CREDITRISKMONITOR COM INC, 10-K filed on 21 Mar 24
v3.24.1
Document and Entity Information - USD ($)
12 Months Ended
Dec. 31, 2023
Mar. 21, 2024
Jun. 30, 2023
Cover [Abstract]      
Document Type 10-K    
Amendment Flag false    
Document Annual Report true    
Document Period End Date Dec. 31, 2023    
Current Fiscal Year End Date --12-31    
Document Fiscal Year Focus 2023    
Document Fiscal Period Focus FY    
Document Transition Report false    
Entity File Number 1-8601    
Entity Registrant Name CreditRiskMonitor.com, Inc.    
Entity Central Index Key 0000315958    
Entity Incorporation, State or Country Code NV    
Entity Tax Identification Number 36-2972588    
Entity Address, Address Line One 704 Executive Boulevard    
Entity Address, Address Line Two Suite A    
Entity Address, City or Town Valley Cottage    
Entity Address, State or Province NY    
Entity Address, Postal Zip Code 10989    
City Area Code 845    
Local Phone Number 230-3000    
Title of 12(g) Security Common Stock $.01 Par Value    
Entity Well-known Seasoned Issuer No    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Non-accelerated Filer    
Entity Small Business true    
Entity Emerging Growth Company false    
ICFR Auditor Attestation Flag false    
Document Financial Statement Error Correction [Flag] false    
Entity Shell Company false    
Entity Public Float     $ 11,775,362
Entity Common Stock, Shares Outstanding   10,722,401  
Auditor Name CohnReznick LLP    
Auditor Location New York, New York    
Auditor Firm ID 596    
v3.24.1
BALANCE SHEETS - USD ($)
Dec. 31, 2023
Dec. 31, 2022
Current assets:    
Cash and cash equivalents $ 11,004,937 $ 9,866,628
Held-to-maturity securities - treasury bills 3,494,958 4,028,565
Accounts receivable, net of allowance of $30,000 3,941,182 3,500,259
Other current assets 788,722 656,379
Total current assets 19,229,799 18,051,831
Held-to-maturity securities - treasury bills 700,000 0
Property and equipment, net 557,634 481,804
Operating lease right-of-use asset 1,612,512 1,816,505
Goodwill 1,954,460 1,954,460
Other assets 18,110 163,470
Total assets 24,072,515 22,468,070
Current liabilities:    
Unexpired subscription revenue 10,272,352 9,980,092
Accounts payable 141,956 245,854
Current portion of operating lease liability 211,488 193,953
Accrued expenses 2,105,019 2,216,376
Total current liabilities 12,730,815 12,636,275
Deferred taxes on income, net 350,605 332,566
Unexpired subscription revenue, less current portion 68,523 163,320
Operating lease liability, less current portion 1,554,686 1,766,174
Total liabilities 14,704,629 14,898,335
Commitments and contingencies
Stockholders' equity:    
Preferred stock, $.01 par value; authorized 5,000,000 shares; none issued 0 0
Common stock, $.01 par value; authorized 32,500,000 shares; issued and outstanding 10,722,401 shares 107,224 107,224
Additional paid-in capital 30,007,773 29,904,675
Accumulated deficit (20,747,111) (22,442,164)
Total stockholders' equity 9,367,886 7,569,735
Total liabilities and stockholders' equity $ 24,072,515 $ 22,468,070
v3.24.1
BALANCE SHEETS (Parenthetical) - USD ($)
Dec. 31, 2023
Dec. 31, 2022
Current assets:    
Accounts receivable, allowance $ 30,000 $ 30,000
Stockholders' equity:    
Preferred stock, par value (in dollars per share) $ 0.01 $ 0.01
Preferred stock, authorized (in shares) 5,000,000 5,000,000
Preferred stock, issued (in shares) 0 0
Common stock, par value (in dollars per share) $ 0.01 $ 0.01
Common stock, authorized (in shares) 32,500,000 32,500,000
Common stock, issued (in shares) 10,722,401 10,722,401
Common stock, outstanding (in shares) 10,722,401 10,722,401
v3.24.1
STATEMENTS OF OPERATIONS - USD ($)
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
STATEMENTS OF OPERATIONS [Abstract]    
Operating revenues $ 18,931,931 $ 17,979,317
Operating expenses:    
Data and product costs 7,833,037 6,984,729
Selling, general and administrative expenses 9,223,031 9,040,767
Depreciation and amortization 383,767 382,342
Total operating expenses 17,439,835 16,407,838
Income from operations 1,492,096 1,571,479
Other income 715,330 180,762
Income before income taxes 2,207,426 1,752,241
Provision for income taxes (512,373) (392,003)
Net income $ 1,695,053 $ 1,360,238
Net income per share:    
Basic (in dollars per share) $ 0.16 $ 0.13
Diluted (in dollars per share) $ 0.16 $ 0.13
v3.24.1
STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($)
Common Stock [Member]
Additional Paid-in Capital [Member]
Accumulated Deficit [Member]
Total
Balance at Dec. 31, 2021 $ 107,224 $ 29,824,242 $ (23,802,402) $ 6,129,064
Balance (in shares) at Dec. 31, 2021 10,722,401      
Increase (Decrease) in Stockholders' Equity [Roll Forward]        
Net income $ 0 0 1,360,238 1,360,238
Stock-based compensation 0 80,433 0 80,433
Balance at Dec. 31, 2022 $ 107,224 29,904,675 (22,442,164) $ 7,569,735
Balance (in shares) at Dec. 31, 2022 10,722,401     10,722,401
Increase (Decrease) in Stockholders' Equity [Roll Forward]        
Net income $ 0 0 1,695,053 $ 1,695,053
Stock-based compensation 0 103,098 0 103,098
Balance at Dec. 31, 2023 $ 107,224 $ 30,007,773 $ (20,747,111) $ 9,367,886
Balance (in shares) at Dec. 31, 2023 10,722,401     10,722,401
v3.24.1
STATEMENTS OF CASH FLOWS - USD ($)
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Cash flows from operating activities:    
Net income $ 1,695,053 $ 1,360,238
Adjustments to reconcile net income to net cash provided by operating activities:    
Amortization of bond discount (164,531) (27,131)
Deferred income taxes 18,039 (75,239)
Depreciation and amortization 383,767 382,342
Operating lease 10,040 18,166
Stock-based compensation 103,098 80,433
Changes in operating assets and liabilities:    
Accounts receivable, net (440,923) (697,023)
Other current assets (137,444) (75,230)
Other assets 0 (76,757)
Unexpired subscription revenue 197,462 496,063
Accounts payable (103,897) (112,453)
Accrued expenses (111,357) 471,086
Net cash provided by operating activities 1,449,307 1,744,495
Cash flows from investing activities:    
Proceeds from sale of held-to-maturity securities - treasury bills 5,010,000 0
Purchase of held-to-maturity securities - treasury bills (5,017,103) (4,001,434)
Purchase of property and equipment (303,895) (257,954)
Net cash used in investing activities (310,998) (4,259,388)
Net increase (decrease) in cash and cash equivalents 1,138,309 (2,514,893)
Cash and cash equivalents at beginning of year 9,866,628 12,381,521
Cash and cash equivalents at end of year 11,004,937 9,866,628
Cash paid, net during the year for:    
Income taxes $ 468,000 $ 395,000
v3.24.1
ORGANIZATION AND DESCRIPTION OF BUSINESS
12 Months Ended
Dec. 31, 2023
ORGANIZATION AND DESCRIPTION OF BUSINESS [Abstract]  
ORGANIZATION AND DESCRIPTION OF BUSINESS
NOTE 1 - ORGANIZATION AND DESCRIPTION OF BUSINESS

