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GOODWILL AND INTANGIBLES

6 Months Ended

Jun. 30, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

9.	GOODWILL AND INTANGIBLES

Goodwill consists of approximately $10,419,000 resulting from the excess of the consideration paid and the fair value of net tangible and intangible assets acquired from the Func Food Acquisition. There was no further activity related to goodwill during the six months ended June 30, 2021.

Intangible assets consist of acquired customer relationships and brands from the Func Food Acquisition. The gross carrying amount and accumulated amortization of intangible assets were as follows as of June 30, 2021 and December 31, 2020:


	June 30,			December 31,
	2021			2020
Intangible assets subject to amortization
Customer relationships gross carrying amount	$	14,050,000		$	14,050,000
Less: accumulated amortization		(885,463	)		(582,917	)
Total	$	13,164,537		$	13,467,083

Intangible assets not subject to amortization
Brands total carrying amount	$	3,123,000		$	3,123,000
Total Intangibles	$	16,287,537		$	16,590,083

Customer relationships are amortized over an estimated useful life of 25 years and brands have an indefinite life. Amortization expense for the six months ended June 30, 2021 and 2020 was approximately $303,000 and $284,000, respectively.

Other fluctuations in the amounts of intangible assets are due to currency translation adjustments.

The following is the future estimated annualized amortization expense related to customer relationships:


As of June 30, 2021:
2021	$	281,000
2022		562,000
2023		562,000
2024		562,000
2025		562,000
Thereafter		10,635,537
Total	$	13,164,537