What are the required actions Bonchon franchisees must complete before opening their Restaurant?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
urant falls within the cost range listed in the applicable table in Item 7 above.
Time to Open
You must open your Dine-In, Fast Casual or Delivery and Carryout Only Restaurant within 300 days after we sign your Franchise Agreement. If you will be operating a Remote Kitchen Restaurant, then you must open your Remote Kitchen Restaurant within 210 days after we sign your Franchise Agreement. We estimate that the typical length of time between the signing of the Franchise Agreement and the opening of your Bonchon Business is 180-300 days. Factors affecting time include obtaining all required state, local and other required government certifications, permits and licenses, procuring required insurance, attendance at and satisfactory completion of our Initial Training Program and/or Partner Training Program, obtaining a satisfactory Restaurant site, arranging for any financing, complying with local ordinances, completing delivery and installation of equipment and signs and procuring opening inventory. In addition, before you may open your Restaurant, you must (i) submit a request to us to open you Restaurant and provide us with notice of your actual opening date and (ii) pass a pre-opening inspection that we will conduct during our pre-opening on-site training.
ITEM 12 TERRITORY
Franchise Agreement
You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control. We will grant you a designated location (the "Restaurant Location") in a specific protected territory (the "Protected Territory") within which you must operate your Bonchon Restaurant.
You may operate your franchised Business from only one Restaurant Location within your Protected Territory. "Restaurant Location" means a location you select and we approve, from which you conduct the Bonchon Business. Except in high-density population centers, your Protected Territory (which we will draw using our mapping system) will consist of the area inside a circle whose center lies at the Bonchon Restaurant Location and whose radius extends outward from the circle's center.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 45–60)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, franchisees must fulfill several obligations before opening their restaurant. These include opening the restaurant within a specified timeframe: 300 days after signing the Franchise Agreement for Dine-In, Fast Casual, or Delivery and Carryout Only Restaurants, and 210 days for Remote Kitchen Restaurants. The typical time to open a Bonchon Business is estimated to be 180-300 days after signing the agreement.
Before opening, franchisees must obtain all necessary state, local, and governmental certifications, permits, and licenses, as well as procure the required insurance. They must also attend and successfully complete the Initial Training Program and/or Partner Training Program. Securing a satisfactory restaurant site, arranging financing, complying with local ordinances, completing the delivery and installation of equipment and signs, and procuring opening inventory are also necessary steps.
Additionally, franchisees must submit a request to Bonchon to open their restaurant, providing notice of the actual opening date. A pre-opening inspection conducted by Bonchon during the pre-opening on-site training must also be passed. Furthermore, franchisees must sign a lease approved by Bonchon (or provide proof of ownership or an executed contract of sale) within 120 days after signing the Franchise Agreement (90 days for Remote Kitchen Restaurants). Finally, franchisees will be required to spend a minimum total of $5,000 for the five month period covered under their New Restaurant Marketing Plan and purchase pre-opening marketing materials known as the NRO Kit.