Leases (Tables)

6 Months Ended

Mar. 31, 2020

Leases

Schedule of lease information

The components of lease cost for the three and six months ended March 31, 2020 are as follows:

	Three months ended March 31,		Six months ended March 31,
	2020		2020
Finance lease cost:
Amortization of right-of-use assets	$	75,000	$	150,000
Interest on lease liabilities		361,033		733,256
Total finance lease cost		436,033		883,256
Operating lease cost		43,625		87,250
Total lease cost	$	479,658	$	970,506

Amounts reported in the consolidated balance sheets for leases where the Company is the lessee as of March 31, 2020 were as follows:

	March 31, 2020
Operating leases:
Right-of-use asset	$	244,600
Operating lease liabilities		271,600
Finance leases:
Right-of-use asset	$	2,375,000
Financing lease liabilities		3,399,232
Weighted-average remaining lease term (years):
Operating leases		1.6
Finance leases		7.7
Weighted-average discount rate:
Operating leases		9.0%
Finance leases		43.0%

Other information related to leases for the six months ended March 31, 2020 are as follows:

	Six months ended March 31,
	2020
Cash paid for amounts included in the measurement of lease obligations:
Operating cash flows from finance leases	$	713,364
Operating cash flows from operating leases		93,750
Financing cash flows from finance leases		178,757
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	$	—
Finance leases		—

Schedule of operating lease future minimum payments

Future minimum lease payments under non-cancelable leases as of March 31, 2020 are as follows for the years ending September 30:

	Operating leases		Finance leases
2020 (remaining six months)	$	93,750	$	746,636
2021		195,000		1,492,390
2022		—		1,535,809
2023		—		1,564,028
2024		—		1,597,371
Thereafter		—		5,753,515
Total undiscounted lease payments	$	288,750	$	12,689,749
Less: Imputed interest		17,150		9,290,517
Total lease obligations	$	271,600	$	3,399,232

Schedule of finance lease future minimum payments

	Operating leases		Finance leases
2020 (remaining six months)	$	93,750	$	746,636
2021		195,000		1,492,390
2022		—		1,535,809
2023		—		1,564,028
2024		—		1,597,371
Thereafter		—		5,753,515
Total undiscounted lease payments	$	288,750	$	12,689,749
Less: Imputed interest		17,150		9,290,517
Total lease obligations	$	271,600	$	3,399,232

Schedule of prior year minimum rental payments in operating leases

	Operating leases		Finance leases
2020	$	187,500	$	1,608,067
2021		195,000		1,506,592
2022		—		1,535,809
2023		—		1,564,027
2024		—		1,593,291
Thereafter		—		5,691,492
Total undiscounted lease payments	$	382,500	$	13,499,278
Less: Imputed interest		—		9,941,198
Total lease obligations	$	382,500	$	3,558,080

Schedule of prior year minimum rental payments in capital leases

Future minimum rental payments under non-cancelable leases prior to adoption of ASC 842, Leases, as of September 30, 2019 were as follows:

	Operating leases		Finance leases
2020	$	187,500	$	1,608,067
2021		195,000		1,506,592
2022		—		1,535,809
2023		—		1,564,027
2024		—		1,593,291
Thereafter		—		5,691,492
Total undiscounted lease payments	$	382,500	$	13,499,278
Less: Imputed interest		—		9,941,198
Total lease obligations	$	382,500	$	3,558,080

Schedule of future termination payment derecognized assets and liabilities associated with financing lease

	Balance		Expensed / Accrued		Cash		Balance
	October 1, 2019		Expense		Payments		March 31, 2020
Lease termination payments	$	3,909,448	$	329,546	$	(300,000)	$	3,938,994