What is the estimated total initial investment range to start an Anago franchise?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expense1 | Amount | Method of Payment | When Due | To Whom Payment Is To Be Made |
|---|---|---|---|---|
| Initial Fee / Subfranchise Fee2 | $98,000 | Lump Sum | Upon signing the Subfranchise Rights Agreement | Us |
| Legal and | $5,000 to | As arranged | As incurred | Attorneys and |
| Accounting3 | $15,000 | Accountants | ||
| Type of Expense1 | Amount | Method of Payment | When Due | To Whom Payment Is To Be Made |
| Marketing and | $50,000 to | As incurred | As incurred | Suppliers |
| Advertising4 | $100,000 | |||
| Travel Expenses | $2,000 to | As arranged | As incurred | Third Parties |
| for training5 | $3,000 | |||
| Lease/Utility | $10,000 to | Lump Sum | As incurred | Third Parties |
| Deposits and Rent6 | $20,000 | |||
| Equipment, Fixtures, and Computer Systems7 | $15,000 to $25,000 | As arranged | As arranged | Us and Suppliers |
| Office Supplies8 | $1,000 to $2,000 | Lump Sum or installments/Lease | As incurred | Third Parties |
| Vehicle Operating | $3,000 to | As incurred | As incurred | Third Parties |
| Expenses9 | $6,000 | |||
| Insurance10 | $5,000 to $10,000 | Lump Sum | As arranged | Us |
| Miscellaneous | $10,000 to | As incurred | Before beginning | Third Parties |
| Start-up Costs11 | $20,000 | business | ||
| Additional Funds12 | $20,000 to $40,000 | As incurred | As incurred | Third Parties |
| TOTAL13 | $219,000 to $339,000 |
Source: Item 7 — YOUR ESTIMATED INITIAL INVESTMENT (FDD pages 19–22)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, the estimated total initial investment to begin a franchise ranges from $219,000 to $339,000. This total encompasses various expenses that a new subfranchisor can expect to incur. These expenses include the initial subfranchise fee of $98,000, legal and accounting fees estimated between $5,000 and $15,000, and marketing and advertising costs ranging from $50,000 to $100,000.
Additional costs include travel expenses for training, which are estimated to be between $2,000 and $3,000, and lease and utility deposits and rent, estimated between $10,000 and $20,000. Franchisees should also budget for equipment, fixtures, and computer systems, with costs ranging from $15,000 to $25,000, and office supplies, estimated between $1,000 and $2,000. Vehicle operating expenses are projected to be between $3,000 and $6,000, while insurance costs range from $5,000 to $10,000. Miscellaneous start-up costs are estimated to be between $10,000 and $20,000, and additional funds needed range from $20,000 to $40,000.
Prospective Anago subfranchisors should note that these figures are estimates and the actual investment may vary based on factors such as local conditions, real property and equipment costs, personnel employed, and the size and location of the area. The FDD advises consulting with an experienced accountant or financial advisor to develop a business plan and financial projections. Furthermore, the document emphasizes the importance of having sufficient working capital to cover operating expenses during the initial phase of the business.