2014 Q3 Form 10-Q Financial Statement

#000114420414050338 Filed on August 14, 2014

View on sec.gov

Income Statement

Concept 2014 Q3 2014 Q2 2013 Q4
Revenue $9.627M $6.920M $3.310M
YoY Change 499.33% 315.34% 67.17%
Cost Of Revenue $7.920M $6.060M $3.270M
YoY Change 428.0% 285.99% 71.2%
Gross Profit $1.390M $490.0K $40.00K
YoY Change 1163.64% 390.0% -50.0%
Gross Profit Margin 14.44% 7.08% 1.21%
Selling, General & Admin $1.480M $1.500M $1.980M
YoY Change 54.17% 127.27% 204.62%
% of Gross Profit 106.47% 306.12% 4950.0%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $460.0K $440.0K $250.0K
YoY Change 271.71% 238.46% 127.27%
% of Gross Profit 33.09% 89.8% 625.0%
Operating Expenses $5.198M $1.880M $2.230M
YoY Change 464.6% 101.66% 189.61%
Operating Profit -$588.3K -$1.466M -$2.190M
YoY Change -39.73% 113.35% 217.39%
Interest Expense $581.2K $350.8K -$120.0K
YoY Change 51.52% 1801.86% 140.0%
% of Operating Profit
Other Income/Expense, Net $78.39K -$69.98K $0.00
YoY Change -116.59% 94.47%
Pretax Income -$510.0K -$1.536M -$2.380M
YoY Change -64.8% 112.42% 221.62%
Income Tax -$19.73K $1.379K $10.00K
% Of Pretax Income
Net Earnings -$551.4K -$1.411M -$2.350M
YoY Change -61.26% 99.6% 167.05%
Net Earnings / Revenue -5.73% -20.39% -71.0%
Basic Earnings Per Share
Diluted Earnings Per Share -$18.33M -$28.20M -$117.5M
COMMON SHARES
Basic Shares Outstanding 6.719M shares 6.322M shares
Diluted Shares Outstanding

Balance Sheet

Concept 2014 Q3 2014 Q2 2013 Q4
SHORT-TERM ASSETS
Cash & Short-Term Investments $320.0K $270.0K $440.0K
YoY Change 52.38% 68.75% -63.93%
Cash & Equivalents $322.8K $442.7K
Short-Term Investments
Other Short-Term Assets $510.0K $550.0K $500.0K
YoY Change -85.39% -81.85% 138.1%
Inventory $542.3K $475.5K $381.4K
Prepaid Expenses $494.2K
Receivables $386.1K $118.4K $227.2K
Other Receivables $44.49K $45.21K $50.38K
Total Short-Term Assets $1.915M $1.578M $1.713M
YoY Change -55.79% -57.0% -15.62%
LONG-TERM ASSETS
Property, Plant & Equipment $14.59M $12.70M $5.620M
YoY Change 189.11% 496.92% 142.65%
Goodwill $18.19M $9.182M $6.497M
YoY Change 785.71% 2215.9% 1538.58%
Intangibles $3.752M $3.609M $3.425M
YoY Change 56.39% 478.01% 511.72%
Long-Term Investments $0.00 $0.00 $942.0K
YoY Change -100.0% -100.0% -11.71%
Other Assets
YoY Change
Total Long-Term Assets $38.58M $27.59M $18.37M
YoY Change 229.89% 418.77% 227.18%
TOTAL ASSETS
Total Short-Term Assets $1.915M $1.578M $1.713M
Total Long-Term Assets $38.58M $27.59M $18.37M
Total Assets $40.50M $29.17M $20.09M
YoY Change 152.68% 224.48% 162.71%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $3.321M $3.570M $1.676M
YoY Change 114.28% 224.55% 51.0%
Accrued Expenses
YoY Change
Deferred Revenue
YoY Change
Short-Term Debt $950.0K $1.570M $0.00
YoY Change 360.94% 644.73% -100.0%
Long-Term Debt Due $2.092M $1.960M $835.5K
YoY Change 212.24% 226.6% 253.84%
Total Short-Term Liabilities $10.69M $9.310M $5.532M
YoY Change 102.23% 102.27% 212.04%
LONG-TERM LIABILITIES
Long-Term Debt $5.017M $180.9K $398.9K
YoY Change 2081.18% 352.19%
Other Long-Term Liabilities $1.860M $1.850M $220.3K
YoY Change 1748.04% 1612.33% 18.42%
Total Long-Term Liabilities $5.017M $180.9K $619.2K
YoY Change 4884.47% 67.41% 232.82%
TOTAL LIABILITIES
Total Short-Term Liabilities $10.69M $9.310M $5.532M
Total Long-Term Liabilities $5.017M $180.9K $619.2K
Total Liabilities $20.04M $13.61M $8.849M
YoY Change 271.88% 180.78% 317.81%
SHAREHOLDERS EQUITY
Retained Earnings -$17.89M -$17.33M -$14.47M
YoY Change 61.95% 56.32%
Common Stock $700.00 $652.00 $541.00
YoY Change 76.22% 46.22%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $14.88M $15.56M $11.24M
YoY Change
Total Liabilities & Shareholders Equity $40.50M $29.17M $20.09M
YoY Change 152.65% 224.48% 162.71%

Cashflow Statement

Concept 2014 Q3 2014 Q2 2013 Q4
OPERATING ACTIVITIES
Net Income -$551.4K -$1.411M -$2.350M
YoY Change -61.26% 99.6% 167.05%
Depreciation, Depletion And Amortization $460.0K $440.0K $250.0K
YoY Change 271.71% 238.46% 127.27%
Cash From Operating Activities $1.970M -$70.00K -$1.020M
YoY Change -464.81% -86.54% 168.42%
INVESTING ACTIVITIES
Capital Expenditures -$1.940M -$1.560M -$3.570M
YoY Change 3780.0% 7700.0%
Acquisitions
YoY Change
Other Investing Activities $0.00 $110.0K $2.510M
YoY Change -100.0% -104.15% -2381.82%
Cash From Investing Activities -$1.940M -$1.460M -$1.060M
YoY Change 708.33% -45.32% 783.33%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -110.0K 1.340M 2.280M
YoY Change -113.58% -54.27% 3700.0%
NET CHANGE
Cash From Operating Activities 1.970M -70.00K -1.020M
Cash From Investing Activities -1.940M -1.460M -1.060M
Cash From Financing Activities -110.0K 1.340M 2.280M
Net Change In Cash -80.00K -190.0K 200.0K
YoY Change -366.67% -26.92% -145.45%
FREE CASH FLOW
Cash From Operating Activities $1.970M -$70.00K -$1.020M
Capital Expenditures -$1.940M -$1.560M -$3.570M
Free Cash Flow $3.910M $1.490M $2.550M
YoY Change -897.96% -398.0% -771.05%

Facts In Submission

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<div style="MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif "> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="center"></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal"> <strong>RECLASSIFICATIONS</strong></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal"> <strong>&#160;</strong></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.5in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">Certain amounts in the prior period have been reclassified to conform to the current period presentation. These reclassifications have no effect on previously reported results of operations or loss per share.</div> </div><table border="0" style="width:100%; table-layout:fixed;" cellspacing="0" cellpadding="0"><tr><td></td></tr></table>
