Variable Interest Entities (VIEs)

A VIE is defined as a legal entity whose equity owners do not have sufficient equity at risk, or, as a group, the holders of the equity investment at risk lack any of the following three characteristics: decision-making rights, the obligation to absorb losses, or the right to receive the expected residual returns of the entity. The primary beneficiary is identified as the variable interest holder that has both the power to direct the activities of the VIE that most significantly affect the entity’s economic performance and the obligation to absorb expected losses or the right to receive benefits from the entity that could potentially be significant to the VIE.

The Company follows guidance on the consolidation of VIEs that requires companies to utilize a qualitative approach to determine whether it is the primary beneficiary of a VIE. See Note 2 to the accompanying consolidated financial statements for information on how the Company determines VIEs and its treatment.

The following table includes assets that can only be used to settle the liabilities of APC and the creditors of APC have no recourse to the Company. These assets and liabilities, with the exception of the investment in a privately held entity and amounts due to affiliate, which are eliminated upon consolidation with NMM, are included in the accompanying consolidated balance sheets.



	December 31,
	2019		2018

Assets

Current assets
Cash and cash equivalents	$	87,110,226	$	71,726,342
Restricted cash – short-term	75,000		—
Investment in marketable securities	123,948,391		1,066,103
Receivables, net	9,300,076		4,512,000
Receivables, net – related party	42,976,262		44,651,502
Other receivables	743,757		—
Prepaid expenses and other current assets	7,403,057		3,647,654
Loans receivable	6,425,000		—



Loans receivable - related parties	16,500,000		—

Total current assets	294,481,769		125,603,601

Noncurrent assets
Land, property and equipment, net	9,546,924		9,602,228
Intangible assets, net	81,439,224		58,984,420
Goodwill	108,912,763		56,213,450
Loans receivable – related parties	—		12,500,000
Investments in other entities – equity method	28,486,593		26,707,404
Investment in privately held entities	4,725,000		4,725,000
Restricted cash – long-term	746,104		745,470
Operating lease right-of-use assets	4,750,944		—
Other assets	1,056,828		839,085

Total noncurrent assets	239,664,380		170,317,057

Total assets	$	534,146,149	$	295,920,658

Current liabilities
Accounts payable and accrued expenses	$	11,186,808	$	6,378,751
Fiduciary accounts payable	2,027,081		1,538,598
Medical liabilities	49,019,200		24,983,110
Income taxes payable	4,529,667		11,621,861
Dividend payable	271,279		—
Amount due to affiliate	28,057,793		11,505,680
Bank loan, short-term	—		40,257
Finance lease liabilities	101,741		101,741
Operating lease liabilities	1,088,260		—

Total current liabilities	96,281,829		56,169,998

Noncurrent liabilities
Deferred tax liability	14,058,528		15,693,159
Liability for unissued equity shares	—		1,185,025
Finance lease liabilities, net of current portion	415,519		517,261
Operating lease liabilities, net of current portion	3,741,811		—

Total noncurrent liabilities	18,215,858		17,395,445

Total liabilities	$	114,497,687	$	73,565,443