When is the initial fee for an Anago subfranchise payable?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
Initial Fees / Subfranchise Fee Deposit
In order to apply to become our master franchisee or subfranchisor, you must submit to us a completed application and pay the Initial Fee. The Initial Fee to obtain Anago Subfranchise Rights is $98,000 for the counties and/or cities that will comprise your territory. The Initial Fee is payable to us in full upon signing the Subfranchise Rights Agreement and isfully earned and non-refundable. However, if we do not offer you the right to enter into an Anago Subfranchise Rights Agreement or we offer you the right but you fail to enter into the agreement, in either case, within 30 days following your execution of a deposit agreement (the "Deposit Agreement") in the form attached as Exhibit C to this Disclosure Document, we will refund the amount you paid when you signed the Deposit Agreement, less any amounts as described in the Deposit Agreement. You are responsible to pay any sales, use or other taxes (other than our income tax) relating to the purcha
Source: Item 5 — INITIAL FEES (FDD page 12)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, the initial fee for obtaining Anago Subfranchise Rights, which amounts to $98,000 for the designated counties and/or cities in your territory, is due in full upon signing the Subfranchise Rights Agreement. This fee is considered fully earned and is non-refundable once paid.
However, there are specific circumstances under which a refund may be possible. If Anago does not offer you the right to enter into a Subfranchise Rights Agreement, or if you are offered the right but fail to enter into the agreement within 30 days of signing a deposit agreement, Anago will refund the amount paid when signing the Deposit Agreement, less any amounts described in the Deposit Agreement.
Prospective Anago subfranchisees should carefully review the Deposit Agreement to understand the conditions under which any portion of the initial fee may be refundable. It is also important to note that the subfranchisee is responsible for any sales, use, or other taxes related to the purchase of the Anago Subfranchise Rights Business, excluding Anago's income tax.