Aire Serv franchise unit economics
Aire Serv franchisees run van-based businesses that install, service and repair heating, air conditioning and indoor air quality systems for residential and commercial customers in a territory.
Aire Serv in the news
- Neighborly® Appoints Brent Korb as Chief Financial Officer · Franchising.com ·
The Aire Serv headline above is the publisher's own and links to the publisher. Averan Advisors checked this Aire Serv link on 11 October 2026. Franchise news lists news on 95 brands, including Aire Serv. Aire Serv is in the Mechanical Trades franchise guide.
Aire Serv franchise at a glance
In its 2026 FDD Aire Serv reports 2025 gross sales for 172 of its 229 businesses, with averages by quartile and for the highest- and lowest-selling tenths.
Aire Serv franchisees averaged $1,561,361 of sales in 2025, with a median of $944,801, according to Item 19 of Aire Serv’s 2026 FDD, issued 1 April 2026. The 172 in that group are 75%* of Aire Serv’s 229 locations. Fees paid to Aire Serv come to about 8.15%* of sales. An Aire Serv franchise costs $113,809 to $271,709 to open.
- An Aire Serv franchise costs $113,809 to $271,709 to open, including a $45,000 initial franchise fee, according to the brand's 2026 FDD.
- Aire Serv charges a royalty of 7% of sales and a 2% brand fund contribution.
- 33% of reporting Aire Serv locations reached the average.
- Work out Aire Serv's fees at your own sales with the minimum fee calculator.
- Aire Serv’s license fee, brand fund and software fee come to 8.15% of sales at the system average, and to 38% at the lowest-selling tenth.
These figures come from Aire Serv's 2026 Franchise Disclosure Document, as the brand reported them, and were read by Averan Advisors.
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Talk to Averan → Move your books and accounting to Averan →- The lowest-selling tenth owes more than it bills. $72,082 of license minimum, brand fund and required local spend against $64,112 of sales *, 112.4%, and at the fourth quartile average of $161,062 it is still 46.0%.
- The median business is $55,199 short of the 6% group. $944,801 against the $1,000,000 threshold, crossing it cuts the license fee by $10,000 for the whole of the following year *, which is 18.1% of the revenue it takes to get there.
- The top quartile averages 25.4 times the bottom quartile. $4,093,185 against $161,062 on 43 businesses each *, and the four quartiles weighted together return the filed all-system average of $1,561,361 to the dollar.
- The fees paid to the brand fall 2.37 points from the third quartile to the top tenth. 9.40% at the third quartile, 8.15% at the system average and 7.03% at the top tenth *, as the license rate steps down from 7% to 5% and the fixed software fee spreads over more sales.
- 45 of the 229 businesses were under a year old at the end of 2025. Openings ran 18, 32 and 45 across three years against departures of 28, 21 and 24, a net gain of 22, built on a hiring rate that more than doubled.
How much does an Aire Serv franchise make?
The average Aire Serv unit reported $1,561,361 of revenue in the 2026 FDD, and the median reported $944,801. The brand’s disclosure document discloses revenue and not profit, so what an owner keeps depends on the cost structure set out below. Fees come off the top first, at about 8.2% of sales across royalty, brand fund and the rest of the stack. Revenue is not income. Rent, wages, cost of goods and the franchise fees all come out before an owner is paid. The figures for the highest-selling and lowest-selling businesses are below.
Top performers
What separates the top Aire Serv performers
Aire Serv splits its locations into groups instead of publishing one average. The top group averaged $6,548,443 a year. The lowest averaged $64,112. Both run the same brand, on the same agreement, paying the same fees. The middle location sold $944,801. The average was $1,561,361. More than half the system is below the number the brand quotes.
Decided before you open
- Site and trade area.The top band sells 102.1× the bottom band. Catchment, daytime population and neighboring businesses affect where a location falls.
- Territory.An Aire Serv territory holds 100,000 people as standard and generally no more than 300,000, with no storefront. Population density sets how much driving sits between jobs.
- Opening cost range.Opening costs $113,809 to $271,709, a 2.4× range inside one brand.
