Leases

6 Months Ended

Jun. 30, 2019

Leases [Abstract]

Leases

Leases

The Company has entered into operating and finance leases primarily for real estate and equipment rental. These leases have terms which range from two to four years, and often include one or more options to renew or in the case of equipment rental, to purchase the equipment. These operating and finance leases are listed as separate line items on the Company's June 30, 2019 Consolidated Balance Sheet, and represent the Company’s right to use the underlying asset for the lease term. The Company’s obligation to make lease payments are also listed as separate line items on the Company's June 30, 2019 Consolidated Balance Sheet.  Based on the present value of the lease payments for the remaining lease term of the Company's existing leases, the Company recognized right-of-use assets and lease liabilities for operating leases of approximately $1.2 million and finance leases of approximately $265,000, respectively, on January 1, 2019. Operating lease right-of-use assets and liabilities commencing after January 1, 2019 are recognized at commencement date based on the present value of lease payments over the lease term. As of June 30, 2019, total operating and financed right-of-use assets were approximately $970,000 and $175,000, respectively. The Company has entered into a short-term finance lease for equipment with a remaining term of twelve months or less and is included in the "Accrued expenses and other current liabilities" section of the Consolidated Balance Sheet. All operating lease expense is recognized on a straight-line basis over the lease term. In the six months ended June 30, 2019, the Company recognized approximately $309 thousand in total lease costs, which was comprised of $204 thousand in operating lease costs for right-of-use assets and $105 thousand in lease costs related to lease liabilities.

As of June 30, 2019, the Company recorded $88,596 and $203,079 in amortization expense related to the finance and operating leases, respectively.

Because the rate implicit in each lease is not readily determinable, the Company uses its incremental borrowing rate to determine the present value of the lease payments.

Information related to the Company's operating lease liabilities are as follows:

	Six Months Ended June 30, 2019
Cash paid for operating lease liabilities	$	219,534
Weighted-average remaining lease term	2.6 years
Weighted-average discount rate	6.25		%

Minimum future lease payments ended June 30, 2019
2019	$	240,569
2020	408,262
2021	242,558
2022	163,284
	1,054,673
Less imputed interest	(84,657		)
Total lease liabilities	$	970,016

Information related to the Company's financed lease liabilities are as follows:

	Six Months Ended June 30, 2019
Cash paid for finance lease liabilities	$	136,539
Weighted-average remaining lease term	1.1 years
Weighted-average discount rate	6.25		%

Minimum future lease payments ended June 30, 2019
2019	$	99,624
2020	82,405
	182,029
Less imputed interest	(7,096		)
Total lease liabilities	$	174,933

Leases

Leases

The Company has entered into operating and finance leases primarily for real estate and equipment rental. These leases have terms which range from two to four years, and often include one or more options to renew or in the case of equipment rental, to purchase the equipment. These operating and finance leases are listed as separate line items on the Company's June 30, 2019 Consolidated Balance Sheet, and represent the Company’s right to use the underlying asset for the lease term. The Company’s obligation to make lease payments are also listed as separate line items on the Company's June 30, 2019 Consolidated Balance Sheet.  Based on the present value of the lease payments for the remaining lease term of the Company's existing leases, the Company recognized right-of-use assets and lease liabilities for operating leases of approximately $1.2 million and finance leases of approximately $265,000, respectively, on January 1, 2019. Operating lease right-of-use assets and liabilities commencing after January 1, 2019 are recognized at commencement date based on the present value of lease payments over the lease term. As of June 30, 2019, total operating and financed right-of-use assets were approximately $970,000 and $175,000, respectively. The Company has entered into a short-term finance lease for equipment with a remaining term of twelve months or less and is included in the "Accrued expenses and other current liabilities" section of the Consolidated Balance Sheet. All operating lease expense is recognized on a straight-line basis over the lease term. In the six months ended June 30, 2019, the Company recognized approximately $309 thousand in total lease costs, which was comprised of $204 thousand in operating lease costs for right-of-use assets and $105 thousand in lease costs related to lease liabilities.

As of June 30, 2019, the Company recorded $88,596 and $203,079 in amortization expense related to the finance and operating leases, respectively.

Because the rate implicit in each lease is not readily determinable, the Company uses its incremental borrowing rate to determine the present value of the lease payments.

Information related to the Company's operating lease liabilities are as follows:

	Six Months Ended June 30, 2019
Cash paid for operating lease liabilities	$	219,534
Weighted-average remaining lease term	2.6 years
Weighted-average discount rate	6.25		%

Minimum future lease payments ended June 30, 2019
2019	$	240,569
2020	408,262
2021	242,558
2022	163,284
	1,054,673
Less imputed interest	(84,657		)
Total lease liabilities	$	970,016

Information related to the Company's financed lease liabilities are as follows:

	Six Months Ended June 30, 2019
Cash paid for finance lease liabilities	$	136,539
Weighted-average remaining lease term	1.1 years
Weighted-average discount rate	6.25		%

Minimum future lease payments ended June 30, 2019
2019	$	99,624
2020	82,405
	182,029
Less imputed interest	(7,096		)
Total lease liabilities	$	174,933