Does Aerus reserve the right to assess franchisees for contributions to the System Media Fund?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
- E.
Company also reserves the right to assess the Franchisee for contributions to the System Media Fund.
The System Media Fund shall be designed to facilitate media market spending that benefits the System.
The System Media Fund shall be organized for the purposes of, and all contributions thereto and any earnings thereon shall be used exclusively to meet the costs for maintaining, directing, preparing and conducting media campaigns, regional and national advertising for the benefit of the System.
The System Media Fund can be implemented on a national, local or regional basis.
Upon establishment of the System Media Fund by Company, Franchisee's obligations shall be as set forth in Addendum B, attached hereto.
Source: Item 23 — Receipts (FDD pages 74–305)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, Aerus retains the right to require franchisees to contribute to the System Media Fund. This fund is intended to support media market spending that benefits the entire Aerus system. The System Media Fund is designed to cover the costs of maintaining, directing, preparing, and conducting media campaigns, as well as regional and national advertising efforts. The fund can be implemented on a national, local, or regional level. Once Aerus establishes the System Media Fund, the franchisee's obligations will be detailed in Addendum B.
Addendum B outlines the details of the System Media Fund. Each month, franchisees are required to pay a System Media Fund Fee to Aerus. The fund is maintained and administered by Aerus, which has the sole discretion to approve or disapprove creative concepts, materials, and media used in advertising and promotional programs. The System Media Fund aims to maximize public recognition and acceptance of the Aerus system and its trademarks.
The funds collected can be used to purchase various forms of media, including internet, electronic, event, radio, television, and print advertising, on a local, regional, or national basis. All sums paid by franchisees are kept in a separate account from Aerus's other monies. These funds are used to cover Aerus's administrative costs and overhead related to the System Media Fund and advertising programs. Aerus is also permitted to take a management fee not exceeding 5% of the total System Media Fund Fees collected each calendar year.
While the System Media Fund is intended to be perpetual, Aerus reserves the right to terminate it, but only after all monies have been spent on advertising and promotional purposes. The System Media Fund can be established for all franchise programs or separately for individual franchise programs. Franchisees are also required to adhere to Aerus's advertising standards and obtain approval for all advertising materials before use, ensuring consistency and quality in marketing efforts.