INTANGIBLE ASSETS, NET

3 Months Ended

Mar. 31, 2020

7. INTANGIBLE ASSETS, NET

Intangible assets, net as of March 31, 2020 and December 31, 2019 consisted of the following (in thousands):

	March 31, 2020		December 31, 2019
Tradenames	$	33,549	$	32,049
Referral relationships, net of accumulated amortization of $12,290 and $11,677, respectively		19,354		18,367
Non-compete agreements, net of accumulated amortization of $5,601 and $5,424, respectively		2,745		2,172
	$	55,648	$	52,588

Tradenames, referral relationships and non-compete agreements are related to the businesses acquired. The value assigned to tradenames has an indefinite life and is tested at least annually for impairment using the relief from royalty method in conjunction with the Company’s annual goodwill impairment test. The value assigned to referral relationships is being amortized over their respective estimated useful lives which range from six to sixteen years. Non-compete agreements are amortized over the respective term of the agreements which range from five to six years.

The following table details the amount of amortization expense recorded for intangible assets for the three months ended March 31, 2020 and 2019 (in thousands):

	Three Months Ended		Three Months Ended
	March 31, 2020		March 31, 2019
Referral relationships	$	613	$	533
Non-compete agreements		177		169
	$	790	$	702

Based on the balance of referral relationships and non-compete agreements as of March 31, 2020, the expected amount to be amortized in 2020 and thereafter by year is as follows (in thousands):

Referral Relationships			Non-Compete Agreements
Years		Annual Amount	Years		Annual Amount
Ending December 31,			Ending December 31,
2020 (excluding the three months ended March 31, 2020)	$	1,911	2020 (excluding the three months ended March 31, 2020)	$	545
2021	$	2,549	2021	$	665
2022	$	2,500	2022	$	489
2023	$	2,393	2023	$	419
2024	$	2,228	2024	$	363
Thereafter	$	7,773	Thereafter	$	264