factual

Must the Benihana General Manager satisfy training requirements?

Benihana Franchise · 2024 FDD

Answer from 2024 FDD Document

[Item 15: OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS]

The Franchise Agreement does not require your Principals to personally manage or operate the BENIHANA Restaurant. When you sign your Franchise Agreement, you must designate and retain in your employment at all times an individual to serve as the "General Manager." If you are an individual, we recommend that you be the General Manager. You must also retain other personnel as are needed to operate and manage the BENIHANA Restaurant. The General Manager must satisfy our educational and business criteria as provided to you in the Manual or other written instructions and must be individually acceptable to us. In addition, the General Manager must be responsible for the supervision and management of the BENIHANA Restaurant and must devote full time and best efforts to this activity. The General Manager also must satisfy our applicable training requirements. If you are a legal entity, the General Manager may, but is not required to, have an ownership interest in you. If you no longer employ the General Manager, you must promptly designate another person as General Manager, and that person must meet all criteria for a General Manager and be acceptable and approved by us.

Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 57–58)

What This Means (2024 FDD)

According to Benihana's 2024 Franchise Disclosure Document, the General Manager must satisfy Benihana's applicable training requirements. The franchisee must designate and retain a General Manager who meets Benihana's educational and business criteria and is individually acceptable to Benihana. The General Manager is responsible for the supervision and management of the restaurant, devoting full time and best efforts to this activity.

Benihana offers both Initial Training and In-Restaurant Training programs. Unless specifically excused by Benihana based on prior experience, the franchisee must ensure the General Manager attends and completes all Initial Training and In-Restaurant Training to Benihana's satisfaction before the restaurant opens. The Initial Training generally consists of the trainee working in a Benihana restaurant for 8 to 12 weeks, or until properly trained to Benihana's reasonable satisfaction.

The franchisee has the right to bring a General Manager to the Initial Training at no additional fee. Initial Training commences approximately four months before the expected opening date of the restaurant, unless otherwise agreed by Benihana. The nature and scope of In-Restaurant Training will be based on the experience of the franchisee and employees, the type of facility, projected sales volume, and other factors considered by Benihana. There is no additional fee for In-Restaurant Training, but the franchisee is responsible for all travel, living, and lodging expenses for Benihana's personnel providing the training.

Disclaimer: This information is extracted from the 2024 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.