| Goodwill and Intangible Assets, Net |
6.
GOODWILL AND OTHER INTANGIBLE ASSETS, NET
Goodwill is summarized
by location as follows:
| |
|
June 30, 2015 |
|
|
December 31, 2014 |
|
| South Africa |
|
$ |
258,991 |
|
|
$ |
273,737 |
|
| ABC |
|
|
2,806,990 |
|
|
|
2,806,990 |
|
| WEW |
|
|
2,902,645 |
|
|
|
2,868,192 |
|
| Just Fresh |
|
|
425,151 |
|
|
|
425,151 |
|
| Australia |
|
|
6,803,537 |
|
|
|
7,291,329 |
|
| Hooters Pacific NW |
|
|
1,951,909 |
|
|
|
1,951,909 |
|
| BGR |
|
|
663,037 |
|
|
|
- |
|
| Total |
|
$ |
15,812,260 |
|
|
$ |
15,617,308 |
|
The changes in the
carrying amount of goodwill are summarized as follows:
| |
|
Six Months Ended |
|
| |
|
June 30, 2015 |
|
|
June 30, 2014 |
|
| Beginning Balance |
|
$ |
15,617,308 |
|
|
$ |
6,496,756 |
|
| Acquisitions |
|
|
663,037 |
|
|
|
2,650,492 |
|
| Foreign currency translation (loss) gain |
|
|
(468,085 |
) |
|
|
34,993 |
|
| Ending Balance |
|
$ |
15,812,260 |
|
|
$ |
9,182,241 |
|
Other intangible
assets, consisting of franchise costs, trademarks and tradenames, is summarized by location as follows:
| Intagible assets |
|
June 30, 2015 |
|
|
December 31, 2014 |
|
| Franchise fees: |
|
|
|
|
|
|
|
|
| South Africa |
|
$ |
350,311 |
|
|
$ |
290,986 |
|
| Europe |
|
|
58,355 |
|
|
|
106,506 |
|
| Australia |
|
|
353,775 |
|
|
|
383,529 |
|
| Hooters Pacific NW |
|
|
90,000 |
|
|
|
90,000 |
|
| BGR |
|
|
1,320,000 |
|
|
|
- |
|
| Chanticleer Holdings * |
|
|
135,000 |
|
|
|
135,000 |
|
| |
|
|
2,307,441 |
|
|
|
1,006,021 |
|
| |
|
|
|
|
|
|
|
|
| Trademark, Tradenames: |
|
|
|
|
|
|
|
|
| Just Fresh |
|
|
1,010,000 |
|
|
|
1,010,000 |
|
| American Roadside Burger |
|
|
1,783,954 |
|
|
|
1,783,954 |
|
| BGR |
|
|
1,430,000 |
|
|
|
- |
|
| |
|
|
4,223,954 |
|
|
|
2,793,954 |
|
| Total Intangibles at cost |
|
|
6,531,395 |
|
|
|
3,799,975 |
|
| Accumulated amortization |
|
|
(507,234 |
) |
|
|
(403,472 |
) |
| Intangible assets, net |
|
$ |
6,024,161 |
|
|
$ |
3,396,503 |
|
* Amortization of
the Chanticleer franchise cost will begin with the opening of a related restaurant.
Amortization expense was $32,171 and
$90,999 for the three and six months ended June 30, 2015. Amortization expense was $77,700 and $153,920 for the three and six
months ended June 30, 2014.
|