What document must Aerus franchisee principals execute as a condition for receiving franchise rights?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
rles Boudreau | 252-633-5113 | 2615 Trent Road | New Bern | NC | 28562 | | Craig Tate (Carolina Healthy Home Consultants, Inc.) | (828)256-2191 | 2338 Springs Rd NE | HICKORY | NC | 28601 | Date of Execution:
ACKNOWLEDGEMENT OF PRINCIPALS
(does not apply if Franchisee is an individual)
Each of the undersigned acknowledges and agrees that the execution of the attached Guaranty is in partial cons
Source: Item 23 — Receipts (FDD pages 74–305)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, if the franchisee is not an individual, each principal must execute a Guaranty as a condition for Aerus granting franchise rights. Aerus states that it would not grant the rights under the Franchise Agreement without the execution of the Guaranty by each principal.
This requirement ensures that the principals of the franchisee business are personally liable for the franchisee's obligations to Aerus. This is a common practice in franchising, as it provides the franchisor with additional security and recourse in case the franchisee breaches the franchise agreement. The Guaranty essentially makes the principals personal guarantors of the franchisee's performance.
Prospective Aerus franchisees should carefully review the terms of the Guaranty to understand the full extent of their personal liability. They should also consult with an attorney or financial advisor to assess the risks and implications of signing such a document. Franchisees should also note that this requirement does not apply if the franchisee is an individual.