Is there an additional fee for the In-Restaurant Training provided by Benihana?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
In-Restaurant Training will be for a period we deem necessary to prepare for the opening of the BENIHANA Restaurant. There will be no additional fee for the In-Restaurant Training. You will be responsible, however, for all travel, living and lodging expenses for our personnel providing the In-Restaurant Training. At your request, we will, subject to our prior approval and availability, provide the assistance of additional personnel in connection with the In-Restaurant Training, provided that you reimburse us for the salaries and wages of all such additional personnel. If you request that the In-Restaurant Training be provided for more than 20 working days, you must pay all salaries, wages, and travel, living and lodging expenses of our personnel during the extending In-Restaurant Training period.
You must pay all expenses you incur in connection with the Initial Training and In-Restaurant Training, including the costs of your employee's wages, travel, lodging, living, meals and other expenses of your employees.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 36–47)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, there is no additional fee for the initial In-Restaurant Training. However, the franchisee is responsible for covering all travel, living, and lodging expenses for Benihana personnel who provide the training. If the franchisee requests additional personnel for the In-Restaurant Training, Benihana may provide them subject to prior approval and availability, but the franchisee must reimburse Benihana for the salaries and wages of these additional personnel.
If the In-Restaurant Training extends beyond 20 working days, the franchisee is responsible for paying all salaries, wages, and travel, living, and lodging expenses for Benihana's personnel during the extended training period. The franchisee is also responsible for all expenses incurred in connection with both the Initial Training and the In-Restaurant Training, including the costs of their employees' wages, travel, lodging, living, meals, and other expenses.
Benihana may also require franchisees and their employees to attend ongoing training programs, for which the franchisee will be responsible for all associated expenses, including salaries, wages, transportation, lodging, and meals. If Benihana conducts any ongoing training at the franchisee's restaurant, the franchisee must reimburse Benihana for the reasonable out-of-pocket expenses incurred by the training instructors, such as travel, food, lodging, and auto rental. These stipulations regarding training costs are fairly standard in the franchise industry, where the franchisor provides the expertise but the franchisee bears the direct costs of availing themselves of that expertise.