MASTER FRANCHISE
FAQ
Understanding the executive master franchise model
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GENERAL QUESTIONS
Why commercial cleaning?
Commercial cleaning is a $100 billion-a-year industry in the U.S. with projected double-digit growth. Every business needs to be cleaned, and the work can’t be replaced by the internet or outsourced to another country, which makes it a stable, recession-resistant business. Clients sign annual contracts, so revenue is recurring and predictable. And because the market is fragmented rather than dominated by a few companies, even a small market share can mean high revenue for a Master Owner.
What is our franchise model?
Anago Master Franchisees are business executives who purchase an exclusive territory. They sell Unit Franchises to people who want to own a commercial cleaning business, secure cleaning contracts from local businesses, and assign those contracts to their Unit Franchisees to help them grow. The Master earns money from selling Unit Franchises and from royalties on every cleaning contract their Unit Franchisees service. There’s no limit to the number of Unit Franchises that can be sold in a territory.
Is experience necessary?
No previous experience is necessary, just the motivation and drive for something better. Anago’s orientation program familiarizes you with everything required to run a successful Master Franchise territory.
Why choose Anago?
Everything Anago does is focused on the success of its Master Franchisees and their Unit Franchisees. Anago is a family-owned and operated business and is recognized as the technology leader in franchised commercial cleaning. Its proprietary cloud-based software helps you identify potential accounts, create customized proposals, manage client and Unit Franchise information, and run your Master Franchise’s financial operations, from billing to cash flow reporting.
Is a Master Franchise right for you?
Anago’s top Master Franchisees are former mid-to-senior-level executives with strong sales, marketing and management backgrounds, and the ability to recruit, direct and manage motivated sales staff is key. The ideal candidate is driven and self-motivated, is enthusiastic about following Anago’s proven systems, and meets the financial requirements. A Master Franchise Owner is a white-collar business executive: they don’t clean or manage cleaning crews. That’s the responsibility of their Unit Franchisees.
Awards & Recognition
Anago is recognized every year by leading franchise publications and organizations, including Franchise Business Review, Franchise Times and FranServe.
COSTS AND FEES
How much can I make?
With one of the most competitive royalty structures in franchised commercial cleaning, your income potential is unlimited. Anago Master Franchisees have seven primary revenue streams: Unit Franchise sales and notes; recurring royalties and administrative fees; revenue on one-time jobs and commissions; recurring insurance fees; a guaranteed payment option; advertising fees; and a margin on supply, equipment, apparel and promotional purchases made by Unit Franchisees.
What are my startup costs?
On average, start-up costs for an Anago Master Franchise range from $219K to $339K, including the franchise fee. They can include rent and utilities for your office (about 1,000 sq ft), marketing and advertising to attract Unit Franchisees and cleaning contracts, insurance, and legal and accounting fees. Because you start selling franchises and cleaning contracts as soon as you open, you’ll need less working capital.
What are the ongoing fees?
Anago has one of the most competitive royalty structures in the commercial cleaning industry. Ongoing fees due to the corporate office are a 5% royalty on collected janitorial services only (no royalty is due on what you don’t collect), a one-time flat charge of $400 for every Unit Franchise sold, and an administrative support fee on total monthly collections. All of these fees are collected from your Unit Franchisees.
Available Territories
Anago has Master Franchise opportunities available in many major metropolitan areas across the United States and Canada.
See available U.S. territories → | See available Canadian territories →
What do I get for my investment?
The franchise fee for most new U.S. and Canadian Master territories is currently $98K. Along with the rights to sell Unit Franchises and cleaning contracts in your territory, you get site development help (office space, your lease, hiring, a janitorial supplier and advertising contracts), initial training at the corporate office and in your territory, field training visits during your first two years, 24/7 access to the corporate support team, your local information on the Anago website, Anago University manuals and e-learning videos, and a ready-made Unit Franchise Agreement template.
Financial Requirements
Master Franchise candidates must meet financial requirements to purchase and support their territory. The franchise fee is $98K for most U.S. and Canadian territories, and the total working capital required is $219K to $339K, including the franchise fee.
Is financing available?
Anago has one of the lowest franchise fees in the commercial cleaning industry, so you keep more working capital to get your business going. Common ways to finance a Master Franchise include cash savings; your 401(k) or IRA, set up with a professional so you avoid early-withdrawal penalties (Anago can recommend companies to help); a home equity line of credit; and low- or no-interest loans from friends or family.
OPERATIONS
How hard is it to find customers?
Anago gives you an initial set of leads: businesses in your territory that outsource their cleaning, identified for high closing ratios, high retention and high contract value. Your inside sales team calls these businesses to set appointments for proposals, and once your local information is on the Anago website, clients will come to you for quotes.
How do I sell Unit Franchises?
Anago’s orientation program gives you an in-depth look at the best ways to recruit Unit Franchisees. Leads come from local advertising (Anago provides print and radio templates), your local information on the Anago website, the corporate office’s partnerships with top web advertisers, local events and festivals, networking through chambers of commerce and trade organizations, and referrals.
How hard is it to find Unit Franchises?
Anago offers programs to suit each prospective Unit Franchisee: existing janitorial company owners looking to expand, downsized employees who want to be their own boss, and couples, friends or business partners looking for extra income (most cleaning is done in the evening, so they can keep their day jobs). Your local information on the Anago website, advertising templates, corporate leads, local events and franchise expos, and referrals from your existing Unit Franchisees all help you find them.
How do I sell cleaning contracts?
Anago Unit Franchisees service all types of commercial properties, including multi-tenant office buildings, schools, banks, insurance companies, car dealerships, outpatient surgery centers and day-care centers. Clients sign annual, automatically renewing contracts, which gives you a stable revenue stream. Your inside sales team calls targeted leads from Anago’s system to set proposal appointments, and your local information on the Anago website brings clients to you for quotes.
Who buys Unit Franchise?
Anago’s Unit Franchisees are cleaning professionals who want to maximize their earnings by being in business for themselves, backed by Anago’s system and support. They include individuals, couples, friends and business partners looking for extra income; existing janitorial company owners who want to grow; and downsized employees who want to control their future.
What about the competition?
The commercial cleaning market is very fragmented, and no one in any major market has more than a small share. Anago’s cloud-based system targets the businesses in your area that most need cleaning services and gets you in front of the decision maker quickly, with no cold calling or knocking on doors.
