Notes Payable

6 Months Ended

Jun. 30, 2022

12. Notes Payable

Notes payable consist of the following (in thousands):

	June 30, 2022			December 31, 2021
Related parties:
Shareholders - Interest accrues annually at rates ranging from 0.00% - 6.25%. The notes payable mature on various dates through October 2025.	$	13,042		$	10,771
Owners of Acquired Entity - Interest accrues annually at rates ranging from 3.25% - 7.00% annually. The notes payable mature on various dates through October 2024.		478		$	450
Unrelated third parties:
Note payable for purchase of software		-			34
Note payable for purchase of intangible asset		100			100
Fixed line notes payable - see note 11		1,139			1,502
Total		14,759			12,857
Less: current portion		(6,067	)		(4,450	)
Noncurrent portion	$	8,692		$	8,407

The Company’s President, Chairman and Chief Executive Officer guarantees certain of the notes payable, and certain of the notes payable are subordinate to the terms of the Credit Agreement disclosed in Note 11.

Interest expense attributable to the notes payable totaled $0.1 million and $0.2 million for the three and six months ended June 30, 2022, respectively. Interest expense attributable to the notes payable totaled $0.1 million and $0.1 million for the three and six months ended June 30, 2021, respectively.

Future principal payments on notes payable for remainder of 2022 and succeeding years are as follows (in thousands):

2022	$	2,915
2023		6,134
2024		4,827
2025		883
Total	$	14,759