Hi John,

This is totally possible.

If you look at the properties of a folder, you will find it has an entry ID just like any of the other documents/entries in the repository. It will be like any document you find, where the Entry ID is unique and will not coincide with any entry ID of anything else in the repository.

As you noted, you are able to set a template and metadata information for a folder and use it as you need. you will just need to check to make sure you reference it properly in emails and other parts of your process so that it shows up how the client wants. 

As a final note, I have done this type of processing on a folder and wish you good luck, as while it may save you time in order to continue with the process, you may find yourself changing a bunch of things anyways to make better use of the folder idea, which is quite nice for many solutions.

EDIT: As a side note, make sure your starting rules act on the folder and not in the entries inside the folder. Also, you may want to restrict your starting rules to ensure it only starts on entries that are folder.