factual

Who is responsible for designating which Unit Franchisees will service each Anago Client Account?

Anago Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (c) Subfranchisor shall be solely responsible for designating which Unit Franchisees in the Area will be given the opportunity to take an assignment of or join in the agreement with the Client and who, as a result, will be responsible for performing services for each Client Account in accordance with the Unit Franchise Agreement. Subfranchisor shall ensure that all Client Accounts are being serviced by Unit Franchisees in strict accordance with the Unit Franchise Agreement and the Anago Manuals.
  • (b) With the exception of National Accounts, Subfranchisor shall enter into Client contracts in the form approved by Franchisor (a "Client Account") agreeing to provide Anago janitorial and other approved facilities-related services to such Client through Unit Franchisees in the Area. Subfranchisor acknowledges and agrees that Franchisor shall own all rights in and to all Clients and Client Accounts upon default, termination or expiration of this Agreement.

Notwithstanding the foregoing, Subfranchisor shall refer all National Accounts to Franchisor.

Subfranchisor shall not enter into any contracts with National Accounts without first obtaining Franchisor's written consent.

Franchisor reserves the right to, either itself or through its designee, enter into contracts for the performance of Anago services to National Accounts. wherever or however the National Account is originated. "National Account" means any client or prospective client that, directly or though its affiliates: (i) owns, manages, operates, controls, or is responsible for ten (10) or more locations in your Area; (ii) owns, manages, operates, controls or is responsible for multiple locations, one or more of which is in your Area and one or more of which is outside of your Area; and (iii) requests that we or our affiliates submit or allow us or our affiliates to submit a response to a request for proposals ("RFP") and we determine that you do not meet the National Account's qualifications to submit an RFP response or enter into the contract.

If Franchisor signs a contract with a National Account with locations in Subfranchisor's Area, and it is not prohibited from doing so under its contract with the National Account, Franchisor may provide Subfranchisor the option, on terms and conditions specified by Franchisor and on a non-exclusive basis, to license Unit Franchisees in the Area to perform services for National Account locations within the Area.

Source: Item 23 — RECEIPTS (FDD pages 62–298)

What This Means (2025 FDD)

According to Anago's 2025 Franchise Disclosure Document, the Subfranchisor is responsible for designating which Unit Franchisees will service each Anago Client Account. The Subfranchisor determines which Unit Franchisees in their area will have the opportunity to take on or join an agreement with a client. Consequently, these selected Unit Franchisees will be responsible for providing services to the Client Account, adhering to the Unit Franchise Agreement.

This means that as a Subfranchisor, you have the authority to assign specific cleaning jobs to your Unit Franchisees. This responsibility includes ensuring that all Client Accounts are serviced by Unit Franchisees in strict accordance with both the Unit Franchise Agreement and the Anago Manuals. This ensures quality control and adherence to Anago's standards.

However, the Subfranchisor must refer all National Accounts to Anago. The Subfranchisor cannot enter into any contracts with National Accounts without first obtaining written consent from Anago. Anago retains the right to contract directly with National Accounts or allow its designee to do so. If Anago secures a contract with a National Account within the Subfranchisor's area, Anago may offer the Subfranchisor the option to have Unit Franchisees service those locations under terms and conditions set by Anago.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.