INTANGIBLE ASSETS, NET

6 Months Ended

Jun. 30, 2022

7. INTANGIBLE ASSETS, NET

Intangible assets, net as of June 30, 2022, and December 31, 2021 consisted of the following (in thousands):

	June 30, 2022		December 31, 2021
Tradenames	$	39,838	$	38,790
Customer and referral relationships, net of accumulated amortization of $20,772 and $17,762, respectively		51,047		45,643
Non-compete agreements, net of accumulated amortization of $6,717 and $6,450, respectively		1,770		1,949
	$	92,655	$	86,382

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 fourteen 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 June 30, 2022, and 2021 (in thousands):

	Three Months Ended				Six Months Ended
	June 30, 2022		June 30, 2021		June 30, 2022		June 30, 2021
Customer and referral relationships	$	1,339	$	778	$	3,011	$	1,561
Non-compete agreements		120		138		267		177
	$	1,459	$	916	$	3,278	$	1,738

Based on the balance of referral relationships and non-compete agreements as of June 30, 2022, the expected amount to be amortized in 2022 and thereafter by year is as follows (in thousands):

Customer and Referral Relationships			Non-Compete Agreements
Years	Annual Amount		Years	Annual Amount
Ending December 31,			Ending December 31,
2022 (excluding the six months ended June 30, 2022)	$	2,745	2022 (excluding the six months ended June 30, 2022)	$	267
2023	$	5,393	2023	$	477
2024	$	5,228	2024	$	421
2025	$	5,084	2025	$	355
2026	$	4,616	2026	$	216
Thereafter	$	27,981	Thereafter	$	34