VIQ Solutions Inc 6-K, filed Aug 18, 2021

VIQ Solutions Inc. (VQSSF)

6-K 2021-08-18 For: 2021-08-18

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Added on April 06, 2026

About this 6-K

VIQ Solutions Inc filed this 6-K on August 18, 2021.

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	VIQ SOLUTIONS INC.
	(Registrant)

Date: August 18, 2021	By:	/s/ Alexie Edwards
		Name:	Alexie Edwards
		Title:	Chief Financial Officer

Exhibit Number		Document Description
99.1		Press release dated August 16, 2021
99.2		Press release dated August 16, 2021
99.3		Management Discussion and Analysis for the period ended June 30, 2021
99.4		Interim Financial Statements for the period ended June 30, 2021

Media Contact:	Investor Relations Contact:
Laura Haggard	Laura Kiernan
Chief Marketing Officer	High Touch Investor Relations
VIQ Solutions	Phone: 1-914-598-7733
Phone: (800) 263-9947	Email: viq@htir.net
Email: marketing@viqsolutions.com

Media Contact:		Investor Relations Contact:
Laura Haggard		Laura Kiernan
Chief Marketing Officer		High Touch Investor Relations
VIQ Solutions		Phone: 1-914-598-7733
Phone: (800) 263-9947		Email: viq@htir.net
Email: marketing@viqsolutions.com

	June 30, 2021			December 31, 2020
Assets
Current assets
Cash	$	12,374,826		$	16,835,671
Trade and other receivables, net of allowance for doubtful accounts (note 5, 6)		5,733,043			4,475,751
Inventories		76,248			49,381
Prepaid expenses and deposits		621,021			254,230
		18,805,138			21,615,033
Non-current assets
Restricted cash		92,428			42,835
Property and equipment		199,536			215,835
Right of use assets		229,557			309,566
Intangible assets (note 7)		11,018,562			12,118,352
Goodwill (note 7)		6,963,118			6,976,096
Deferred tax assets		389,481			1,441,942
Total assets	$	37,697,820		$	42,719,659

Liabilities
Current liabilities
Trade and other payables and accrued liabilities	$	4,737,942		$	5,305,600
Income tax payable		190,284			201,592
Share appreciation rights plan obligations (note 9)		37,416			126,503
Share based payment liability (note 9)		177,316			–
Current portion of long-term debt (note 8)		1,260,251			1,486,136
Current portion of lease obligations (note 17)		50,479			113,218
Current portion of contract liabilities		1,007,300			1,252,957
		7,460,988			8,486,006
Non-current liabilities
Deferred tax liability		59,778			60,587
Long-term debt (note 8)		12,347,567			12,138,799
Long-term contingent consideration (note 4)		1,111,940			1,575,528
Long-term lease obligations (note 17)		217,021			240,981
Long-term contract liabilities		3,139			70,834
Other long-term liabilities		384,851			360,525
Total liabilities		21,585,284			22,933,260

Shareholders’ Equity
Capital stock (note 9)		58,630,831			50,234,551
Contributed surplus		4,800,219			4,970,945
Accumulated other comprehensive income (loss)		187,128			(78,906	)
Deficit		(47,505,642	)		(35,340,191	)
Total liabilities and shareholders’ equity	$	37,697,820		$	42,719,659

	Three Months ended June 30,						Six Months ended June 30,
	2021			2020			2021			2020
Revenue (note 14)	$	8,191,812		$	8,253,015		$	16,446,034		$	15,801,219

Cost of Sales		4,210,733			3,202,737			8,447,120			7,521,049
Gross Profit		3,981,079			5,050,278			7,998,914			8,280,170

Expenses (note 15)
Selling and administrative expenses		3,953,046			3,090,612			7,492,156			5,467,766
Research and development expenses		260,010			209,537			499,673			461,858
Stock based compensation (note 10)		6,687,792			483,253			6,773,787			530,978
Foreign exchange (gain) loss (note 18)		153,400			(54,651	)		368,725			(306,900	)
Depreciation		70,101			95,219			143,656			203,073
Amortization		1,118,014			1,083,910			2,292,822			2,074,607
		12,242,363			4,907,880			17,570,819			8,431,382

Income (loss) before undernoted items		(8,261,284	)		142,398			(9,571,905	)		(151,212	)

