| Schedule of Goodwill |
Goodwill is summarized
by location as follows:
| |
|
September 30, 2016 |
|
|
December 31, 2015 |
|
| American Burger Company |
|
$ |
2,806,990 |
|
|
$ |
2,806,990 |
|
| BGR: The Burger Joint |
|
|
663,037 |
|
|
|
663,037 |
|
| Little Big Burger |
|
|
2,938,279 |
|
|
|
2,938,279 |
|
| BT's Burger Joint |
|
|
1,040,542 |
|
|
|
978,350 |
|
| Just Fresh |
|
|
495,755 |
|
|
|
425,151 |
|
| Hooters South Africa |
|
|
229,535 |
|
|
|
206,503 |
|
| West End Wings UK |
|
|
2,393,226 |
|
|
|
2,733,001 |
|
| Hooters Pacific NW |
|
|
1,950,828 |
|
|
|
1,950,828 |
|
| Total |
|
$ |
12,518,192 |
|
|
$ |
12,702,139 |
|
|
| Summary of Changes in Carrying Amount of Goodwill |
The changes in the
carrying amount of goodwill are summarized as follows:
| |
|
Nine Months Ended |
|
| |
|
September 30, 2016 |
|
|
September 30 2015 |
|
| Beginning Balance |
|
$ |
12,702,139 |
|
|
$ |
15,617,308 |
|
| Acquisitions |
|
|
70,604 |
|
|
|
426,038 |
|
| Adjustments |
|
|
62,192 |
|
|
|
- |
|
| Foreign currency translation (loss) gain |
|
|
(316,742 |
) |
|
|
(567,607 |
) |
| Ending Balance |
|
$ |
12,518,192 |
|
|
$ |
15,475,739 |
|
|
| Schedule of Other Intangible Assets |
Other intangible assets,
consisting of franchise costs, trademarks and tradenames, is summarized by location as follows:
| |
|
Estimated
Useful Life
|
|
September 30, 2016 |
|
|
December 31, 2015 |
|
| Trademark, Tradenames: |
|
|
|
|
|
|
|
|
|
|
| Just Fresh |
|
10 years |
|
$ |
1,010,000 |
|
|
$ |
1,010,000 |
|
| American Roadside Burger |
|
10 years |
|
|
1,786,930 |
|
|
|
1,786,930 |
|
| BGR: The Burger Joint |
|
Indefinite |
|
|
1,430,000 |
|
|
|
1,430,000 |
|
| Little Big Burger |
|
Indefinite |
|
|
1,550,000 |
|
|
|
1,550,000 |
|
| |
|
|
|
|
5,776,930 |
|
|
|
5,776,930 |
|
| Franchise fees: |
|
|
|
|
|
|
|
|
|
|
| South Africa |
|
20 years |
|
|
318,713 |
|
|
|
286,732 |
|
| Hooters Pacific NW |
|
20 years |
|
|
88,826 |
|
|
|
90,000 |
|
| BGR: The Burger Joint |
|
Indefinite |
|
|
1,320,000 |
|
|
|
1,320,000 |
|
| |
|
|
|
|
1,727,539 |
|
|
|
1,696,732 |
|
| Total Intangibles at cost |
|
|
|
|
7,504,469 |
|
|
|
7,473,662 |
|
| Accumulated amortization |
|
|
|
|
(932,778 |
) |
|
|
(696,726 |
) |
| Intangible assets, net |
|
|
|
$ |
6,571,691 |
|
|
$ |
6,776,936 |
|
| |
|
Nine Months Ended |
|
| |
|
September 30, 2016 |
|
|
September 30, 2015 |
|
| Amortization expense |
|
$ |
236,052 |
|
|
$ |
229,370 |
|
|