- Fees and the minimum.Fees run about 8.2% of sales. A minimum fee also applies, so lower-selling locations pay a higher effective rate. Work out the sales level where the percentage overtakes the minimum.
Live operating levers
- Sales depend on service calls.A technician finishes only so many calls a day, so the owner works on how many of them turn into paid work and what the average ticket is worth.
Context you underwrite around
- Locations included.These figures cover 172 of 229 locations. Locations open less than the full year, brand-owned, or not meeting the reporting criteria are excluded.
- What the filing does not include.Item 19 publishes no profit or cost data for franchised locations. Ask the franchisor or current owners for cost and profit figures.
Highest to lowest, by sales
Revenue by quartile, 2025
| Group | Businesses | Average | Median | High | Low | Reaching the average | Paid to the brand * |
|---|---|---|---|---|---|---|---|
| Top 10% | 17 | $6,548,443 | $4,150,679 | $22,253,990 | $3,099,931 | 5, 29% | 7.03% |
| 1st quartile | 43 | $4,093,185 | $3,243,435 | $22,253,990 | $1,985,554 | 9, 20% | 7.06% |
| 2nd quartile | 43 | $1,414,426 | $1,445,073 | $1,984,359 | $944,801 | 25, 58% | 8.16% |
| All businesses | 172 | $1,561,361 | $944,801 | $22,253,990 | $315 | 57, 33% | 8.15% |
| 3rd quartile | 43 | $576,772 | $571,423 | $935,337 | $342,819 | 21, 48% | 9.40% |
| 4th quartile | 43 | $161,062 | $143,401 | $336,652 | $315 | 18, 41% | 16.33% |
| Bottom 10% | 17 | $64,112 | $66,636 | $121,283 | $315 | 9, 52% | 38.00% |
Counts, averages, medians, ranges and attainment are as the brand reported it; the load column is marked, from the rates and minimums in the previous table.
The four quartiles hold 43 businesses each and weight to the filed average exactly. $4,093,185, $1,414,426, $576,772 and $161,062 average out to $1,561,361 *, which is the figure filed for all 172, so the four groups partition the system cleanly and each one can be read on its own.
Attainment runs 20% in the top quartile and 58% in the second. The top group stretches from $1,985,554 to $22,253,990 while the second runs $944,801 to $1,984,359, a range of 11.2 times against 2.1 times. That is why only 9 of 43 reach their own group average at the top and 25 of 43 do one rung down.
One business bills $22,253,990. That is 14.25 times the system average and 5.44 times the first quartile average *.
The median business bills $944,801, which is 60.5% of the average *. Only 57 of 172 reach the average, so two businesses in three sit below the headline number. The median is itself the second quartile’s own minimum.
The lowest business in the system billed $315 for the year. That is a territory that has stopped trading while a license minimum of $20,800, a brand fund contribution and a $50,000 marketing requirement run on.
Discounts available
- Aire Serv charges $43,000 for a second and $40,000 for a third or later adjacent territory bought at the same time as the first.
- Aire Serv takes 5% off the fee for holders of an existing HVAC license in good standing.
- Aire Serv takes 10% to 50% off the fee for owners who roll an existing similar business with at least $250,000 in annual sales into the franchise.
- Aire Serv takes 5% to 20% off an additional territory's fee for franchisees of two or more years, plus 5% more if paid in full within 90 days.
- Aire Serv takes 10% off the fee for franchisees of its affiliated brands of at least two years.
- Aire Serv takes 10% to 25% off the fee for employees of its or affiliates' franchisees with at least two years of service.
- Aire Serv takes 20% off the $45,000 minimum fee for honorably discharged U.S. or Canadian veterans.
- Aire Serv offers special pricing as low as 50% of the minimum fee for rural territories of 40,000 to 65,000 people.
From Item 5 of the Aire Serv 2026 FDD. The costs on this page use the full initial franchise fee for one unit, before any discount.
