How is the C-Fee calculated for an Anago franchise?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
(iv) If the C-Fee is paid in full at the time of assumption, the C-Fee will be reduced by 15%.
(v) If the C-Fee is paid in full within 90 days of assumption, no interest charges will accrue.
(vi) The C-Fee of One-Time Services, Initial Cleans or Extra Work on additional Accounts We secure will be equal to 20% of the gross fee charged to the Client and will not be financed.
(vii) If You voluntarily relinquish an additional Account that You have assumed, after 10 business days' written notice to Us of Your intent to relinquish, any C-Fee payment still due will be canceled if We are able to have another Unit Franchisee assume the Account and the Client does not cancel within 60 days after the transfer date; otherwise, the C-Fee remains due.
(viii) If You lose an additional Account for the reasons stated in either Subsections 2.1(c)(ii)-(iii) or if You cease service to the Account (for more than 2 days without at least 10 business days' written notice and Our consent) or if You abandon Your Anago Unit Franchise and the C-Fee was financed, the entire unpaid amount becomes immediately due upon loss of such Account or abandonment of Your Unit Franchise.
If the C-Fee amount You owe after loss, transfer or abandonment of an Account cannot be precisely determined due to fluctuating monthly payments, then an average will be taken of the prior months for which You provided services to the additional Account before the time of loss, transfer or abandonment.
- (ix) C-Fee payments are discontinued if the Client cancels the service contract through no fault of yours.
C-Fees are non-refundable.
However, credits for C-Fee payments will be made if the Client cancels the services contract within 180 days from the date of commencement.
Any credit toward additional contract C-Fees is limited to 15% of paid C-Fees calculated for the contract and is at Our sole discretion; provided that You can verify that the contract was canceled through no fault of yours.
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, the C-Fee calculation varies based on several factors. Generally, the C-Fee for One-Time Services, Initial Cleans, or Extra Work on additional Accounts secured by Anago is equal to 20% of the gross fee charged to the client. This C-Fee is not financed.
There are opportunities to reduce the C-Fee. If the franchisee pays the C-Fee in full at the time of assumption, Anago reduces the C-Fee by 15%. Additionally, no interest charges accrue if the C-Fee is paid in full within 90 days of assumption.
The C-Fee structure also includes stipulations for when accounts are lost, transferred, or relinquished. If a franchisee voluntarily relinquishes an additional account with 10 business days' written notice, any remaining C-Fee payments are canceled if Anago can have another franchisee assume the account and the client does not cancel within 60 days of the transfer. However, if an account is lost due to specific breaches of the agreement or abandonment of the franchise, the entire unpaid C-Fee amount becomes immediately due. Furthermore, C-Fee payments are discontinued if the client cancels the service contract through no fault of the franchisee. These C-Fees are non-refundable, but credits may be applied if a client cancels within 180 days of commencement, with such credits limited to 15% of paid C-Fees and subject to Anago's discretion.