What is Benihana's plan for opening new Kona Grill restaurants in the foreseeable future?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
Expansion of Kona Grill. We expect to expand our operations domestically using a disciplined and targeted site selection process. We believe we could grow the Kona Grill brand to 200 restaurants over the foreseeable future. We expect to open three to five Kona Grills annually, primarily through companyowned locations, provided that we have acceptable locations and quality restaurant managers available to support that pace of growth. We opened the first Kona Grill since the Company acquired the Kona Grill brand in Columbus, Ohio in January 2023 and also opened two additional Kona Grill restaurants in Riverton, Utah and Phoenix, Arizona in 2023.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, the company intends to expand the Kona Grill brand domestically using a targeted site selection strategy. Benihana anticipates growing the Kona Grill brand to 200 restaurants in the foreseeable future and plans to open three to five Kona Grill locations annually. These new locations will primarily be company-owned.
This expansion plan is contingent upon securing acceptable locations and having qualified restaurant managers available to support the growth. In 2023, Benihana opened the first Kona Grill since acquiring the brand in Columbus, Ohio, and also opened two additional restaurants in Riverton, Utah, and Phoenix, Arizona.
For prospective franchisees, this indicates that Benihana is actively investing in and growing the Kona Grill brand. However, the focus on company-owned locations suggests that franchise opportunities may be limited. A potential franchisee should inquire about the availability of franchise opportunities, the criteria for site selection, and the support and training provided to restaurant managers to better understand the potential for growth and success as a Kona Grill franchisee.