Interest expense		(335,594	)		(375,018	)		(667,013	)		(4,070,970	)
Accretion and other financing costs (note 8)		(254,712	)		(334,013	)		(519,661	)		(564,561	)
Loss on revaluation of conversion feature liability (note 8)		–			(72,791	)		–			(1,191,552	)
Loss on repayment of long-term debt (note 8)		–			–			–			(1,290,147	)
Loss on contingent consideration (note 4)		(109,269	)		–			(13,275	)		–
Restructuring costs		(238,037	)		–			(360,253	)		–
Other income (expense)		4,841			(99	)		8,294			105
		(9,194,055	)		(639,523	)		(11,123,813	)		(7,268,337	)

Current income tax expense		(43,348	)		(390,831	)		(1,358	)		(444,275	)
Deferred income tax expense		(1,261,259	)		–			(1,040,280	)		–
Income tax expense		(1,304,607	)		(390,831	)		(1,041,638	)		(444,275	)
Net loss for the period	$	(10,498,662	)	$	(1,030,354	)	$	(12,165,451	)	$	(7,712,612	)
Exchange gain (loss) on translating foreign operations		101,642			(166,265	)		266,034			(150,326	)
Comprehensive loss for the period	$	(10,397,020	)	$	(1,196,619	)	$	(11,899,417	)	$	(7,862,938	)

Net loss per share (note 11)
Basic		(0.42	)		(0.06	)		(0.49	)		(0.46	)
Diluted		(0.42	)		(0.06	)		(0.49	)		(0.46	)
Weighted average number of common shares outstanding - basic (note 11)		25,029,019			18,364,354			24,749,637			16,728,647
Weighted average number of common shares outstanding - diluted (note 11)		25,029,019			18,364,354			24,749,637			16,728,647

	Three months ended June 30						Six months ended June 30
	2021			2020			2021			2020
Net Loss		(10,498,662	)		(1,030,354	)		(12,165,451	)		(7,712,612	)

Add:
Depreciation		70,101			95,219			143,656			203,073
Amortization		1,118,014			1,083,910			2,292,822			2,074,607
Interest expense		335,594			375,018			667,013			4,070,970
Current income tax expense		43,348			390,831			1,358			444,275
Deferred income tax expense		1,261,259			-			1,040,280			-
EBITDA		(7,670,346	)		914,624			(8,020,322	)		(919,687	)
Accretion and other financing expense		254,712			334,013			519,661			564,561
Loss on revaluation of conversion feature liability		-			72,791			-			1,191,552
Loss on repayment of long-term debt		-			-			-			1,290,147
Restructuring Costs		238,037			-			360,253			-
Other expense (income)		(4,841	)		99			(8,294	)		(105	)
Stock-based compensation		6,687,792			483,253			6,773,787			530,978
Foreign exchange (gain) loss		153,400			(54,651	)		368,725			(306,900	)
Adjusted EBITDA		(341,246	)		1,750,129			(6,190	)		2,350,546

	Three months ended June 30						Period over Period Change						Six months ended June 30						Period over Period Change
	2021			2020			$			%			2021			2020			$			%
Revenue		8,191,812			8,253,015			(61,203	)		(1	)		16,446,034			15,801,219			644,815			4
Cost of sales		4,210,733			3,202,737			1,007,996			31			8,447,120			7,521,049			926,071			12
Gross profit		3,981,079			5,050,278			(1,069,199	)		(21	)		7,998,914			8,280,170			(281,256	)		(3	)

Operating Expenses
Selling and administrative expenses		3,953,046			3,090,612			862,434			28			7,492,156			5,467,766			2,024,390			37
Research and development expenses		260,010			209,537			50,473			24			499,673			461,858			37,815			8
Loss on contingent consideration		109,269			-			109,269			-			13,275			-			13,275			-
Total Operating expenses		4,322,325			3,300,149			1,022,176			31			8,005,104			5,929,624			2,075,480			35