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us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
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CY2014Q2 hotr Working Capital Deficit
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CY2013Q1 hotr Approximate General And Administrative Expenses
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hotr Approximate General And Administrative Expenses
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hotr Non Cash Of General And Administrative Expenses
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hotr Going Concern Description
GoingConcernDescription
In August 2012, the Company opened a restaurant in Budapest, Hungary, and earns 80% of the operating results with our operating partner earning 20%. Domestically in 2013 the Company purchased 100% of ARB on September 30, 2013, and 56% of JFR and JFFS, owners of Just Fresh, a Charlotte, North Carolina-based casual dining concept, in December 2013. Effective November 7, 2013, the Company acquired 100% of an existing Hooters restaurant in Nottingham, England. On January 31, 2014, the Company closed the purchases of 100% of two Hooters restaurants in the states of Washington and Oregon and a gaming facility operated through the Oregon Lottery system, as well as Spoon Bar and Kitchen in Dallas, Texas. In March 2013, the Company closed its investment management business, which saved us approximately $50,000 per quarter starting fully in the third quarter of 2013. Historically, the Company also has earned 49% of the operating results with our operating partner earning 51% in our Hooters location opened in January 2012 in Campbelltown, Australia, a suburb of Sydney. During April 2014, the Company purchased an additional 11% of the Hooters location in Campbelltown from our Australian partner, increasing our ownership to 60%. Construction is also recently completed or underway on two additional Hooters Australia locations under the same terms (the Company will hold a 60% interest in each). The first site in Surfers Paradise opened to the public on July 14, 2014 and the second site in Townsville is expected to open late in the third quarter of 2014
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2018-10-10
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2014-08-10
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CY2013Q4 hotr Warrant Term
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CY2013Q4 hotr Warrant Term
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us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
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us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
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hotr Business Combination Consideration Transferred Common Stock Issued
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us-gaap Business Combination Consideration Transferred1
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8785754 USD
CY2014Q2 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Intangible Assets Other Than Goodwill
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CY2014Q2 hotr Business Acquisition Purchase Price Allocation Total Asset Excluding Cash And Cash Equivalents
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CY2014Q2 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Current Liabilities
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1340000 USD
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us-gaap Business Combination Consideration Transferred Equity Interests Issued And Issuable
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us-gaap Business Acquisitions Pro Forma Revenue
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us-gaap Business Acquisitions Pro Forma Revenue
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hotr Business Acquisition Pro Forma Income Loss From Continuing Operation
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hotr Business Acquisition Pro Forma Income Loss From Continuing Operation
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CY2013Q2 hotr Business Acquisition Pro Forma Income Loss From Continuing Operation
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CY2014Q2 hotr Business Acquisition Pro Forma Income Loss From Continuing Operation
BusinessAcquisitionProFormaIncomeLossFromContinuingOperation
-1235639 USD
hotr Business Acquisitions Pro Forma Non Controlling Interest Attributable To Parent
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-128910 USD
hotr Business Acquisitions Pro Forma Non Controlling Interest Attributable To Parent
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-162747 USD
CY2013Q2 hotr Business Acquisitions Pro Forma Non Controlling Interest Attributable To Parent
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CY2014Q2 hotr Business Acquisitions Pro Forma Non Controlling Interest Attributable To Parent
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-126642 USD
us-gaap Business Acquisitions Pro Forma Net Income Loss
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us-gaap Business Acquisitions Pro Forma Net Income Loss
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-2953486 USD
