What was the total number of ESOP shares in the Christian Brothers Automotive plan for both years presented?
Christian_Brothers_Automotive Franchise · 2025 FDDAnswer from 2025 FDD Document
1, 2024 and 2023 was approximately $6,300,000 and $7,153,000, respectively.
13. ESOP Plan
In July 2021, the Company established an ESOP in which employees participate. The Company purchased the shares from one of the Company's shareholders for cash and a 10-year promissory note (see Note 11). The shares of stock are held in a trust established under the plan. The ESOP borrowed from the Company to purchase 39.64 shares of common voting shares at approximately $664,000 per share. In November 2022, the Compa
Source: Item 23 — RECEIPTS (FDD pages 76–372)
What This Means (2025 FDD)
According to Christian Brothers Automotive's 2025 Franchise Disclosure Document, the company established an Employee Stock Ownership Plan (ESOP) in July 2021. The document details changes to the ESOP shares but does not provide the total number of ESOP shares for 2023 or 2024.
The FDD mentions that in July 2021, Christian Brothers Automotive purchased shares from one of its shareholders using cash and a 10-year promissory note. The ESOP borrowed from the company to purchase 39.64 shares of common voting shares at approximately $664,000 per share. In November 2022, a stock split increased the number of unearned ESOP shares by 33,034.
While the FDD provides information on the initial purchase of shares and subsequent adjustments due to a stock split, it lacks the specific figures for the total number of ESOP shares held in 2023 and 2024. A prospective franchisee should request this information from Christian Brothers Automotive to fully understand the ESOP's structure and potential benefits.