BANK DEBT

The Company entered into a Credit Agreement on

June 1, 2017

with JPMorgan Chase Bank, N.A. as lender, which was amended in connection with funding the acquisition of CAD Enterprises, Inc. (“CAD”) on

July 5, 2018

and further amended on

September 30, 2019,

December 30, 2019

and

March 2, 2021 (

as amended, the “Credit Agreement”). The

March 2, 2021

amendment increased the maximum borrowing amount under the revolving credit facility from

$20,000,000

$30,000,000.

As amended, the Credit Agreement is comprised of a revolving facility in the amount of

$30,000,000

and a term A loan in the amount of

$6,000,000.

Outstanding borrowings on the term A loan are payable in consecutive monthly installments, which currently amount to

$111,111

per month.

The revolving facility under the Credit Agreement includes a

million sublimit for the issuance of letters of credit thereunder. Interest for borrowings under the revolving facility accrues at a per annum rate equal to Prime Rate or LIBOR plus applicable margins of (i) (

0.25%

) for Prime Rate loans and (ii)

1.75%

for LIBOR loans. The maturity date of the revolving facility is

June 1, 2024.

Interest for borrowings under the term A loan accrues at a per annum rate equal to Prime Rate or LIBOR plus applicable margins of (i)

0.25%

for Prime Rate loans and (ii)

2.25%

for LIBOR loans. The maturity date of the term A loan is

December 1, 2022.

The Credit Agreement includes a commitment fee on the unused portion of the revolving facility of

0.25%

per annum payable quarterly. The obligations of the Company and other borrowers under the Credit Agreement are secured by a blanket lien on all the assets of the Company and its subsidiaries. The Credit Agreement also includes customary representations and warranties and applicable reporting requirements and covenants. The financial covenants under the Credit Agreement include a minimum fixed charge coverage ratio, a maximum senior funded debt to EBITDA ratio and a maximum total funded debt to EBITDA ratio.

Bank debt balances consist of the following:

	March 31, 2021		December 31, 2020

Term debt	$	2,444,445	$	2,777,778
Revolving debt		16,752,098		10,825,797
Total Bank debt		19,196,543		13,603,575
Less: current portion		1,333,333		1,333,333
Non-current bank debt		17,863,210		12,270,242
Less: unamortized debt costs		105,535		95,814
Net non-current bank debt	$	17,757,675	$	12,174,428

The Company had

$13.2

million and

$9.2

million available to borrow on the revolving credit facility at

March 31, 2021

and

December 31, 2020,

respectively.