Supplemental Disclosure of Non-cash Activity |
9 Months Ended |
|---|---|
Sep. 30, 2019 | |
| Notes to Financial Statements | |
| Cash Flow, Supplemental Disclosures [Text Block] |
During the nine months ended September 30, 2019 and 2018, cash paid for income taxes was $34,396 and $29,522, respectively. During the nine months ended September 30, 2019 and 2018, cash paid for interest was $75,000 for both periods.Supplemental disclosure of non-cash activity: As of September 30, 2019, accounts payable and accrued expenses include property and equipment purchases of $206,201, and $103,136, respectively. As of December 31, 2018, accounts payable and accrued expenses include property and equipment purchases of $121,038, and $1,595, respectively.In connection with the acquisitions during the nine months ended September 30, 2019, the Company acquired $149,542 of property and equipment and intangible assets of $1,989,169, in exchange for $3,072,332 in cash to the seller. Additionally, at the time of these transactions, the Company carried net deferred revenue of $36,695, representing net franchise fees collected upon the execution of the franchise agreement. The Company netted this amount against the purchase price of the acquisitions (Note 2 ). In connection with the Company’s reacquisition and termination of regional developer rights during the nine months ended September 30, 2019, the Company had deferred revenue of $44,334 representing license fees collected upon the execution of the regional developer agreements. The Company netted these amounts against the aggregate purchase price of the acquisitions (Note 8 ).During the nine months ended September 30, 2018, the Company had stock option exercise proceeds of $6,720 included in accounts receivable.Note: The Condensed Consolidated Statements of Cash Flows is unaudited and has been restated to reflect the consolidation of variable interest entities. See Note
1 of “Notes to Condensed Consolidated Financial Statements” under the heading “Prior Period Financial Statement Correction of Immaterial Error ” for more details. The accompanying notes are an integral part of these condensed consolidated financial statements. |