Amortizable Intangible Assets & Goodwill

3 Months Ended

Sep. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Amortizable Intangible Assets & Goodwill

Amortizable Intangible Assets

The Company's intangible assets subject to amortization are as follows:

	September 30, 2022		June 30, 2022
Customer relationship	$	58,559,755	$	58,559,995
Non-core customer relationships	760,000		760,010
Non-compete agreements	1,430,000		1,430,000
Technology	10,400,000		10,920,000
Tradename	7,510,000		7,570,000
Workforce acquired	2,125,000		2,125,000
Total intangible assets	80,784,755		81,365,005
Less: accumulated impairment expense	—		(446,000)
Less: accumulated amortization	(12,657,000)		(10,613,000)
Total Amortizable intangible assets, net	$	68,127,755	$	70,306,005

Purchased intangible assets with finite useful lives are amortized over their respective estimated useful lives (using an accelerated method for customer relationships and trade names) to their estimated residual values, if any. The Company’s finite-lived intangible assets consist of customer relationships, contractor and resume databases, trade names, and internal use software and are being amortized over periods ranging from two to ten years. Purchased intangible assets are reviewed annually to determine if facts and circumstances indicate that the useful life is shorter than originally estimated or that the carrying amount of assets may not be recoverable. If such facts and circumstances exist, recoverability is assessed by comparing the projected undiscounted net cash flows associated with the related asset or group of assets over their remaining lives against their respective carrying amounts.

During the three months ended September 30, 2022 and 2021, amortization expense was $2,178,250 and $172,000, respectively.

Impairments, if any, are based on the excess of the carrying amount over the fair value of those assets. If the useful life is shorter than originally estimated, the rate of amortization is accelerated and the remaining carrying value is amortized over the new shorter useful life. For the three months ended September 30, 2022 and 2021, the Company had no impairments.