What is the legal final maturity date for the Class A-2 Notes for Benjamin Franklin Plumbing?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
in full by the anticipated repayment date.
As of December 31, 2022, the Company had withdrawn $91,330 which remained outstanding as of December 31, 2022. During the year ended December 31, 2023, the Company withdrew an incremental $22,000 and repaid $7,000 resulting in an outstanding balance of $106,330 as of December 31, 2023. During the year ended December 31, 2024, the Company withdrew an incremental $2,000 resulting in an outstanding balance of $108,330 as of December 31, 2024.
As a result of the 2022 transaction, the Company incurred costs of $2,528, of which $1,476 were recorded as contra-liability to debt as of December 31, 2022 and $1,052 were recorded within other assets as they relate to
Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to the 2025 FDD, the Class A-2 Notes for Benjamin Franklin Plumbing have a legal final maturity date of July 2051. These notes were issued in the amount of $425,000. Interest on the A-2 notes accrues at 3.734% per annum and is due and payable on a quarterly basis.
Principal payments of 0.25% of the initial principal amount of the Class A-2 Notes are payable quarterly, unless a non-amortization test is satisfied as defined in the agreement. The anticipated repayment date for these notes is July 2028.
Prospective franchisees should be aware of these financial obligations of Benjamin Franklin Plumbing, as they reflect the company's debt structure and repayment schedule. Understanding the terms and maturity dates of these notes can provide insight into the financial health and stability of the company.