CreditRiskMonitor.com, Inc. (also referred to as the “Company” or “CreditRiskMonitor”) provides interactive business-to-business SaaS subscription products designed specifically for credit and supply chain managers. These products are sold predominantly to corporations located in the United States.
v3.24.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
12 Months Ended
Dec. 31, 2023
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]  
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Recently Issued Accounting Standards

The Financial Accounting Standards Board (“FASB”) and the Securities and Exchange Commission (“SEC”) have issued certain other accounting pronouncements as of December 31, 2023 that will become effective in subsequent periods; however, management does not believe that any of these pronouncements would have significantly affected the Company’s financial accounting measurements or disclosures had they been in effect during the periods for which financial statements are included in this annual report, nor does management believe those pronouncements would have a significant effect on the Company’s future financial position or results of operations.

Recently adopted accounting principles

In June 2016, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) No. 2016-13, Financial Instruments  - Credit Losses (Topic 326) (“ASU 2016-13”), which requires financial assets to be presented at the net amount to be collected, with an allowance for credit losses to be deducted from the amortized cost basis of the financial asset such that the net carrying value of the asset is presented as the amount expected to be collected. Under ASU 2016-13, the entity’s statement of operations is required to reflect the measurement of credit losses for newly recognized financial assets, as well as expected increases or decreases in expected credit losses that have taken place during the period. For public business entities, ASU 2016-013 is effective for fiscal years beginning after December 15, 2022. The Company adopted ASU No. 2016-13 on January 1, 2023 and the adoption of this update did not have a significant impact on the Company’s consolidated financial statements.