CY2013Q2 us-gaap Business Acquisitions Pro Forma Net Income Loss
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CY2014Q2 us-gaap Business Acquisitions Pro Forma Net Income Loss
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hotr Business Acquisition Pro Forma Earnings Per Share Basic And Diluted
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hotr Business Acquisition Pro Forma Earnings Per Share Basic And Diluted
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CY2013Q2 hotr Business Acquisition Pro Forma Earnings Per Share Basic And Diluted
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CY2014Q2 hotr Business Acquisition Pro Forma Earnings Per Share Basic And Diluted
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hotr Business Acquisition Pro Forma Weighted Average Shares Basic And Diluted
BusinessAcquisitionProFormaWeightedAverageSharesBasicAndDiluted
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hotr Business Acquisition Pro Forma Weighted Average Shares Basic And Diluted
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6137597 shares
CY2013Q2 hotr Business Acquisition Pro Forma Weighted Average Shares Basic And Diluted
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CY2014Q2 hotr Business Acquisition Pro Forma Weighted Average Shares Basic And Diluted
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CY2013Q4 us-gaap Business Acquisition Percentage Of Voting Interests Acquired
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CY2013Q4 us-gaap Equity Method Investment Aggregate Cost
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CY2014Q2 us-gaap Cost Method Investments
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CY2013Q4 us-gaap Cost Method Investments
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1550000 USD
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1066915 USD
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CY2013 hotr New Equity Method Investments
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100000 USD
hotr New Equity Method Investments
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100000 USD
CY2013 us-gaap Proceeds From Equity Method Investment Dividends Or Distributions Return Of Capital
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us-gaap Proceeds From Equity Method Investment Dividends Or Distributions Return Of Capital
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CY2014Q2 us-gaap Equity Method Investments
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CY2013Q4 us-gaap Equity Method Investment Summarized Financial Information Liabilities And Equity
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us-gaap Depreciation Depletion And Amortization
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us-gaap Depreciation Depletion And Amortization
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hotr Proceeds From Issuance Of Common Stock For Sevices
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us-gaap Amortization Of Debt Discount Premium
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us-gaap Amortization Of Debt Discount Premium
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us-gaap Increase Decrease In Accrued Taxes Payable
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us-gaap Increase Decrease In Accrued Taxes Payable
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us-gaap Adjustment Of Warrants Granted For Services
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us-gaap Adjustment Of Warrants Granted For Services
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us-gaap Increase Decrease In Prepaid Deferred Expense And Other Assets
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hotr Noncash Or Part Noncash Acquisition Noncash Financial Or Equity Instrument Consideration Common Stock And Warrants Issued
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hotr Cash Received In Excess Of Cash Paid For Noncash Transaction In Acquisition
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hotr Cash Received In Excess Of Cash Paid For Noncash Transaction In Acquisition
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CY2014Q2 us-gaap Amortization Of Intangible Assets
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us-gaap Nature Of Operations
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<div style="MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif "> <table style="MARGIN-TOP: 0px; FONT: 10pt Times New Roman, Times, Serif; MARGIN-BOTTOM: 0px; font-size-adjust: none; font-stretch: normal" cellspacing="0" cellpadding="0"> <tr style="VERTICAL-ALIGN: top"> <td style="WIDTH: 0.5in"> <div style="CLEAR:both;CLEAR: both"><b>1.</b></div> </td> <td style="TEXT-ALIGN: justify"> <div style="CLEAR:both;CLEAR: both"><font style="TEXT-TRANSFORM: uppercase"><b>Nature of Business</b></font></div> </td> </tr> </table> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify"><font style="TEXT-TRANSFORM: uppercase"><b> Organization</b></font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">Chanticleer Holdings, Inc. (the &#8220;Company&#8221;) was organized on October 21, 1999, under its original name, Tulvine Systems, Inc., under the laws of the State of Delaware. Tulvine Systems, Inc. had limited operations and was considered a development stage company until July 2005. On April 25, 2005, Tulvine Systems, Inc. formed a wholly owned subsidiary, Chanticleer Holdings, Inc. On May 2, 2005, Tulvine Systems, Inc. merged with and changed its name to Chanticleer Holdings, Inc.