BOULDER DESIGNS

Item 7 lays out the financial entry: $147,565-$173,130 initial investment covers the $63,000 franchise fee, equipment for boulder production, signage tools, initial inventory, and three months' working capital. Ongoing fees hit 7% of gross sales or a $750-$1,500 monthly minimum, plus $65-$175 tech and up to $200 marketing—potentially steep for a service play targeting residential and commercial clients. No Item 19 disclosure means zero earnings claims or historical revenue figures, a red flag that leaves profit potential to your guesswork based on market sizing; home improvement demand is solid, but without validated AUVs, you're flying somewhat blind on ROI.

System maturity shows promise with just 1 termination against 77 locations, though 8 non-renewals suggest some owners walked away, possibly from margins or support issues. Projected 23 new units signal franchisor confidence, backed by 11 SBA loans averaging $130,245 but a 9.1% default rate—higher than average, implying financing access but execution risks for undercapitalized operators. Litigation centers on contract breaches, non-competes, and one fraud claim from a former franchisee; enforceability looks strong, but it underscores disputes in a young brand (franchising since 2017). For Boulder Designs, low terminations beat contraction, but missing financials and SBA hiccups mean vet local demand hard before committing.