The Company has determined that its trade receivables and held-to-maturity debt securities fall under this guidance. The trade receivables are short term, generally with net 60 day terms. The Company believes that pooling receivables based on the level of their aging and applying historical loss rates, as adjusted for current conditions, is a reasonable basis to determine expected credit losses. This is consistent with how the Company has previously determined its allowance for doubtful accounts. The Company’s held-to-maturity debt securities are comprised of US Treasury securities and federal bonds which are carried at amortized cost with a zero credit loss allowance because the probability of default is virtually zero due to the high credit rating, long history of no credit losses and the widely recognized risk-free nature of these investments.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates.

Cash and Cash Equivalents

Cash and cash equivalents are comprised of cash in banks and highly liquid instruments with original maturities of three months or less, primarily consisting of investments in institutional money market funds.

Property and Equipment

Property and equipment are recorded at cost. Depreciation is provided on the straight-line method over the estimated useful life of the asset. Estimated useful lives are generally as follows:


Fixtures, equipment and software -- 1 to 10 years

Leasehold improvements -- lower of estimated useful life or term of lease (i.e., 2 to 7 years)


Goodwill

Goodwill and other indefinite-lived intangible assets are subject to annual impairment testing using the specific guidance and criteria described in the accounting guidance FASB Accounting Standards Update (“ASU”) ASU No. 2017-04. The Company performs its goodwill impairment testing at least annually in the fourth quarter of each year. The Company tests for impairment of intangible assets whenever events or changes in circumstances indicate that the carrying value of such assets may not be recoverable. With respect to goodwill, the Company first assesses qualitative factors to determine whether it is more likely than not that the fair value is less than the carrying value. If, based on that assessment, the Company believes it is more likely than not that the fair value is less than the carrying value, a one-step goodwill impairment test is performed. The Company concluded that there was no impairment to goodwill in the 2023 or 2022 fiscal years.

Long-Lived Assets

The Company reviews its long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable in accordance with accounting guidance. Recoverability of assets held and used is measured by a comparison of the carrying amount of an asset to undiscounted pre-tax future net cash flows expected to be generated by that asset. An impairment loss is recognized for the amount by which the carrying amount of the assets exceeds the fair value of the assets. As of December 31, 2023 and 2022, management believes no impairment of long-lived assets has occurred.

Income Taxes

The Company provides for deferred income taxes resulting from temporary differences between financial statements and income tax reporting. Temporary differences are differences between the amounts of assets and liabilities reported for financial statement purposes and their tax bases. Deferred tax liabilities are recognized for temporary differences that will be taxable in future years’ tax returns. Deferred tax assets are recognized for temporary differences that will be deductible in future years’ tax returns and for operating loss and tax credit carryforwards. Deferred tax assets are reduced by a valuation allowance if it is deemed more likely than not that some or all of the deferred tax assets will not be realized.

Revenue Recognition

The Company applies FASB Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers (“ASC 606”) to recognize revenue. ASC 606 requires an entity to apply the following five-step approach: (1) identify the contract(s) with a customer; (2) identify each performance obligation in the contract; (3) determine the transaction price; (4) allocate the transaction price to each performance obligation; and (5) recognize revenue when or as each performance obligation is satisfied. The Company’s primary source of revenue is subscription income which is recognized ratably over the subscription term.

The Company has applied the practical expedient to recognize incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that otherwise would have been recognized is one year or less.

Lease Accounting

For all leases, at the lease commencement date, a right-of-use asset and a lease liability are recognized. The right-of-use asset represents the right to use the leased asset for the lease term. The lease liability represents the present value of the remaining lease payments under the lease. Lease payments included in the measurement of the lease liability comprise the following: the fixed noncancelable lease payments and payments for optional renewal periods where it is reasonably certain the renewal period will be exercised. Lease expense for operating leases consists of the lease payments plus any initial direct costs, and is recognized on a straight-line basis over the lease term.

The Company’s operating lease right-of-use asset and operating lease liability represent the lease for the office space used to conduct its business.

Net Income Per Share

Net income per share is calculated based on the weighted average number of shares of common stock outstanding during the reporting period. Diluted net income per share is calculated giving effect to all potentially dilutive common shares, assuming such shares were outstanding during the reporting period. The difference between basic and diluted net income per share is solely attributable to stock options. The Company uses the treasury stock method to calculate the impact of outstanding stock options (see Note 9).

Segment Information

An operating segment, in part, is a component of an enterprise whose operating results are regularly reviewed by the chief operating decision maker (the “CODM”) to make decisions about resources to be allocated to the segment and assess its performance. Operating segments may be aggregated only to a limited extent. The Company’s CODM, the Chief Executive Officer, reviews financial information presented on a consolidated basis, accompanied by disaggregated information about revenues for purposes of making operating decisions and assessing financial performance. Accordingly, the Company has determined that it has a single operating and reportable segment. In addition, the Company has no foreign operations or any assets in foreign locations.

Stock-Based Compensation

The Company recognizes the grant-date fair value of all stock-based awards on a ratable basis over the award’s vesting period. The Company records deferred tax assets for awards that will result in deductions on its tax returns, based upon the amount of compensation cost recognized and the statutory tax rate in the jurisdiction in which it will receive a deduction.

See Note 6 for more information regarding the Company’s stock compensation plans.

Marketable Securities

All marketable securities are classified as held-to-maturity and are carried at amortized cost. Realized gains, losses, amortization of premiums and discounts, interest and dividend income are included in interest and other income.

Fair Value Measurements

The Company records its financial instruments at fair value in accordance with accounting guidance. The determination of fair value assumes that the transaction to sell an asset or transfer a liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The fair value hierarchy is broken down into three levels based on the source of inputs as follows: (a) Level 1 – valuations based on unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; (b) Level 2 – valuations based on quoted prices in markets that are not active, or financial instruments for which all significant inputs are observable; either directly or indirectly; and (c) Level 3 – valuations based on prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable; thus, reflecting assumptions about the market participants.

The Company, in accordance with ASU 2016-01, classifies its debt securities as “held-to-maturity” and are recorded at a discount. Realized gains on held-to-maturity debt securities are amortized and reported in other income until their maturity date.

Concentrations of Credit Risk

Financial instruments that potentially subject the Company to concentrations of credit risk principally consist of cash, cash equivalents, available-for-sale securities and accounts receivable. The Company maintains its cash and cash equivalents in bank deposits and other accounts, the balances of which, at times, may exceed federally insured limits. Exposure to credit risk is reduced by placing such deposits in high credit quality financial institutions.

The Company closely monitors the extension of credit to its subscribers. The Company’s accounts receivable balance is net of an allowance for doubtful accounts. The Company does not require collateral or other security to support credit sales but provides an allowance for doubtful accounts of $30,000 as of December 31, 2023 and 2022, based on historical experience and specifically identified risks. Accounts receivable are charged off against the allowance for doubtful accounts when management determines that recovery is unlikely and the Company ceases collection efforts. The Company does not believe that significant credit risk existed at December 31, 2023 nor 2022.
v3.24.1
FAIR VALUE MEASUREMENTS
12 Months Ended
Dec. 31, 2023
FAIR VALUE MEASUREMENTS [Abstract]  
FAIR VALUE MEASUREMENTS
NOTE 3 - FAIR VALUE MEASUREMENTS

The Company’s cash, cash equivalents and marketable securities are stated at fair value. The carrying value of accounts receivable, other current assets, accrued expenses, and accounts payable approximates fair market value because of the short maturity of these financial instruments.

The Company’s cash equivalents are generally classified within Level 1 of the fair value hierarchy because they are valued using quoted market prices.

All held-to-maturity securities investments as of December 31, 2023 were US treasury and federal bonds. Investments in these bonds are based on quoted market prices in active markets, and are included in the Level 1 fair value hierarchy.

The tables below set forth the Company’s cash and cash equivalents, as well as marketable securities as of December 31, 2023 and 2022, respectively, which are measured at fair value on a recurring basis by level within the fair value hierarchy.

   
December 31, 2023
 
   
Level 1
   
Level 2
   
Level 3
   
Total
 
                         
Cash and cash equivalents
 
$
11,004,937
   
$
-
   
$
-
   
$
11,004,937
 
Held-to-maturity securities
    4,194,958       -       -       4,194,958  

  $
15,199,895     $
-     $
-     $
15,199,895  

   
December 31, 2022
 
   
Level 1
   
Level 2
   
Level 3
   
Total
 
                         
Cash and cash equivalents
 
$
9,866,628
   
$
-
   
$
-
   
$
9,866,628
 
Held-to-maturity securities     4,028,565       -       -       4,028,565  

  $ 13,895,193     $ -     $ -     $ 13,895,193  

The Company did not hold financial assets and liabilities which were recorded at fair value in the Level 2 or 3 categories as of December 31, 2023.