Adjusted EBITDA ⁽¹⁾		(341,246	)		1,750,129			(2,091,375	)		(119	)		(6,190	)		2,350,546			(2,356,736	)		(100	)
Stock-based compensation		6,687,792			483,253			6,204,539			1,284			6,773,787			530,978			6,242,809			1,176
Depreciation		70,101			95,219			(25,118	)		(26	)		143,656			203,073			(59,417	)		(29	)
Amortization		1,118,014			1,083,910			34,104			3			2,292,822			2,074,607			218,215			11
Interest expense		335,594			375,018			(39,424	)		(11	)		667,013			4,070,970			(3,403,957	)		(84	)
Accretion and other financing expense		254,712			334,013			(79,301	)		(24	)		519,661			564,561			(44,900	)		(8	)
Loss on revaluation of conversion feature liability		-			72,791			(72,791	)		(100	)		-			1,191,552			(1,191,552	)		100
Loss on repayment of long-term debt		-			-			-			-			-			1,290,147			(1,290,147	)		(100	)
Impairment of goodwill and intangibles		-			-			-			-			-			-			-			-
Restructuring Costs		238,037			-			238,037			-			360,253			-			360,253			-
Other expense (income)		(4,841	)		99			(4,940	)		(4,990	)		(8,294	)		(105	)		(8,189	)		7,799
Foreign exchange (gain) loss		153,400			(54,651	)		208,051			381			368,725			(306,900	)		675,625			220
Loss before income taxes		(9,194,055	)		(639,523	)		(8,554,532	)		(1,338	)		(11,123,813	)		(7,268,337	)		(3,855,476	)		(53	)
Current income tax expense		(43,348	)		(390,831	)		347,483			(89	)		(1,358	)		(444,275	)		472,917			(100	)
Deferred income tax expense		(1,261,259	)		-			(1,261,259	)		-			(1,040,280	)		-			(1,040,280	)		-
Income tax expense		(1,304,607	)		(390,831	)		(913,776	)		(234	)		(1,041,638	)		(444,275	)		(597,363	)		(134	)
Net Loss		(10,498,662	)		(1,030,354	)		(9,468,308	)		(919	)		(12,165,451	)		(7,712,612	)		(4,452,839	)		(58	)

Weighted average number of common shares outstanding
Basic		25,029,019			18,364,354									24,749,637			16,728,647
Diluted		25,029,019			18,364,354									24,749,637			16,728,647

Net loss per share
Basic		(0.42	)		(0.06	)								(0.49	)		(0.46	)
Diluted		(0.42	)		(0.06	)								(0.49	)		(0.46	)

	(unaudited)
		Jun-21		Mar-21		Dec-20		Sep-20		Jun-20 *		Mar-20 *		Dec-19		Sep-19
Revenue		8,191,812		8,254,222		7,775,674		8,172,800		8,253,015		7,548,204		6,096,550		6,451,077

Net income (loss)		(10,498,662	)	(1,666,789	)	(3,857,540	)	(345,862	)	(1,030,354	)	(6,682,258	)	(2,525,682	)	291,994

Weighted average number of shares outstanding:
Basic		25,029,019		24,467,151		20,341,203		18,494,247		18,364,354		15,092,939		10,848,296		9,549,609
Diluted		25,029,019		24,467,151		20,341,203		18,494,247		18,364,354		15,092,939		10,848,296		10,044,578

Net income (loss) per share:
Basic		(0.42	)	(0.07	)	(0.19	)	(0.02	)	(0.06	)	(0.44	)	(0.23	)	0.03
Diluted		(0.42	)	(0.07	)	(0.19	)	(0.02	)	(0.06	)	(0.44	)	(0.23	)	0.03

	2021		2022		2023		2024		2025		Total
Trade and other payables		4,737,942		–		–		–		–		4,737,942
Share appreciation rights		37,416		–		–		–		–		37,416
Lease obligations		62,448		115,878		99,814		74,862		64,462		417,464
Crown Capital debt		310,696		–		12,461,970		–		–		12,772,666
Contingent Consideration - ASC		743,860		1,530,994		459,482		–		–		2,734,336
Contingent Consideration - WZ		141,762		352,626		282,537		–		–		776,925
WordZ SBA Loan		214,307		45,923		–		–		–		260,230
WordZ promissory note		223,276		446,552		446,552		–		–		1,116,380
HomeTech VTB loan		120,000		240,000		240,000		20,000		–		620,000
Total	$	6,591,707	$	2,731,973	$	13,990,355	$	94,862	$	64,462	$	23,473,359

Approved by the Board	Signed “Larry Taylor”		Signed “Sebastien Paré”
	Larry Taylor, Director		Sebastien Paré, CEO and Director

