14. LEASES

3 Months Ended

Dec. 31, 2020

Leases [Abstract]

LEASES

NOTE 14                LEASES

The Company’s operating leases are primarily for corporate, sales and administrative office space. Total operating lease expense was $153,000 and $132,000 for the three months ended December 31, 2020 and 2019, respectively, and is recorded in general and administrative expenses on the condensed consolidated statements of operations.

The Company leases certain computer equipment through various finance lease agreements expiring through July 2022. The net book value of assets under finance leases was $21,000 and $23,000 at December 31, 2020 and September 30, 2020, respectively. Interest expense related to assets under finance leases was $1,000 for both the three months ended December 31, 2020 and 2019.

Additional information related to operating and finance leases at December 31, 2020 and September 30, 2020 is as follows:

	December 31,		September 30,
	2020		2020
Weighted Average Remaining Lease Term (Yrs):
Operating Leases		10.7		10.9
Finance Leases		0.7		0.9
Weighted Average Discount Rate:
Operating Leases		5.7%		5.7%
Finance Leases		5.8%		5.8%

At December 31, 2020, future minimum payments under non-cancellable operating and finance leases were as follows:

	Operating Leases			Finance Leases
Remainder of Fiscal 2021	$	347,000		$	15,000
Fiscal 2022		430,000			10,000
Fiscal 2023		426,000			–
Fiscal 2024		433,000			–
Fiscal 2025		396,000			–
Thereafter		2,804,000			–
Total future minimum lease payments		4,836,000			25,000
Less imputed interest		(1,277,000	)		(4,000	)
Present value of lease liabilities	$	3,559,000		$	21,000