Franchising Opportunities

WHY INVEST IN A BENIHANA RESTAURANT?

The BENIHANA name is well known throughout the food industry as an established, quality-conscious brand that has grown from one teppanyaki restaurant in New York City to 77 restaurants in the United States, Central and South America (excluding Mexico), and the Caribbean as of June 2019, with more company-owned and franchised restaurants being planned.

Benihana National Corp. (BNC), which operates and franchises BENIHANA restaurants, has a solid management team committed to remaining one of the worlds finest and most dynamic restaurant organizations. Our proven operating and business methods have tremendous appeal and create value for our franchisees.

STRONG SUPPORT NETWORK.

BNC’s corporate staff provides expertise for maximizing sales and attending to operational efficiencies in a number of areas. During the start-up phase, franchisees receive assistance in site selection, construction and design, talent management and training, operating procedures and staffing, equipment requirements, supply chain management, and on-site opening assistance.

RESTAURANT OPERATIONS TRAINING.

Franchisees receive training in all facets of restaurant operations — product preparation, guest service, equipment handling and maintenance, teambuilding, and business record keeping. Our six-week chef training program, a portion of which is spent working as a chef in an existing BENIHANA restaurant, addresses both in-kitchen and tableside food preparation techniques, manager training program, applicable to BENIHANA restaurants. That training is supplemented by classroom training on general restaurant management and the critical elements of the BENIHANA system. The restaurant manager training program provides management candidates in-depth exposure to each position in the restaurant from busboy through general manager.

An operations manual is furnished to each new franchisee, which outlines day-to-day procedures, along with specifics of a typical BENIHANA restaurant layout, equipment, construction cost and opening budget.

BNC’s team will provide both pre- and post-opening assistance and will continue to make periodic visits and assessments of your BENIHANA restaurant to ensure that established standards and procedures are being utilized to your maximum benefit. Immediate feedback is provided to allow for continuous operations improvement.

Investing in a franchised BENIHANA restaurant is a significant commitment and important. Qualifications to be considered for a BENIHANA franchise are:

1. An entrepreneurial spirit and strong desire to succeed.
2. Demonstrated business experience and acumen.
3. The ability to manage, motivate, and train team members.
4. The ability to manage finances.
5. The willingness to personally devote full time and best efforts to become proficient in running the day-to-day operation of a restaurant business as a hands-on franchisee.
6. Franchisee Candidate should meet the minimum financial requirements of $2.2M Liquidity and $5M Net Worth.

As explained in the Franchise Disclosure Document (FDD), the total required investment in a BENIHANA restaurant varies, depending largely on the franchisee’s real estate arrangements (lease or purchase). Although BNC has no financial involvement in the real estate, we can provide experienced counseling in site selection and restaurant development to prospective and existing franchisees. But the selection, purchase, or leasing decision always remains with the franchisee.

Initial costs required to open a new BENIHANA restaurant include, without limitation, equipment and fixtures, inventory, insurance, working capital, liquor license costs, and other expenses, including a $40,000 franchise fee payable to BNC.

Royalties and Advertising Fee. Currently franchisees pay a monthly royalty fee of five percent (5%) of gross sales to BNC, and franchisees are required to pay to BNC a monthly advertising contribution equal to one percent (1%) of gross sales to support brand marketing and advertising expenses. Franchisees also are obligated to spend a certain amount for local advertising specific to each restaurant.

After you have read all the franchise information and the opportunity to operate a franchised BENIHANA restaurant sounds too good to pass up, call or write BNC for a Franchise Application. Our licensing representative will guide you through every step of your new venture.

Step One: Request and submit application.
If you feel you are qualified to become a licensee, return the application to:

21500 Biscayne Boulevard
Suite 900
Aventura, FL 33180

Step Two: Submit your financial authorization.
At the same time you return the application, submit a financial disclosure authorization form to your bank or other financial institution.

All licensee applications must be accompanied by verification of available cash and other liquid assets. Please note that this verification must be on the bank’s business letterhead and mailed directly to BNC in Miami. Our evaluation procedure, including a retail credit check and detailed background investigation is completely confidential.

