Is Beggars Pizza allowed to designate other suppliers besides Begcom?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
as Franchisor may from time to time prescribe in the Manual or
otherwise in writing. Franchisee must refrain from deviating from such standards, specifications, and procedures without Franchisor's prior written consent.
- 7.3 Trade Secret Items, Commissary Items, and Other Items. Franchisor has developed certain proprietary, confidential and trade secret recipes that are part of the System including, without limitation, pizza dough, spaghetti and pizza sauces, sausage, and secret spice blends, and may develop additional such recipes and products from time to time. Franchisor sells such products through Begcom or other designated suppliers. Franchisee acknowledges and agrees that such items are essential to the operation of the Restaurant. Begcom is the designated supplier of certain additional food items and supplies (including, without limitation, cheeses, sausages, and paper products), some of which bear the Proprietary Marks and some of which do not bear the Proprietary Marks, and Franchisor may from time to time specify in the Manual or otherwise in writing certain other parties that will be designated suppliers for specified products, materials, supplies, paper goods, fixtures, furnishings and equipment used or sold at the Restaurant. Franchisee acknowledges and agrees that it must purchase such items from Begcom or such other designated suppliers in order to assure the uniform quality and image associated with the Restaurant.
- 7.4 Adherence to Standards and Specifications. To ensure that the highest degree of quality and service is maintained, Franchisee must operate the Restaurant in strict conformity with such methods, standards, and specifications as Franchisor may from time to time prescribe in the Manual or otherwise in writing. Franchisee must:
- 7.4.1 Maintain in sufficient supply as Franchisor may prescribe in the Manual or otherwise in writing, and to use at all times, only such products and ingredients acquired from a supplier or suppliers designated or approved by Franchisor, and such other ingredients, products, materials, supplies, paper goods, fixtures, furnishings, equipment, signs and menu items, as conform with Franchisor's standards and specifications, and to refrain from deviating therefrom by the use of nonconforming items, without Franchisor's prior written consent. Franchisor may designate itself or an affiliate to be an approved supplier, or the only approved supplier, of any products or other items;
- 7.4.2 Sell or offer for sale only such menu items, and other products and services as have been expressly approved for sale in writing by Franchisor;
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, Beggars Pizza has the authority to designate suppliers other than Begcom LLC. Begcom LLC ("Begcom") is identified as an affiliate that sells trade secret food ingredients.
The FDD specifies that franchisees must purchase food items, ingredients, supplies, materials, and other products and equipment from Beggars Pizza, its affiliates, or designated suppliers. These designated suppliers must meet Beggars Pizza's standards and specifications, demonstrate adequate quality controls and capacity, and receive approval from Beggars Pizza.
This means that while Beggars Pizza sells products through Begcom, they can also approve other suppliers who meet their criteria. Beggars Pizza can also require franchisees to purchase approved products solely from Beggars Pizza or an affiliate.