Intangible assets

12 Months Ended

Dec. 31, 2021

Intangible assets

Intangible assets

9. Intangible assets

The Company’s purchase transactions for Aerex and PERC identified certain intangible assets. The remaining intangible assets and their respective useful lives are as follows: non-compete agreements (3 and 5 years), trade names (15 years), customer backlog (2 years), and facility management contracts (6 years).

The costs and accumulated amortization for these assets were as follows:

	December 31,
	2021		2020
Cost
Non-compete agreements	$	530,000	$	530,000
Trade names		2,700,000		2,700,000
Customer backlogs		360,000		360,000
Facility management contracts		2,200,000		2,200,000
		5,790,000		5,790,000
Accumulated amortization
Non-compete agreements		(493,889)		(443,889)
Trade names		(740,000)		(560,000)
Customer backlogs		(360,000)		(210,000)
Facility management contracts		(794,445)		(427,778)
		(2,388,334)		(1,641,667)
Intangible assets, net	$	3,401,666	$	4,148,333

Amortization of intangible assets for each of the next five years and thereafter is expected to be as follows:

2022	$	582,778
2023		546,667
2024		546,667
2025		485,554
2026		180,000
Thereafter		1,060,000
	$	3,401,666

Amortization expense was $746,667 and $891,667 for the years ended December 31, 2021 and 2020, respectively.