NOTE

INTANGIBLE ASSETS

The Company had approximately

$5.3

million

and

$5.7

million in intangible assets, net of amortization, at

March 31, 2020

and

December 31, 2019,

respectively. Shown below are the details of the components that represent these balances.

Intangible assets consisted of the following as of

March 31, 2020

	Cost		Accumulated Amortization			Carrying Value		Amortization Life and Method

IP Software	$	2,345,287	$	(2,256,081	)	$	89,206	3 years - straight-line
Portfolios and Client Lists		7,714,665		(5,905,239	)		1,809,426	4 years - straight-line
Client Acquisition Costs		8,588,283		(5,138,263	)		3,450,020	4 years - straight-line
PCI Certification		449,000		(449,000	)		-	3 years - straight-line
Trademarks		703,586		(703,586	)		-	3 years - straight-line
Domain Names		437,810		(437,810	)		-	3 years - straight-line
Total	$	20,238,630	$	(14,889,978	)	$	5,348,652

Intangible assets consisted of the following as of

December 31, 2019

	Cost		Accumulated Amortization			Carrying Value		Amortization Life and Method

IP Software	$	2,343,888	$	(2,240,695	)	$	103,193	3 years - straight-line
Portfolios and Client Lists		7,714,665		(5,614,880	)		2,099,785	4 years - straight-line
Client Acquisition Costs		8,238,018		(4,762,347	)		3,475,671	4 years - straight-line
PCI Certification		449,000		(449,000	)		-	3 years - straight-line
Trademarks		703,586		(703,586	)		-	3 years - straight-line
Domain Names		437,810		(437,810	)		-	3 years - straight-line
Total	$	19,886,966	$	(14,208,317	)	$	5,678,649

Amortization expense for the intangible assets was approximately

$666,000

and

$760,000

for the

three

months

March 31, 2020

and

2019,

respectively.

The following table presents the estimated aggregate future amortization expense of intangible assets:

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