Is an Anago Unit Franchisee required to open a separate commercial bank account?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree to operate the Anago Unit Franchise in conformity with all mandatory uniform methods, standards and specifications required in the Unit Franchise Operating Manual or otherwise, to ensure that the highest degree of quality and service is uniformly maintained. You agree to:
- (a) Open and maintain a separate commercial bank account for the Anago Unit Franchise;
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, a Unit Franchisee is required to open and maintain a separate commercial bank account for their Anago Unit Franchise. This account must be in the name of the franchisee's Corporation or LLC business entity with the fictitious name listed. Franchisees must also deliver a voided check to Anago's office as proof of the account.
This requirement ensures that all financial transactions related to the Anago franchise are kept separate from the franchisee's personal or other business accounts. This separation of funds helps in maintaining clear financial records, simplifies auditing processes, and ensures transparency in financial dealings between the franchisee and Anago.
Furthermore, Anago requires that all client payments, unless otherwise directed, be deposited into an escrow account designated by Anago. Unit Franchisees cannot deposit payments directly into their own accounts; instead, they must deposit them into the Anago Escrow Account for processing. Failure to comply with these financial procedures can result in the franchisor assuming all billing and invoicing responsibilities, with clients being directed to forward all invoice payments directly to Anago.