What was the value of website and applications, net of accumulated amortization, for C12 Group in 2023?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
indings, and certain internal control related matters that we identified during the audit.
ADKF, P.C.
San Antonio, Texas
ADKF,PC
March 21, 2025
THE C12 GROUP, LLC Balance Sheets December 31, 2024 and 2023
| ASSETS | 2024 | 2023 |
|---|---|---|
| Current Assets: | ||
| Cash and cash equivalents | $ 1,641,633 | $ 1,601,398 |
| Restricted cash | 1,387,034 | 239,964 |
| Total cash | 3,028,667 | 1,841,362 |
| Accounts receivable | 865,442 | 592,343 |
| Notes receivable, current portion | 8 | 111,967 |
| Supply inventory | 184,109 | 209,905 |
| Prepaid expenses | 691,068 | 50,538 |
| Total current assets | 4,769,286 | 2,806,115 |
| Property and Equipment: | ||
| Office furniture, fixtures and equipment | 76,140 | 76,140 |
| Less accumulated depreciation | (53,480) | (42,603) |
| Net property and equipment | 22,660 | 33,537 |
| Other Assets: | ||
| Goodwill, net of accumulated amortization | 71,971 | 83,966 |
| Website and applications, net of accumulated amortization | 364,493 | 383,284 |
| Right-of-use operating leas |
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to C12 Group's 2025 Franchise Disclosure Document, the net value of website and applications, after accounting for accumulated amortization, was $383,284 as of December 31, 2023. This figure represents the book value of C12 Group's capitalized website and application development costs, less the total amortization expense recognized to date. These assets are amortized using the straight-line method over a five-year life.
For a prospective C12 Group franchisee, this indicates the value the company places on its technology assets. The website and applications are used by Chairs and members. The consistent amortization suggests a predictable expense related to these assets.
It's important to note that this value is based on C12 Group's accounting practices and may not reflect the actual market value of the website and applications. A potential franchisee might want to understand how these assets contribute to the franchise's operations and revenue generation.