What is the name of the equity incentive plan established by Benjamin Franklin Plumbing's Partnership in 2018?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
purposes, and are not jointly and severally liable for any income taxes owned by the parent corporate entities. Further, no tax sharing agreement exists, or is expected to exist, between the Securitization Entities and Parent that would require the Securitization Entities to directly or indirectly reimburse Parent for taxes related to the operations of the Securitization Entities. Therefore, taxable income or loss is includable in the income tax returns of its members. Accordingly, no provision has been made for federal or state income taxes in the accompanying consolidated financial statements.
Stock-Based Compensation
Upon the formation of the Parent in 2018, the Partnership established the Villa Aggregator LP Amended and Restated Executive Equity Incentive Plan (the "2018 Plan"), which governs certain stock-based and other incentive compensation with the employees. The Plan provides employees an opportunity to indirectly participate in the distribution of the future profits of the Company.
The awards issued under the 2018 Plan (known as Class B Profit Interest Units) are classified as equity awards. Compensation expense is estimated at the grant date based on an award's fair value as calculated by the Monte-Carlo simulation valuation model. Compensation expense is recognized using the graded vesting attribution method over the requisite service period of five years and is included in stock-based compensation expense on the consolidated statements of operations. The Company made a policy election to recognize forfeitures as they occur.
Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to the 2025 FDD, the equity incentive plan established by the Partnership of Benjamin Franklin Plumbing in 2018 is called the "Villa Aggregator LP Amended and Restated Executive Equity Incentive Plan," also referred to as the "2018 Plan". This plan governs certain stock-based and other incentive compensation for employees, providing them with an opportunity to indirectly participate in the distribution of the company's future profits.
The awards issued under the 2018 Plan are known as Class B Profit Interest Units and are classified as equity awards. The compensation expense is estimated at the grant date based on the award's fair value, which is calculated using the Monte-Carlo simulation valuation model. This expense is recognized over a five-year service period using the graded vesting attribution method and is included in the company's stock-based compensation expense.
In November 2022, in connection with the HELOC Transaction, the Buyer established the Binford Aggregator LP Executive Equity Incentive Plan (the "2022 Plan"). All remaining units available for issuance under the 2018 Plan and A-2 Units outstanding as of November 2022 were settled upon the close of the HELOC Transaction. The 2022 Plan also provides participants with an opportunity to indirectly participate in the distribution of the future profits of the Company.