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Business Services

Anago Franchise Cost Breakdown

Complete investment analysis based on official FDD data

Total Investment

$12,750 – $68,250

Franchise Fee

$31,000

Royalty Rate

5.0%

Initial Investment Range

Low: $12,750 High: $68,250

The total initial investment to open a Anago franchise ranges from $12,750 to $68,250, as disclosed in their Franchise Disclosure Document. This includes the one-time franchise fee of $31,000.

Midpoint estimate: $40,500

Franchise Fee

$31,000

One-time initial fee

The Anago franchise fee is a one-time upfront payment made to the franchisor when you sign the franchise agreement. This fee grants you the right to operate under the Anago brand and is included in the total initial investment range above.

Ongoing Fees

Royalty Fee

5.0%

of gross revenue

Ad/Marketing Fund

2.0%

of gross revenue

Total Ongoing Fee Burden: 7.0% of gross revenue

Combined royalty and advertising fund contributions before any other fees.

Other Ongoing Fees

Fee Type Rate Type Notes
Royalty Fee 10.0 PCT Due on the 20th of every month. Gross Revenues includes all amounts received for services provided to Clients, excluding sales taxes collected and paid. Cash refunds and uncollectable receivables are deducted to extent previously included in Gross Revenues where fees were paid.
Administration Fee 6.0 PCT Due on the 20th of every month. Charged to reimburse franchisor for costs as franchisee's agent to invoice, receive, and disburse funds from clients. Retained from client payments.
Advertising Contributions to Marketing Fund 2.0 PCT Due on the 20th of every month. Advertising contributions are being imposed at this time.
Technology Fee 1.5 PCT Not currently assessed, but if initiated, up to 1.5% of monthly Gross Revenues. Due on the 20th day of each month. Consideration for computer system hardware and/or software. Pass-through fee paid directly to AFI for technology services.
Credit Card Charges for Client payments 6.15 PCT Up to 6.15% charged by processing bank. Paid out of Gross Revenues. Franchisee notified on the 20th of every month if any client payments by credit card.
C-Fees 3.0 VARIABLE Currently 3.0 times the Gross Monthly Billing, but can be increased to 5.0 times with 30 days' notice. Payable in full at time of assumption of Account. May be financed upon request. Fee for assignment and assumption of each additional Account. Supplies not included.
Guaranteed Payment Option 5.0 PCT Due on the 20th of every month. Optional plan where franchisor pays franchisee for invoiced amounts regardless of Client payment. Fee assessed only on contracts and products franchisee provided to client.
Account Transfer Fee 100.0 FIXED $100 for transfer due to poor performance or 3+ complaints in 30 days. Additional $50 if extra work needed to bring cleanliness to acceptable standards (total $150). All other transfers assessed $50 fee. Due immediately upon receipt of invoice.
Standards Enforcement Fees 50.0 FIXED Due within 20 days of invoice. Assessed if franchisee has 2 hours to respond but franchisor's Brand Standards Department must respond, or if franchisee fails to correct deficiency by next scheduled visit. Franchisee also assessed all costs to correct complaint.
Handling Fees 100.0 FIXED Due immediately upon receipt of invoice. Charged for each client payment franchisee fails to forward to Anago Regional Office for processing.
Advanced Payment Fee 25.0 FIXED Due immediately upon receipt of invoice. $25 processing fee if franchisor advances collected funds not yet payable. If franchisor loans uncollected funds, $25 processing fee plus 18% per annum interest until fully paid.
Corrective Measures Fees 250.0 VARIABLE Due within 20 days of invoice. Required if franchisee receives unsatisfactory inspection reports and fails to remedy deficiencies. Franchisee responsible for all associated expenses including travel, meals, lodging. If designated vendor used, franchisee pays vendor directly.
Insurance Coverage through Us 9.0 PCT Due within 20 days of invoice. Currently 9% for General Liability plus $2.00 per Client per invoice for surety bond. If franchisee doesn't obtain through franchisor, still liable for 3% of Gross Revenues for insurance administration and policy verification. Franchisee responsible for all deductibles.
Insurance Coverage (Failure of Franchisee to maintain coverage) 9.0 PCT Due upon invoice. If franchisee fails to maintain required insurance, franchisor may obtain it and charge cost plus interest on advanced monies and reasonable fee. Currently 9% for General Liability plus $2.00 per Client per invoice for surety bond.
Deficiencies N/A VARIABLE Due immediately upon receipt of invoice. If franchisee doesn't satisfy obligations, franchisor may perform them and franchisee must reimburse actual costs.
Transfer Fee 10.0 PCT Due at time of transfer. In lieu of Initial Fee. No Transfer Fee if transferee is spouse or child of transferor, or wholly owned entity, but reasonable administrative fee (currently $250) will be charged.
Testing and/or Inspection of unapproved products and/or services 300.0 VARIABLE Payable by invoice within 30 days of receipt. Estimated $100-$500. Applies when franchisee seeks to use unapproved products/services.
Liquidated Damages for Premature Termination N/A VARIABLE Due immediately upon receipt of invoice. If termination due to franchisee default, lump sum equal to NPV of all Royalty Fees, advertising contributions and Administration Fees from termination date to earlier of: 36 months or scheduled expiration. Calculated based on average Gross Revenues for 12 months preceding termination.
Fee for Lost Manual 500.0 FIXED Due immediately upon receipt of invoice. Replacement copy loaned at $500 fee. Partial loss or failure to update considered complete loss.
Liquidated Damages for Sale of Prohibited Products or Services 100.0 FIXED Due immediately upon receipt of invoice. $100 for each day of prohibited offer or sale of unauthorized or prohibited products and services.
Liquidated Damages for Violation of Non-Compete 1000.0 FIXED Due immediately upon demand. Applies if franchisee violates in-term or post-term covenant not to compete, for duration of violation.
Indemnity N/A VARIABLE Due immediately upon receipt of invoice. Franchisee must reimburse if franchisor held liable for claims from Business operation or breach of agreement. Also applies if franchisor or AFI alleged to be employer or joint employer.
Enforcement Costs N/A VARIABLE Due immediately upon receipt of invoice. Prevailing party in legal action entitled to recover reasonable attorneys' fees, court costs and expenses. Franchisee must reimburse all costs (including attorneys' fees) for enforcement measures short of filing legal proceeding.
Mandatory Continuing Education 500.0 VARIABLE Due upon receipt of invoice. Up to $500 per session. Required if franchisee receives unsatisfactory inspection and fails to remedy deficiencies. Franchisee responsible for all associated expenses including travel, meals, lodging.
Operations Fee 50.0 FIXED Due upon receipt of invoice. $50 plus labor and materials costs. Assessed if franchisor procures service to Account franchisee is servicing to comply with requirements, or if franchisee unable or unwilling to provide services.
House Account Finance Fee 5.25 PCT Due immediately upon receipt of invoice. 5.25% finance charge on supplies charged to Anago House Account at designated supplier.
Key Return Fee 500.0 FIXED Due on demand. $500 per day for failure to return client keys, security passes, codes, and access means when agreement expires/terminates or when stop servicing client. If key lost, franchisee charged full replacement cost and/or re-keying/reprogramming costs.

