XML 29 R17.htm IDEA: XBRL DOCUMENT
v3.22.1

Leases | 12 Months Ended
--- | ---
Dec. 31, 2021
Leases |
Leases | 9. Leases The Company entered into leases for corporate and operational facilities (“real estate leases”), computer hardware for datacenters and automobiles (collectively “all other leases”). Real estate leases. Substantially all real estate leases have remaining terms of six (6) to nine (9) years, with additional five (5) year extensions available. All of these leases require a fixed lease payment that contains an annual lease payment escalation provision ranging from 3% to 4% per year. Certain leases contain early termination provisions that would require payment of unamortized tenant improvements, real estate broker commissions paid, and up to six (6) months of rent to compensate the landlord for early termination. The cost to exit a lease would be significant and potentially range $0.2 million to $0.8 million. The earliest any lease termination provisions could be exercised would be in 2023. The components of lease expense were as follows:
|  | YEARS ENDED |
|  | DECEMBER 31, |
|  | 2021 |  |  | 2020 |
Operating lease expense |  | $ | 15,043 |  |  | $ | 32,367 |
Finance lease expense: |  |  |  |  |  |  |  |
Amortization of right of use assets |  | $ | 703,530 |  |  | $ | 673,378 |
Interest on finance lease liabilities |  |  | 273,224 |  |  |  | 293,493 |
Total finance lease expense |  | $ | 976,754 |  |  | $ | 966,871 |
Operating lease expense is included in general and administrative expenses in the consolidated statement of operations. Amortization of right of use assets is include in depreciation and amortization in the consolidated statement of operations. Supplemental cash flow information related to leases was as follows:
|  | YEARS ENDED |
|  | DECEMBER 31, |
|  | 2021 |  |  | 2020 |
Cash paid for amounts included in the measurement of lease liabilities: |  |  |  |  |  |
Operating cash flows from leases |  | $ | 288,267 |  |  | $ | 325,860 |
Financing cash flows from leases |  |  | 572,083 |  |  |  | 608,004 |
Supplemental balance sheet information related to leases was as follows:
|  | DECEMBER 31, |
|  | 2021 |  |  | 2020 |
Lease right of use assets, net |  | $ | 6,273,211 |  |  | $ | 6,095,376 |
Current portion of lease liabilities |  |  | 794,175 |  |  |  | 577,855 |
Lease liabilities, net of current portion |  |  | 6,025,691 |  |  |  | 5,931,788 |
Weighted average remaining lease term |  |  |  |  |  |  |  |
Operating leases |  |  | 10.9 |  |  |  | 11.4 |
Finance leases |  |  | - |  |  |  | 0.3 |
Weighted average discount rate |  |  |  |  |  |  |  |
Operating leases |  |  | 3.5 | % |  |  | 5 | %
Finance leases |  |  | 3.5 | % |  |  | 5 | %
Maturities of lease liabilities as of December 31, 2021, were as follows:
2022 |  | $ | 1,033,506 |
2023 |  |  | 995,765 |
2024 |  |  | 1,022,289 |
2025 |  |  | 935,772 |
2026 |  |  | 823,282 |
Thereafter |  |  | 3,557,724 |
Total undiscounted operating lease payments |  |  | 8,368,337 |
Less: Imputed interest |  |  | 1,548,471 |
Total lease liability |  | $ | 6,819,866 |
During the year ended December 31, 2020, the Company entered into a lease amendment, effective July 24, 2020, for additional office space and a one year extension of the original lease term. The Company accounted for the lease amendment under the lease modification guidance in ASC 842. As a result, the Company re-measured its lease liability and recognized an additional lease liability and corresponding right-of-use asset of $943,290. The lease liability was discounted using the Company’s incremental borrowing rate of 3.5%. During the year ended December 31, 2021, the Company entered into a lease agreement, with a related party, for 4,410 square feet of office space in Tampa, Florida. The lease commenced on December 15, 2021 and is for a term of five years, with a monthly rent obligation of $15,000, subject to annual rent increases of 3% per year. The Company recorded approximately $861,300 of right of use assets and lease-related liabilities, respectively. The lease liability was discounted using the Company’s incremental borrowing rate of 3.5%. Subsequent to December 31, 2021, the Company entered into a lease amendment to terminate the lease on June 30, 2022. See Note 21 to the consolidated financial statements for additional information about subsequent events.

X
- References No definition available. + Details
Name: | us-gaap_LeasesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for lessee entity's leasing arrangements including, but not limited to, all of the following: (a.) The basis on which contingent rental payments are determined, (b.) The existence and terms of renewal or purchase options and escalation clauses, (c.) Restrictions imposed by lease agreements, such as those concerning dividends, additional debt, and further leasing. + References Reference 1: http://fasb.org/us-gaap/role/ref/otherTransitionRef -Publisher FASB -Name Accounting Standards Codification -Topic 840 -URI http://asc.fasb.org/topic&trid=2208923 + Details
Name: | us-gaap_LeasesOfLesseeDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration