What was the net value of program materials for My Salon Suite as of December 31, 2022?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
923 ) $ | 81,990,839 |# Notes to Consolidated Financial Statements
Other intangibles consist of the following at December 31, 2022:
| Gross Carrying Amount | Accumulated Amortization | Net |
|---|
Source: Item 6 — Other Intangibles and Goodwill (FDD pages 274–314)
What This Means (2025 FDD)
According to My Salon Suite's 2025 Franchise Disclosure Document, the net value of program materials as of December 31, 2022, was $239,386. This figure represents the gross carrying amount of the program materials less any accumulated amortization. The gross carrying amount for program materials was initially valued at $2,100,000, but after accumulated amortization of $1,860,614, the net value was reduced to $239,386.
For a prospective My Salon Suite franchisee, this indicates the remaining value of the program materials that My Salon Suite possesses. Program materials are amortized over time, which means their value decreases as they are used or become outdated. The accumulated amortization reflects the amount of the program materials' value that has already been recognized as an expense.
It's important to note that the net value of program materials can fluctuate from year to year due to additional purchases or further amortization. Reviewing these figures over several years can provide insights into how My Salon Suite manages and values its program materials. Franchisees may want to inquire about the nature of these program materials and how they are utilized within the My Salon Suite franchise system.