What is the average headcount for employees in Benihana's domestic restaurants?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
As of December 31, 2022, we employed 51 employees within our support center, 32 employees in multi-unit leadership and an aggregate of 262 full-time, salaried employees at our venues. We rely on hourly-wage employees for kitchen staff, servers, bussers, runners, polishers, hosts, bartenders, barbacks, reservationists, administrative support, and interns. The average headcount for employees in our domestic restaurants is 90. Combining full-time and part-time employees, we employ and manage directly approximately 3,700 persons and through ONE Hospitality we manage approximately 500 employees worldwide. We have never experienced a work stoppage, and none of our employees are represented by a labor organization.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, the average headcount for employees in their domestic restaurants is 90 as of December 31, 2022. This number includes both full-time and part-time employees. Benihana directly employs and manages approximately 3,700 persons and manages approximately 500 employees worldwide through ONE Hospitality. These employees fill various roles, including kitchen staff, servers, bussers, runners, polishers, hosts, bartenders, barbacks, reservationists, administrative support, and interns.
For a prospective franchisee, this indicates the scale of staffing required to operate a Benihana restaurant. The franchisee will need to manage a significant number of employees to ensure smooth operations. This includes recruiting, training, and supervising staff across different roles. The reliance on hourly-wage employees suggests that labor costs will be a significant factor in the overall operating expenses.
It's also noteworthy that Benihana emphasizes its commitment to human capital resources, focusing on attracting, developing, rewarding, and retaining employees. They offer online training courses, on-the-job training, and cash-based performance bonuses. This suggests that Benihana places importance on employee development and motivation, which could contribute to better service and operational efficiency. The company also states that they have never experienced a work stoppage, and none of their employees are represented by a labor organization, which can be a positive factor for franchisees.
Overall, the staffing structure at Benihana restaurants involves a mix of full-time salaried employees and hourly wage earners, with a focus on training and development. The average headcount of 90 employees per domestic restaurant highlights the labor-intensive nature of the business and the importance of effective human resource management for franchisees.