On what date did Management Recruiters complete the acquisition of Snelling Staffing?
Management_Recruiters Franchise · 2024 FDDAnswer from 2024 FDD Document
ings collectively with its whollyowned subsidiary, Hire Quest, LLC, as "Legacy HQ."
On March 1, 2021, we completed our acquisition of Snelling Staffing and affiliates ("Snelling"). We acquired substantially all of the operating assets and assumed
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 its acquisition of Snelling Staffing on March 1, 2021. The acquisition involved purchasing substantially all of Snelling's operating assets and assuming certain liabilities. The purchase price for Snelling Staffing was approximately $17.9 million.
As part of the acquisition agreement, Management Recruiters' wholly-owned subsidiary, HQ Snelling Corporation, played a key role. HQ Snelling acquired the assets and assumed the liabilities under the terms of the agreement. Additionally, HireQuest, Inc. advanced $2.1 million to the sellers to facilitate the settlement of accrued payroll liabilities that HQ Snelling assumed.
Following the acquisition, some Snelling locations transitioned to the HireQuest franchise model, signing HireQuest franchise agreements while continuing to operate under the Snelling tradename. This suggests a strategic approach by Management Recruiters to integrate Snelling's existing network while leveraging the HireQuest franchise system. The FDD also mentions other acquisitions completed around the same time, including LINK Staffing, Recruit Media, Inc., and Dental Power Staffing division, indicating a period of expansion for Management Recruiters.