Company: BLNE
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024044
Chunk: 8

Company: Beeline Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 8
---
 date as determined during the one-year measurement period under ASC 805.

GOODWILL

Goodwill
is the excess of the purchase price over the estimated fair value of identifiable net assets acquired in business combinations. The Company
tests goodwill for impairment annually in the fourth quarter, or more frequently when indications of potential impairment exist. The
Company monitors the existence of potential impairment indicators throughout the fiscal year. The Company may elect to perform either
a qualitative test or a quantitative test to determine if it is more likely than not that the carrying value of a reporting unit exceeds
its estimated fair value. Fair value reflects the price a market participant would be willing to pay in a potential sale of the reporting
unit. If the estimated fair value of the Company exceeds its carrying value, then the Company concludes the goodwill is not impaired.
If the carrying value of the Company exceeds its estimated fair value, the Company recognizes an impairment loss in an amount equal to
the excess, not to exceed the amount of goodwill. Based on the Company’s impairment analysis, management determined that goodwill
was not impaired for the six months ended June 30, 2025.

INTANGIBLE
ASSETS

The
Company accounts for certain finite-lived intangible assets at amortized cost and other certain indefinite-lived intangible assets at
cost. Management reviews all intangible assets for probable impairment whenever events or circumstances indicate that the carrying amount
of such assets may not be recoverable. If there is an indication of impairment, management would prepare an estimate of future cash flows
(undiscounted and without interest charges) expected to result from the use of the asset and its eventual disposition. If these estimated
cash flows were less than the carrying amount of the asset, an impairment loss would be recognized to write down the asset to its estimated
fair value.

PROPERTY
AND EQUIPMENT, NET

Property
and equipment, including leasehold improvements and internal-use software, are recorded at cost, and are depreciated or amortized using
the straight-line method over the estimated useful lives of the related assets, which range from three3 to seven years. Repair and maintenance
costs are expensed as incurred. Leasehold improvements are amortized over the shorter of the lease term or the improvement’s estimated
useful life. Depreciation is not recorded on projects-in-process until the project is complete and the associated assets are placed into
service or are ready for the intended use. Impairment of property and equipment than the internal-use software is evaluated under ASC
360