XML 78 R15.htm IDEA: XBRL DOCUMENT
v2.4.1.9

Intangible Assets | 12 Months Ended
--- | ---
Dec. 31, 2014
Intangible Assets, Net (Excluding Goodwill) [Abstract] |
Intangible Assets Disclosure [Text Block] |
7. | Intangible Assets
The Company’s intangible assets are comprised of purchased intangibles consisting of customer relationships, channel relationships, telecommunications software, trade names and trademarks and non-compete agreements. The Company’s intangible assets also include internally developed software used in the sales and delivery of its MMS offering. The following table summarizes purchased and internally developed intangible assets subject to amortization as follows:
|  | DECEMBER 31, 2014 |
|  |  |  |  |  |  |  |  |  |  | Weighted |
|  |  |  |  |  |  |  |  |  |  | Average |
|  | Gross Carrying |  | Accumulated |  | Net Book |  | Amortization |
|  | Amount |  | Amortization |  | Value |  | Period |
Customer Relationships |  | $ | 2,890,000 |  | $ | (1,652,500) |  | $ | 1,237,500 |  | 5.5 |
Channel Relationships |  |  | 3,168,080 |  |  | (440,804) |  |  | 2,727,276 |  | 13.5 |
Telecommunications Software |  |  | 3,113,936 |  |  | (1,528,374) |  |  | 1,585,562 |  | 2.7 |
Cybersecurity Software |  |  | 271,219 |  |  | (134,377) |  |  | 136,842 |  | 3.0 |
Trade Name and Trademarks |  |  | 515,472 |  |  | (209,660) |  |  | 305,812 |  | 9.0 |
Non-Compete Agreements |  |  | 780,000 |  |  | (780,000) |  |  | - |  | 5.0 |
|  | $ | 10,738,707 |  | $ | (4,745,715) |  | $ | 5,992,992 |  |  |
|  | DECEMBER 31, 2013 |
|  |  |  |  |  |  |  |  |  |  | Weighted |
|  |  |  |  |  |  |  |  |  |  | Average |
|  | Gross Carrying |  | Accumulated |  | Net Book |  | Amortization |
|  | Amount |  | Amortization |  | Value |  | Period |
Customer Relationships |  | $ | 2,890,000 |  | $ | (1,405,000) |  | $ | 1,485,000 |  | 6.0 |
Channel Relationships |  |  | 540,000 |  |  | (216,000) |  |  | 324,000 |  | 4.0 |
Telecommunications Software |  |  | 2,450,000 |  |  | (1,089,667) |  |  | 1,360,333 |  | 4.0 |
Cybersecurity Software |  |  | 669,171 |  |  | (530,486) |  |  | 138,685 |  | 2.0 |
Trade Name and Trademarks |  |  | 225,000 |  |  | (179,750) |  |  | 45,250 |  | 1.0 |
Non-Compete Agreements |  |  | 780,000 |  |  | (519,997) |  |  | 260,003 |  | 2.0 |
|  | $ | 7,554,171 |  | $ | (3,940,900) |  | $ | 3,613,271 |  |  |
Purchased Intangibles For the year ended December 31, 2014, the Company completed the acquisition of SCL and recognized intangible assets totaling approximately $3,582,500. For the year ended December 31, 2013, the Company did not recognize any acquisition related intangible assets. During the year ended December 31, 2012, the Company completed its determination of the fair value of intangibles acquired in connection with a business combination, increased the value of identified intangible assets from $4,492,428 to $5,320,000 as of December 31, 2013 and increased the useful lives of acquired intangibles from provisional estimates. For the years ended December 31, 2014, 2013 and 2012, the Company did not dispose of any intangible assets. See Note 3 for additional information about the fair value adjustments recorded to intangible assets in connection with these business combinations. Internally Developed For the year ended December 31, 2014, the Company recorded capitalized software costs related to our Cybersecurity software totaling approximately $138,800. The total weighted average remaining life of purchased and internally developed intangible assets is approximately 6.4 years and 2.3 years, respectively, at December 31, 2014. The following table summarizes reflects estimated future amortization for purchased intangible assets for fiscal years ending December 31:
2015 |  | $ | 1,051,921 |
2016 |  |  | 1,005,558 |
2017 |  |  | 841,173 |
2018 |  |  | 515,631 |
2019 |  |  | 515,631 |
Thereafter |  |  | 2,063,078 |
Total |  | $ | 5,992,992 |
The aggregate amortization expense recorded was approximately $1,341,548, $1,356,000 and $1,392,400 for the years ended December 31, 2014, 2013 and 2012, respectively.

X
- Definition The entire disclosure for all or part of the information related to intangible assets. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=26713463&loc=d3e16323-109275 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=26713463&loc=d3e16265-109275 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=26713463&loc=d3e16373-109275 + Details
Name: | us-gaap_IntangibleAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Details
Name: | us-gaap_IntangibleAssetsNetExcludingGoodwillAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration