Are there any exceptions to the standard payment terms for Beggars Pizza?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
ier all amounts due to Supplier for the previous Monday through Sunday (i.e., the previous Accounting Period) via electronic funds transfer ("EFT") as set forth in Section 3(d) below. Supplier hereby expressly reserves the right to designate such other period (which may include a shorter period) as the Accounting Period that Supplier or Beggars may specify in the Manual or in writing from time to time. Franchisee must pay for all Product sales within seven (7) days of receipt of each Invoice, which time period may be reduced in Supplier's sole discretion upon written notice to Franchisee. All such payments must be made by direct deposit or EFT. If Franchisee fails to pay any Invoice within such period, Supplier will provide Franchisee with notice of such failure and, upon receipt of such notice, Franchisee will have five (5) days to cure such failure. If Franchisee fails to make all required payments within such five (5)-day cure period, Supplier will have the right to immediately terminate the Agreement.
- (d) Bank Account.
Source: Item 23 — RECEIPT (FDD pages 39–192)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, the standard payment terms require franchisees to pay for all product sales within seven days of receiving each invoice. These payments must be made via direct deposit or electronic funds transfer (EFT). The supplier, BEGCOM, LLC, has the right to shorten this payment period with written notice to the franchisee.
If a franchisee fails to pay an invoice within the required timeframe, the supplier will provide a notice of failure, granting the franchisee a five-day period to rectify the situation. Failure to make the required payments within this five-day cure period allows the supplier to immediately terminate the supply agreement.
While the agreement outlines potential extensions for obligations due to delays or impossibilities, this does not apply to the franchisee's payment obligations. This means that regardless of external factors causing delays, the franchisee is still bound by the payment terms, highlighting the importance of maintaining sufficient funds and efficient payment processes to avoid penalties or termination of the agreement.