Does Clear Pest Pros have a required matching contribution as part of its 401(k) plan for employees?
Clear_Pest_Pros Franchise · 2025 FDDAnswer from 2025 FDD Document
amounts from the affiliate; however, the Company does not hold specific recourse or collateral rights in connection with the guarantee.
15. Retirement Plans
The Company sponsors a 401(k) plan for substantially all employees. The plan provides for the Company to make a required matching contribution. The Company may also make additional
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 67)
What This Means (2025 FDD)
According to Clear Pest Pros' 2025 Franchise Disclosure Document, the company sponsors a 401(k) plan for its employees. A key feature of this plan is that Clear Pest Pros is required to make a matching contribution. In addition to this required match, Clear Pest Pros has the option to make further discretionary contributions to the plan.
The FDD also specifies the total contributions made to the 401(k) plan by Clear Pest Pros over the past three years. For the year ending December 31, 2024, the contributions totaled $181,000. In the preceding year, December 31, 2023, the contributions amounted to $212,000, and for the year ending December 31, 2022, the contributions were $244,000.
For a prospective franchisee, this information indicates that Clear Pest Pros invests in its employees' retirement savings through a 401(k) plan with a required matching contribution. This could be a positive factor for attracting and retaining employees at the franchise location. The franchisee should inquire with Clear Pest Pros about the specifics of the matching contribution formula to fully understand the benefit provided to employees.