What are the franchisee's responsibilities regarding shipping and handling charges for the initial inventory of Consigned Products, parts, accessories, and supplies for an Aerus franchise?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
if any, which you must make at your expense. (Franchise Agreement Section 1).
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- Upon receipt of your order, we will provide you an initial inventory of Consigned Products, parts, accessories and supplies in the amounts that you request, when you place and order and pay the requisite Security Deposit. You are responsible for payment of all shipping and handling charges incurred in connection with the shipment. (Franchise Agreement Section 10).
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- We, or one of our affiliates, will sell to you certain assets (if you are purchasing an existing Aerus Business) to be used in connection with the Franchised Business. (Franchise Agreement Section 1).
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- We, or one of our affiliates, will sublease the premises or assign the Premises Lease of an Approved Location to you (if you are purchasing an existing Aerus Business). (Franchise Agreement Section 1).
Continuing Obligations: During the operation of your Franchised Business:
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, franchisees are responsible for covering all shipping and handling fees associated with the delivery of their initial inventory. This inventory includes Consigned Products, parts, accessories, and supplies. The franchisee's responsibility for these charges begins when they place an order and pay the required Security Deposit.
This means that in addition to the initial investment for the franchise and the security deposit for the consigned products, a prospective Aerus franchisee must also budget for the costs of shipping and handling the initial inventory. These costs can vary depending on the size of the order, the distance of shipment, and the carrier used. It is important for franchisees to factor in these expenses when planning their initial budget to avoid unexpected financial strain.
Furthermore, Aerus franchisees are also responsible for promptly paying all shipping and handling charges incurred when replenishing their inventory of Consigned Products and other Products, parts, accessories, and supplies. This ongoing obligation highlights the importance of efficient inventory management and careful planning to minimize shipping costs throughout the duration of the franchise agreement.