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Long Term Investment | 6 Months Ended
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Dec. 31, 2019
Investments, All Other Investments [Abstract] |
Long Term Investment | NOTE 13 – LONG TERM INVESTMENT Drivemate The Company and Drivemate Co., Ltd. (“Drivemate”) entered into a subscription agreement (“Drivemate Agreement”) whereby the Company will purchase an equity interest of 30% in Drivemate. Per the Drivemate Agreement, the Company will purchase 5,469 preferred shares for $1,800,000 consisting of $500,000 cash and $1,300,000 in services. The Company paid $250,000 on May 2, 2019 and received 760 shares for a 5.27% holding in Drivemate. The remaining $250,000 will be paid in $62,500 increments beginning 15 months from the date of the Drivemate Agreement signing with the final payment due 24 months from the date of the Drivemate Agreement signing. Per the Drivemate Agreement, the Company appointed two directors to the Drivemate board. The Company determined that it met the significant influence criteria since two of the four directors are appointed by the Company and the Company is to own 30% of Drivemate at the final payment date; therefore, the Company accounts for the investment using the equity method of accounting. During the three and six months ended December 31, 2019, the Company performed $303,101 and $507,716 of services, respectively. Under the equity method of accounting, the Company recorded its share of net loss of $5,856 and $11,248 for the three and six months ended December 31, 2019, respectively. WRLD3D-Related Party On March 2, 2017, the Company purchased a 4.9% interest in WRLD3D, a non-public company, for $1,111,111. The Company paid $555,556 at the initial closing and $555,555 on September 1, 2017. NetSol PK, the subsidiary of the Company, purchased a 12.2% investment in WRLD3D, for $2,777,778 which was earned by providing IT and enterprise software solutions. During the three and six months ended December 31, 2019, NetSol PK provided services valued at $57,424 and $140,357, respectively, which is recorded as services-related party. During the three months and six months ended December 31, 2018, NetSol PK provided services valued at $174,492 and $337,337, respectively, which is recorded as services-related party. Accounts receivable at December 31, 2019 and June 30, 2019 were $1,231,181 and $1,020,589, respectively. Revenue in excess of billing at December 31, 2019 and June 30, 2019 were $101,669 and $110,827, respectively. Under the equity method of accounting, the Company recorded its share of net loss of $158,940 and $342,772 for the three and six months ended December 31, 2019, respectively, and the Company recorded its share of net loss of $298,293 and $597,984 for the three and six months ended December 31, 2018, respectively. The following table reflects the above investments at December 31, 2019.
|  | DriveMate |  |  | WRLD3D |  |  | Total |
Initial investment |  |  | 250,000 |  |  |  | 3,888,889 |  |  |  | 4,138,889 |
Cumulative net loss on investment |  |  | (14,936 | ) |  |  | (1,330,542 | ) |  |  | (1,345,478 | )
Cumulative Other comprehensive income (loss) |  |  | - |  |  |  | (381,604 | ) |  |  | (381,604 | )
Net Investment |  |  | 235,064 |  |  |  | 2,176,743 |  |  |  | 2,411,807 |

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- Definition The entire disclosure for investment. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 321 -URI http://asc.fasb.org/topic&trid=75115024 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 320 -URI http://asc.fasb.org/topic&trid=2196928 Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 325 -URI http://asc.fasb.org/topic&trid=2197064 Reference 4: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 323 -URI http://asc.fasb.org/topic&trid=2196965 + Details
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