Can Anago concentrate purchases with one or more suppliers?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
We may concentrate purchases with 1 or more suppliers to obtain the lowest prices and/or the best advertising support and/or services for any group of Franchised Units or Company Units within the System.
Approval of a supplier may be conditioned on requirements on the frequency of delivery, standards of service, warranty policies including prompt attention to complaints, and concentration of purchases, as stated above, and may be temporary, pending Our additional evaluation of the supplier.
We in no way warrant the use of approved vendors or supplies when they are utilized outside the Anago System.
We may designate a supplier where a Franchisee may go and buy supplies and charge the supplies to the House Account.
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, Anago may concentrate purchases with one or more suppliers. Specifically, Anago does this to potentially obtain the lowest prices, the best advertising support, and/or services for any group of franchised or company units within the Anago system.
Anago may approve a single supplier for any brand and may approve a supplier only as to a certain brand or brands. In approving suppliers for the System, Anago may consider factors like the price and quality of the products or services and the supplier's reliability. Approval of a supplier may be conditioned on requirements on the frequency of delivery, standards of service, warranty policies including prompt attention to complaints, and concentration of purchases.
This policy means that Anago franchisees may be required to purchase certain supplies or equipment from specific vendors chosen by Anago. While this could potentially lead to cost savings or better service, it also limits the franchisee's autonomy in choosing suppliers. Prospective franchisees should evaluate whether they are comfortable with this level of control and whether they believe Anago's chosen suppliers will genuinely offer the best value.