The preceding methods may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, although the Company believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date.
v3.24.1
MARKETABLE SECURITIES
12 Months Ended
Dec. 31, 2023
MARKETABLE SECURITIES [Abstract]  
MARKETABLE SECURITIES

NOTE 4 - MARKETABLE SECURITIES



Based upon the Company’s intent and ability to hold its US Treasury and federal bond securities to maturity (which maturities range up to 22 months at purchase), such securities have been classified as held-to-maturity and are carried at amortized cost, which approximates fair market value.  Accrued bond interest receivable as of December 31, 2023 is $11,828.



The following table summarizes the cost and fair value of marketable securities at December 31, 2023 is as follows:



   
Amortized Cost
   
Gross Unrealized Gain (Loss)
   
Fair Value
 
                   
Held-to-maturity securities
                 
US Treasuries
 
$
4,194,958
   
$
77,042
   
$
4,272,000
 



Maturities of marketable securities were as follows at December 31, 2023:



Held-to-maturity securities:
     
Due in one year or less
 
$
3,494,958
 
Due in 12 – 24 months     700,000  
    $ 4,194,958  



The Company’s investments in marketable securities consist primarily of investments in US Treasury securities and federal bonds. Market values were determined for each individual security in the investment portfolio.



Management evaluates securities for other-than-temporary impairment at least on an annual basis, and more frequently when economic or market concerns warrant such evaluation. Consideration is given to (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent and ability of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value. Management has determined that no other-than-temporary impairment exists as of December 31, 2023.
v3.24.1
INCOME TAXES
12 Months Ended
Dec. 31, 2023
INCOME TAXES [Abstract]  
INCOME TAXES
NOTE 5 - INCOME TAXES

The Company’s income tax (benefit) expense consisted of the following:

   
2023
   
2022
 
Current:
           
Federal
 
$
478,379
   
$
449,194
 
State
   
15,956
     
18,048
 
Deferred:
               
Federal
   
16,754
     
(70,613
)
State
   
1,284
     
(4,626
)
                 
   
$
512,373
   
$
392,003
 

The actual tax (benefit) expense for 2023 and 2022 differs from the “expected” tax expense for those years (computed by applying the applicable United States federal corporate tax rate to income before income taxes) as follows:

   
2023
   
2022
 
             
Computed “expected” expense
 
$
476,239
   
$
367,452
 
Permanent differences
   
24,056
     
15,685
 
State and local income tax expense
   
17,537
     
13,137
 
True-up of current taxes
   
(123,523
)
   
3,709
 
True-up of deferred taxes
   
117,464
     
(6,158
)
Change in state apportionment
   
600
     
(1,822
)
                 
Income tax expense
 
$
512,373
   
$
392,003
 

The tax effects of temporary differences that give rise to significant portions of the net deferred tax assets (liabilities) at December 31, 2023 and 2022 are as follows:

   
2023
   
2022
 
Deferred tax assets:
           
Stock options
 
$
22,830
   
$
21,654
 
Accrued vacation
   
109,955
     
91,161
 
Bad debt allowance
   
6,557
     
6,546
 
Deferred revenue
   
1,007
     
1,222
 
Deferred rent
   
28,224
     
25,982
 
Other
   
929
     
46,228
 
                 
Total deferred tax assets
   
169,502
     
192,793
 
                 
Deferred tax liabilities:
               
Goodwill
   
(427,204
)
   
(426,433
)
Fixed assets
   
(92,903
)
   
(98,926
)
                 
Total deferred tax liabilities
   
(520,107
)
   
(525,359
)
                 
Net deferred tax liabilities
 
$
(350,605
)
 
$
(332,566
)
v3.24.1
COMMON STOCK AND STOCK OPTIONS
12 Months Ended
Dec. 31, 2023
COMMON STOCK AND STOCK OPTIONS [Abstract]  
COMMON STOCK AND STOCK OPTIONS
NOTE 6 - COMMON STOCK AND STOCK OPTIONS

Common Stock

At December 31, 2023 and 2022, there were 714,050 and 627,600 shares, respectively, of the Company’s authorized common stock reserved for issuance upon exercise of outstanding options under its stock option plan.

