Does Beard Papas review the terms of the lease for my Shop Location?
Beard_Papas Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Lease We do not review the terms of the lease for your Shop Location but require that your landlord acknowledge our rights as set forth in the lease agreement rider attached as Exhibit 4 to the Franchise Agreement (the "Lease Agreement Rider") and that you collaterally assign the lease to us as set forth in the collateral assignment of lease attached as Exhibit 5 to the Franchise Agreement (the "Collateral Assignment of Lease"). We possess the right to disapprove of a proposed lease if the landlord refuses to sign the Lease Agreement Rider in substantially the form set forth in Exhibit 4 to the Franchise Agreement. The Lease Agreement Rider grants certain rights to us, including our right to be notified in the event of a lease default and, potentially, for us to enter the premises of your Shop.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 26–29)
What This Means (2025 FDD)
According to Beard Papas's 2025 Franchise Disclosure Document, Beard Papas does not review the lease terms for your shop location. However, Beard Papas requires that your landlord acknowledge their rights as outlined in the Lease Agreement Rider, which is attached as Exhibit 4 to the Franchise Agreement. Additionally, you must collaterally assign the lease to Beard Papas, as detailed in the Collateral Assignment of Lease attached as Exhibit 5 to the Franchise Agreement.
Beard Papas retains the right to disapprove a proposed lease if the landlord refuses to sign the Lease Agreement Rider in the specified form. The Lease Agreement Rider grants Beard Papas certain rights, including the right to be notified in the event of a lease default and the potential right for them to enter your shop's premises.
This means that while Beard Papas doesn't directly negotiate or review the lease terms, they have specific requirements to protect their interests, such as the landlord's acknowledgment of their rights and the ability to step in if the lease is defaulted. As a prospective franchisee, it is important to carefully review Exhibits 4 and 5 of the Franchise Agreement to understand the full scope of Beard Papas's rights and your obligations regarding the lease.