factual

Under what circumstances will Anago NOT pay a franchisee for extra work or initial cleans?

Anago Franchise · 2025 FDD

Answer from 2025 FDD Document

n-refundable. However, credits for C-Fee payments will be made if the Client cancels the services contract within 180 days from the date of commencement. Any credit toward additional contract C-Fees is limited to 15% of paid C-Fees calculated for the contract and is at Our sole discretion; provided that You can verify that the contract was canceled through no fault of yours. The difference between the amount You have paid in C-Fees and the amount of credit given will be deemed earned by Us. No C-Fee credits are given if You desire to cease servicing the Client or if the contract is canceled as a direct result of Your Anago Unit Franchise's fault.

  • (x) On buildings with varying occupancy levels you will pay a monthly C-Fee based on amount of square footage cleaned.
  • (xi) Should an additional Account request an increase in services and the monthly gross billings increase, additional C-Fees may be charged in our sole discretion.
  • (xii) There is no C-Fee assessed when You obtain an Account solely through Your own marketing and sales efforts, without assistance from the Regional Office (excluding the preparation of the actual bid proposal).
  • (xiii) Partial C-Fees may be assessed at 50% of normal schedule if You need a Regional Office representative to assist with the bid pricing or to close the sale.
  • (xiv) All C-Fee credits must be requested in writing within 30 days after termination of an Account.
  • (xv) Accounts 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 pr

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

What This Means (2025 FDD)

Based on the 2025 Anago Franchise Disclosure Document, the document does not explicitly state the circumstances under which Anago will not pay a franchisee for extra work or initial cleans. However, it does mention conditions where C-Fee credits are not given, such as if the franchisee desires to cease servicing the client or if the contract is canceled due to the franchisee's fault.

Additionally, the FDD outlines scenarios where Anago may elect to procure service to an account a franchisee is currently servicing if the franchisee is unable or unwilling to provide the services, which could impact payment for work. In such cases, the franchisee will be assessed an Operations Fee of $50 plus any labor and materials cost.

To fully understand the circumstances in which Anago will not pay a franchisee for extra work or initial cleans, a prospective franchisee should seek clarification from Anago regarding specific policies and procedures related to payment for services rendered, especially in situations involving contract cancellations, service issues, or additional work requests.

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.