What was the total consideration transferred by Precision Door Service for the acquisitions made in 2022?
Precision_Door_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
the parent company of Neighborly, from TDG Investment Holdings, LP. Nest Bidco Inc. is an indirectly wholly owned subsidiary of Nest Holdings LP, which is the ultimate parent company of the newly formed business. The transaction was effected to add Neighborly to KKR's investment portfolio, and allows Neighborly to gain access to KKR's capital and resources.
Acquisitions
During 2023, the company made no acquisitions.
During 2022, the Company acquired Lawn Pride in August, Greensleeves in October and Junk King in November, and repurchased three of its previously franchised Mr. Rooter territories in March, each of which operates in the home services industry. The purchase price of the acquisitions of $290,364, comprised of $258,870 of cash, consideration payable of $96, and $31,3
Source: Item 21 — Financial Statements (FDD page 91)
What This Means (2025 FDD)
According to Precision Door Service's 2025 Franchise Disclosure Document, the total consideration transferred in 2022 for acquisitions was $290,364. This amount includes several components: $258,870 in cash, $96 in consideration payable, and $31,398 in rollover equity.
In 2022, Precision Door Service acquired several entities within the home services industry. These included Lawn Pride in August, Greensleeves in October, and Junk King in November. Additionally, Precision Door Service repurchased three previously franchised Mr. Rooter territories in March. These acquisitions and repurchases allowed Precision Door Service to gain complete ownership or access to the intellectual property of these entities.
The purchase price was allocated to the acquired assets and assumed liabilities based on independent valuation studies and management estimates of their fair value, following FASB ASC Topic 805, Business Combinations. This accounting standard ensures that the allocation is done in a fair and consistent manner, reflecting the true economic value of the acquired businesses. For a prospective franchisee, this indicates that Precision Door Service is actively expanding its business through acquisitions and is diligent in its financial reporting and valuation practices.