factual

Is Beggars Pizza franchisor approval required for the restaurant site selected by the franchisee?

Beggars_Pizza Franchise · 2025 FDD

Answer from 2025 FDD Document

is Site Selection Addendum. Time is of the essence.

    1. Franchisor will not establish, nor franchise another to establish, a Beggars Pizza® restaurant within the Site Selection Territory until Franchisor approves a location for the Restaurant or until the time set forth in Paragraph 1 expires, whichever event first occurs.
    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.
      1. Franchisor must furnish to Franchisee the following:
  • a. Such site selection guidelines and consultation as Franchisor deems advisable;
  • b. Such on-site evaluation as Franchisor deems advisable as part of its evaluation of Franchisee's request for site approval; provided, however, that Franchisor will not provide on-site evaluation for any proposed site prior to Franchisor's receipt of the information or materials required by Paragraph 4 hereof. If on-site evaluation is deemed necessary and appropriate by Franchisor, Franchisor will conduct up to two (2) on-site evaluations at Franchisor's

expense. For each additional on-site evaluation (if any), Franchisee must reimburse Franchisor for Franchisor's related expenses including, without limitation, the costs of travel, lodging, and meals.

    1. If Franchisee will occupy the premises of the Restaurant under a lease, Franchisee must, prior to the execution thereof, (a) execute the Conditional Assignment of Lease and obtain the Lessor's execution of the Consent and Agreement of Lessor, in the forms attached as Exhibit G to the Agreement, and (b) submit the lease to Franchisor for its approval. Franchisor's approval of the lease may be conditioned upon the inclusion of the following terms and conditions:
  • a. That the initial term of the lease, or the initial term together with renewal terms, must be for not less than ten (10) years;
  • b. That the lessor consents to Franchisee's use of such Proprietary Marks and initial signage as Franchisor may prescribe for the Restaurant;
  • c.

Source: Item 22 — CONTRACTS (FDD page 39)

What This Means (2025 FDD)

According to Beggars Pizza's 2025 Franchise Disclosure Document, franchisee site selection requires franchisor approval. The Site Selection Addendum outlines the process, stating that within 60 days of signing the addendum, the franchisee must submit a completed site review form, other required information, and a letter of intent to Beggars Pizza for approval. Beggars Pizza then has 30 days to approve or disapprove the site. No site is considered approved unless Beggars Pizza provides express written approval.

Beggars Pizza offers site selection guidelines and consultation, and may conduct on-site evaluations. The franchisee may have to reimburse Beggars Pizza for expenses related to additional on-site evaluations beyond the first two. The FDD emphasizes that failure to secure premises within the specified timeframe constitutes a default under the agreement.

Beggars Pizza's approval only indicates that the site meets the franchisor's minimum criteria at the time of evaluation. The document makes it clear that Beggars Pizza is not responsible if an approved site fails to meet the franchisee's revenue or operational expectations. The franchisee is responsible for their own independent investigation of the site's suitability. After Beggars Pizza provides written approval and the franchisee obtains the site, it becomes the "Approved Location" as referenced in the franchise agreement. The franchisee must also furnish Beggars Pizza with a copy of any executed lease within ten days of execution.

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.