How does Focalpoint Coaching compute depreciation for income tax purposes?

According to the 2025 Focalpoint Coaching Franchise Disclosure Document, the company calculates depreciation of property and equipment using both the straight-line and declining balance methods. The specific estimated useful lives of the assets are not detailed in this section.

For a prospective franchisee, this means that Focalpoint Coaching uses standard accounting practices for depreciation. The straight-line method evenly distributes the cost of an asset over its useful life, while the declining balance method expenses more of the asset's cost in the earlier years.

However, the FDD does not specify which method is applied to which types of assets, nor does it provide the estimated useful lives for different asset categories. A potential franchisee should seek clarification from Focalpoint Coaching regarding the specific depreciation methods and useful lives used for various assets to better understand the company's financial reporting practices and potential tax implications.