Intangible Assets

6 Months Ended

Dec. 31, 2022

Intangible Assets

Intangible Assets

Note 5. Intangible Assets

Intangible assets as of December 31, 2022:

	Estimated Life	Cost		Accumulated Amortization		Net Book Value
Customer relationships, amortized over four years	4 years	$	10,396,000	$	1,091,242	$	9,304,758
Trade name, amortized over five years	5 years		2,219,000		278,349		1,940,651
Non-compete agreements	Term of agreement		275,000		225,500		49,500
Online sales channels	2 years		1,800,000		675,000		1,125,000
Vender relationships	5 years		6,000,000		900,000		5,100,000
Software	5 years		1,590,000		397,500		1,192,500
		$	22,280,000	$	3,567,591	$	18,712,409

For the three months ended December 31, 2022 and 2021, the Company amortized approximately $962,077 and $417,549, respectively.

For the six months ended December 31, 2022 and 2021, the Company amortized approximately $1,842,973 and $667,932, respectively.

The following intangible assets were added during the six months ended December 31, 2022 from the acquisition of LuckyTail:

Customer relationships	$	2,304,000
Trade name		360,000
Intangible Assets from Purchase	$	2,664,000

E-Core:

Customer relationships	$	6,000,000
Trade name		1,250,000
Intangible Assets from Purchase	$	7,250,000

Intangible assets as of June 30, 2022:

	Cost		Accumulated Amortization		Net Book Value
Customer relationships, amortized over four years	$	2,092,000	$	689,293	$	1,402,707
Trade name, amortized over five years		609,000		156,783		452,217
Non-compete agreements, amortized over the term of the agreement		275,000		115,042		159,958
Online sales channels, amortized over two years		1,800,000		225,000		1,575,000
Vender relationships, amortized over five years		6,000,000		300,000		5,700,000
Software, amortized over five years		1,590,000		238,500		1,351,500
	$	12,366,000	$	1,724,618	$	10,641,382

The following intangible assets were added during the year ended June 30, 2022, from the acquisition of VitaMedica, Interactive and Cygnet.

Customer relationships	$	2,092,000
Trade name		609,000
Non-compete agreements		275,000
Online sales channels		1,800,000
Vender relationships		6,000,000
Software		1,590,000
Intangible Assets from Purchase	$	12,366,000

Future amortization of intangible assets at December 31, 2022 are as follows:

June 30, 2023	$	2,762,694
June 30, 2024		5,410,338
June 30, 2025		5,387,879
June 30, 2026		3,823,146
June 30, 2027		1,194,352
Thereafter		134,000
	$	18,712,409