Is Aerus obligated to spend any amount on advertising in an Aerus franchisee's Area of Responsibility?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
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:
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 is not obligated to spend any amount on advertising within a franchisee's Area of Responsibility. However, Aerus may establish a System Media Fund in the future.
If Aerus establishes a System Media Fund, franchisees may be required to contribute up to 3% of their Gross Sales to this fund. Aerus retains the right to direct all advertising programs and aspects of the System Media Fund. Aerus is not obligated to ensure that expenditures from the System Media Fund are equivalent or proportionate to a franchisee's contribution or that any franchisee benefits directly or pro rata from these expenditures within their Area of Responsibility.
While Aerus is not obligated to spend specifically in a franchisee's area, the System Media Fund will be used to enhance the image of Aerus programs through various advertising, marketing, and promotional activities. These activities include media advertising campaigns, social media campaigns, direct mail advertising, marketing surveys, and other public relations efforts. The fund can also be used for promotional items, trade dress development, point-of-purchase materials, and market research.
Franchisees are independently responsible for local advertising efforts within their Area of Responsibility and must make commercially reasonable efforts to advertise and promote their Aerus franchise. Franchisees must also adhere to Aerus's advertising guidelines and obtain approval for all advertising materials. This ensures that while Aerus does not guarantee spending in a specific area, the brand maintains control over its overall image and marketing strategies, while franchisees contribute to local promotion.