When is the C-Fee payable in full 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.
The difference between the amount You have paid in C-Fees and the amount of credit given will be deemed earned by Us.
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, there are a few options regarding when the C-Fee is payable in full. The C-Fee, as defined in subsection 3.1(f), can be paid in full at the time of assumption, which would result in a 15% reduction of the C-Fee. Alternatively, the C-Fee can be paid in full within 90 days of assumption without accruing any interest charges.
For One-Time Services, Initial Cleans, or Extra Work on additional Accounts secured by Anago, the C-Fee is equal to 20% of the gross fee charged to the Client and cannot be financed. If a franchisee voluntarily relinquishes an additional Account after providing 10 business days' written notice, any remaining C-Fee payment will be canceled if Anago can 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.
However, if an additional Account is lost for reasons stated in Subsections 2.1(c)(ii)-(iii), or if service to the Account ceases for more than 2 days without at least 10 business days' written notice and Anago's consent, or if the Anago Unit Franchise is abandoned and the C-Fee was financed, the entire unpaid amount becomes immediately due upon the loss of the account or abandonment of the Unit Franchise. C-Fee payments are discontinued if the Client cancels the service contract through no fault of the franchisee. C-Fees are non-refundable, but 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 Anago's sole discretion, provided that the franchisee can verify that the contract was canceled through no fault of their own. The difference between the amount paid in C-Fees and the amount of credit given will be deemed earned by Anago.