What You Get

Category

Business Services

Franchise Score

81

out of 100

Anago provides commercial cleaning and facility services for office buildings, retail locations, and various commercial properties worldwide. The franchise operates through local franchisees who deliver professional janitorial and facility maintenance solutions.

Financial Performance (Item 19)

Median Revenue

$386,968

per year, per location

Profitability Estimate

Estimated Owner Profit

$108,351

per year

Profit Margin

28.0%

of revenue

Estimation method: benchmark

Estimated ROI (Simple Payback): 0.4 years

Based on midpoint investment of $40,500 and estimated annual owner profit of $108,351.

Unit Growth & Failure Rate

Avg. Annual Closure Rate

0.0%

Low risk — below industry average

Net Unit Growth

+9 units

From 2022 to 2024

Unit Activity History

Year Start Opened Closed Transfers End
2022 36 +3 32
2023 32 +8 34
2024 34 +23 45

Is a Anago Franchise Worth It?

Based on the FDD data, here is a data-driven snapshot of the Anago franchise opportunity:

Overall Score

81/100

Strong opportunity

Est. Payback Period

0.4 yrs

Fast payback

Risk Level

Low

0.0% annual closure rate

Anago scores well across our evaluation criteria, indicating a strong franchise system. With median unit revenue of $386,968 and a combined fee burden of 7.0% of gross revenue, prospective franchisees should model their own financial projections carefully. For a complete analysis including risk factors, deal-breaker flags, and detailed financial modeling, see the full report.

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