factual

Is an Aerus Satellite or Licensed Outlet required to maintain an on-site service and repair center?

Aerus Franchise · 2025 FDD

Answer from 2025 FDD Document

In order to facilitate the growth and development of the Franchised Business, Franchisee may from time to time (with Company's prior written consent) establish satellite locations (each a "Satellite") within those parts of the Area of Responsibility that do not include any part of another franchisee's protected area.

Franchisee shall promptly notify Company of the establishment of a Satellite.

Satellites shall be subject to all provisions of this Agreement and the

Manuals concerning Approved Locations, except that repair, maintenance and warranty service may be provided by or at an affiliated approved location rather than on-site and, provided that Company shall not require prior approval of the site or lease for any Satellite. Once opened, each Satellite shall constitute an Approved Location for which Franchisee shall have all of the rights and obligations associated with any Approved Location under this Agreement and the Manuals. Operation and compliance of Satellites shall be solely and exclusively the responsibility of Franchisee for all purposes. Franchisee shall be permitted to employ or engage, on forms reasonably acceptable to Company and which grant no greater rights and retain at least the same restrictions and limitations as this Agreement, Satellite Managers to operate the Satellites in accordance with this Agreement and the Manuals. Company shall have no liability for or obligation concerning any Satellite; provided, however, Company reserves the right at any time to disallow the further creation of Satellites or to impose any such policies, procedures and practices directed to the creation or operation of Satellites as Company may deem appropriate in its sole discretion.

Source: Item 23 — Receipts (FDD pages 74–305)

What This Means (2025 FDD)

According to Aerus's 2025 Franchise Disclosure Document, a standard Aerus franchisee is generally required to establish and maintain an on-site service and repair center at their approved location. However, this requirement is different for satellite locations. Aerus franchisees can establish satellite locations within their area of responsibility, and these satellites are subject to most provisions applicable to approved locations.

However, the key difference is that satellite locations are not required to provide repair, maintenance, and warranty service on-site. Instead, these services may be provided by or at an affiliated approved location. This provides Aerus franchisees with flexibility in how they structure their service operations, allowing them to centralize repair services at a main location while operating smaller satellite outlets for sales and customer contact.

This exception for satellite locations can reduce the initial investment and operational complexity for franchisees looking to expand their market presence without duplicating full-service capabilities at every location. The franchisee maintains responsibility for the operation and compliance of the Satellites. Note that Aerus retains the right to disallow the creation of Satellites or impose policies regarding their operation.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.