What was the net value of intangible assets for Beard Papas as of December 31, 2023?
Beard_Papas Franchise · 2025 FDDAnswer from 2025 FDD Document
cative of the financial position or the results of operations if the Company had operated without such affiliations.
5. Intangible Assets
Intangible assets consist of the following as of December 31, 2023 and 2022:
| Estimate Life | 2023 | 2022 | ||
|---|---|---|---|---|
| Intangible assets: | ||||
| Website and software | 5-7 years | $ | 16,919 | $ |
Source: Item 23 — RECEIPTS (FDD pages 58–275)
What This Means (2025 FDD)
According to Beard Papas's 2025 Franchise Disclosure Document, the net value of intangible assets as of December 31, 2023, was $1,302. The total intangible assets before accumulated amortization were $46,945. The accumulated amortization was ($45,643). These intangible assets consist of website and software, and trademarks.
Website and software are amortized over a 5-7 year period, while trademarks are amortized over a 7-10 year period. Amortization is the process of expensing the cost of an intangible asset over its useful life. This accounting practice reflects the gradual decline in value of these assets as they age or become obsolete.
Prospective franchisees should understand how Beard Papas values and amortizes its intangible assets, as this can impact the company's reported profitability and overall financial health. Reviewing these figures over several years can reveal trends in the company's investment in and management of its intangible assets.