Does the Central Bark Doggy Day Care balance sheet include an entry for software?
Central_Bark_Doggy_Day_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
(a) You and your Owners and personnel may from time to time be provided and/or have access to certain confidential information, some of which constitutes trade secrets under Applicable Law (the "Confidential Information"), relating to the development and operation of Central Bark Facilities, whether or not marked confidential, including (without limitation): (1) site and premises selection criteria; (2) training and operations materials and manuals, including, without limitation, the Operating Manual; (3) the System Standards (as defined in the Franchise Agreement) and other plans, methods, formats, specifications, standards, systems, procedures, techniques, sales and marketing techniques, knowledge, and experience used in developing, promoting and operating Central Bark Facilities; (4) market research, promotional, marketing and advertising programs for Central Bark Facilities; (5) knowledge of specifications for, and suppliers of, Operating Assets (as defined in the Franchise Agreement) and other products, materials, supplies equipment and furnishings; (6) any computer software or similar technology which is proprietary to us, our Affiliates, or the System, including, without limitation, digital passwords and identifications and any source code of, and data, reports, and other printed materials generated by, the software or similar technology; (7) knowledge of the operating results and financial performance of Central Bark Facilities, other than your Central Bark Facilities; and (8) information generated by, or used or developed in, your development of Central Bark Facilities hereunder.
Source: Item 1 — Franchisee shall have paid all Royalty Fees, advertising fund contributions, LAC contributions, amounts owed for purchases by Franchisee from Franchisor, or Franchisor's affiliates, and all other amounts owed to Franchisor, Franchisor's affiliates, and third-party creditors, and shall have submitted to Franchisor all required reports and statements; (FDD pages 106–233)
What This Means (2025 FDD)
According to the 2025 FDD, the balance sheet for Central Bark Doggy Day Care is not detailed regarding specific assets such as software. However, the FDD does mention computer software in the context of confidential information.
The FDD states that confidential information includes "any computer software or similar technology which is proprietary to us, our Affiliates, or the System, including, without limitation, digital passwords and identifications and any source code of, and data, reports, and other printed materials generated by, the software or similar technology". This indicates that Central Bark Doggy Day Care utilizes proprietary software in its operations.
While the FDD mentions software as part of confidential information, it does not explicitly detail how software is accounted for on the balance sheet. A prospective franchisee should inquire with Central Bark Doggy Day Care about whether software is considered a significant asset and how it is valued and reported in their financial statements.