Under what conditions does Aerus pay fees to existing franchisees acting as Sponsors?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
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Sponsors
We may pay fees to existing franchisees (sometimes referred to as "Sponsor") for referring or recommending potential franchisee or distributor candidates to us. Such fees to Sponsor may include recurring monthly fees and product credits based on your performance (ranging from $5 to $100 per product sold by you). These fees will only be earned and paid to Sponsor if the candidate is actually awarded a franchise to operate an Aerus Business or right to distribute Aerus products.
Sponsor is not authorized to act as our agent or franchise broker and is not instructed to provide any information to prospects. Similarly, neither Sponsor nor any other franchisee is authorized to (1) award franchises of Aerus Business; (2) make any claims or representations regarding the operation of the Aerus Business; or (3) alter, amend, modify, interpret or change any aspect of the Franchise Agreement or our Franchising Programs. You should not rely on any statements, claims, or representations which may have been made to
Source: Item 5 — Initial Fees (FDD pages 17–20)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, existing franchisees, sometimes referred to as "Sponsors," may receive fees for referring potential franchisee or distributor candidates to Aerus. These fees are contingent upon the candidate actually being awarded a franchise to operate an Aerus business or the right to distribute Aerus products.
The fees paid to Sponsors can include recurring monthly payments and product credits. The product credits are based on the new franchisee's performance, ranging from $5 to $100 per product sold. This structure incentivizes existing franchisees to actively seek out and recommend qualified candidates who will contribute to the Aerus system's growth and sales.
It is important to note that Sponsors are not authorized to act as agents or franchise brokers for Aerus. They are not permitted to provide information to prospects, award franchises, make claims about the operation of the Aerus business, or alter any aspect of the Franchise Agreement. Prospective franchisees should not rely on any statements made by Sponsors and should instead verify all information with Aerus directly.