Are the lease agreements that Beard Papas has noncancelable?

According to the 2025 Beard Papas Franchise Disclosure Document, the company itself enters into noncancelable lease agreements. Specifically, for the years ending December 31, 2023, and 2022, Beard Papas incurred rent expenses of approximately $168,000 and $70,000, respectively, under these noncancelable lease agreements.

This indicates that Beard Papas, as a company, commits to its property leases for the long term and is obligated to pay rent for the duration of those leases. However, this information pertains to the leases held by the company itself, not necessarily the lease agreements that franchisees will enter into for their individual shop locations.

While the document confirms that Beard Papas uses noncancelable leases, it does not specify whether franchisees are required to secure noncancelable leases for their locations. The FDD states that the franchisee is responsible for site selection, subject to the franchisor's approval, and must negotiate their own lease terms. A prospective franchisee should clarify with Beard Papas whether they mandate franchisees to enter into noncancelable lease agreements and what the typical terms and conditions of those leases are.