Acquisition of New Company w/o Retirement Plan Adopting Buyer's SH 401(k) Plan

[patriciab]

I have a plan where the plan sponsor acquired a new company which does not have a retirement plan. The plan sponsor (buyer) wants to add on the newly acquired company as an adopting employer. They are a controlled group, so no issues there. Since the plan sponsor has a safe harbor plan, are there any issues having the newly acquired company sign on as an adopting employer right away vs. needing to wait to give a 30-day SH notice to the employees of the new company first, or just wait until 1/1/2024? Anything else I'm missing?

[Bird]

I think you could do it right away, but I would recommend to the client that they keep it simple and wait until 1/1/24.