How does the initial franchise fee for Aerus (Item 5) relate to the business experience of its management (Item 2)?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
th Deposit and Initial Franchise Fee
We may require that you pay us a good faith deposit of $100, together with delivering to us a commitment letter, a sample of which is attached as Exhibit 7 to this Disclosure Document, before we will send an execution copy of the Franchise Agreement to you. The requirement of the $100 good faith deposit is dependent upon information disclosed to us in your application, such as work history, credit worthiness, previous franchise experience, references and/or previous work history with us or other Aerus franchisees. If we require the good faith deposit, it will be applied to the initial franchise fee and is only refundable if we choose not to enter into the Franchise Agreement with you. You must pay us the following non-refundable initial franchise fee at the time you sign
a Franchise Agreement, which will vary depending on the type of Franchised Business you wish to operate:
| Program | Initial Franchise Fee (less the amount of any good faith deposit paid) |
|---|---|
| Standard Program | $3,000 |
| Associate Program | $1,000 |
| Beyond Addendum (Standard Program) | $100 |
| Beyond Addendum (Associate Program) | $100 |
| Inventory (Standard Program) | $15,000 to $90,000 |
| Inventory (Associate Program) | $5,000 to $20,000 |
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, the initial franchise fee is influenced by an applicant's background, including work history, creditworthiness, previous franchise experience, and references. Aerus may require a good faith deposit of $100 before sending the Franchise Agreement, contingent upon the information disclosed in the application. This deposit is applied to the initial franchise fee and is refundable only if Aerus chooses not to enter into the agreement. The initial franchise fee itself varies depending on the type of Aerus Franchised Business the franchisee wishes to operate.
Aerus's management team's experience does not directly affect the initial franchise fee. However, the document mentions that in certain circumstances, Aerus may reduce initial fees and finance them for existing franchisees, people working for existing franchisees, and franchisees opening or operating multiple locations. Last year, the initial fees ranged from approximately $5,000 to $16,000. These reductions and financing options are not directly tied to the experience of Aerus's management but rather to the franchisee's status or expansion plans.
While the FDD details the experience of Aerus's President, Kevin Hickey, and other instructors involved in training, this experience does not directly correlate with the initial franchise fee. The experience of the management and trainers is more relevant to the quality of training and support a franchisee receives, rather than the initial investment required. The FDD does state that if a franchisee has current or prior sales experience, they may not be required to complete all phases of training.