Other Assets

3 Months Ended

Mar. 31, 2023

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Other Assets

Other Assets

Other assets consist of the following as of December 31, 2022 and March 31, 2023 (in thousands):

	December 31, 2022		March 31, 2023
Prepaid expenses, net of current portion	$	18,192	$	17,975
Equity method investments	13,879		14,874
Cloud computing arrangements, net of current portion	7,507		9,032
Other investments	3,396		2,806
Tuition receivable, net, non-current	2,673		2,539
Other	4,005		3,954
Other assets	$	49,652	$	51,180

Prepaid Expenses

Long-term prepaid expenses primarily relate to payments that have been made for future services to be provided after one year. In 2020, pursuant to the terms of the perpetual license agreement associated with the Jack Welch Management Institute, the Company made a final one-time cash payment of approximately $25.3 million for the right to continue to use the Jack Welch name and likeness. As of December 31, 2022 and March 31, 2023, $17.7 million and $17.3 million, respectively, of this payment is included in the prepaid expenses, net of current portion balance, as the payment is being amortized over an estimated useful life of 15 years.

Equity Method Investments

The Company holds investments in certain limited partnerships that invest in various innovative companies in the health care and education-related technology fields. The Company has commitments to invest up to an additional $2.6 million across these partnerships through 2031. The Company’s investments range from 3%-5% of any partnership’s interest and are accounted for under the equity method.

The following table illustrates changes in the Company’s limited partnership investments for the three months ended March 31, 2022 and 2023 (in thousands):

	For the three months ended March 31,
	2022		2023
Limited partnership investments, beginning of period	$	15,582	$	13,879
Capital contributions	—		118
Pro-rata share in the net income (loss) of limited partnerships	(313)		877
Distributions	(1,382)		—
Limited partnership investments, end of period	$	13,887	$	14,874

Cloud Computing Arrangements

The Company defers implementation costs incurred in cloud computing arrangements and amortizes these costs over the term of the arrangement.

Other Investments

The Company holds investments in education technology start-ups focused on transformational technologies that improve student success. These investments are accounted for at cost less impairment as they do not have readily determinable fair value.

Tuition Receivable

Non-current tuition receivable, net, represents tuition that the Company expects to collect, but not within the next 12 months.

Other

Other is comprised primarily of deferred financing costs associated with the Company’s credit facility, deferred contract costs related to commissions paid by ANZ to third party international agents, and refundable security deposits associated with the Company’s leased campus and office space.