What expenses must a Beggars Pizza franchisee reimburse for additional on-site evaluations?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
If you do not have an approved location before signing your Franchise Agreement, you will sign a Site Selection Addendum, we will provide such on-site evaluations as we deem advisable as part of our evaluation of your request for site approval. We will not provide on-site evaluations for any proposed site before our receipt of the information or materials required by your Franchise Agreement. If an on-site evaluation is deemed necessary and appropriate by us, we will conduct up to two on-site evaluations at our expense. For each additional on-site evaluation, you must reimburse us for our related expenses, including the costs of travel, lodging, and meals (Franchise Agreement, Exhibit B, Paragraph 5);
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 19–26)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, franchisees are responsible for reimbursing Beggars Pizza for expenses related to additional on-site evaluations. Beggars Pizza will conduct up to two on-site evaluations at its own expense. However, if additional evaluations are deemed necessary, the franchisee must cover the costs.
The specific expenses that the franchisee must reimburse include the costs of travel, lodging, and meals incurred by Beggars Pizza during these additional on-site evaluations. This means that franchisees need to budget for these potential costs when selecting a location, especially if the initial evaluations are not sufficient.
This policy is fairly standard in the franchise industry, as franchisors often provide initial site selection assistance but require franchisees to bear the costs of extensive or repeated evaluations. For a prospective Beggars Pizza franchisee, it's crucial to carefully assess potential locations and provide thorough information to Beggars Pizza to minimize the need for additional, costly on-site evaluations.