											Accumulated
											other
	Capital Stock				Contributed						comprehensive			Total
	Number		Amount		surplus			Deficit			loss			equity
Balance as at December 31, 2019		10,852,617	$	21,987,937	$	4,552,528		$	(24,194,885	)	$	(135,058	)	$	2,210,522
Comprehensive loss for the period		–		–		–			(7,712,612	)		(150,326	)		(7,862,938	)
Shares issued due to exercise of stock options (note 9)		82,500		113,023		(40,061	)		–			–			72,962
Shares issued due to exercise of warrants (note 9)		1,154,759		1,859,963		81,467			–			–			1,941,430
Shares issued due to debenture conversion (note 8)		6,395,648		11,312,161		(80,963	)		–			–			11,231,198
Stock-based compensation (note 10)		–		–		267,170			–			–			267,170
Balance at June 30, 2020 (note 2 (b))		18,485,524	$	35,273,084	$	4,780,141		$	(31,907,497	)	$	(285,384	)	$	7,860,344

	Three months ended June 30, 2020
	As originally reported		Correction		Re-presented
Accretion interest expense		240,190		93,823		334,013
Total impact to net and comprehensive loss		240,190		93,823		334,013

	Six months ended June 30, 2020
	As originally reported		Correction			Re-presented
Accretion interest expense		404,053		160,508			564,561
Depreciation and amortization		2,368,221		(90,541	)		2,277,680
Loss on revaluation of conversion feature		490,811		700,741			1,191,552
Total impact to net and comprehensive loss		5,733,043		4,475,751			5,733,043

USD / CAD exchange rate	June 30, 2021		December 31, 2020		June 30, 2020
Closing at the reporting date		0.8066		0.7672		0.7330
Average rate for the period		0.8138		0.7480		0.7371

	Three months ended June 30,						Six months ended June 30,
	2021			2020			2021			2020
Cash provided by (used in) operating activities		(2,592,922	)		3,416,306			(3,500,350	)		3,484,433
Cash used in investing activities		(442,717	)		(458,431	)		(1,938,650	)		(5,230,404	)
Cash provided by (used in) financing activities		(620,998	)		(119,886	)		929,697			5,469,863
Net increase (decrease) in cash for the period		(3,656,637	)		2,837,989			(4,509,303	)		3,723,892
Cash, beginning of period		16,020,297			2,485,340			16,835,671			1,707,654

Effect of foreign exchange		11,166			60,878			48,458			(47,339	)

Cash, end of period		12,374,826			5,384,207			12,374,826			5,384,207

USD / AUD exchange rate	June 30, 2021		December 31, 2020		June 30, 2020
Closing at the reporting date		0.7506		0.7311		0.6876
Average rate for the period		0.7695		0.6901		0.6573

	June 30, 2021			December 31, 2020
Trade accounts receivable	$	4,857,759		$	4,233,012
Other receivable (note 6)		1,083,412			366,077
Less: allowance for doubtful accounts (note 18)		(208,128	)		(123,338	)
	$	5,733,043		$	4,475,751

	Balance January 1, 2021		Additions		Foreign exchange		Balance June 30, 2021
Cost
Customer relationships	$	11,775,697	$	–	$	11,224	$	11,786,921
Technology		470,000		–		–		470,000
Non-compete		51,031		–		–		51,031
Brand		1,520,899		–		–		1,520,899
Internally generated intangible assets		7,015,035		1,101,309		218,007		8,334,351
	$	20,832,662	$	1,101,309	$	229,231	$	22,163,202
Accumulated amortization
Customer relationships		4,099,565		1,161,000		11,224		5,271,789
Technology		196,499		47,000		–		243,499
Non-compete		19,638		11,666		–		31,304
Brand		133,921		74,656		–		208,577
Internally generated intangible assets		4,264,687		998,500		126,284		5,389,471
		8,714,310		2,292,822		137,508		11,144,640
Net book value	$	12,118,352					$	11,018,562

	Balance January 1, 2021		Foreign exchange			Balance June 30, 2021
VIQ Solutions PTY Ltd.	$	650,001	$	(16,914	)	$	633,087
Dataworxs		141,018		3,936			144,954
Net Transcripts		1,575,511		–			1,575,511
Transcription Express		1,516,904		–			1,516,904
HomeTech		477,860		–			477,860
ASC		2,614,802		–			2,614,802
	$	6,976,096	$	(12,978	)	$	6,963,118

	June 30, 2021			December 31, 2020
Crown Capital Funding Partner LP Note Payable (a)	$	11,887,950		$	11,398,146

