When was 100% of the ownership of the Dryject LLC transferred to a new member?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Note 2 Goodwill The accounting of the purchase of 100% of the membership units in 2016 resulted in the recognition of goodwill of $1,509,159. The Company adopted ASC 350-20-35-63 which allows private companies the option of amortizing goodwill over ten years on a straight-line basis.
- Note 3 Transfer of membership In August 2016, 100% of the ownership of the LLC was transferred to a new member. The purchase was financed with a note from WSFS Bank, guaranteed by the SBA, for $1,547,800 and a seller financed note of $300,000. The purchase price was $1,500,000 for 100% of the ownership of the LLC an
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, 100% of the ownership of Dryject LLC was transferred to a new member in August 2016. The purchase was financed through a note from WSFS Bank, guaranteed by the SBA, for $1,547,800, along with a seller-financed note of $300,000. The total purchase price consisted of $1,500,000 for the ownership of the LLC and $500,000 for the assets of DryJect Inc.
The debt and financing costs were allocated between DryJect LLC and DryJect Inc. Acquisition Corporation, with 75% attributed to the company and 25% to the acquisition corporation. The loan is secured by the assets of both entities and guaranteed by the member.
This information is relevant for prospective franchisees as it provides insight into the financial structure and history of Dryject. Understanding how the company was financed and the allocation of debt can offer a clearer picture of its financial stability and the obligations of its owner. Additionally, knowing the details of the ownership transfer can be useful in assessing the long-term commitment and vision of the current leadership.