Besides what is described in the Aerus Disclosure Document, Franchise Agreement, and Manuals, does Aerus conduct or require participation in any group advertising program?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
and modifications to the Manuals. (Franchise Agreement Section 1).
Advertising
Except as described in this Disclosure Document and in the Franchise Agreement and the Manuals, we do not conduct for your benefit or require you to participate in any group advertising program.
You must make all commercially reasonable efforts to advertise and promote the Franchised Business in the Area of Responsibility, expending an amount equal to at least the Minimum Local Advertising Fee described in this Disclosure Document. You must submit samples of all advertising and promotional materials to us for approval prior to its use. No advertisement or promotional material may be placed outside the Area of Responsibility, and you may not conduct any national or international advertising of any kind, including any internet advertising (except in very limited circumstances and subject to our written approval). You must advertise at all times in the manner designated by us in the Manuals or otherwise in writing, using formats approved by us in advance; provided, that we may require that all such advertising be placed by us or a third party designated by us, and at your expense. (Franchise Agreement, Section 11).
We are not obligated to spend any amount on advertising in your Area of Responsibility. We may in the future establish a System Media Fund (the "System Media Fund"). If we establish the System Media Fund, you (and other franchisees with your franchise program) would be required to contribute up to 3% of Gross Sales to the System Media Fund. (Franchise Agreement, Addendum B). In addition:
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- We or a designee will have the right to direct all advertising programs, as well as all aspects of any System Media Fund, including the concept, materials, and media used in the programs and the placement and allocation of the programs.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 36–43)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, Aerus does not conduct or require franchisee participation in any group advertising programs, except as described in the Disclosure Document, Franchise Agreement, and the Manuals. However, franchisees are required to make commercially reasonable efforts to advertise and promote their Franchised Business in their Area of Responsibility, spending at least the Minimum Local Advertising Fee, and must submit advertising and promotional materials for approval prior to use. Franchisees cannot place advertisements outside of their Area of Responsibility and cannot conduct any national or international advertising, including internet advertising, without written approval in limited circumstances. Aerus can also require that all advertising be placed by them or a third party at the franchisee's expense.
Aerus is not obligated to spend any amount on advertising in the franchisee's Area of Responsibility. Aerus may establish a System Media Fund in the future, which would require franchisees to contribute up to 3% of Gross Sales. Outlets owned by Aerus or its affiliates will participate in the System Media Fund at the same rate and terms as franchisees. Aerus has not established an advertising council composed of franchisees, and franchisees are not required to participate in any local or regional advertising cooperative.
This means that while Aerus franchisees have some autonomy in local advertising, their activities are subject to Aerus's approval and guidelines. The potential establishment of a System Media Fund, requiring up to 3% of gross sales, is a significant factor for prospective franchisees to consider, as it would impact their advertising budget and strategy. The franchisee is responsible for the Minimum Local Advertising Fee, but the specific amount of this fee is described elsewhere in the disclosure document.