factual

What is the process for a Benihana franchisee to bring additional employees beyond the standard allotment to Initial Training?

Benihana Franchise · 2024 FDD

Answer from 2024 FDD Document

Franchisee has the right, at no additional fee, to bring up to five (5) chefs, a General Manager, and, if required by BNC or requested by Franchisee, and subject to availability of space, one principal of Franchisee, to the Initial Training.

Franchisee must obtain BNC's prior written consent before bringing any additional employees to the Initial Training, and Franchisee must pay to BNC its then-current training fee, which may include salaries of all BNC employees providing such training, for each additional employee BNC agrees to train.

Source: Item 23 — Receipts (FDD pages 74–576)

What This Means (2024 FDD)

According to Benihana's 2024 Franchise Disclosure Document, a franchisee can bring up to five chefs, a General Manager, and potentially one principal to the Initial Training at no additional fee. The inclusion of the franchisee's principal is subject to Benihana's requirement or the franchisee's request, and also depends on the availability of space.

To bring any additional employees beyond this standard allotment, the franchisee must first obtain Benihana's prior written consent. If Benihana agrees to train these additional employees, the franchisee is then responsible for paying Benihana's then-current training fee for each additional employee. This fee may include the salaries of all Benihana employees providing the training.

This policy has significant implications for franchisees as it relates to budgeting and staffing. Franchisees need to factor in potential training fees for additional staff beyond the standard allotment. The necessity of obtaining prior written consent also means that franchisees must plan ahead and communicate effectively with Benihana regarding their training needs. This ensures that adequate training is provided while managing costs effectively.

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.