| Schedule of Changes in the Carrying Amount of Goodwill |
Changes
in the carrying amount of goodwill are as follows:
| | |
2025 | | |
2024 | |
| Balance
January 1 | |
$ | 8,012,331 | | |
$ | 5,702,612 | |
| Additions | |
| - | | |
| 3,097,157 | |
| Impairment | |
| (6,181,134 | ) | |
| (787,438 | ) |
| Goodwill as of
December 31 | |
$ | 1,831,197 | | |
$ | 8,012,331 | |
|
| Schedule of Purchased Intangible Assets |
The
components of purchased intangible assets were as follows:
| | | Weighted | | | | | | | | | | | | | | | | | Average | | | | | | | | | | | | | | | | | Remaining | | | December 31, 2025 | | | | | Amortization | | | Gross | | | | | | | | | | | | | | Period (in years) | | | Carrying Amount | | | Accumulated Amortization | | | Impairment | | | Net Amount | | | Franchise agreement | | 8 | | | | 5,249,482 | | | | 904,018 | | | | 729,932 | | | | 3,615,532 | | | Agent relationships | | 7 | | | | 916,282 | | | | 200,812 | | | | - | | | | 715,470 | | | Real estate listings | | - | | | | 564,756 | | | | 564,756 | | | | - | | | | - | | | Non-compete agreements | | 2 | | | | 188,748 | | | | 94,004 | | | | 704 | | | | 94,040 | | | Total | | 8 | | | $ | 6,919,268 | | | $ | 1,763,590 | | | $ | 730,636 | | | $ | 4,425,042 | |
| | | Weighted | | | | | | | | | | | | | | Average | | | | | | | | | | | | | | Remaining | | | December 31, 2024 | | | | | Amortization | | | Gross | | | | | | | | | | | Period (in years) | | | Carrying Amount | | | Accumulated Amortization | | | Net Amount | | | Franchise agreement | | 9 | | | | 5,249,482 | | | | 467,138 | | | | 4,782,344 | | | Agent relationships | | 8 | | | | 916,282 | | | | 93,431 | | | | 822,851 | | | Real estate listings | | 0 | | | | 564,756 | | | | 472,543 | | | | 92,213 | | | Non-compete agreements | | 3 | | | | 188,748 | | | | 46,076 | | | | 142,672 | | | Total | | 9 | | | $ | 6,919,268 | | | $ | 1,079,188 | | | $ | 5,840,080 | |
| | |
Useful
Life |
| Franchise
agreement | |
10 to 11 years |
| Agent
relationships | |
8 to 11 years |
| Real
estate listings | |
1 year |
| Non-compete
agreements | |
4 years |
|
| Schedule of Remaining Estimated Amortization Expense |
The remaining estimated annual amortization expense is expected to be as follows:
| | |
Amortization | |
| 2026 | |
$ | 580,300 | |
| 2027 | |
| 576,935 | |
| 2028 | |
| 534,930 | |
| 2029 | |
| 532,708 | |
| 2030 | |
| 532,708 | |
| Thereafter | |
| 1,667,461 | |
| Total | |
$ | 4,425,042 | |
|