XML 43 R24.htm IDEA: XBRL DOCUMENT v3.20.1
ACQUISITIONS (Tables)
 3 Months Ended
Mar. 29, 2020
Business Combinations [Abstract]  
Schedule of Business Acquisitions, by Acquisition The preliminary acquisition has been allocated to the assets acquired and liabilities assumed as of the date of acquisition as follows:
Accounts receivable
 
$
6,731,260

Prepaid expenses and other assets
 
520,587

Property and equipment, net
 
296,309

Right-of-use asset - operating leases
 
1,714,984

Intangible assets
 
11,274,000

Goodwill (non-deductible for tax purposes)
 
6,178,351

Current liabilities assumed
 
(2,409,551
)
Deferred income taxes, net
 
(910,501
)
Lease liability - operating leases
 
(1,714,984
)
Total net assets acquired
 
$
21,680,455

 
 
 
Cash
 
$
21,680,455

Total fair value of consideration transferred for acquired business
 
$
21,680,455

 
The preliminary allocation of the intangible assets is as follows:
 
 
Estimated Fair
Value
 
Estimated 
Useful Lives
Covenants not to compete
 
$
302,000

 
5 years
Trade name
 
7,000,000

 
Indefinite
Client partner list
 
3,972,000

 
5 years
Total
 
$
11,274,000

 
 
Business Acquisition, Pro Forma Information
The Company estimates the revenues and net income for the periods below that would have been reported if the LJK and EdgeRock acquisitions had taken place on the first day of the Company's 2019 fiscal year would be as follows (dollars in thousands, except per share amounts):
 
 
Thirteen Weeks Ended
 
 
March 29,
2020
 
March 31,
2019
Revenues
 
$
77,176

 
$
79,890

Gross profit
 
$
21,184

 
$
22,590

Net income
 
$
1,277

 
$
3,041

Income per share:
 
 
 
 
Basic
 
$
0.12

 
$
0.30

Diluted
 
$
0.12

 
$
0.29