Preferred Stock

The Company’s Articles of Incorporation provide that the Board of Directors has the authority, without further action by the holders of the outstanding common stock, to issue up to five million shares of preferred stock from time to time in one or more series. The Board of Directors shall fix the consideration to be paid, but not less than par value thereof, and to fix the terms of any such series, including dividend rights, dividend rates, conversion or exchange rights, voting rights, rights and terms of redemption (including sinking fund provisions), the redemption price and the liquidation preference of such series. As of December 31, 2023 and 2022, the Company does not have any preferred stock outstanding.

Stock Options

As of December 31, 2023, the Company has two stock option plans: the 2009 Long-Term Incentive Plan (“2009 Plan”) which ended in 2019, and the 2020 Long-Term Incentive Plan (“2020 Plan”).

Both the 2009 and the 2020 Plan authorize the grant of incentive stock options, non-qualified stock options, SARs, restricted stock, bonus stock, and performance shares to employees, consultants, and non-employee directors of the Company. The exercise price of each option shall not be less than the fair market value of the common stock at the date of grant. The total number of the Company’s shares that may be awarded under the 2009 Plan was 1,000,000 shares of common stock, and the 2020 Plan was 1,000,000 shares of common stock. At December 31, 2023, there were options outstanding for 295,000 shares of common stock under the 2009 Plan and 419,050 shares of common stock under the 2020 Plan. As of December 31, 2022, there were options outstanding for 311,000 shares of common stock under the 2009 Plan and 316,600 shares of common stock under the 2020 Plan.

Options expire on the date determined, but not more than ten years from the date of grant. All of the options granted under the 2009 and 2020 Plan may be exercised after four years in installments upon the attainment of specified length of service, unless otherwise determined by the Compensation Committee as set forth in the Award Agreement. In the event of a change in control (as defined), the options will vest in full at the time of such change in control.

Transactions with respect to the Company’s stock option plans for the years ended December 31, 2023 and 2022 are as follows:

   
Number
of Shares
   
Weighted
Average
Exercise
Price
 
             
Outstanding at January 1, 2022
   
568,650
   
$
2.02
 
Granted
   
110,000
     
2.03
 
Expired
    (40,300 )     2.32  
Forfeited
   
(10,750
)
   
2.36
 
                 
Outstanding at December 31, 2022
   
627,600
   
$
2.00
 
Granted
   
118,950
     
2.86
 
Expired
   
-
   
0.00
 
Forfeited
   
(32,500
)
   
2.14
 
                 
Outstanding at December 31, 2023
   
714,050
   
$
2.14
 

As of December 31, 2023, there were 580,950 shares of common stock reserved for the granting of additional options.  The 2009 Plan expired at the end of 2019 and no additional options could be granted.

The following table summarizes the stock-based compensation expense for stock options that was recorded in the Company’s results of operations for the years ended December 31:

 
 
2023
   
2022
 
             
Data and product costs
 
$
38,110
   
$
27,765
 
Selling, general and administrative costs
   
64,988
     
52,668
 
                 
   
$
103,098
   
$
80,433
 

The fair value of each option is estimated on the date of grant using the Black-Scholes option-pricing model that uses the weighted average assumptions noted in the following table. Expected volatilities are based on historical volatility of our stock through the date of grant. The Company uses the simplified method to estimate the options’ expected term. The risk-free interest rate used is based on the U.S. Treasury constant maturities at the time of grant having a term that approximates the expected life of the option.

The fair value of options granted during the year ended December 31, 2022 was $139,782. The fair value of options granted during the year ended December 31, 2023 was $236,600. The fair value of options at date of grant was estimated using the Black-Scholes model with the following assumptions:

   
2023
   
2022
 
Risk-free interest rate
   
3.80
%
   
1.91
%
Expected volatility factor
   
74.56
%
   
71.09
%
Expected dividends
   
0.00
     
0.00
 
Expected life of the option (years)
   
7.40
     
6.32
 

The Company issues new shares upon the exercise of options.

The following table summarizes information about the Company’s stock options outstanding at December 31, 2023:

     
Options Outstanding
   
Options Exercisable
 
Range of
Exercise Prices
   
Number
Outstanding
   
Weighted
Average
Remaining
Contractual
Life
(in years)
   
Weighted
Average
Exercise
Price
   
Number
Exercisable
   
Weighted
Average
Exercise
Price
 
                                 
$ 1.00 - $ 2.00
     
308,250
     
5.95
   
$
1.59
     
68,720
    $
1.57
 
$ 2.01 - $ 3.00
     
350,800
     
4.38
   
$
2.45
     
138,940
   
$
2.50
 
$ 3.01 - $ 6.00
     
55,000
     
8.68
   
$
3.16
     
4,000
   
$
4.00
 
                                           
       
714,050
     
5.39
   
$
2.14
     
211,660
   
$
2.23
 

The aggregate intrinsic value represents the total pre-tax intrinsic value, based on options with an exercise price less than the Company’s closing stock price of $2.33 and $2.40 as of December 31, 2023 and 2022, respectively, which would have been received by the option holders had those option holders exercised their options as of that date. The aggregate intrinsic value of options outstanding as of December 31, 2023 and 2022 was $249,396 and $297,725, respectively.

As of December 31, 2023, the total compensation cost related to unvested stock-based awards granted to employees under the Company’s stock option plan but not yet recognized was $516,193. This cost will be amortized over a weighted average term of 5.35 years and will be adjusted for subsequent changes in estimated forfeitures.

A summary of the status of the Company’s non-vested options and changes during the year ended December 31, 2023 is presented below:

   
Number of Shares
   
Weighted
Average Grant
Date Fair Value
 
Non-vested, beginning of year
   
524,955
   
$
1.05
 
Granted
   
118,950
     
1.99
 
Vested
   
(114,215
)
   
1.06
 
Terminated or expired
   
(27,300
)
   
1.14
 
Non-vested, end of year
   
502,390
   
$
1.27
 

Share Repurchase Program

In January of 2022, the Company’s Board of Directors authorized a share repurchase program for the repurchase of up to $1,000,000 of the Company’s outstanding common stock. The Company has not repurchased any shares under this program.
v3.24.1
PROPERTY AND EQUIPMENT
12 Months Ended
Dec. 31, 2023
PROPERTY AND EQUIPMENT [Abstract]  
PROPERTY AND EQUIPMENT
NOTE 7 - PROPERTY AND EQUIPMENT

Property and equipment consisted of the following:

   
2023
   
2022
 
             
Computer equipment and software
 
$
2,748,129
   
$
2,288,532
 
Furniture and fixtures
   
544,021
     
544,021
 
Leasehold improvements
   
284,746
     
284,746
 
     
3,576,896
     
3,117,299
 
Less accumulated depreciation and amortization
   
(3,019,262
)
   
(2,635,495
)
                 
   
$
557,634
   
$
481,804
 
v3.24.1
OPERATING LEASE
12 Months Ended
Dec. 31, 2023
OPERATING LEASE [Abstract]  
OPERATING LEASE
NOTE 8 - OPERATING LEASE

The following table reconciles the undiscounted cash flows for the Company’s operating lease at December 31, 2023 to the operating lease liability recorded on the balance sheet:

2024
 
$
287,356
 
2025
   
295,975
 
2026
   
304,855
 
2027
   
314,000
 
2028
   
323,420
 
Thereafter
   
530,803
 
Total future undiscounted lease payments
   
2,056,409
 
Less: Imputed interest
   
(290,235
)
Present value of lease liability
 
$
1,766,174
 
         
Current portion of operating lease liability
 
$
211,488
 
Non-current portion of operating lease liability
   
1,554,686
 
   
$
1,766,174
 
 
Total rent expense for the years ended December 31, 2023 and 2022 was $289,024 and $289,024, respectively. The weighted average incremental borrowing rate and weighted average remaining term for the operating leases was 4.54% and 6.5 years, respectively.
v3.24.1
NET INCOME PER SHARE
12 Months Ended
Dec. 31, 2023
Net Income per Share [Abstract]  
NET INCOME PER SHARE
NOTE 9 - NET INCOME PER SHARE

Basic net income per share is based on the weighted average number of common shares outstanding. Diluted net income per share is based on the weighted average number of common shares outstanding and the dilutive effect of outstanding stock options:

   
2023
   
2022
 
             
Net income
 
$
1,695,053
   
$
1,360,238
 
                 
Weighted average common shares outstanding – basic
   
10,722,401
     
10,722,401
 
Potential shares exercisable under stock option plans
   
315,862
     
237,000
 
Less: Shares which could be repurchased under treasury stock method
   
(241,141
)
   
(198,511
)
Weighted average common shares outstanding – diluted
   
10,797,122
     
10,760,890
 
                 
Net income per share:
               
Basic
 
$
0.16
   
$
0.13
 
Diluted
 
$
0.16
   
$
0.13
 

For fiscal 2022, the computation of diluted net income per share excludes the effects of 390,600 options, since their inclusion would be anti-dilutive as their exercise prices were above the average market value.

