Intangible Assets

12 Months Ended

Sep. 30, 2011

Intangible Assets Disclosure [Abstract]

Intangible Assets Disclosure [Text Block]

Note 5 – Intangible Assets

Intangible assets at September 30, 2011 and 2010 consist of the following:

	Useful	Gross		Accumulated
September 30, 2011	Life (years)	Amount		Amortization
Acquired Customer Base	5-15	$	7,025,413	$	1,579,001
Know How	15		512,000		110,933
Trade Names	15		219,000		47,450
Backlog	4		182,000		126,700
Biomedical Technologies	5		300,000		0
		$	8,238,413	$	1,864,084
	Useful	Gross		Accumulated
September 30, 2010	Life (years)	Amount		Amortization
Acquired Customer Base	5-15	$	7,025,413	$	1,104,648
Know How	15		512,000		76,800
Trade Names	15		219,000		32,850
Backlog	4		182,000		52,966
		$	7,938,413	$	1,267,264

During the period ended June 30, 2010, the Company adjusted the useful life of the Company’s Backlog from 15 years to 4 years from the date of acquisition (July 1, 2008).  A useful life of 4 years coincides with the corresponding revenues generated from the backlog.  The Company determined that amortizing the backlog over 15 years versus 4 years from the date of acquisition did not have a material impact on the current or prior period financial statements.  Commencing April 1, 2010, the net book value of the backlog of $160,767 is being amortized over its remaining useful life of 27 months.  Amortization expense for the years ended September 30, 2011 and 2010 was $596,820 and $560,887.

Amortization expense for the year ended September 30, 2011 and 2010 was $596,820 and $560,887 respectively.  Estimated amortization expense for each of the next five fiscal years is as follows:

Estimated amortization expense for the next 5 fiscal years
	2012		2013		2014		2015		2016		Total
Acquired Customer Base	$	467,729	$	463,133	$	463,133	$	463,133	$	463,133	$	2,320,261
Know How		73,733		73,733		73,733		73,733		73,733		368,665
Trade Names		14,600		14,600		14,600		14,600		14,600		73,000
Backlog		55,300		0		0		0		0		55,300
Biomedical Technologies		60,000		60,000		60,000		60,000		60,000		300,000
	$	611,362	$	551,466	$	551,466	$	551,466	$	551,466	$	2,817,226