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Shop Acquisitions
 12 Months Ended
Dec. 31, 2023
Business Combination and Asset Acquisition [Abstract]  
Shop Acquisitions
NOTE 4 — Shop Acquisitions
During the year ended December 31, 2023, the Company did not repurchase the franchise rights and assets of any shops from franchise partners.
For the year ended December 31, 2022, the Company repurchased the franchise rights and assets of seven shops from two separate franchise partners in Washington. The following table summarizes the allocations of the purchase prices to the estimated fair values of assets acquired and liabilities assumed. The fair values for the 2022 acquisitions were considered final as of December 31, 2022.
(in thousands)December 31, 2022
Acquisition consideration:
Purchase price consideration$6,051 
Equipment and fixtures197 
Building and leasehold improvements1,470 
Inventories67 
Other assets6 
Operating lease right-of-use assets2,327 
Reacquired franchise rights1,735 
Other liabilities(88)
Gift card liability(250)
Operating lease obligations(2,327)
Net assets acquired3,137 
Goodwill$2,914 
Reacquired franchise rights had a weighted-average useful life of 4.2 years at the time of purchase for the acquisitions made during the year ended December 31, 2022.
The results of operations for the 2022 acquisitions are included in the Company’s consolidated statements of operations beginning on the dates of acquisition. Revenues of approximately $9.3 million and net income of approximately $1.6 million are included in the Company’s consolidated statements of operations for the year ended December 31, 2022.
The following table reflects the unaudited pro forma results of the Company and the five shops purchased in 2022 as if the acquisitions had taken place as of January 1, 2021:
(in thousands; unaudited)Year Ended December 31, 2022
Revenue$740,964 
Net loss$(18,875)