</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;CLEAR: both"> &#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">The consolidated financial statements include the accounts of Chanticleer Holdings, Inc. and its subsidiaries, Chanticleer Advisors, LLC, (&#8220;Advisors&#8221;), Avenel Ventures, LLC ("Ventures"), Chanticleer Holdings Limited ("CHL"), Chanticleer Holdings Australia Pty, Ltd. (&#8220;CHA&#8221;), Chanticleer Investment Partners, LLC (&#8220;CIP&#8221;), DineOut SA Ltd. ("DineOut&#8221;), Chanticleer and Shaw Foods (Pty) Ltd. (&#8220;C&amp;S&#8221;), Kiarabrite (Pty) Ltd (&#8220;KPL&#8221;), Dimaflo (Pty) Ltd (&#8220;DFLO&#8221;), Tundraspex (Pty) Ltd (&#8220;TPL&#8221;), Civisign (Pty) Ltd (&#8220;CPL&#8221;), Dimalogix (Pty) Ltd (&#8220;DLOG&#8221;), Pulse Time Trade (Pty) Ltd. (&#8220;PTT&#8221;), Crown Restaurants Kft. (&#8220;CRK&#8221;), <font style="FONT-FAMILY:Times New Roman, Times, Serif">American Roadside Burgers, Inc. (&#8220;ARB&#8221;), West End Wings Ltd. (&#8220;WEW&#8221;), JF Restaurants, L.L.C (&#8220;JFR&#8221;), JF Franchising Systems, L.L.C. (&#8220;JFFS&#8221;), Tacoma Wings, LLC, Jantzen Beach Wings, LLC, Oregon Owl&#8217;s Nest, LLC, Dallas Spoon, LLC, Dallas Spoon Beverage, LLC, Hoot Campbelltown Pty. Ltd., Hoot Surfers Paradise Pty. Ltd. and Hoot Townsville Pty. Ltd. (collectively referred to as the &#8220;Company&#8221;). On July 11, 2013, the names of DFLO, CPL and DLOG were changed in South Africa to Hooters Umhlanga (Pty.) Ltd., Hooters CapeTown (Pty.) Ltd., and Hooters Emperors Palace (Pty.) Ltd., respectively. On August 30, 2013, January 8, 2014, and June 4, 2014 the names of KPL, C&amp;S and PTT were changed to Hooters SA (Pty) Ltd., Chanticleer South Africa (Pty) Ltd. and Hooters PE, respectively. On April 1, 2014, the Company increased our ownership in the Australian Hooters entities, Hoot Campbelltown Pty. Ltd., Hoot Surfers Paradise Pty. Ltd. and Hoot Townsville Pty. Ltd., from <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 49</font>% to <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 60</font>%.&#160;All significant inter-company balances and transactions have been eliminated in consolidation. The accompanying consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (&#8220;U.S. GAAP&#8221;).</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">The Company has a calendar year-end reporting date of December 31. The accounts of two of its subsidiaries, JFR and WEW, are consolidated based on either a 52- or 53-week period ending on the Sunday closest to each December&#160;31. No events occurred related to the difference between the Company&#8217;s reporting calendar year-end and the Company&#8217;s two subsidiaries year-end of December 29, 2013 that materially affected the Company&#8217;s financial position, results of operations, or cash flows. For the quarter ended June 30, 2013, the Company and all of its consolidated subsidiaries reported on a calendar quarter-end. For the quarter ended June 30, 2014, the Company and all subsidiaries reported on a calendar quarter-end with the exception of two non-calendar year-end subsidiaries, whose fiscal quarter each consisted of operations commencing December 30, 2013 and ending June 15, 2014&#160;and June 29, 2014, respectively. No events occurred from these periods to June 30, 2014 that materially affect the Company&#8217;s financial position, results of operations, or cash flows.&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal"> <b>&#160;</b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify"><b>GENERAL</b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">The accompanying condensed consolidated financial statements included in this report have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (&#8220;SEC&#8221;) for interim reporting and include all adjustments (consisting only of normal recurring adjustments) that are, in the opinion of management, necessary for a fair presentation. These condensed consolidated financial statements have not been audited. The results of operations for the three and six months ended June 30, 2014 are not necessarily indicative of the operating results for the full year.&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;CLEAR: both"> &#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">Certain information and footnote disclosures normally included in consolidated financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations for interim reporting. The Company believes that the disclosures contained herein are adequate to make the information presented not misleading. However, these financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company&#8217;s Annual Report on Form 10-K for the year ended December 31, 2013 filed with the SEC on March 31, 2014. Certain amounts for the prior year have been reclassified to conform to the current year presentation.