What are the eligibility requirements for employees, excluding executive management, to participate in the Black Bear Diner 401(k) profit sharing plan?
Black_Bear_Diner Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 23: RECEIPT]
NOTE 8 - EMPLOYEE BENEFIT PLAN
The Company participates in a 401(k) profit sharing plan (the Plan), which is sponsored by BBD Opco LLC. The Plan covers all eligible employees, except executive management of the Company, who have attained age 21 and have completed one year of eligible service. Contributions to the Plan include (1) the amount of salary reduction elections of all participants, (2) employer-matching contributions equal to 50% of the matched employee contributions, not to exceed 6% of employer profit sharing amount. All contributions are limited to the maximum amount allowed for federal income tax purposes. For the years ended December 25, 2024 and December 27, 2023, there were approximately $47,448 and $41,400, respectively, of contributions to the Plan.
Source: Item 23 — RECEIPT (FDD pages 56–243)
What This Means (2025 FDD)
According to the 2025 Black Bear Diner Franchise Disclosure Document, the eligibility requirements for employees, excluding executive management, to participate in the company's 401(k) profit sharing plan include attaining the age of 21 and completing one year of eligible service.
Black Bear Diner's contributions to the plan include salary reduction elections of all participants, employer-matching contributions equal to 50% of the matched employee contributions (not to exceed 6% of the employee's contributions), and a discretionary employer profit sharing amount. All contributions are limited to the maximum amount allowed for federal income tax purposes.
For the years ended December 25, 2024, and December 27, 2023, the contributions to the Plan were approximately $47,448 and $41,400, respectively. This information is relevant to prospective franchisees as it provides insight into the employee benefits offered by Black Bear Diner, which can be a factor in attracting and retaining staff.