factual

What must a Beggars Pizza franchisee submit to the franchisor before acquiring a site for the restaurant?

Beggars_Pizza Franchise · 2025 FDD

Answer from 2025 FDD Document

    1. Prior to Franchisee's acquisition by lease or purchase of a site for the Restaurant, Franchisee must submit to Franchisor, in the form specified by Franchisor, a completed site review form, such other information or materials as Franchisor may reasonably require, and a letter of intent or other evidence satisfactory to Franchisor which confirms Franchisee's favorable prospects for obtaining the proposed site. Recognizing that time is of the essence, Franchisee must submit a proposed site, together with the information and materials required by this Paragraph 4, to Franchisor for its approval within sixty (60) days after execution of this Site Selection Addendum. Franchisor will have thirty (30) days after receipt of such information and materials from Franchisee to approve or disapprove the site as a location for the Restaurant in Franchisor's sole discretion. No proposed site will be deemed approved unless it has been expressly approved 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, before a franchisee can acquire a site for their restaurant, they must submit specific items to Beggars Pizza for approval. This includes a completed site review form (in the format specified by Beggars Pizza), any other information or materials that Beggars Pizza may reasonably require, and a letter of intent or other evidence satisfactory to Beggars Pizza that confirms the franchisee's favorable prospects for obtaining the proposed site.

The franchisee has a limited timeframe to submit this information. Specifically, the franchisee must submit the proposed site, along with all required information and materials, to Beggars Pizza for approval within sixty (60) days after executing the Site Selection Addendum. Beggars Pizza then has thirty (30) days after receiving the information to either approve or disapprove the site, based on their sole discretion. It is important to note that no proposed site is considered approved unless Beggars Pizza provides express written approval.

This process is crucial because the suitability of the location significantly impacts the potential success of the Beggars Pizza franchise. However, Beggars Pizza's approval of a site does not constitute a guarantee of its suitability or future performance. The FDD emphasizes that demographic and economic factors can change, and Beggars Pizza will not be responsible if the site fails to meet the franchisee's expectations regarding revenue or operational criteria. The franchisee is ultimately responsible for independently investigating the site's suitability.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.