</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal"> <b>LIQUIDITY, MANAGEMENT&#8217;S PLANS AND GOING CONCERN</b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal"> <b>&#160;</b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">The accompanying unaudited condensed consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. At June 30, 2014, the Company had current assets of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">1,578,372</font>, current liabilities of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">9,310,320</font>, and a working capital deficit of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">7,731,948</font>. The Company incurred a loss of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">2,861,374</font> during the six months ended June 30, 2014 and had an unrealized loss from available-for-sale securities of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">15,527</font> and foreign currency translation gains of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">51,165</font>, resulting in a comprehensive loss of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">2,825,736</font>. The Company has historically met its liquidity requirements through the sale of equity and debt securities, sale of certain investments, and has also obtained funding at the subsidiary level for certain locations and joint ventures. The Company anticipates raising additional capital from one or more such sources during the remainder of 2014, although there can be no assurance that it will be able to do so.</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;The Company's corporate general and administrative expenses were $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">2,860,453</font> for the first six months of 2014, including $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">375,507</font> non-cash expenses comprised of common stock issued for services and amortization of warrants. The expenses averaged approximately $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">1.0</font> million per quarter in 2013. Also, the company had approximately $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">1.1</font>&#160;million of&#160;non-cash expenses. The Company expects costs to remain flat for the second half of 2014 as we continue to expand our footprint domestically and internationally for 2014 and beyond, however we expect costs to decrease as a percent of sales. Effective October 1, 2011, the Company acquired majority control of the initial three restaurants in South Africa and began consolidating these operations. <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">In August 2012, the Company opened a restaurant in Budapest, Hungary, and earns 80% of the operating results with our operating partner earning 20%. Domestically in 2013 the Company purchased 100% of ARB on September 30, 2013, and 56% of JFR and JFFS, owners of Just Fresh, a Charlotte, North Carolina-based casual dining concept, in December 2013. Effective November 7, 2013, the Company acquired 100% of an existing Hooters restaurant in Nottingham, England. On January 31, 2014, the Company closed the purchases of 100% of two Hooters restaurants in the states of Washington and Oregon and a gaming facility operated through the Oregon Lottery system, as well as Spoon Bar and Kitchen in Dallas, Texas. In March 2013, the Company closed its investment management business, which saved us approximately $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">50,000</font> per quarter starting fully in the third quarter of 2013. Historically, the Company also has earned 49% of the operating results with our operating partner earning 51% in our Hooters location opened in January 2012 in Campbelltown, Australia, a suburb of Sydney. During April 2014, the Company purchased an additional 11% of the Hooters location in Campbelltown from our Australian partner, increasing our ownership to 60%. Construction is also recently completed or underway on two additional Hooters Australia locations under the same terms (the Company will hold a 60% interest in each). The first site in Surfers Paradise opened to the public on July 14, 2014 and the second site in Townsville is expected to open late in the third quarter of 2014</font>. The Company also has a <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">5</font>% interest in Beacher&#8217;s Madhouse, a variety show, which opened in Las Vegas, Nevada at the end of 2013.</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;CLEAR: both"> &#160;&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">The Company has a note with a balance at June 30, 2014 of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">197,416</font> owed to its bank which is due on <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">October 10, 2018</font> with monthly principal and interest payments of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">4,406</font>. In April 2013, the Company secured a $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">500,000</font> line of credit which became due on <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">August 10, 2014</font> for which an extension is currently being negotiated and the lender has not demanded payment. As of June 30, 2014, the balance on the line of credit is $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">500,000</font>. In February 2014 the Company secured a note with a bank for $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">500,000</font> which became due on August 10, 2014 for which an extension is currently being negotiated and the lender has not demanded payment. The Company also has $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">3,000,000</font> of convertible debt which the Company used for our purchase of the Hooters Nottingham (United Kingdom) location. On August 2, 2013, the Company entered into an agreement with seven individual accredited investors, whereby the Company issued separate <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 6</font>% Secured Subordinate Convertible Notes for a total of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">3,000,000</font> in a private offering. These investors received <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">3</font> year warrants to purchase <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 300,000</font> shares of the Company&#8217;s common stock at $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">3.00</font> per share. The conversion feature of the convertible debt and warrants was recorded as a derivative liability. The Company closed the purchase of Hooters Nottingham on November 6, 2013 and began operating the restaurant on November 7, 2013. In March 2014, the Company received proceeds of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">500,000</font> from convertible debt which was used for continuing the Company&#8217;s growth and for working capital. The investor was issued <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 15</font>% Secured Subordinate Convertible Notes and received five year warrants to purchase up to <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 30</font>% of the number of shares of common stock issued upon conversion of the 2014 note exercisable at $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">5.25</font> per share. The conversion feature of the convertible debt was recorded as a derivative liability. In addition the Company has notes with a balance at June 30, 2014 of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">225,000</font> owed to two outside companies which have matured, an extension for both notes are currently being negotiated and payment has not been demanded. The Company&#8217;s South African subsidiaries have bank overdraft and term facilities of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">707,700</font>, including a mortgage for a site we purchased in Port Elizabeth for our next Hooters location. ARB had a bank note payable of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">10,249</font> due on <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">August 5, 2014</font> which has been repaid in full. The Company plans to continue to use limited partnerships or other financing vehicles, if necessary, to fund its share of costs for additional Hooters and other restaurants.</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">On October 17, 2013, the Company raised $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">2,500,000</font> in a private placement, pursuant to which the Company sold to the investors an aggregate of <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 666,667</font> Units at a purchase price of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">3.75</font> per unit. Each Unit consists of one share of the Company&#8217;s common stock and one five-year warrant, exercisable after twelve months, to purchase one share of common stock at an initial exercise price of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">5.00</font>. The Company employed a placement agent for the purpose of the private placement, and paid to the placement agent commissions in the total amount of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">150,000</font> and five year warrants convertible into an aggregate of <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 40,000</font> shares.</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">On November 7, 2013, the Company entered into a Subscription Agreement with three accredited investors, pursuant to which the Company sold to the investors an aggregate of <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 160,000</font> Units at a purchase price of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">5.00</font> per Unit, closing a $800,000 private placement. Each Unit consists of one share of the Company&#8217;s common stock, $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">0.001</font> par value per share and one five- year warrant to purchase one share of common stock. One half (<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">80,000</font>) of the available warrants are available at an initial exercise price of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">5.50</font>, while the remaining half (<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">80,000</font>) of the warrants are available at an initial exercise price of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">7.00</font>. The Company employed a placement agent for the purpose of the private placement, and has paid to the placement agent commissions in the total amount of $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">32,000</font> and five-year warrants subject to the same terms as those issued under the above transaction, convertible into an aggregate of <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 6,400</font> shares of common stock.</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">On January 31, 2013, the Company settled outstanding liabilities of approximately $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">170,000</font> from a South African bank, previously presented in our consolidated balance sheets in &#8220;other liabilities&#8221;. Upon making a payment of approximately $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">99,000</font>, the Company received a release from all other bank liabilities, resulting in a total gain on extinguishment of debt of approximately $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">71,000</font>, which is presented in our financial statements as other income.