Does Benihana require prior written consent for changes to the restaurant or premises?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
You must keep the BENIHANA Restaurant very clean and maintain it in good repair and condition. You must make any additions, alterations, repairs and replacements, including repainting or replacement of obsolete signs, furnishings, equipment, and décor, as we may reasonably direct. You must not make any changes to the Restaurant or premises without our prior written consent. You must, at your expense, obtain and pay for any new or additional equipment, including a POS System, computer hardware and software, fixtures, supplies and other products and materials that you must have to offer and sell new menu items from the BENIHANA Restaurant or to provide services at the BENIHANA Restaurant by alternative means, such as through carryout, catering or delivery arrangements.
Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 58–59)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, franchisees must obtain prior written consent from Benihana before making any changes to the restaurant or premises. This requirement extends to additions, alterations, repairs, and replacements, including repainting or replacing obsolete signs, furnishings, equipment, and décor.
This stipulation ensures that all Benihana restaurants maintain a consistent brand image and adhere to the franchisor's standards. It allows Benihana to control the appearance and functionality of each location, protecting the overall brand and customer experience.
For a prospective franchisee, this means that any modifications or updates to the restaurant's physical space must be pre-approved by Benihana. This includes not only major renovations but also minor changes like décor or signage. Franchisees need to factor in the time and potential costs associated with obtaining this approval when planning any changes to their restaurant.
Furthermore, franchisees are responsible for covering the expenses of any new or additional equipment, such as POS systems, computer hardware and software, fixtures, supplies, and other materials necessary to offer new menu items or alternative services like carryout or delivery. This financial responsibility, coupled with the requirement for written consent, underscores the importance of aligning all operational and aesthetic changes with Benihana's standards.