Under the Bath Tune Up retirement plan, on what are the Company's contributions based?
Bath_Tune_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
other legal proceedings pending claims that would have a material impact on the financial statements. However, the Company could, from time to time, be involved in litigation proceedings arising out of its normal course of business.
8. Retirement Plan
The Company is a participant in its Parent's defined contribution 401(k) plan as part of a controlled group that covers eligible management and office employees. Contributions to the Plan by
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 51–52)
What This Means (2025 FDD)
According to the 2025 Bath Tune Up FDD, the company participates in its Parent's defined contribution 401(k) plan as part of a controlled group that covers eligible management and office employees. The company's contributions to the plan are based on the employees' contributions, but are subject to certain limitations.
For the year ending December 31, 2022, Bath Tune Up contributed $128,663 to the retirement plan. This amount was included in operating and administrative expenses on the company's statement of earnings.
As a prospective franchisee, it's important to note that this retirement plan information pertains to Bath Tune Up employees, not franchisees. Franchisees are independent business owners and are responsible for establishing their own retirement savings plans. However, understanding the benefits offered to employees can provide insight into the company's overall values and employee relations.