Under what conditions is an Aerus franchisee required to pay a Restocking Fee, and how is the amount calculated?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
for such Consigned Products increases. |
| Type Of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Shipping and Handling | Negotiated – Varies per shipment. | Payable directly by you to the third-party shipping company per their terms. | You may be required to use third party shipping companies designated by us. We currently do not charge handling fees. We reserve the right to institute such fees in the future. |
| Restocking Fee | 15% of Standard Allocation. | As prescribed in the Manuals or otherwise in writing. | Payable for all Consigned Products which you return to us or our affiliate in accordance with the Manuals. Fee varies based upon your Standard Allocation and Consigned Product returned. |
| Administration and Technical Support Fee | $500 per month per Approved Location (except Satellites and Licensed Outlets which are $100 each per month), subject to a maximum of $1,500 per month. | Monthly, currently collected on the 5th of each month, as prescribed in the Manuals or otherwise in writing. | This fee is for administrative and technical support provided to you by the Company, namely our standard software and communication package, which may include a customer database and lead management software package. |
| Minimum Local Advertising Expense | An amount equal to at least 2% of Gross Sales. | Payable directly by you. | You must spend at least this amount on local advertising, marketing and promotional activities. |
| System Media Fund Fee | Currently $0 (3% of Gross Sales if System Media Fund is established). | Monthly as prescribed in the Manuals or otherwise in writing. | Applicable only if installed by us. The System Media Fund is an advertising program designed to facilitate media market spending. Although we do from time to time conduct limited advertising on national or regional basis, we have not imposed the Sys |
Source: Item 6 — Other Fees (FDD pages 20–27)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, a franchisee is required to pay a restocking fee under specific conditions. This fee is applied to all Consigned Products that the franchisee returns to Aerus or its affiliate, and the return must be in accordance with the guidelines outlined in the Aerus manuals.
The amount of the restocking fee is calculated as 15% of the Standard Allocation. The due date for the restocking fee is as prescribed in the Aerus manuals or otherwise in writing.
For a prospective Aerus franchisee, this means that returning Consigned Products will incur a cost, which is a percentage of their Standard Allocation. It is important for franchisees to understand the conditions under which products can be returned and the associated costs, as this can impact their profitability. Franchisees should carefully review the Aerus manuals to fully understand the return policies and how the Standard Allocation is determined to avoid unexpected fees.