of the larger Territory.

It's important to note that even with a Separate Territory, Boulder Designs and its affiliates retain the right to operate similar or competing businesses under a different trademark within the franchisee's territory. They also reserve the right to distribute products and services under the Boulder Designs trademark through alternative channels, such as online sales, without compensating the franchisee. Furthermore, Boulder Designs can establish National Accounts within a franchisee's territory, requiring the franchisee to service these accounts under negotiated terms. If the franchisee is deemed incapable of servicing a National Account, Boulder Designs may authorize other franchisees or third parties to provide the services without compensating the original franchisee.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.