Unsecured Transcription Express 10% promissory note (b)		–			280,531

Unsecured HomeTech interest-free promissory note (b)		536,274			621,725

Unsecured WordZ 5% promissory note (b)		923,364			1,064,303

U.S. Paycheck Protection Program loan (c)		260,230			260,230

Less current portion of long term debt		(1,260,251	)		(1,486,136	)
	$	12,347,567		$	12,138,799

	Exercise Price (CAD)	Expiry dates	Number outstanding
Options – Legacy Plan	$2.10 – $4.20	January 2021 – December 2021		58,333
	$4.40 – $6.40	January 2022 – December 2022		97,000
	$2.84 - $6.00	January 2023 – December 2023		141,250
	$2.10 - $3.10	January 2024 – December 2024		247,017
	$3.13	January 2025 – December 2025		396,000
				939,600
Options – Omnibus Equity Incentive Plan	$8.84	January 2031 – June 2031		721,500
	$8.93	January 2031 – June 2031		68,586
				790,086
Deferred share units – Legacy Plan	$1.20	N/A		66,667
Restricted share units – Omnibus Equity Incentive plan	N/A	January 2031 – June 2031		176,699

	Three and Six months ended June 30th, 2021		Three and Six months ended June 30th, 2020
	Omnibus Equity Incentive Plan		Legacy Plans
Fair value at grant date		$7.29		$0.09
Share price at grant date		$8.93		$0.16
Exercise price		$8.84 - $8.93		$0.16
Expected volatility		81.60%		73.41%
Option life		10.0		5.0
Expected dividends		0%		0%
Risk-free interest rate (based on government bonds)		1.38%		0.42%

Range of exercise prices (CAD)	Options outstanding		Weighted average remaining contractual life	Weighted average exercise price (CAD)		Options exercisable		Weighted average exercise price (CAD)
$2.10 – $4.20		58,333	0.2 years	$	3.06		58,333	$	3.06
$4.40 – $6.40		97,000	0.9 years	$	4.92		97,000	$	4.92
$2.84 - $6.00		141,250	2.3 years	$	3.28		141,250	$	3.28
$2.20 - $3.10		247,017	3.0 years	$	2.44		191,067	$	2.50
$3.13		396,000	3.8 years	$	3.13		264,000	$	3.13
		939,600	2.8 years	$	3.15		751,650	$	3.22

	•	1/3 after one year
	•	1/3 after two years
	•	1/3 after three years

	•	1/3 at time of issue
	•	1/3 after one year
	•	1/3 after two years

	Three months ended June 30, 2021
	Technology and related revenue			Technology services			Corporate			Total
Consolidated loss
Revenue	$	1,164,088		$	7,027,724		$	–		$	8,191,812
Gross profit		1,139,056			2,842,023			–			3,981,079
Selling and administrative expenses		2,372,069			800,806			780,171			3,953,046
Stock-based compensation		–			–			6,687,792			6,687,792
Research and development expenses		260,010			–			–			260,010
Depreciation and amortization		500,613			687,502			–			1,188,115
Foreign exchange loss		152,729			671			–			153,400
Interest, accretion and other financing expense		6,406			636			583,264			590,306
Gain on contingent consideration		–			109,269			–			109,269
Restructuring costs		238,037			–			–			238,037
Other income		(8,049	)		(345	)		3,553			(4,841	)
Current income tax expense		–			43,348			–			43,348
Deferred income tax expense (recovery)		–			1,261,259			–			1,261,259
Segment loss	$	(2,382,759	)	$	(61,123	)	$	(8,054,780	)	$	(10,498,662	)

	Three months ended June 30, 2020
	Technology and related revenue			Technology services			Corporate			Total
Consolidated income (loss)
Revenue	$	863,314		$	7,389,701		$	-		$	8,253,015
Gross profit		553,769			4,496,509			–			5,050,278
Selling and administrative expenses		1,159,277			1,146,072			785,263			3,090,612
Stock-based compensation		–			–			483,253			483,253
Research and development expenses		209,537			–			–			209,537
Depreciation and amortization		383,330			795,800			–			1,179,130
Foreign exchange loss		14,106			(68,757	)		–			(54,651	)
Interest, accretion and other financing expense		6,943			–			702,088			709,031
Loss on revaluation of conversion feature liability		–			–			72,791			72,791
Other income		–			(198	)		297			99
Current income tax expense		–			390,831			–			390,831
Deferred income tax expense (recovery)		–			–			–			–
Segment income (loss)	$	(1,219,423	)	$	2,232,761		$	(2,043,692	)	$	(1,030,354	)

