ITEM 1. THE LICENSOR, ANY PARENTS, PREDECESSOR AND AFFILIATES
The purpose of this Disclosure
Document is to familiarize you with important legal and business aspects of
Expense Reduction Analysts, Inc., a franchisor, and of the license we offer. To
simplify the language, we will refer to ourselves as "ERA-USA,"
"we" or "us." We will call the person or company to which
we grant a license "you." The word "you" does not include
your owners. We will call them your "Related Parties."
We were incorporated in California on September 12,
2002. We have no predecessors.
Our parent company is Expense
Reduction Analysts International, Ltd. ("ERAI"), London, United Kingdom with a principal business address at 60 Churchill Square, Kings Hill, West Mailing, Kent, ME194YU, United Kingdom. ERAI is the holding company for us and our affiliates. ERAI has never
offered licenses or franchises.
Our affiliate, Expense
Reduction Analysts Consultants, Inc. ("ERAC") was incorporated in California on March 15,2004. Our principal business address is 5050 Avenida Encinas, Suite 200, Carlsbad, CA 92008. ERAC''s address is the same. The name and address of our agent
for service of process in this state are stated in Exhibit A-2 to this
Disclosure Document
Our affiliate, Expense
Reduction Analysts Insurance ("ERAUSAI") was incorporated in Delaware on December 3, 2007. ERAG''s principal business address is 5050 Avenida Encinas, Suite 200, Carlsbad, California 92008. The name and address of our agent for service of
process in this state are stated in Exhibit A-2 to this Disclosure Document. In
is anticipated that commencing in January 2008 ERAUSAI will provide specialized
services in the field of expense reduction in the field of insurance and
operates throughout the United States. ERAUSAI has never offered licenses or
franchises.
The Parent company of ERAI is
Evercertain Limited a UK company: Company number-04473131, incorporated on 29
June 2002 with a Registered Office- 62 Wilson Street, London, EC2A 2BU.
Evercertain Limited has never offered licenses or franchises.
We have been offering both
area licenses and regional licenses since November 2002. Area licenses are
offered under a separate Disclosure Document to area licensees ("Area
Licensees"). We have never offered any other license or franchise. We have
operated a business that is similar to the area license that we offer since
November, 2002. We have also operated a Consulting Practice since our
incorporation in September 2002. We have no other business.
Since early 2004, ERAC has
offered services similar to those offered by our licensees to companies with
annual gross receipts over $250 million. Since October 2006, ERAC increased its
volume requirements to offer services only to companies with annual gross
receipts over one billion It has no other business. ERAC has never offered
licenses or franchises.
The business you will operate
under the License Agreement is a Consulting Practice that helps client
organizations reduce on-going business expenses, such as those incurred for
printing, freight, equipment maintenance, courier service, telecommunications,
janitorial service and office supplies. The primary market for the Consulting
Practice is companies with annual gross revenues below $250 million. Your
principal competitors will be independent consultants offering advice on cost
reduction.
If you hold a professional
license, permit or other credential, you must continue to comply with any
related professional regulations. Otherwise, we do not know of any laws or
regulations that are specifically applicable to a Consulting Practice of the
type you will operate.
