What are the payment terms for the Anago C-Fee if the Gross Monthly Billing is up to $2,000?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
thly Billing of additional Accounts, but we reserve the right, on 30 days' notice to You, to increase it to 5.0 times the Gross Monthly Billing of additional Accounts. The C-Fee and is payable in full at the time of the assumption of the Account or may be financed by Us at Our sole
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, the C-Fee payment terms are structured based on the Gross Monthly Billing of the additional accounts that a franchisee assumes. For accounts with Gross Monthly Billing up to and including $2,000, Anago requires an initial payment of 20% of the C-Fee upon assumption of the account. The remaining balance of the C-Fee is then financed and paid off in 11 equal monthly installments, which include interest at a rate of 14% per year.
This financing arrangement provides some flexibility for new Anago franchisees by allowing them to spread out the cost of the C-Fee over a period of time, rather than requiring a large upfront payment. However, the 14% annual interest rate will increase the total cost of the C-Fee over the 11-month payment period. Franchisees should factor this interest cost into their financial projections and consider whether they can afford the monthly payments.
Anago also offers options to reduce or eliminate interest charges. If a franchisee pays the C-Fee in full at the time of assumption, the C-Fee is reduced by 15%. Alternatively, if the C-Fee is paid in full within 90 days of assumption, no interest charges will accrue. These options may be attractive to franchisees who have sufficient capital and want to minimize their overall costs. Franchisees should carefully evaluate their financial situation and choose the payment option that best suits their needs and resources.