| INTANGIBLE ASSETS AND GOODWILL |
NOTE
6 – INTANGIBLE ASSETS AND GOODWILL
Goodwill
The
following table summarizes the goodwill balances as of June 30, 2025 and December 31, 2024:
SCHEDULE OF CHANGES IN GOODWILL
| Balance at June 30, 2025 | |
| | |
| Goodwill | |
$ | 71,525,609 | |
| Accumulated
impairment losses | |
| (51,625,059 | ) |
| Total
goodwill | |
$ | 19,900,550 | |
| | |
| | |
| Balance at December 31, 2024 | |
| | |
| Goodwill | |
$ | 71,525,609 | |
| Accumulated
impairment losses | |
| (51,625,059 | ) |
| Total
goodwill | |
$ | 19,900,550 | |
Intangible
Assets
Intangible
assets, net are summarized as follows:
SCHEDULE OF INTANGIBLE ASSETS
| | |
Gross
Carrying Amount | | |
Accumulated
Amortization | | |
Net
Carrying Amount | |
| | |
June
30, 2025 | |
| | |
Gross
Carrying Amount | | |
Accumulated
Amortization | | |
Net
Carrying
Amount | |
| Tradenames –
trademarks | |
$ | 3,835,981 | | |
$ | (3,298,186 | ) | |
$ | 537,795 | |
| Customer base | |
| 572,048 | | |
| (354,890 | ) | |
| 217,158 | |
| Non-compete agreements | |
| 487,400 | | |
| (487,400 | ) | |
| - | |
| Intellectual
property/technology | |
| 2,455,879 | | |
| (1,874,958 | ) | |
| 580,921 | |
| Total
intangible assets | |
$ | 7,351,308 | | |
$ | (6,015,434 | ) | |
$ | 1,335,874 | |
| | |
Gross
Carrying Amount | | |
Accumulated
Amortization | | |
Net
Carrying
Amount | |
| | |
December
31, 2024 | |
| | |
Gross
Carrying Amount | | |
Accumulated
Amortization | | |
Net
Carrying
Amount | |
| Tradenames –
trademarks | |
$ | 3,835,981 | | |
$ | (3,123,766 | ) | |
$ | 712,215 | |
| Customer base | |
| 572,048 | | |
| (319,587 | ) | |
| 252,461 | |
| Non-compete agreements | |
| 487,400 | | |
| (484,120 | ) | |
| 3,280 | |
| Intellectual
property/technology | |
| 2,455,879 | | |
| (1,621,621 | ) | |
| 834,258 | |
| Total
intangible assets | |
$ | 7,351,308 | | |
$ | (5,549,094 | ) | |
$ | 1,802,214 | |
The
weighted average remaining useful life of finite-lived intangible assets is 1.88 years as of June 30, 2025.
Amortization
expense for the three months ended June 30, 2025 and 2024 was $233,170 and $474,562, respectively, and $466,340 and $951,719 for the
six months ended June 30, 2025 and 2024, respectively.
Based
on the balance of intangible assets at June 30, 2025, expected future amortization expense is as follows:
SCHEDULE OF FUTURE AMORTIZATION EXPENSE
| | |
| | |
| 2025 (remainder
of) | |
$ | 454,799 | |
| 2026 | |
| 709,464 | |
| 2027 | |
| 73,211 | |
| 2028 | |
| 49,200 | |
| 2029 | |
| 49,200 | |
| Total | |
$ | 1,335,874 | |
|