	Six months ended June 30, 2021
	Technology and related revenue			Technology services			Corporate			Total
Consolidated income (loss)
Revenue	$	2,587,443		$	13,858,591		$	–		$	16,446,034
Gross profit		2,440,095			5,558,819			–			7,998,914
Selling and administrative expenses		3,712,723			2,486,741			1,292,692			7,492,156
Stock-based compensation		–			–			6,773,787			6,773,787
Research and development expenses		499,673			–			–			499,673
Depreciation and amortization		1,060,739			1,375,739			–			2,436,478
Foreign exchange loss		367,978			747			–			368,725
Interest, accretion and other financing expense		12,892			1,927			1,171,855			1,186,674
Gain on contingent consideration		–			13,275			–			13,275
Restructuring costs		240,344			119,909			–			360,253
Other income		(8,049	)		(345	)		100			(8,294	)
Current income tax expense		–			1,358			–			1,358
Deferred income tax expense (recovery)		–			1,040,280			–			1,040,280
Segment income (loss)	$	(3,446,205	)	$	519,188		$	(9,238,434	)	$	(12,165,451	)

Consolidated balance sheet
Total segment assets	$	16,287,919		$	21,409,902		$	–		$	37,697,821
Total segment current liabilities		1,637,272			5,786,299			37,417			7,460,988
Total segment non-current liabilities		–			2,236,346			11,887,950			14,124,296

	Six months ended June 30, 2020
	Technology and related revenue			Technology services			Corporate			Total
Consolidated income (loss)
Revenue	$	1,547,093		$	14,254,126		$	–		$	15,801,219
Gross profit		1,052,284			7,227,886			–			8,280,170
Selling and administrative expenses		1,918,212			2,244,736			1,304,818			5,467,766
Stock-based compensation		–			–			530,978			530,978
Research and development expenses		461,858			–			–			461,858
Depreciation and amortization		869,295			1,408,385			–			2,277,680
Foreign exchange loss		(282,907	)		(23,993	)		–			(306,900	)
Interest, accretion and other financing expense		14,046			–			4,621,485			4,635,531
Loss on revaluation of conversion feature liability		–			–			1,191,552			1,191,552
Loss on repayment of long-term debt		–			–			1,290,147			1,290,147
Other income		–			(402	)		297			(105	)
Current income tax expense		–			444,275			–			444,275
Deferred income tax expense (recovery)		–			–			–			–
Segment income (loss)	$	(1,928,220	)	$	3,154,885		$	(8,939,277	)	$	(7,712,612	)

Consolidated balance sheet
Total segment assets	$	8,284,665		$	25,762,829		$	–		$	34,047,494
Total segment current liabilities		1,908,247			9,257,724			448,612			11,614,583
Total segment non-current liabilities		–			14,414,151			158,416			14,572,567

	June 30, 2021		December 31, 2020
Canada	$	131,262	$	120,511
Australia		68,274		95,324
	$	199,536	$	215,835

	Three months ended June 30,				Six months ended June 30,
Primary geographical markets	2021		2020		2021		2020
United States	$	4,803,436	$	5,915,740	$	9,681,948	$	11,376,411
Australia		2,538,424		2,048,777		4,951,878		4,034,571
United Kingdom		538,486		196,004		1,206,874		232,521
Canada		97,466		48,198		107,867		96,585
Other		214,000		44,296		497,467		61,131
Total	$	8,191,812	$	8,253,015	$	16,446,034	$	15,801,219

	Three months ended June 30,				Six months ended June 30,
Major products/service lines	2021		2020		2021		2020
Technology services	$	6,959,628	$	7,141,215	$	13,527,561	$	13,979,209
Software licenses		550,462		428,621		1,262,755		630,660
Support and maintenance		411,949		360,187		1,000,656		716,303
SaaS		46,593		10,432		78,692		20,637
Professional services		53,756		18,528		297,019		50,977
Hardware		144,974		288,357		236,176		385,425
Other		24,450		5,675		43,175		18,008
Total	$	8,191,812	$	8,253,015	$	16,446,034	$	15,801,219

	June 30, 2021			December 31, 2020
Beginning of period	$	123,338		$	902,215
Add: provision for allowance for doubtful accounts		85,976			18,116
Less: write-offs		-			(815,817	)
Foreign exchange adjustments		(1,186	)		18,824
Expected credit loss – end of period	$	208,128		$	123,338