Step Three: Initial interview.
After verification of the information on your application and confirmation of your financial ability to undertake the investment, you will be contacted to meet personally with a BNC representative. At this meeting you will be provided with the company’s Franchise Disclosure Document (FDD) as legally required. In this meeting, your rights and obligations as a franchisee will be discussed in some detail. It is also expected that the franchise prospect will view this meeting as an opportunity to interview our team, asking as many questions as necessary to arrive at a comfort level with the franchisee/franchisor relationship.

Step Four: Do your Homework.
After the Initial Interview, BNC will have reviewed your qualifications to determine if you qualify. Now it is your turn. You can visit our existing restaurants, talk to industry sources, and contact our existing franchises to help you answer any questions you might have. You can obtain location and contact information from the store locator on our website. We cannot begin to tell you how important it is that you also interview our BENIHANA brand team members, and we highly encourage you to do so.

Step Five: Issuance of license.
After completion of Step Four, you may request that a Franchise Agreement be issued to you. This will represent your first financial commitment to the franchise opportunity. The issuance of the Franchise Agreement grants you the right to use the internationally famous BENIHANA® name, logos, and various recognized service marks in the operation of your restaurant, as long as your usage complies with the federal laws and regulations intended to preserve the integrity of registered marks.

UNITED STATES

N. Little Rock, Arkansas
Monterey, California
Key West, Florida
Las Vegas, Nevada
Edison, New Jersey
Milwaukee, Wisconsin
Brickell, Florida

INTERNATIONAL

Palm Beach, Aruba, N.A.
Sao Paulo, Brazil
San Salvador, El Salvador
Panama City, Panama

What qualifications do we seek in potential franchisees?

The following qualifications, among others are essential in order to be considered for a franchise to operate a BENIHANA restaurant:

1. An entrepreneurial spirit and strong desire to succeed.
2. The ability to motivate and train people.
3. The ability to manage finances.
4. The willingness to personally devote full time and best efforts to the day-to-day operation of the restaurant as an on-premises franchisee.
5. The willingness to complete a comprehensive training and evaluation program on a part-time basis, in order to become proficient in all aspects of running the restaurant business.
6. Meeting the financial qualifications.

What assets are initially required to build a franchise?

We recommends liquid assets of at least $600,000 per unit.

Does BNC finance franchisees internally?

No. BNC constantly networks with franchisee financing sources around the country to provide you with referrals for the best prospective lenders available, but it is each franchisee’s responsibility to source and qualify for financing on the merits of his or her own financial strength.

What is the availability of securing a site in my area?

The availability of franchises in specific areas will be discussed during your initial interview.

What are the royalty fees if any for a BENIHANA restaurant franchise?

A continuing royalty fee of five percent will be charged monthly based on gross sales at your restaurant.

How can I obtain a copy of your franchise agreement?

Our franchise agreement was developed by specialists in franchising and is a valuable document which we distribute only to serious applicants. We will be happy to provide you with a copy of the Franchisee Agreement and our FDD during the first face-to-face meeting.

What are the total costs for building a Benihana franchise?

The approximate cost to build a typical freestanding Benihana restaurant in a suburban market is $2.2 Million to $2.8 Million.. This would be approximately 7,000 square feet with a dining capacity of 16 teppanyaki tables or 128 patrons.

What should my earning expectations be?

Franchise law limits the kind of earnings information BNC can provide to Prospective franchisees. We will provide you with enough information to assist you in completing your own projected profit and loss statements, which will allow you to arrive at a comfort level with earning expectations. You may also obtain information from other franchisees in order to help you in making your investment decision.

What is the licensing fee for a franchise?

The initial fee per license issued is $40,000 per Domestic Franchise Agreement and $50,000 per Franchise Agreement in Central/South America (excluding Mexico) or the Caribbean. The fee covers the issuance of the license and the right to use BNC’s intellectual property, as well as helping to defray BNC’s costs and expenses in connection with our assistance and supervision in site selection, construction of the building and improvements, opening of the restaurant, training of staff, enforcement and protection of trademarks, and costs incidental to locating sources of supply.

If you have reviewed the information on this site and feel you are qualified and interested in exploring an opportunity to become a BENIHANA franchisee, CLICK HERE or request an application by mail to:

Benihana, Inc.
21500 Biscayne Boulevard
Suite 900
Aventura,FL33180
Phone: (305) 593-0770
Fax: (305) 675-3849