What is the expected closing date for the sale of the Successware software by Benjamin Franklin Plumbing?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
8,846, $12,363 and $8,207 for the years ended December 31, 2024, 2023 and 2022, of which $4,473, $10,402 and $6,401 for the years ended December 31, 2024, 2023 and 2022 related to software to be sold and was included in franchise support expenses in the consolidated statements of operations.
The Company recognized impairment losses totaling $17,775, $0 and $0, during the years ended December 31, 2024, 2023 and 2022, respectively, relating to its software system Successware. Successware is a business management software solution the Company markets to its customers and is also utilized internally by the Company's retail locations and franchises. During 2024, the Company committed to a plan to sell the Successware software. The sale of the software is expected to close during 2025. As of December 31, 2024 the software is classified as an asset held and used as the Company continues to use the software until a replacement system is fully implemented. The Company recognized an impairment loss totaling $14,775 and $3,000 on the consolidated statement of operations for the software classified under property and equipment and intangible assets (see Note 8)
Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to the 2025 FDD, Benjamin Franklin Plumbing committed to a plan to sell its Successware software during 2024. The FDD states that the sale of the software is expected to close during 2025. As of December 31, 2024, the software was still classified as an asset held and used by the company, indicating that Benjamin Franklin Plumbing continued to use the software until a replacement system was fully implemented.
This plan to sell Successware may impact franchisees as Successware is a business management software solution marketed to customers and utilized internally by Benjamin Franklin Plumbing's retail locations and franchises. The company recognized impairment losses totaling $17,775, $0 and $0, during the years ended December 31, 2024, 2023 and 2022, respectively, relating to its software system Successware.
On March 21, 2025 the Company executed a purchase agreement with Explorer Software International, Inc for the sale of Successware. The Company received $10,700 in proceeds and incurred approximately $3,600 in transaction-related expenses. As required under the Company's securitization agreement, $6,502 of principal was paid down on the Company's Class A-2 Notes subsequent to the close of the transaction.