What it costs to be small
Fees paid to the brand at each sales level
| Group | Gross sales | License fee * | Brand fund * | Software System fee | Paid to the brand * | Share of sales * |
|---|---|---|---|---|---|---|
| Top 10% | $6,548,443 | $327,422 | $130,969 | $2,279 | $460,670 | 7.03% |
| 1st quartile | $4,093,185 | $204,659 | $81,864 | $2,279 | $288,802 | 7.06% |
| All businesses | $1,561,361 | $93,682 | $31,227 | $2,279 | $127,188 | 8.15% |
| 2nd quartile | $1,414,426 | $84,866 | $28,289 | $2,279 | $115,434 | 8.16% |
| Median business | $944,801 | $66,136 | $18,896 | $2,279 | $87,311 | 9.24% |
| 3rd quartile | $576,772 | $40,374 | $11,535 | $2,279 | $54,188 | 9.40% |
| 4th quartile | $161,062 | $20,800 | $3,221 | $2,279 | $26,300 | 16.33% |
| Bottom 10% | $64,112 | $20,800 | $1,282 | $2,279 | $24,361 | 38.00% |
The rates and minimums are as the brand reported it and every dollar figure is marked. The license minimum is taken at the $400 weekly rate that applies from week 157 in a territory of up to 250,000 people.
Two minimum charges apply below different sales levels. The required local spend of $50,000 governs everything below $625,000 of sales, and the license minimum of $20,800 a year governs everything below $297,143 *, so a business at the fourth quartile average of $161,062 is caught by both at once.
The bottom tenth is charged $20,800 of license fee on sales of $64,112. That is 32.4% of revenue before the brand fund or marketing *. At the 7% rate alone it would be $4,488, so the minimum is 4.6 times the percentage fee.
From the third quartile up, the fees paid to the brand fall from 9.40% to 7.03% of sales. The 2% brand fund stays fixed. The license fee rate falls from 7% to 5%, and the $2,279 software fee is a smaller share of larger sales.
The first two years have their own marketing requirement. Aire Serv requires $60,000 of local marketing in the first twelve months and $75,000 in the second twelve, before the $50,000 annual minimum applies. For a business billing the fourth quartile average of $161,062, the second-year figure is 46.6% of sales *.
A local marketing group can take a further 3%. Contributions count toward the required spend, and up to 2% of gross sales may be directed to brand-level awareness work.
The 1% step
License fee scale by prior-year sales
| Previous calendar year gross sales | License fee | Plus brand fund | Worth of the first dollar over the threshold * |
|---|---|---|---|
| $0 – $999,999 | 7% | 2% | n/a |
| $1,000,000 – $1,999,999 | 6% | 2% | $10,000 |
| $2,000,000 and over | 5% | 2% | $20,000 |
The rates and thresholds are as the brand reported it and the right-hand column is marked. We compared the fee owed one dollar below each threshold with the fee owed at it.
| Territory population | Weekly minimum | Annual * | Revenue where 7% overtakes it * |
|---|---|---|---|
| 0 – 250,000 | $400 | $20,800 | $297,143 |
| 250,001 – 500,000 | $500 | $26,000 | $371,429 |
| 500,001 – 750,000 | $600 | $31,200 | $445,714 |
| 750,001 – 1,000,000 | $800 | $41,600 | $594,286 |
| 1,000,001 and above | $1,000 | $52,000 | $742,857 |
The weekly figures are as the brand reported it and the last two columns are marked *. The three largest population groups are closed to new franchisees. Weeks 40 to 156 carry a flat $350 a week.
The rate is set once a year on the previous year’s total and then applies to every week of the next one. So a business closing 2025 at $999,999 pays 7% on everything it bills in 2026, and one closing at $1,000,000 pays 6%.
At the median business the threshold is worth $10,000 against a $55,199 gap. $944,801 needs 5.8% more revenue to reach the threshold, and 18.1% of that increment comes straight back as fee relief *.
The fee cut at $2,000,000 is twice the cut at $1,000,000. That is $20,000 at $2,000,000 against $10,000 at $1,000,000 *, and the second quartile average of $1,414,426 sits between them.
The minimum starts at $350 a week and steps to $400 at week 157. Week 157 is about month 36. The first 39 weeks have no minimum.
