What was the net change in the number of company-owned Benihana outlets during fiscal year 2024?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
LETS**
TABLE NO. 1 SYSTEMWIDE OUTLET SUMMARY FOR FISCAL YEARS 2022 to 2024*
| OUTLET TYPE | YEAR | OUTLETS AT THE START OF THE YEAR | OUTLETS AT THE END OF THE YEAR | NET CHANGE* (+ or -) |
|---|---|---|---|---|
| Franchised | 2022 | 6 | 6 | 0 |
| 2023 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION LIST OF OUTLETS (FDD pages 67–72)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, the net change in the number of company-owned outlets during the fiscal year 2024 was an increase of 2. This indicates that Benihana expanded its company-owned operations by opening or acquiring two additional locations during that period.
For a prospective franchisee, this information provides insight into Benihana's corporate growth strategy. The fact that the company is expanding its own store base suggests a confidence in the brand and its business model. It could also mean that Benihana is investing in specific markets or regions that it believes have high potential.
However, it's important to note that while the number of company-owned stores increased, this doesn't necessarily reflect the performance or profitability of those individual stores. A potential franchisee should still conduct their own due diligence to assess the financial health and market conditions of specific Benihana locations. Additionally, the FDD indicates that the Company Owned Outlet data includes one teppanyaki-style restaurant operated under the SAMURAI® brand, which is similar to a Benihana restaurant.
Overall, the increase in company-owned outlets suggests a positive trend for Benihana, but prospective franchisees should consider this information in conjunction with other factors, such as franchise fees, royalty structures, and market analysis, to make an informed decision.