When did Best Western acquire 100% of the outstanding shares of AutoClerk, Inc. (AC)?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
On July 31, 2019, the Company entered into and closed a definitive Share Sale and Purchase Agreement with the shareholders of AutoClerk, Inc. ("AC"), to purchase 100% of the outstanding shares of AC. The AC acquisition was accounted for as a business combination in accordance with ASC Topic 805, Business Combinations.
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, on July 31, 2019, Best Western entered into and closed a definitive Share Sale and Purchase Agreement with the shareholders of AutoClerk, Inc. to purchase 100% of the outstanding shares of AC. The acquisition was then accounted for as a business combination.
This means that Best Western now owns AutoClerk, Inc., which is identified as a property management system. This acquisition allows Best Western to integrate property management solutions directly into its operations and offer these services to its franchisees.
The FDD also mentions that goodwill is allocated to AutoClerk, indicating that AutoClerk is considered a reporting unit within Best Western's financial structure. This acquisition could potentially benefit franchisees by providing access to a standardized property management system, which may streamline operations and improve efficiency.