What business entity must an Anago franchisee form?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
- (vi) You have formed your Corporation or LLC business entity. You have received registration of your fictitious name and EIN number and delivered copies to Our office.
- (vii) You have opened a commercial business checking account in the name of your Corporation or LLC business entity with your fictitious name listed and delivered a voided check to Our office.
SECTION 4.3 MANAGEMENT OF THE ANAGO UNIT FRANCHISE.
(a) If You are not incorporated at the time You sign this Agreement, You must incorporate and assign all rights and responsibilities under this Agreement to Your
- corporation or other approved legal entity for the operation of Your franchise within 30 days of signing this Agreement. You may not commence any work or provide any services as an Anago Unit Franchise until this Agreement has been assigned to Your legal entity.
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, a franchisee must form either a Corporation or a Limited Liability Company (LLC). This requirement is part of the conditions that must be met before Anago will offer the franchisee initial business. Specifically, the franchisee must provide proof of the business entity formation to Anago.
Furthermore, the franchisee is required to open a commercial business checking account under the name of their Corporation or LLC, using their registered fictitious name. A voided check from this account must be provided to Anago as further proof of compliance.
If a franchisee is not already incorporated at the time of signing the franchise agreement, they have 30 days to incorporate and assign all rights and responsibilities under the agreement to their corporation or other approved legal entity. The franchisee cannot commence any work or provide any services as an Anago Unit Franchise until this assignment is complete. This requirement ensures that the Anago franchise operates under a legally recognized business structure, providing a level of protection and formality to the business operations.