XML 51 R13.htm IDEA: XBRL DOCUMENT v3.20.1
FAIR VALUE OF FINANCIAL INSTRUMENTS
3 Months Ended
Mar. 31, 2020
Fair Value Disclosures [Abstract]  
FAIR VALUE OF FINANCIAL INSTRUMENTS

 

NOTE 6.FAIR VALUE OF FINANCIAL INSTRUMENTS

The Company’s financial instruments consist of cash and cash equivalents, trade receivables, notes receivable, accounts payable and other short-term liabilities. The carrying amounts of these financial instruments approximate their respective fair values.

At March 31, 2020 and 2019, the Company had $51.3 million and $29.0 million of acquisition holdback and earnout liabilities with the former owners of acquired companies. The earnout liabilities were discounted to reflect the expected probability of payout, and both earnout and holdback liabilities were discounted to their net present value on the Company’s books and are considered level 3 liabilities. The table below presents a summary of the changes in fair value for these liabilities.

The table below presents a summary of the changes in fair value for these liabilities.

   Three Months Ended March 31, 
(in thousands)  2020   2019 
Beginning  $49,131   $30,926 
New acquisitions and revaluations   4,489    1,557 
Payouts   (2,040)   (2,807)
Interest on outstanding contingencies   583    212 
Charge offset, forfeit and other   (835)   (889)
Ending Balance  $51,328   $28,999