What standards must Anago Subfranchisors use when screening franchise candidates?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
- (f) In recruiting prospective franchisees, Subfranchisor shall screen franchise candidates pursuant to standards required by Franchisor and shall make every effort to locate candidates in the Area who meet Franchisor's then-current qualifications required to operate an Anago Unit franchise.
Subfranchisor shall obtain completed franchisee applications for processing and review, and shall timely deliver, in accordance with all applicable laws, Subfranchisor's FDD (Subfranchisor - Single Unit).
Subfranchisorshall promptly refer to Franchisor all inquiries Subfranchisor receives regarding the establishment of a franchise outside the Area.
- (g) Subfranchisor will enter into Franchisor's then-current form of Unit Franchise Agreement with each approved franchise candidate.
A current copy of the Unit Franchise Agreement is attached as Exhibit I.
Subfranchisor acknowledges that certain changes and modifications to the Unit Franchise Agreement may be required in order to comply with System changes, business practices, laws and regulations.
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, Subfranchisors must adhere to specific standards when screening potential franchisees. Anago requires Subfranchisors to screen candidates based on the standards it sets. The Subfranchisor is expected to actively seek out candidates within their designated area who meet Anago's current qualifications for operating a unit franchise.
As part of the screening process, the Subfranchisor is responsible for obtaining completed franchise applications from candidates. These applications must then be submitted for processing and review. The Subfranchisor must also provide their own Franchise Disclosure Document (FDD), specifically the Subfranchisor - Single Unit FDD, to potential franchisees in compliance with all applicable laws.
Furthermore, the Subfranchisor is obligated to use Anago's current Unit Franchise Agreement with each candidate that Anago approves. The agreement is included as an exhibit in the FDD. The document also states that changes and modifications to the Unit Franchise Agreement may be necessary to comply with system changes, business practices, laws, and regulations.