How is the Anago C-Fee repayable if the Gross Monthly Billing is $3,001 and above?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
s Monthly Billing from $2,001 up to and including $3,000, the C-Fee is payable: (a) 20% upon assumption of the Account; and (b) the balance payable in 11 or 17 equal monthly installments including interest at 14% per year. Should, for any reason, the Client contract not be renewed after 12 months, and the financing was for 17 months, the remaining balance is immediately due.
- (iii) For any a
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, the repayment terms for the C-Fee on accounts with Gross Monthly Billing of $3,001 or more are subject to negotiation between Anago and the franchisee. These terms will be documented in the Account Assignment & Assumption Agreement. This means that unlike accounts with lower billings, there isn't a standard, pre-set repayment schedule.
This flexibility could be beneficial for franchisees who want to tailor the repayment plan to their specific financial situation or business strategy. However, it also introduces an element of uncertainty, as the franchisee will need to negotiate acceptable terms with Anago. The franchisee should carefully consider their cash flow and ability to meet the negotiated payment schedule, as failure to do so could result in penalties or loss of the account.
Prospective franchisees should inquire about the typical range of repayment terms Anago has agreed to in the past for accounts of this size. Understanding the factors that influence Anago's willingness to negotiate different terms will be crucial for making informed financial decisions. Franchisees should also seek legal and financial advice to ensure that the negotiated terms are reasonable and sustainable for their business.