Does the Aerus FDD mention any specific performance requirements for renewal?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
ad these provisions in the agreements attached to this disclosure document.**
THE FRANCHISE RELATIONSHIP
| Category | Section in Agreement | Summary |
|---|---|---|
| a. Length of the term | Section 2 and Schedule 1 | As defined in Schedule 1. Initial term is equal to 1 year. |
| b. Renewal or extension of the term | Section 2 and Schedule 1 | If we are then offering new franchise rights for the establishment of Aerus Businesses in the State where the franchise subject to renewal is located and you satisfy the requirements for renewal, you may renew for an additional one (1) year renewal term. |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 56–60)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, there are specific performance requirements for renewal. To renew an Aerus franchise for an additional one-year term, assuming Aerus is offering new franchises in the relevant state, a franchisee must meet several conditions.
Specifically, the franchisee must provide written notice of their intent to renew 30 days before the initial term expires. At the time of renewal, there must be no outstanding defaults that have not been resolved. Furthermore, the franchisee must have achieved at least $10,000 in monthly Gross Sales during each of the six months prior to renewal.
In addition to these performance metrics, the franchisee is required to execute Aerus's then-current franchise agreement, which may include terms and conditions that differ significantly from the original agreement. They must also pay a $100 renewal fee and ensure that they, their principals, and any guarantors sign a general release in favor of Aerus and its affiliates. Meeting these conditions allows the franchisee to renew their Aerus franchise.