Is the Statement of Prospective Franchisee a required document before signing the Benihana Franchise Agreement?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
EXHIBIT F TO BENIHANA NATIONAL CORP. FRANCHISE DISCLOSURE DOCUMENT
STATEMENT OF PROSPECTIVE FRANCHISEE
[TO BE COMPLETED BY ALL FRANCHISEES & GUARANTORS BEFORE SIGNING FRANCHISE AGREEMENT OR ANY EXHIBITS TO THE FRANCHISE AGREEMENT]
As you know, you and Benihana National Corp. ("BNC") are preparing to enter into a Franchise Agreement for the establishment and operation of a BENIHANA® Restaurant. The purpose of this Questionnaire is to determine whether any statements or promises were made to you by any BNC employee or representative that BNC has not authorized and that may be untrue, inaccurate, or misleading. Please review each of the following questions carefully and provide honest and complete responses to each question. The answers you provide in this Questionnaire are material to BNC, and BNC is relying on all such answers in agreeing to enter into a franchise relationship with you.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, the Statement of Prospective Franchisee is a required document. Specifically, Exhibit F to the FDD is the Statement of Prospective Franchisee. The document is to be completed by all franchisees and guarantors before signing the Franchise Agreement or any exhibits to the agreement.
Benihana uses this questionnaire to determine if any unauthorized statements or promises were made by its employees or representatives that may be untrue, inaccurate, or misleading. Benihana emphasizes that the answers provided in the questionnaire are material and that the company relies on these answers when agreeing to enter into a franchise relationship.
This requirement ensures that Benihana has a clear understanding of the franchisee's perspective and any representations made during the pre-sale process. It also serves to protect Benihana from potential future disputes arising from misunderstandings or misrepresentations. Prospective franchisees should complete the Statement of Prospective Franchisee with care and accuracy, as it forms a basis for the franchise relationship.