Under what circumstances might an Anago subfranchisee be required to attend retraining classes?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee1 | Amount | Due Date2 | Remarks |
|---|---|---|---|
| operation, no minimum b) from the 13th - 24th months of operation, the minimum Royalty Fee is $1,500 per month c) beginning the th month of 24 operation until the termination of this agreement, the monthly minimum Royalty Fee shall increase each 12 months by $1,500 over the prior minimum amount. Any Successor Agreement shall contain a provision for the minimum monthly royalty paid to be no less than the average monthly royalty paid during the last year of this agreement. | Unit Franchises, employees or other contractors, excepting only the amount of any sales taxes that are collected and paid to the taxing authority. Gross Revenues includes the proceeds of any business interruption insurance. Cash refund and credit given to Clients (except credit for missed cleaning days) and receivables uncollectable from Clients will be deducted in computing Gross Revenues to the extent that the cash, credit or receivables represent amounts previously included in Gross Revenues where Royalty Fees and other amounts were paid. Gross Revenues are deemed received by You at the time the goods, products, merchandise or services from which they derive are delivered or rendered or at the time the relevant sale takes place, whichever occurs first. Gross Revenues consisting of property or services (for example, "bartering" or "trade outs") are valued at the prices applicable, at the time the Gross Revenues are received, and to the products or services exchanged for the Gross Revenues. | ||
| Training Fees | $500 per day, if charged. There are no other fees charged for training. | As incurred. | Charged in the following circumstances: If you receive unsatisfactory audit/inspection reports from us and fail to promptly remedy the deficiencies, we may require you and designated employees to attend refresher training at our location as soon as reasonably possible. If you fail the Anago Training Program, you must |
| Type of Fee1 | Amount
Source: Item 6 — OTHER FEES (FDD pages 12–19)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, subfranchisees may be required to attend retraining classes under specific circumstances. If an Anago subfranchisee receives unsatisfactory audit or inspection reports and fails to promptly correct the identified deficiencies, Anago may require the subfranchisee and their designated employees to attend refresher training at Anago's location as soon as reasonably possible. Additionally, if a subfranchisee fails the Anago Training Program, they must attend retraining classes in the areas the training officer deems necessary for them to successfully complete the program for subfranchisors.
These retraining requirements are designed to ensure that Anago subfranchisees meet the brand's standards for quality and service. The cost for these training classes is $500 per day, if charged. This fee covers the expense of the training itself and potentially the cost of travel and accommodation, which the franchisee would need to cover themselves.
For a prospective Anago subfranchisee, this means it is crucial to perform well during initial training and to maintain high standards in their operations to avoid the need for costly retraining. Failing to do so could result in additional expenses and time away from the business, impacting profitability. It is important to note that the FDD does not specify who pays for travel and lodging expenses related to the retraining, so prospective franchisees should clarify this with Anago.