As of December 29, 2024, what was the value of the assets in the Bojangles Deferred Compensation Plan?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
d | | | | | | | | U.S. federal | | 1,794 | | (299) | | 1,945 | | State and local | | 185 | | (689) | | 289 | | Total deferred income tax benefit (expense) | | 1,979 | | (988) | | 2,234 | | Income tax (expense) benefit | $ | (7,140) | $ | (6,241) | $ | 3,087 | Income tax (expense) benefit for years ended December 29, 2024, December 31, 2023 and December 25, 2022 differed from the amounts computed by applying the U.S. federal income tax rate to pretax income as a result of the following:
| Years Ended | |||||
|---|---|---|---|---|---|
| December 29, 2024 | December 31, 2023 | December 25, 2022 | |||
| Computed "expected" tax benefit | $ | 2,278 | $ | 5,039 | $ 9,985 |
| Reduction (increase) in income taxes resulting from | |||||
| Amortization of goodwill not deductible for |
Source: Item 22 — CONTRACTS (FDD page 82)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, as of December 29, 2024, the value of the assets in the Deferred Compensation plan was $1,629,000. This is in comparison to December 31, 2023, when the deferred compensation was valued at $2,660,000.
Deferred compensation typically refers to an arrangement where a portion of an employee's earnings is set aside to be paid out at a later date, often during retirement. This can be a way for companies like Bojangles to attract and retain employees by offering additional long-term benefits.
For a prospective franchisee, this information provides insight into Bojangles's financial obligations and how they manage employee compensation. While the deferred compensation plan itself may not directly impact franchisees, it reflects the overall financial health and management practices of the company. Understanding these aspects can help franchisees assess the stability and long-term viability of the franchise system.