Can Beggars Pizza withhold approval for relocation of a Beggars Pizza restaurant?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee will not relocate the Restaurant without the prior written approval of Franchisor.
Franchisor may withhold approval of relocation in Franchisor's sole discretion.
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, a franchisee cannot relocate their restaurant without prior written approval from Beggars Pizza. Beggars Pizza retains the right to withhold approval for relocation at its sole discretion. This policy is also applied in the Beggars Pizza Franchise Agreement Renewal Addendum, reinforcing Beggars Pizza's control over restaurant locations, even for franchisees renewing their agreements.
This means that even if a franchisee finds a potentially better location, Beggars Pizza has the final say in whether the relocation can occur. This clause protects Beggars Pizza by ensuring that relocations align with their strategic goals and don't negatively impact the brand or other franchisees. Beggars Pizza's approval of an initial site doesn't guarantee its long-term suitability, as demographic and economic factors can change.
For a prospective franchisee, this highlights the importance of carefully selecting the initial location and understanding that relocation is not guaranteed, even if business conditions change. Franchisees should perform their own due diligence on the site's potential and not rely solely on Beggars Pizza's initial approval. It is important to maintain open communication with Beggars Pizza regarding any potential relocation plans and to understand the criteria they use for evaluating such requests.