Company: MNTR
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021833
Chunk: 19

Company: Mentor Capital, Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Item 1
Chunk 19
---
 of $1,369,899,
less accumulated amortization of $69,003
at September 30, 2025. No indicators of impairment were identified during the three and nine months ended September 30, 2025. See
Note 9.

The
Company reviews intangible assets subject to amortization quarterly to determine if any adverse conditions exist or if a change in circumstances
has occurred that would indicate impairment or a change in the remaining useful life. Conditions that may indicate impairment include,
but are not limited to, a significant adverse change in legal factors or business climate that could affect the value of an asset, or
an adverse action or assessment by a regulator. If an impairment indicator exists, we test the intangible asset for recoverability. For
purposes of the recoverability test, we group our amortizable intangible assets with other assets and liabilities at the lowest level
of identifiable cash flows if the intangible asset does not generate cash flows independent of other assets and liabilities. If the carrying
value of the intangible asset (asset group) exceeds the undiscounted cash flows expected to result from the use and eventual disposition
of the intangible asset (asset group), the Company will write the carrying value down to the fair value in the period identified.

Goodwill

On
October 4, 2023, the Company sold the entirety of its interest in Waste Consolidators, Inc. (“WCI”) for $6,000,000 by entering
into a Stock Purchase Agreement whereby the shareholders of WCI sold all of the outstanding shares of stock to Ally Waste Services, LLC.
The sale price exceeded the prior combined carrying value plus goodwill of WCI, with proceeds initially recorded as $5,000,000 cash and
a $1,000,000 one-year note receivable. Following the sale, the Company received no new income from WCI and had no further involvement
or continuing influence over its operations. Prior to the sale, goodwill of $1,324,142 was derived from consolidating WCI effective January
1, 2014, and $102,040 of goodwill was derived from the 2003 acquisition of a 50% interest in WCI. In accordance with ASC 350, “Intangibles-Goodwill
and Other,” goodwill and other intangible assets with indefinite lives were no longer subject to amortization but were tested
for impairment annually or whenever events or changes in circumstances indicate that the asset might be impaired prior to the sale. Effective