FINANCE RECEIVABLES

Finance receivables consist of the following:



($ in thousands)	March 31, 2019		June 30, 2018
Finance receivables, net	$	6,119	4,603
Finance receivables due after one year, net	11,362		13,246
Total finance receivables, net of allowance of $601 and $12, respectively	$	17,481	$	17,849

The Company routinely evaluates outstanding finance receivables for impairment based on past due balances or accounts otherwise determined to be at a higher risk of loss. A finance receivable is classified as nonperforming if it is considered probable the Company will be unable to collect all contractual interest and principal payments as scheduled.

At March 31, 2019 and June 30, 2018, credit quality indicators consisted of the following:



($ in thousands)	March 31, 2019		June 30, 2018
Performing	$	17,481	$	17,849
Nonperforming	601		12
Total	$	18,082	$	17,861



Age Analysis of Past Due Finance Receivables
As of March 31, 2019
($ in thousands)	Current		30 and Under Days Past Due		31 – 60 Days Past Due		61 – 90 Days Past Due		Greater than 90 Days Past Due		Total Finance Receivables
QuickStart Leases	$	17,423	$	45	$	189	$	89	$	336	$	18,082



Age Analysis of Past Due Finance Receivables
As of June 30, 2018
($ in thousands)	Current		30 and Under Days Past Due		31 – 60 Days Past Due		61 – 90 Days Past Due		Greater than 90 Days Past Due		Total Finance Receivables
QuickStart Leases	$	17,609	$	56	$	7	$	56	$	133	$	17,861

Sale of Finance Receivables

The Company accounts for transfers of finance receivables as sales when it has surrendered control over the related assets. Whether control has been relinquished requires, among other things, an evaluation of relevant legal considerations and an assessment of the nature and extent of the Company’s continuing involvement with the assets transferred. During the three months ended March 31, 2018, the Company transferred certain groups of finance receivables with no recourse to third-party financing entities for approximately $2.1 million. The transfers were accounted for as sales with derecognition of the associated finance receivables. Gains and losses stemming from such transfers are immaterial.

Transfers of finance receivables that do not qualify for sale accounting are reported as collateralized borrowings. Accordingly, the related assets remain on the Company’s balance sheet and continue to be reported and accounted for as if the transfer had not occurred. Cash proceeds from these transfers are reported as financing obligations (debt), with attributable interest expense recognized over the life of the related transactions. During December 2017, the Company transferred certain groups of finance receivables to third-party financing entities for approximately $1.1 million. Such transfers are subject to recourse provisions for the first 3 months after the date of transfer, after which the recourse provisions expire. Accordingly, the related finance receivables remained on the balance sheet at December 31, 2017 and the cash proceeds of approximately $1.1 million were reported as financing obligations at December 31, 2017. During March 2018, the recourse provisions expired resulting in the finance receivables and financing obligations being derecognized.