ACCOUNTS RECEIVABLE

9 Months Ended

Sep. 30, 2016

Accounts receivable, net, consists of the following at:



	September 30, 2016			December 31, 2015
Accounts receivable trade	$	8,254,858		$	8,280,749
Allowance for doubtful accounts	(1,877,119		)	(1,965,335		)
Accounts receivable trade, net	$	6,377,739		$	6,315,414
Accounts receivable other (Business Interruption Insurance Receivable)	1,275,000			—
Accounts receivable, net	$	7,652,739		$	6,315,414

Accounts receivable trade represents amounts due from customers. Accounts receivable trade are recorded at invoiced amounts, net of reserves and allowances and do not bear interest. The Company uses its best estimate to determine the required allowance for doubtful accounts based on a variety of factors, including the length of time receivables are past due, economic trends and conditions affecting its customer base, significant one-time events and historical write-off experience. Specific provisions are recorded for individual receivables when we become aware of a customer’s inability to meet its financial obligations. The Company reviews the adequacy of its reserves and allowances quarterly.

Receivable balances greater than 30 days past due are individually reviewed for collectability and if deemed uncollectible, are charged off against the allowance accounts after all means of collection have been exhausted and the potential for recovery is considered remote. The Company does not have any significant off balance sheet credit exposure related to its customers.

Accounts receivable other of $1,275,000 represents insurance proceeds to be paid to the Company by its business interruption insurance provider for the lost income while our Columbus, Ohio facility was out of service, for repairs, after a fire which occurred there during the first quarter of 2016. The credit for the insurance proceeds is included in the "Revenues" line on the "Statement of Operations" to offset the expenses of the business interruption that are included in "Costs of revenues".