</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">During the three and six months ended June 30, 2014, the Company raised from private investors $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">200,000</font> for <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 137,500</font> shares of common stock and <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"><font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 15,000</font></font> five-year common stock warrants exercisable at $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">3.50</font> per share. Subsequent to June 30, 2014, the Company raised from private investors $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">440,000</font> for <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 220,000</font> shares of commons stock and <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 66,000</font> five-year common stock warrants exercisable at $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">3.50</font> per share.</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">In order to execute the Company&#8217;s long-term growth strategy, which includes continued expansion of the Company&#8217;s business by acquisition or developing or constructing, the Company will need to raise additional funds through public or private equity offerings, debt financings, or other means.</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">&#160;&#160;</div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.25in; MARGIN: 0pt 0px 0pt 0.5in; FONT: 10pt Times New Roman, Times, Serif; font-size-adjust: none; font-stretch: normal" align="justify">The current constraints of cash flow from operations and the requirements to raise funds raise substantial doubt about the Company&#8217;s ability to continue as a going concern. These condensed consolidated financial statements do not reflect any adjustments that might result from the outcome of these uncertainties.</div> </div><table border="0" style="width:100%; table-layout:fixed;" cellspacing="0" cellpadding="0"><tr><td></td></tr></table>
CY2014Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Next Twelve Months
FiniteLivedIntangibleAssetsAmortizationExpenseNextTwelveMonths
319197 USD
CY2014Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Year Two
FiniteLivedIntangibleAssetsAmortizationExpenseYearTwo
319197 USD
CY2014Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Year Three
FiniteLivedIntangibleAssetsAmortizationExpenseYearThree
319197 USD
CY2014Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Year Four
FiniteLivedIntangibleAssetsAmortizationExpenseYearFour
319197 USD
CY2014Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Year Five
FiniteLivedIntangibleAssetsAmortizationExpenseYearFive
319197 USD
CY2014Q2 us-gaap Finite Lived Intangible Assets Amortization Expense After Year Five
FiniteLivedIntangibleAssetsAmortizationExpenseAfterYearFive
2012531 USD
CY2014Q2 us-gaap Finite Lived Intangible Assets Net
FiniteLivedIntangibleAssetsNet
3608516 USD
CY2014Q2 us-gaap Long Term Debt
LongTermDebt
2140453 USD
CY2013Q4 us-gaap Long Term Debt
LongTermDebt
1234360 USD
us-gaap Line Of Credit Facility Periodic Payment
LineOfCreditFacilityPeriodicPayment
4406 USD
CY2014Q2 us-gaap Convertible Notes Payable
ConvertibleNotesPayable
1206584 USD
CY2013Q4 us-gaap Convertible Notes Payable
ConvertibleNotesPayable
416667 USD
CY2013Q3 hotr Number Of Common Stock Warrants Issued
NumberOfCommonStockWarrantsIssued
300000 shares
CY2013Q3 hotr Class Of Warrant Or Right Term
ClassOfWarrantOrRightTerm
P3Y
CY2013Q3 hotr Secured Subordinate Convertible Notes Conversion Description
SecuredSubordinateConvertibleNotesConversionDescription
beginning six months after the original issue date and until this debenture is no longer outstanding, each Note holder may convert his or her Note into shares of the Companys common stock (at 90% of the average closing price ten days prior to conversion, unless a public offering is pending at the time of the conversion notice, which would result in the conversion price being the same price as the offering).The conversion price is subject to a floor of $1.00 per share;
CY2013Q3 hotr Secured Subordinate Convertible Notes Redemption Description
SecuredSubordinateConvertibleNotesRedemptionDescription
each Note holder has the right to redeem the Note for a period of sixty days following the eighteen month anniversary of the issuance of the Note, unless a capital raise is conducted within eighteen months after the issuance of the Note.
CY2013Q3 us-gaap Debt Instrument Interest Rate Stated Percentage
DebtInstrumentInterestRateStatedPercentage
0.06 pure
CY2014Q2 hotr Fair Value Of Conversion Features
FairValueOfConversionFeatures
2265600 USD
CY2014Q2 hotr Fair Value Of Warrants
FairValueOfWarrants
884600 USD
CY2014Q2 us-gaap Debt Instrument Fair Value
DebtInstrumentFairValue
3150200 USD
CY2014Q2 hotr Debt Discount On Conversion Features And Warrants
DebtDiscountOnConversionFeaturesAndWarrants
3000000 USD
us-gaap Interest Expense Short Term Borrowings
InterestExpenseShortTermBorrowings
150200 USD
CY2013Q3 us-gaap Stock Issued During Period Shares Issued For Services
StockIssuedDuringPeriodSharesIssuedForServices
300000 shares
us-gaap Stock Issued During Period Shares Issued For Services
StockIssuedDuringPeriodSharesIssuedForServices
