Under what circumstances does Anago assess an 'Account Transfer Fee'?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
nts that must be transferred from You to another Franchisee will incur the full month's C-Fee.
- (g) Operations Fee. If We elect to procure service to an Account You are currently servicing in order to comply with the Account's requirements or You are unable or unwilling to provide the services, You will be assessed an Operations Fee of $50 plus any labor and materials cost.
- (h) Account Transfer Fees. If a Client gives notice of pending cancellation or requests a transfer due to poor performance on Your part, or poor Client relations, We will assign the Account to another Unit Franchisee or if We have received 3 or more complaints from a Client or
Our Brand Standards Department within any 30-day period concerning Your performance and We elect to transfer the Account, an Account Transfer Fee of $100 will be assessed. If the transferred Account requires additional work to bring the cleanliness up to acceptable standards, You will be given an opportunity to provide labor and materials, at Your expense and You will be assessed an Additional Account Transfer Fee of $50 or a total of $150. If You cannot or elect not to provide labor and materials, We will procure the necessary labor and materials to the Client and deduct the expense from monies due You. If We receive 3 or more complaints during a 30-day period, We
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, an Account Transfer Fee is assessed under specific circumstances when a client account is transferred from one franchisee to another. If a client gives notice of cancellation or requests a transfer due to the franchisee's poor performance or client relations, Anago will assign the account to another franchisee and assess a $100 Account Transfer Fee.
Additionally, if Anago receives three or more complaints from a client or its Brand Standards Department within a 30-day period regarding a franchisee's performance and elects to transfer the account, a $100 fee will be assessed. If the transferred account requires additional work to meet acceptable cleanliness standards, the franchisee has the option to provide labor and materials at their own expense, and will be assessed an additional $50 Account Transfer Fee, totaling $150. If the franchisee cannot or chooses not to provide the necessary labor and materials, Anago will procure them and deduct the expense from monies due to the franchisee.
Furthermore, if inspections by Anago's Brand Standards Department reveal a continued lack of proper service or poor quality, Anago has the right to transfer the account without notice and assess a $100 Account Transfer Fee. All other transfers will be assessed a $50 Account Transfer Fee. This means that even in situations beyond poor performance, such as a franchisee selling their business, a transfer fee may apply. It is important for prospective franchisees to understand these conditions, as these fees can impact their earnings and operational costs.