Quarterly report pursuant to Section 13 or 15(d)

Goodwill and Purchased Intangibles

v3.3.0.814
Goodwill and Purchased Intangibles
9 Months Ended
Sep. 30, 2015
Goodwill and Purchased Intangibles [Abstract]  
Goodwill and Purchased Intangibles

4.  Goodwill and Purchased Intangibles

 

Goodwill

 

The carrying value of goodwill at September 30, 2015 and December 31, 2014 was $1,921,072. 

 

Intangible assets

 

The following table presents details of our purchased intangible assets as of September 30, 2015 and December 31, 2014:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance at
December 31,
2014

 

Additions

 

Impairments

 

Amortization

 

Balance at
September 30,
2015

Patents and trademarks

 

$

108,952 

 

$

 -

 

$

(21,188)

 

$

(6,860)

 

$

80,904 

Customer and merchant relationships

 

 

1,540,000 

 

 

 -

 

 

 -

 

 

(124,865)

 

$

1,415,135 

Trade name

 

 

152,000 

 

 

 -

 

 

 -

 

 

(12,324)

 

$

139,676 

Acquired technology

 

 

210,000 

 

 

 -

 

 

 -

 

 

(17,027)

 

$

192,973 

 

 

$

2,010,952 

 

$

 -

 

$

(21,188)

 

$

(161,076)

 

$

1,828,688 

 

The intangible assets are being amortized on a straight line basis over their estimated useful lives of ten to twenty years.

 

The Company recorded an impairment charge for patent application fees that were not granted of $21,188 for both the three and nine months ended September 30, 2015.

 

Amortization expense for intangible assets was $53,692 and $114,228 for the three months ended September 30, 2015 and 2014, respectively.

 

Amortization expense for intangible assets was $161,076 and $294,696 for the nine months ended September 30, 2015 and 2014, respectively.

 

The estimated future amortization expense of our intangible assets as of September 30, 2015 is as follows:

 

 

 

 

 

 

 

 

 

 

Year ending December 31,

 

Amount

2015

 

$

53,380 

2016

 

 

213,519 

2017

 

 

213,519 

2018

 

 

213,520 

2019

 

 

213,520 

Thereafter

 

 

921,230 

Total

 

$

1,828,688