Can Anago open and operate Company Units or franchise in my designated area?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
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The parties agree as follows:
ARTICLE 1 - APPOINTMENT
SECTION 1.1 GRANT OF UNIT FRANCHISE.
We grant You the right, and You undertake the obligation, to operate 1 Anago Unit Franchise under the System, subject to the terms of this Agreement.
SECTION 1.2 NO PROTECTED TERRITORY.
You are not obtaining any exclusive or protected territory. You may only operate your Unit Franchise anywhere within the counties of (Your counties) in the state of (Your State) (the "Area") under the name Anago. You cannot operate your Unit Franchise outside the Area. We may open and operate Company Units and franchise the Anago Unit Franchise to other Unit Franchisees or engage in any other method of distribution in Our complete discretion whenever, however and wherever We determine, including within the Area. You must designate your own Premises within the Area from which you will manage and administer Your Unit Franchise.
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, franchisees are not granted an exclusive or protected territory. The franchisee is only permitted to operate their Anago Unit Franchise within the counties specified as their area in the state they operate.
Anago retains the right to open and operate Company Units, franchise other Anago Unit Franchisees, or engage in any other method of distribution within the franchisee's designated area at their discretion. The franchisee must designate a premises within their area from which they will manage and administer their Unit Franchise.
If the franchisee chooses to operate their Anago Unit Franchise from a business premises rather than their residence, the business premises and lease agreement are subject to Anago's prior written approval, which will not be unreasonably withheld. This means that while franchisees have a defined area, Anago can still operate or franchise within that same area, potentially creating competition for the franchisee.