GOODWILL AND INTANGIBLE ASSETS-NET

3 Months Ended

Mar. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND INTANGIBLE ASSETS-NET

3. GOODWILL AND INTANGIBLE ASSETS-NET

Goodwill consists of the excess of the purchase price over the fair value of identifiable net assets of businesses acquired. The following is the summary of the changes to the carrying amount of goodwill for the three months ended March 31, 2023 and the year ended December 31, 2022:

	Three Months Ended		Year Ended
	March 31, 2023		December 31, 2022
	($ in thousands)
Beginning gross balance	$	61,186	$	61,186
Acquisitions		-		-
Ending gross balance	$	61,186	$	61,186

Intangible assets include customer contracts and relationships and covenants not-to-compete acquired in connection with acquisitions, as well as trademarks acquired and software costs. Intangible assets – net as of March 31, 2023, and December 31, 2022 consist of the following:

	March 31, 2023		December 31, 2022
	($ in thousands)
Contracts and relationships acquired	$	47,597	$	47,597
Capitalized software		22,959		21,547
Non-compete agreements		1,236		1,236
Other intangible assets		8,415		8,415
Total intangible assets		80,207		78,795
Less: Accumulated amortization		51,672		49,275
Intangible assets - net	$	28,535	$	29,520

The amount for capitalized software represents payroll and development costs incurred for internally developed software. Other intangible assets primarily represent non-compete agreements, purchased intangibles. Amortization expense was approximately $2.5 million for both the three months ended March 31, 2023 and 2022. The weighted-average amortization period is three years.

As of March 31, 2023, future amortization scheduled to be expensed is as follows:

Years ending December 31,	($ in thousands)
2023 (nine months)	$	10,338
2024		9,498
2025		6,254
2026		1,395
2027		300
Thereafter		750
Total	$	28,535