What was the amount of the restated Internal-Use Software, Net for Expense Reduction Analysts?
Expense_Reduction_Analysts Franchise · 2025 FDDAnswer from 2025 FDD Document
d scope and timing of the audit, significant audit findings, and certain internal control related matters that we identified during the audit.
CliftonLarsonAllen LLP
Clifton Larson Allen LLP
Milwaukee, Wisconsin April 18, 2024
| 2023 | (restated) 2022 | |||
|---|---|---|---|---|
| ASSETS | - | |||
| CURRENT ASSETS | ||||
| Cash and Cash Equivalents | $ | 1,251,718 | $ | 1,144,589 |
| Accounts Receivable, Net | 444,102 | 186,685 | ||
| Prepaid Expenses | 85,996 | 65,844 | ||
| Prepaid Incremental Franchise Costs | 393,234 | 309,426 | ||
| Prepaid Taxes | 235,161 | 10000 | ||
| Due from Related Parties | 1,005,148 | 857,412 | ||
| Total Current Assets | 3,415,359 | 2,563,956 | ||
| PROPERTY AND EQUIPMENT, Net | 18,770 | 15,541 | ||
| INTERNAL-USE SOFTWARE, Net | 129,805 | 101,234 | ||
| OTHER ASSETS | ||||
| Prepaid Incremental Franchise Costs, Noncurrent Portion | 2,464,230 | 1,977,024 | ||
| Operating Right-of-Use Asset, Net |
Source: Item 23 — RECEIPTS (FDD pages 58–215)
What This Means (2025 FDD)
According to Expense Reduction Analysts' 2025 Franchise Disclosure Document, the restated Internal-Use Software, Net for the year 2022 was $101,234. This figure represents the net value of software that Expense Reduction Analysts uses internally for its operations, after accounting for amortization.
Internal-use software refers to software that Expense Reduction Analysts develops or acquires for its own use rather than for sale to customers. The amount listed as "Net" indicates that accumulated amortization (the systematic reduction of the asset's value over its useful life) has been subtracted from the original cost of the software. In Expense Reduction Analysts' case, the software is amortized using the straight-line method over a useful life of 10 years.
This figure is important for prospective franchisees as it provides insight into Expense Reduction Analysts' investment in technology and its approach to managing its assets. It also allows potential franchisees to understand how Expense Reduction Analysts accounts for its software assets, which can be useful for benchmarking and financial planning.