Does the Beggars Pizza franchise agreement outline the process for requesting a renewal?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement | Summary |
|---|---|---|
| a. Length of the term of the franchise | 2.1. | Ten years. |
| b. Renewal or extension of the term | 2.2. | You have the right to renew for one additional ten-year term if certain conditions are met. |
| c. Requirements to renew or extend | 2.2. | Conditions include (a) timely delivery of written notice of your election to renew, (b) completion of all maintenance, refurbishing, renovating, and remodeling of the Restaurant and all of the equipment, fixtures, furnishings, and interior and exterior signage as we require so that the Restaurant reflects the then-current image of a Beggars Pizza® Restaurant, (c) your current compliance with your Franchise Agreement and substantial compliance with your Franchise Agreement during the term to date, (d) your satisfaction of all monetary obligations owed to us, our affiliates, and trade creditors, (e) presenting satisfactory evidence of your ability to remain in possession of the Restaurant premises for the duration of the renewal term, (f) your execution of our then-current form of Franchise Agreement which may have materially different terms and conditions than your initial Franchise Agreement, (g) your and your owners' execution of a general release, (h) your compliance with our then-current qualification and training requirements, and (i) your payment of a renewal fee. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 31–35)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, the franchise agreement does outline the process for requesting a renewal. The initial term of a Beggars Pizza franchise is ten years, as stated in Section 2.1 of the franchise agreement. Franchisees have the option to renew for one additional ten-year term if they meet certain conditions.
The requirements to renew the Beggars Pizza franchise, as detailed in Section 2.2 of the franchise agreement, include several key obligations. Franchisees must provide timely written notice of their intent to renew. They are also responsible for completing all necessary maintenance, refurbishing, renovations, and remodeling of the restaurant, including equipment, fixtures, furnishings, and interior and exterior signage, to meet Beggars Pizza's then-current image standards.
To be eligible for renewal, franchisees must be in current compliance with the franchise agreement and have demonstrated substantial compliance throughout the initial term. All monetary obligations to Beggars Pizza, its affiliates, and trade creditors must be satisfied. Franchisees need to provide evidence of their ability to maintain possession of the restaurant premises for the duration of the renewal term. Furthermore, franchisees must execute Beggars Pizza's then-current franchise agreement, which may contain materially different terms and conditions compared to the initial agreement. Franchisees and their owners must also execute a general release, comply with the then-current qualification and training requirements, and pay a renewal fee.