Quarterly report pursuant to Section 13 or 15(d)

INTANGIBLE ASSETS, NET

v3.21.2
INTANGIBLE ASSETS, NET
 6 Months Ended
Jun. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract]  
INTANGIBLE ASSETS, NET

5. INTANGIBLE ASSETS, NET

 

GOODWILL

 

A roll-forward of goodwill is as follows:

 

    Six Months Ended June 30, 2021    

Year Ended

December 31, 2020

  
Beginning balance   $ 8,591,149     $ 8,567,888  
Foreign currency translation gain     12,257       23,261  
Ending balance   $ 8,603,406     $ 8,591,149  

 

OTHER INTANGIBLE ASSETS

 

Franchise and trademark/tradename intangible assets consist of the following:

 

        June 30, 2021     December 31, 2020  
Trademark, Tradenames:                    
American Roadside Burger   10 years   $ 561,191     $ 1,786,930  
BGR: The Burger Joint   Indefinite     739,245       739,245  
Little Big Burger   Indefinite     1,550,000       1,550,000  
          2,850,436       4,076,175  
Acquired Franchise Rights:                    
BGR: The Burger Joint   7 years     827,757       827,757  
                     
Franchise License Fees:                    
Hooters Pacific NW   20 years     —       74,507  
Hooters UK   5 years     12,073       11,001  
          12,073       85,508  
Total intangibles at cost         3,690,266       4,989,440  
Accumulated amortization         (1,149,398 )     (1,945,555 )
Intangible assets, net       $ 2,540,868     $ 3,043,885  

 

An analysis of the recoverability of the carrying value was performed at each quarter end beginning at the end of the first quarter of 2020 and continuing through June 30, 2021. Based on that analysis, an impairment charge of approximately $327,342 was recorded to trademarks/tradenames for ABC: American Burger Company during the six months ended June 30, 2021.

 

Amortization of intangible assets was $84,915 and $175,675 for the three and six months ended June 30, 2021 and $91,566 and $182,525 for the three and six months ended June 30, 2020, respectively.

 

 

Amergent Hospitality Group, Inc and Subsidiaries

Notes to the Condensed Consolidated and Combined Financial Statements