Speciality services are charged at 3% with a 1% fund contribution. That compares with 5% to 7% and 2% on standard work. They are excluded from the threshold calculation. So a business growing through speciality work pays less on it and stays on a higher rate for everything else.
Territory and system
Franchised outlets, 2023 to 2025
| Year | At start | Opened | Terminations | Non-renewals | Reacquired | Ceased, other | At end | Net * |
|---|---|---|---|---|---|---|---|---|
| 2023 | 207 | 18 | 10 | 4 | 0 | 14 | 197 | −10 |
| 2024 | 197 | 32 | 11 | 2 | 0 | 8 | 208 | +11 |
| 2025 | 208 | 45 | 15 | 5 | 0 | 4 | 229 | +21 |
Every figure is as the brand reported it apart from the net column. That is marked *, and company-owned outlets stood at zero in all three years.
Territory is priced at exactly 45 cents a head, whatever the size. $45,000 covers 100,000 people and each further 1,000 costs $450, so a 300,000-population territory costs $135,000 *, and what franchisees actually paid in 2025 averaged $68,685 across a range of $39,325 to $115,379.
Openings ran 18, 32 and 45 while departures held between 21 and 28. The system turned from losing 10 businesses in 2023 to gaining 21 in 2025. 45 of the 229 open at year end had been trading under twelve months, which is 19.7% of the system *.
Terminations rose alongside the openings. 10, 11 and 15 across the three years, against ceased-for-other-reasons falling from 14 to 4, so the departures are increasingly the franchisor’s decision.
Opening costs $113,808.50 to $271,708.50, and the marketing line is the second largest. $30,000 to $60,000 of advertising sits behind only the $45,000 franchise fee. The build also includes a vehicle at $6,500 to $60,000 and $15,000 to $45,000 of additional funds for three months.
The business can run from home for the first six months. After that a 2,000 square foot facility is the standard, at $12,000 to $24,000 a year of rent. That is 7.5% to 14.9% of a fourth-quarter business’s revenue * and 0.8% to 1.5% of the system average.
Questions we get asked
Questions an owner asks
How much does an Aire Serv franchise make?
Aire Serv franchisees averaged $1,561,361 of sales in 2025, with a median of $944,801, according to Item 19 of Aire Serv’s 2026 FDD, issued 1 April 2026. The 172 in that group are 75%* of Aire Serv’s 229 locations. Fees paid to Aire Serv come to about 8.15%* of sales. An Aire Serv franchise costs $113,809 to $271,709 to open.
What does an Aire Serv business bill?
Across 172 businesses trading all of 2025, the average was $1,561,361 and the median $944,801, on a range from $315 to $22,253,990. By quartile the averages run $4,093,185, $1,414,426, $576,772 and $161,062, with 43 businesses in each. The top tenth averages $6,548,443 and the bottom tenth $64,112.
What fees does Aire Serv charge?
Aire Serv charges a license fee of 5% to 7% of gross sales, set by the previous calendar year’s total and paid weekly each Wednesday. The license fee is 7% below $1,000,000, 6% to $1,999,999 and 5% above $2,000,000, plus a 2% brand fund contribution. Minimum license fees start at week 40 at $350 a week and rise to $400 to $1,000 a week from week 157, set by territory population. Speciality services take 3% and 1%.
What is the marketing requirement at Aire Serv?
Aire Serv requires $60,000 of local marketing spend in the first twelve months and $75,000 in the second twelve. After that the franchisor reserves the right to require the greater of $50,000 or 8% of the previous year’s gross sales, in addition to the 2% brand fund. A local marketing group may take up to a further 3%.
What does that work out to at Aire Serv?
On our reading, the fees paid to the brand (license fee, brand fund and software fee) take 7.03% of sales at the top tenth, 7.06% at the first quartile, 8.15% at the system average, 8.16% at the second quartile, 9.24% at the median business, 9.40% at the third quartile, 16.33% at the fourth and 38.00% at the bottom tenth. Local marketing spend is on top of that.
How big is the Aire Serv territory?
