Company: BLNE
Filing Date: 2025-01-17
Form Type: PRE 14A
Source: 0001493152-25-002779
Chunk: 204

Company: Beeline Holdings, Inc.
Filing Date: 2025-01-17
Form: PRE 14A
Chunk 204
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:----|:--|---------:|:--|
| Leasehold improvements         |     | $ |  696,894 |   |     | $ |  696,894 |   |
| Furniture and fixtures         |     |   |  129,962 |   |     |   |  129,962 |   |
| Computers and hardware         |     |   |   81,779 |   |     |   |   81,779 |   |
| Property and equipment gross   |     |   |  908,635 |   |     |   |  908,635 |   |
| Less: accumulated depreciation |     |   | (599,942 | ) |     |   | (448,566 | ) |
| Property and equipment, net    |     | $ |  308,693 |   |     | $ |  460,069 |   |

Depreciation expense totaled $151,376 for the year ended December 31, 2023 and $151,376 for 2022.

NOTE 6 - CAPITALIZED SOFTWARE DEVELOPMENT COSTS

Capitalized Software Development Costs

Beeline released its proprietary software “Hexagon” in May 2020.

Beeline continues to use the “Hexagon” software for processing mortgages of commercial and residential properties and intends on licensing this software to other mortgage loan originators in the future.

In January 2023, Beeline’s internal developers began the initial development of a new proprietary software, “Hive”. The new software is an entirely new platform and code built by Beeline. The most notable feature of the new software is the integration of Beeline’s Chat API “Bob.” The official launch of Hive was January 2024 and Beeline is currently implementing the new software in its residential mortgage origination process.

A major upgrade to the system “Version 2” was immediately started after the initial launch of the system and went into use starting November 2020. This upgrade gave the consumer access to a user portal and the ability to process some conditions on their own through uploading documents and accessing key information of their loan.

Additional functionality was added to the system in “Version 3”. This version will allow proprietary technologies to process underwriting conditions and automating major functions of the business. The basics of Beeline’s “Automation Condition Resolution Engine” was substantially completed in this Version.

“Version 4” was released in May 2022. It significantly changed the loan options