What obligations does the Franchisee accept from Aerus when granted the franchise rights?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
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A G R E E M E N T
NOW, THEREFORE, for and in consideration of the foregoing premises and the promises set forth below and other good and valuable consideration, the receipt, sufficiency and adequacy of which are hereby acknowledged and confirmed, the parties agree as follows:
1. Grant of Franchise Rights.
A. Company hereby grants to Franchisee the right and license, and Franchisee hereby accepts the right and obligation, to establish and operate the Franchised Business (under the Standard Program) upon and subject to the terms, conditions and provisions of this Agreement. Franchisee agrees and acknowledges that Franchisee shall have the right to offer and sell the Products only to Approved Customers within the area identified as the Area of Responsibility in Schedule 1, attached hereto (the "Area of Responsibility"), all in accordance with the terms, conditions and provisions of this Agreement and the Manuals, including the Policies and Procedures. Except as otherwise provided herein, such offers and sales may only be made through the Approved Location or from in-home or in-person demonstrations conducted within the Area of Responsibility. Nothing herein shall be construed to grant the right to Franchisee to offer and sell the Beyond Products.
- B. Subject to Company's prior approval, the Franchised Business shall be identified and operated by Franchisee only under the assumed name (the "Approved Name") "Aerus" (including such qualifiers and descriptions as may be set or approved by Company from time to time so as to geographically or otherwise distinguish one franchise from another), including the hanging of an approved exterior sign bearing such trade name; provided, that Company shall be permitted at any time and from time to time after the date of this Agreement, upon written notice, to alter or change the assumed name under which the Franchised Business shall be identified and operated. Franchisee shall, at its expense, make all county and state assumed name filings required by law (including any filings made necessary by a change in required trade names pursuant hereto) and provide evidence of such filing to Company.
- C. The Franchised Business shall be operated from one or more Approved Locations and from no other physical location, except as may be permitted by Company in writing at its sole option.
Source: Item 23 — Receipts (FDD pages 74–305)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, when Aerus grants a franchise, the franchisee accepts the right and obligation to establish and operate the franchised business, adhering to the terms and conditions outlined in the franchise agreement. This includes following the policies and procedures detailed in the manuals. The franchisee is authorized to offer and sell products only to approved customers within their designated Area of Responsibility, primarily through an approved location or in-home demonstrations.
The franchisee must operate the business under the approved name, "Aerus," and comply with any alterations or changes to the name as directed by Aerus. The franchisee is responsible for making all necessary county and state assumed name filings at their own expense and providing evidence of such filings to Aerus. The franchised business must be operated from an approved location, and any lease covering this location must include a lease rider in a form approved by Aerus.
The franchisee is obligated to open the franchised business at the approved location by the specified opening date. They are also responsible for making any modifications or improvements to the premises as identified by Aerus, at the franchisee's own expense, either before or after the opening date. The franchisee must also use their best efforts to achieve optimum sales for the Franchised Business. If the franchisee is a business entity, its activities must be confined exclusively to the ownership and operation of an Aerus Business, unless Aerus consents otherwise in writing.