98764 shares
CY2013Q2 us-gaap Stock Issued During Period Shares Issued For Services
StockIssuedDuringPeriodSharesIssuedForServices
4000 shares
CY2014Q2 us-gaap Stock Issued During Period Shares Issued For Services
StockIssuedDuringPeriodSharesIssuedForServices
40000 shares
CY2013Q3 us-gaap Stock Issued During Period Shares Issued For Services
StockIssuedDuringPeriodSharesIssuedForServices
25000 shares
CY2013Q4 us-gaap Stock Issued During Period Shares Issued For Services
StockIssuedDuringPeriodSharesIssuedForServices
15000 shares
us-gaap Stock Issued During Period Value Issued For Services
StockIssuedDuringPeriodValueIssuedForServices
330757 USD
CY2013Q2 us-gaap Stock Issued During Period Value Issued For Services
StockIssuedDuringPeriodValueIssuedForServices
7720 USD
CY2014Q2 us-gaap Stock Issued During Period Value Issued For Services
StockIssuedDuringPeriodValueIssuedForServices
101900 USD
CY2013Q3 us-gaap Stock Issued During Period Value Issued For Services
StockIssuedDuringPeriodValueIssuedForServices
117000 USD
CY2013Q4 us-gaap Stock Issued During Period Value Issued For Services
StockIssuedDuringPeriodValueIssuedForServices
62500 USD
CY2014Q2 hotr Gaming Sales Net
GamingSalesNet
75724 USD
us-gaap Pre Opening Costs
PreOpeningCosts
10201 USD
us-gaap Proceeds From Related Party Debt
ProceedsFromRelatedPartyDebt
2750000 USD
us-gaap Proceeds From Related Party Debt
ProceedsFromRelatedPartyDebt
681801 USD
us-gaap Proceeds From Issuance Of Common Stock
ProceedsFromIssuanceOfCommonStock
0 USD
us-gaap Pre Opening Costs
PreOpeningCosts
260981 USD
CY2013Q2 us-gaap Pre Opening Costs
PreOpeningCosts
10201 USD
CY2014Q2 us-gaap Pre Opening Costs
PreOpeningCosts
260981 USD
us-gaap Increase Decrease In Restricted Cash
IncreaseDecreaseInRestrictedCash
2750000 USD
us-gaap Increase Decrease In Restricted Cash
IncreaseDecreaseInRestrictedCash
0 USD
CY2013Q3 hotr Expense Related To Share Issuance
ExpenseRelatedToShareIssuance
93600 USD
CY2013Q4 hotr Warrants Issued
WarrantsIssued
176000 USD
us-gaap Proceeds From Issuance Of Private Placement
ProceedsFromIssuanceOfPrivatePlacement
440000 USD
CY2014Q2 us-gaap Proceeds From Issuance Of Private Placement
ProceedsFromIssuanceOfPrivatePlacement
200000 USD
CY2013Q4 us-gaap Equity Method Investment Ownership Percentage
EquityMethodInvestmentOwnershipPercentage
0.25 pure
CY2013Q4 hotr Warrants Issued To Purchase Common Stock
WarrantsIssuedToPurchaseCommonStock
50000 shares
hotr Warrants Maturity Term
WarrantsMaturityTerm
five-year
CY2013Q4 hotr Warrants Maturity Term
WarrantsMaturityTerm
five-year
us-gaap Loss Contingency Estimated Recovery From Third Party
LossContingencyEstimatedRecoveryFromThirdParty
Rolalor and Labyrinth, be wound up in satisfaction of an alleged debt owed in the total amount of R4,082,636 (approximately $480,000).
us-gaap Litigation Settlement Amount
LitigationSettlementAmount
850000 USD
hotr Gaming Sales Net
GamingSalesNet
0 USD
hotr Gaming Sales Net
GamingSalesNet
131235 USD
CY2013Q2 hotr Gaming Sales Net
GamingSalesNet
0 USD
us-gaap Proceeds From Issuance Of Common Stock
ProceedsFromIssuanceOfCommonStock
200000 USD
hotr Noncash Or Part Noncash Acquisition Interest Attributable To Noncontrolling Interest
NoncashOrPartNoncashAcquisitionInterestAttributableToNoncontrollingInterest
-993999 USD
CY2014Q2 us-gaap Class Of Warrant Or Right Exercise Price Of Warrants Or Rights1
ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1
3.50
CY2013Q3 us-gaap Class Of Warrant Or Right Exercise Price Of Warrants Or Rights1
ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1
3.00
CY2013Q4 us-gaap Class Of Warrant Or Right Exercise Price Of Warrants Or Rights1
ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1
5.00
dei Document Type
DocumentType
10-Q
dei Amendment Flag
AmendmentFlag
false
dei Document Period End Date
DocumentPeriodEndDate
2014-06-30
dei Document Fiscal Year Focus
DocumentFiscalYearFocus
2014
dei Document Fiscal Period Focus
DocumentFiscalPeriodFocus
Q2
dei Entity Registrant Name
EntityRegistrantName
Chanticleer Holdings, Inc.
dei Entity Central Index Key
EntityCentralIndexKey
0001106838
dei Current Fiscal Year End Date
CurrentFiscalYearEndDate
--12-31
dei Entity Filer Category
EntityFilerCategory
Smaller Reporting Company
dei Trading Symbol
TradingSymbol
HOTR
CY2014Q3 dei Entity Common Stock Shares Outstanding
EntityCommonStockSharesOutstanding
6719433 shares
hotr Business Combination Consideration Transferred Equity Interests Issued By Parent Company
BusinessCombinationConsiderationTransferredEquityInterestsIssuedByParentCompany
-1028749 USD
CY2013Q3 us-gaap Class Of Warrant Or Right Exercise Price Of Warrants Or Rights1
ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1
3.00
CY2013 hotr Equity Method Investment Step Acquisition Reclassification
EquityMethodInvestmentStepAcquisitionReclassification
0 USD
hotr Equity Method Investment Step Acquisition Reclassification
EquityMethodInvestmentStepAcquisitionReclassification
-1001269 USD
CY2014Q2 us-gaap Business Combination Step Acquisition Equity Interest In Acquiree Percentage
BusinessCombinationStepAcquisitionEquityInterestInAcquireePercentage
0.49 pure
hotr Noncash Or Part Noncash Acquisition Interest Attributable To Parent
NoncashOrPartNoncashAcquisitionInterestAttributableToParent
-1028749 USD
CY2014Q2 us-gaap Loans Payable Current
LoansPayableCurrent
1571646 USD
CY2013Q4 us-gaap Loans Payable Current
LoansPayableCurrent
0 USD

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