An Aire Serv territory holds 100,000 people as standard, with a maximum of generally 300,000. The fee is $45,000 for the first 100,000 and $450 for each further 1,000, so the price per head is 45 cents at any size. Rural territories of 40,000 to 65,000 people have their own pricing.
How much does an Aire Serv franchise cost to open?
An Aire Serv franchise costs $113,808.50 to $271,708.50 to open, before any additional franchise fee for territory beyond 100,000 people. The largest lines are the $45,000 franchise fee, $30,000 to $60,000 of advertising and marketing, a vehicle at $6,500 to $60,000, equipment and inventory at $5,100 to $25,000. The build also includes $15,000 to $45,000 of additional funds for three months. The business may run from home for the first six months.
How stable is the Aire Serv system?
Aire Serv had 229 franchised businesses at the end of 2025, up from 207 three years earlier, with no company-owned outlets. Across 2023 to 2025, 95 opened and 73 left, 36 terminations, 11 non-renewals and 26 that ceased for other reasons. Openings rose 18, 32, 45 while terminations rose 10, 11, 15.
Which two numbers should run weekly at Aire Serv?
Track gross sales against $1,000,000 and $2,000,000 for the year to date, because the rate for the whole of next year is decided by where this one closes and each threshold is worth 1% of itself. Then track gross sales against $625,000, because that is where the local marketing requirement switches from a flat $50,000 to a percentage.
- The filing gives no profit figure. The filing reports sales and not earnings, so what an owner keeps is not disclosed.
- The filing breaks out no cost lines. Wages, rent and cost of goods are not broken out, so margin cannot be rebuilt from the document.
Questions worth putting to Aire Serv
The filing answers what it answers. These are the gaps an owner or a buyer should close directly.
- What do locations at the median spend on wages and rent as a share of sales? The filing reports sales only.
- Which factors does Aire Serv see in its highest-selling locations, such as trade area, years open and size?
- How long does a new location take to reach the average you publish, and what does the build-up look like month by month?
- At what level of sales do the minimum charges stop applying and the percentage take over?
- How many Aire Serv locations closed, were sold, or changed hands last year, and why?
Run your own numbers.
The Franchise Numbers Check runs the same checks on your own numbers. It scores where you stand and compares you with Item 19 of your brand’s FDD. It works out what one location earns and spends, and builds a 13-week cash forecast. It checks whether you are ready to open another one. It is free and it runs in your browser.
Launch the diagnostic →Where will your December close leave you?
We review your unit economics and cash forecast and build your reporting around the $1,000,000 threshold that sets next year’s rate, the $625,000 line where the marketing requirement changes shape. The minimums that govern everything below it.
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Aire Serv reads against the rest of the mechanical trades group: Benjamin Franklin Plumbing · Mister Sparky · Mr. Electric · Mr. Rooter · One Hour Heating & Air Conditioning · Plumbing Paramedics. The mechanical trades guide compares all of them on the same figures.
Questions owners ask next
The figures above raise these, and each one is answered on its own page.
- At what level of sales does a minimum fee stop costing me more than the percentage?It works out the sales level where a minimum fee stops applying.
- How much cash do I fund before a new location covers its own costs?It builds a 13-week forecast for the months before break-even.
- My payroll percentage keeps climbing. Is that a payroll problem?It shows how to tell whether payroll is rising or revenue is falling.
- At what point do spreadsheets stop coping?It explains what changes at around ten units and why lenders care.
- I run several locations. Which ones actually make money?It shows each location's contribution to profit and the reporting it takes to see it.
Where these figures come from.
Every figure here comes from Aire Serv SPV LLC’s 2026 FDD and is unaudited by us. We are unaffiliated with the brand. Calculations of our own are labeled where they appear, the figures describe past performance at other businesses and are not a projection of yours. This page is an educational summary. It is not an offer to sell a franchise, and it is not financial, legal or tax advice. Aire Serv® is a registered trademark of its owner. How Averan reads a Franchise Disclosure Document.
These figures come from the brand's disclosure. They are not a forecast, an offer to sell a franchise or advice. Source: Aire Serv SPV LLC, 2026 Franchise Disclosure Document, issued 1 April 2026.