According to the financial statements, what was the cash consideration for Management Recruiters?
Management_Recruiters Franchise · 2024 FDDAnswer from 2024 FDD Document
ing network in the world, headquartered in Delray Beach, Florida. MRI provides executive placement services and commercial staffing in the across the US and internationally.
On March 1, 2021, we completed our acquisition of Snelling Staffing and affiliates ("Snelling"). We acquired substantially all of the operating assets and assumed certain liabilities of Snelling for a purchase price of approximately $17.9 million. On March 22, 2021, we completed our asset acquisition of LINK Staffing and affiliates ("LINK") in which we acquired all of the franchise relationships and certain other assets of LINK for a purchase price of approximately $11.1 million. On October 1, 2021 we completed our acquisition of Recruit Media, Inc. ("Recruit Media"). We purchased all of the outstanding shares of Recruit Media for approximately $4.4 million, inclusive of $1.0 million of liabilities assumed. On December 6, 2021 we completed the acquisition
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 65–66)
What This Means (2024 FDD)
According to Management Recruiters' 2024 Franchise Disclosure Document, the company completed several acquisitions in 2021. On March 1, 2021, Management Recruiters acquired Snelling Staffing and affiliates for approximately $17.9 million. Following this, on March 22, 2021, they acquired LINK Staffing and affiliates for approximately $11.1 million. Later in the year, on October 1, 2021, Management Recruiters completed the acquisition of Recruit Media, Inc. for approximately $4.4 million, which included $1.0 million of assumed liabilities. Finally, on December 6, 2021, they acquired the Dental Power Staffing division from Dental Power International, Inc. for $1.9 million, inclusive of $382 thousand of contingent consideration.
These acquisitions reflect Management Recruiters' strategy of expanding its market presence and service offerings through strategic investments in other staffing and recruitment firms. The acquisitions of Snelling and LINK Staffing added to their franchise network and operating assets, while Recruit Media brought in intellectual property to enhance their platform. The Dental Power Staffing acquisition allowed Management Recruiters to further diversify its services into specialized sectors.
For a prospective franchisee, these acquisitions indicate that Management Recruiters is actively growing and investing in its business. This could mean more resources, improved technology, and a broader network, which could benefit franchisees. However, it's important for potential franchisees to understand how these acquisitions are integrated into the existing franchise system and how they might impact their operations and support.