What specific supplies and equipment must I purchase directly from Boulder Designs as the only approved supplier?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
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You must purchase certain supplies and equipment necessary for the Franchised Business from us. Currently we are the only approved supplier for a Concrete Mixer, Transport Trailer, truck signage, marketing and initial supplies, manuals, and other necessary equipment as well as optional equipment and supplies as set forth in Schedule 1 of the Key Terms Page (Exhibit 1 to the Franchise Agreement). We do not permit franchisees to contact with alternative suppliers for these supplies and equipment, and accordingly there are no procedures for securing approval for alternative suppliers for such items.
Except as described above, neither we nor any of our affiliates is currently an approved supplier. None of our officers owns an interest in any other privately-held supplier or a material interest in any publicly-held supplier.
Other Products, Supplies and Materials
You must purchase all products, goods, services, supplies, fixtures, materials or equipment and signs; and other materials and supplies used in the operation of the Franchised Business that meet the specifications and quality standards that we have established periodically and from suppliers and manufacturers that we have approved, as described in the Manual(s).
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 20–22)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, franchisees are required to purchase specific supplies and equipment directly from Boulder Designs, as they are the sole approved supplier for these items. This mandatory purchasing arrangement includes a Concrete Mixer, Transport Trailer, truck signage, marketing and initial supplies, manuals, and other necessary equipment, as well as optional equipment and supplies detailed in Schedule 1 of the Key Terms Page (Exhibit 1 to the Franchise Agreement).
This requirement means that franchisees cannot seek alternative suppliers for these specified items. Boulder Designs does not allow franchisees to contract with other suppliers for these supplies and equipment, and there are no procedures in place to request approval for alternative suppliers.
The FDD also states that Boulder Designs' revenue derived from required franchisee purchases and leases totaled $1,032,504 during the fiscal year ending December 31, 2024. This revenue represents approximately 44.3% of Boulder Designs' total revenue of $2,329,797. Boulder Designs estimates that required purchases and leases will account for approximately 58% of a franchisee's purchases and leases when establishing the Boulder Designs business, and approximately 25% when operating the business. This revenue may come from purchases from Boulder Designs, their designated suppliers, or purchases that meet their specifications.
Prospective franchisees should carefully consider the implications of these mandatory purchasing requirements. While this arrangement ensures consistency and quality control, it also limits the franchisee's ability to negotiate prices or source supplies from potentially less expensive vendors. Understanding the costs associated with these required purchases is crucial for assessing the overall profitability of a Boulder Designs franchise.