Quarterly report pursuant to Section 13 or 15(d)

BUSINESS COMBINATION (Tables)

v3.21.2
BUSINESS COMBINATION (Tables)
6 Months Ended
Jun. 30, 2021
Business Combinations [Abstract]  
Schedule of Business Acquisitions, by Acquisition [Table Text Block]

The following summarizes the purchase price allocation for the current and prior year acquisitions:

 

   

PT

   

CMS

    BSS    

CTS

   

PSI

(Preliminary)

 
                                         

Cash consideration

  $ 185,000     $ 410     $ -     $ -     $ 145,703  

Note payable

    310,000       170,000       230,000       130,000       450,000  

Total purchase price

  $ 495,000     $ 170,410     $ 230,000     $ 130,000     $ 595,703  
                                         

Deposits and other assets

  $ 32,896     $ -     $ -     $ -     $ -  

Customer List

    406,000       274,115       230,000       130,000       695,641  

Operating Lease Right-of-Use Assets

    64,863       -       -       -       -  

Goodwill

    107,852       13,000       -       -       -  

Total assets acquired

    611,611       287,115       230,000       130,000       695,641  
                                         

Deferred revenue

    (51,748 )     (111,705 )     -       -       (99,938 )

Contingent liability

    -       (5,000 )     -       -       -  

Operating lease liability

    (64,863 )     -       -       -       -  

Net assets acquired

  $ 495,000     $ 170,410     $ 230,000     $ 130,000     $ 595,703  

 

Business Acquisition, Pro Forma Information [Table Text Block]

The following unaudited pro forma information does not purport to present what the Company’s actual results would have been had the acquisitions of Prairie Technology Solutions Group, LLS (“PT”), acquired July 31, 2020, Computer Management Services, LLC (CMS”), acquired October 1, 2020, Business Software Solutions (“BSS”), acquired December 1, 2020, CT-Solution, Inc. (“CTS”), acquired April 1, 2021, and PeopleSense, Inc. (“PSI), acquired May 1, 2021, occurred on January 1, 2020, nor is the financial information indicative of the results of future operations. The following table represents the unaudited condensed consolidated pro forma results of operations for the three and six months ended June 30, 2020 as if the acquisitions occurred on January 1, 2020. For the three and six months ended June 30, 2020, operating expenses have been increased for the amortization expense of expected definite lived intangible assets and interest on the notes payable.

 

Pro Forma

 

Three Months Ended

June 30, 2021

   

Three Months Ended

June 30, 2020

 

Net revenues

  $ 10,310,241     $ 10,497,605  

Cost of revenues

    5,966,314       5,945,374  

Operating expenses

    4,115,714       4,381,475  

Income before taxes

    221,034       170,757  

Net income

    151,941       154,172  

Basic and diluted income per common share

  $ 0.03     $ 0.03  

 

Pro Forma

 

Six Months Ended

June 30, 2021

   

Six Months Ended

June 30, 2020

 

Net revenues

  $ 21,432,805     $ 21,401,788  

Cost of revenues

    12,116,644       12,367,973  

Operating expenses

    8,521,042       9,118,284  

Income (loss) before taxes

    772,752       (73,705

)

Net income (loss)

    582,910     $ 2,020  

Basic and diluted income (loss) per common share

  $ 0.12     $ (0.00

)