What factors does Beggars Pizza consider when approving a site for a Restaurant?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
se a site for the Restaurant. Although you are solely responsible for locating the site for the Restaurant, the location is subject to our written approval. Our approval will be based upon a variety of factors which may include the viability of the then-current location and demographics including the number of households, household income, and vehicular traffic. You may not relocate the Restaurant to any other location without our prior written consent. If we
approve any relocation of the Restaurant, you must de-identify the former location.
Source: Item 12 — TERRITORY (FDD pages 26–28)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, the franchisor's approval of a restaurant site is based on several factors. These factors include the viability of the location, demographics such as the number of households, household income, and vehicular traffic. While the franchisee is responsible for finding the site, Beggars Pizza retains the right to approve it.
This approval process is a standard practice in franchising, as franchisors want to ensure that new locations have the best chance of success, which reflects positively on the brand. Beggars Pizza's consideration of factors like household income and traffic patterns suggests they conduct market research to assess potential profitability.
Furthermore, the FDD states that franchisees must submit their proposed lease to Beggars Pizza for approval. Beggars Pizza will only approve a lease if the franchisee and the landlord have signed a conditional assignment of lease that allows Beggars Pizza to assume the lease if the franchisee defaults. This requirement protects Beggars Pizza's interests and ensures they can maintain control over the location if the franchisee fails to meet their obligations. Franchisees should carefully review Exhibit G, which contains the form for the conditional assignment of lease, to understand the terms and conditions.