What was the depreciation and amortization expense for C12 Group in 2022?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
Depreciation is provided at amounts calculated to amortize the cost of the assets over their estimated useful economic lives using straight line, generally with lives ranging from three to seven years.
Goodwill: Goodwill represents the cost of assets acquired in excess of fair value. Goodwill is amortized over a 10 year period. Amortization is expected to be $11,995 annually through 2031. Accumulated amortization totaled $47,981 at December 31, 2024 and $35,986 at December 31, 2023. As a result of the sale of C12 Atlanta in 2023, the Company wrote off $80,862 in goodwill related to that subsidiary.
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, specific details regarding C12 Group's depreciation and amortization expenses for 2022 are not explicitly outlined. However, the document does provide some context related to amortization of goodwill and website/application costs.
The FDD mentions that goodwill is amortized over a 10-year period, with an expected annual amortization of $11,995 through 2031. The accumulated amortization for goodwill totaled $35,986 as of December 31, 2023, and $23,990 as of December 31, 2022. Additionally, the company amortizes capitalized costs for their website and applications using the straight-line method over a five-year life. The accumulated amortization for website and applications was $185,725 as of December 31, 2023, and $152,530 as of December 31, 2022.
To determine the depreciation and amortization expense for 2022, a prospective franchisee should request the complete financial statements from C12 Group. These statements would provide a detailed breakdown of these expenses, which is essential for a thorough financial analysis before investing in a franchise.