If Initial Training for a Benihana franchise is conducted at a location other than BNC's principal office, who is responsible for the expenses?

According to Benihana's 2024 Franchise Disclosure Document, if the franchisee requests that the initial training be conducted somewhere other than Benihana's principal office location, the franchisee is responsible for reimbursing Benihana for the reasonable out-of-pocket expenses incurred by Benihana's training instructors. These expenses include, but are not limited to, wages, travel expenses, food and lodging, and auto rental.

This means that while Benihana typically conducts its initial training at its principal office, a franchisee can request to have the training held elsewhere. However, this comes at the cost of covering all associated expenses for Benihana's training staff. This could potentially add a significant cost to the initial investment, depending on the location and duration of the training.

It is important for prospective franchisees to consider this potential expense when evaluating the overall cost of opening a Benihana franchise. They should discuss with Benihana the typical location for initial training and the potential costs associated with requesting an alternate training location. Understanding these costs upfront will help in budgeting and financial planning for the franchise venture.