Under what conditions can an Aerus franchisee sell to commercial buyers?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
The type of businesses operated under each of these programs possess each of the four following characteristics: (i) they are identified by the Marks, (ii) they are primarily engaged in the offer and sale of the Products, to either (a) non-commercial, residential buyers of the Products, or (b) commercial buyers who are not designated in the Manuals as "national accounts" and who are not engaged, and not anticipated to be engaged, in the sale of any cleaning, purification, health improvement or other consumer products or services, who, in either case, are purchasing the Products for such customer's use or consumption and not for re-sale ("Approved Customers"), (iii) they operate from one or more pre-authorized physical locations that serve as retail locations, service centers, recruiting and training centers (each, an "Approved Location"), and (iv) they operate in accordance with the System.
Source: Item 1 — The Franchisor and any Parents, Predecessors, and Affiliates (FDD pages 9–15)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, franchisees can sell to commercial buyers under specific conditions. Aerus franchisees can sell to commercial buyers who are not designated as "national accounts" in the manuals. Additionally, these commercial buyers must not be engaged, nor anticipated to be engaged, in the sale of any cleaning, purification, health improvement, or other consumer products or services. These commercial buyers must purchase the products for their own use or consumption and not for resale, classifying them as "Approved Customers".
This means an Aerus franchisee's ability to sell to commercial entities is restricted to those who are end-users of the products and not involved in reselling or distributing similar items. The distinction of "national accounts" suggests that Aerus may handle larger commercial clients directly, reserving smaller or local commercial clients for franchisees. The Aerus manuals provide further clarification on which commercial buyers are designated as national accounts.
For a prospective Aerus franchisee, it's crucial to understand the criteria for "Approved Customers" and the definition of "national accounts" as outlined in the Aerus manuals. This understanding will help define the target market and potential customer base. It is also important to understand the difference between the Associate and Standard programs, as this may affect the prices at which the franchisee may sell consigned products. Clarification from Aerus regarding specific examples of commercial buyers who would or would not qualify under these guidelines would be beneficial during the due diligence process.