What is the Anago Subfranchisor's obligation regarding National Accounts?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
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.
- (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.
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, a Subfranchisor has specific obligations regarding National Accounts. The Subfranchisor is required to refer all National Accounts to Anago. The Subfranchisor is prohibited from entering into any contracts with National Accounts without first obtaining written consent from Anago.
Anago retains the right to enter into contracts for Anago services with National Accounts, either directly or through a designee, regardless of where the National Account originates. A "National Account" is defined as a client or prospective client that owns, manages, operates, controls, or is responsible for ten or more locations in the Subfranchisor's area, or manages multiple locations both inside and outside the Subfranchisor's area, or requests a proposal that the Subfranchisor is not qualified to submit.
If Anago secures a contract with a National Account that has locations within the Subfranchisor's area, Anago has the option to allow the Subfranchisor to license Unit Franchisees to service those locations within the area. This arrangement would be subject to terms and conditions specified by Anago and would be on a non-exclusive basis. With the exception of National Accounts, the Subfranchisor is obligated to enter into client contracts using a form approved by Anago, agreeing to provide services to such clients through Unit Franchisees in the area. Anago retains all rights to clients and client accounts upon termination or expiration of the Subfranchise Agreement.