What was the common units balance for Benjamin Franklin Plumbing as of December 31, 2021?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
rds conditioned upon occurrence of these events has not been recognized in the consolidated financial statements as of and for the years ended December 31, 2024, 2023 and 2022.
The awards that have a time-vesting component are earned in equal tranches upon each of the anniversaries over the period of five years which was determined to be the requisite service period. These awards will not vest until the return on invested capital condition is met or upon occurrence of the change in control events even as the time-vesting condition is met. As of December 31, 2024, 2023 and 2022 no units were vested.
The table below summarizes transactions for unit holders of the Company:
| Time-Vesting Units | |||||
|---|---|---|---|---|---|
| Weighted Average Fair Value | Class B Profit Interest Units | Weighted Average Remaining Contractual Term | |||
| Units outstanding as of December 31, 2021 | $ | 0.34 | 5,034,244 | 2.5 years | |
| Granted | - | ||||
| Forfeitures | - | - | |||
| Vested due to change of control | 0.34 | (5,034,244) | |||
| Units outstanding as of November 30, 2022 | - | - | N/A | ||
| Granted under 2022 Plan | - | 17,539,639 | |||
| Forfeitures | - | - | |||
| Vested | - | - | |||
| Units outstanding as of December 31, 2022 | 0.30 | 17,539,639 | 4.92 years | ||
| Granted | 0.31 | 4,019,918 | |||
| Forfeitures | 0.30 | (1,216,642) | |||
| Vested |
Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, the common unit balances are detailed within Item 22, which pertains to contracts. As of December 31, 2021, there are balances for both Time-Vesting Units and Performance-Vesting Units.
For Time-Vesting Units, the Class B Profit Interest Units outstanding were 19,414,168 with a weighted average fair value of $0.33. Additionally, there were 5,034,244 Class B Profit Interest Units with a weighted average fair value of $0.34.
Regarding Performance-Vesting Units, the Class B Profit Interest Units outstanding amounted to 38,828,338 with a weighted average fair value of $0.18, and another 10,068,487 Class B Profit Interest Units with a weighted average fair value of $0.18. These figures represent the units outstanding before any grants, forfeitures, or vesting adjustments that occurred during the year. A prospective franchisee should understand these unit balances as they reflect potential equity or profit-sharing interests that may be relevant to the overall financial structure of the franchise system.