Allowance for Credit Losses

12 Months Ended

Dec. 31, 2025

Allowance for Credit Losses

Allowance for Credit Losses

Note 3 – Allowance for Credit Losses

The activity in the allowance for credit losses was as follows during the years ended December 31, 2025 and 2024:

		2025				2024
Balance at the beginning of the year		$	144,625			$	1,645,045
Adjustment to expected losses on accounts receivable			(55,668	)			(1,442,533	)
Charge-offs			9,997				(62,587	)
Recoveries			—				4,700
Balance at the end of the year		$	98,954			$	144,625

The allowance for credit losses at December 31, 2025 was $98,954, a decrease of $45,671 from December 31, 2024. During 2024, we made an adjustment to reverse the allowance for expected credit losses for a balance due from a former client in 2022 for which we received payment in full during 2024.