What was the net value of Exit's goodwill as of December 31, 2024?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
| Life | Amount | Amortization | Value | ||
|---|---|---|---|---|---|
| December 31, 2024 | |||||
| Goodwill 10 Years | $ 31,223 | $ (19,389) | $ 11,834 | ||
| Total | $ 31,223 | $ (19,389) | $ 11,834 | ||
| December 31, 2023 | |||||
| Goodwill 10 Years | $ 31,223 | $ (16,475) | $ 14,748 | ||
| Total | $ 31,223 | $ (16,475) | $ 14,748 | ||
| December 31, 2022 | |||||
| Goodwill 10 Years | $ 31,223 | $ (13,562) | $ 17,661 | ||
| Total | $ 31,223 | $ (13,562) | $ 17,661 |
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, the net value of the company's goodwill as of December 31, 2024, was $11,834. The original goodwill amount was $31,223, but accumulated amortization reduced the net value.
Exit recorded goodwill connected to the acquisition of Legacy Success Group, LLC, on January 1, 2018. An additional $6,250 was assigned to goodwill during the year ended December 31, 2020, related to the purchase agreement. The total goodwill of $24,973 is associated with Legacy Success Group, LLC's reputation. Exit began amortizing the goodwill over a ten-year period starting January 1, 2018.
Management determined that there was no impairment related to this goodwill for the years ended December 31, 2024, 2023, and 2022. The amortization expense totaled $2,914 for each of those years. For a prospective franchisee, this indicates that Exit's management believes the value of its acquisitions remains stable and unimpaired.