For fiscal 2023, the computation of diluted net income per share excludes the effects of 402,100 options, since their inclusion would be anti-dilutive as their exercise prices were above the average market value.
v3.24.1
RELATED PARTY TRANSACTION
12 Months Ended
Dec. 31, 2023
RELATED PARTY TRANSACTION [Abstract]  
RELATED PARTY TRANSACTION
NOTE 10 - RELATED PARTY TRANSACTION


In May 2023, the Company’s Board of Directors appointed Michael Flum to serve as Chief Executive Officer  and President.  Previously, he served as President and Chief Operating Officer since October 2020. Prior to that he served as Senior Vice President and Chief Operating Officer effective October 2019 and had served as Vice President of Operations & Alternative Data since June 2018. Mr. Flum is the son of Jerome Flum, the Company’s Executive Chairman of the Board of Directors, former Chief Executive Officer, and the brother of Joshua Flum, a Director of the Company.
v3.24.1
COMMITMENTS AND CONTINGENCIES
12 Months Ended
Dec. 31, 2023
COMMITMENTS AND CONTINGENCIES [Abstract]  
COMMITMENTS AND CONTINGENCIES
NOTE 11 - COMMITMENTS AND CONTINGENCIES

From time to time, the Company is involved in various legal proceedings arising in the ordinary course of business. The Company records a liability when it believes that a loss will be incurred and the amount of loss or range of loss can be reasonably estimated.  Based on the currently available information, the Company does not believe that there are claims or legal proceedings that would have a material adverse effect on the business, or the financial statements of the Company.
v3.24.1
SUPPLEMENTAL DISCLOSURES OF NONCASH INVESTING ACTIVITIES
12 Months Ended
Dec. 31, 2023
SUPPLEMENTAL DISCLOSURES OF NONCASH INVESTING ACTIVITIES [Abstract]  
SUPPLEMENTAL DISCLOSURES OF NONCASH INVESTING ACTIVITIES

NOTE 12 - SUPPLEMENTAL DISCLOSURES OF NONCASH INVESTING ACTIVITIES



For the year ended December 31, 2023, there was a noncash transfer of prepaids from operating activities to property and equipment in the amount of $155,700.
v3.24.1
Insider Trading Arrangements
3 Months Ended
Dec. 31, 2023
Insider Trading Arrangements [Line Items]  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.24.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
12 Months Ended
Dec. 31, 2023
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]  
Recently Issued Accounting Standards and Recently Adopted Accounting Principles
Recently Issued Accounting Standards

The Financial Accounting Standards Board (“FASB”) and the Securities and Exchange Commission (“SEC”) have issued certain other accounting pronouncements as of December 31, 2023 that will become effective in subsequent periods; however, management does not believe that any of these pronouncements would have significantly affected the Company’s financial accounting measurements or disclosures had they been in effect during the periods for which financial statements are included in this annual report, nor does management believe those pronouncements would have a significant effect on the Company’s future financial position or results of operations.

Recently adopted accounting principles

In June 2016, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) No. 2016-13, Financial Instruments  - Credit Losses (Topic 326) (“ASU 2016-13”), which requires financial assets to be presented at the net amount to be collected, with an allowance for credit losses to be deducted from the amortized cost basis of the financial asset such that the net carrying value of the asset is presented as the amount expected to be collected. Under ASU 2016-13, the entity’s statement of operations is required to reflect the measurement of credit losses for newly recognized financial assets, as well as expected increases or decreases in expected credit losses that have taken place during the period. For public business entities, ASU 2016-013 is effective for fiscal years beginning after December 15, 2022. The Company adopted ASU No. 2016-13 on January 1, 2023 and the adoption of this update did not have a significant impact on the Company’s consolidated financial statements.

The Company has determined that its trade receivables and held-to-maturity debt securities fall under this guidance. The trade receivables are short term, generally with net 60 day terms. The Company believes that pooling receivables based on the level of their aging and applying historical loss rates, as adjusted for current conditions, is a reasonable basis to determine expected credit losses. This is consistent with how the Company has previously determined its allowance for doubtful accounts. The Company’s held-to-maturity debt securities are comprised of US Treasury securities and federal bonds which are carried at amortized cost with a zero credit loss allowance because the probability of default is virtually zero due to the high credit rating, long history of no credit losses and the widely recognized risk-free nature of these investments.
Use of Estimates
Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates.
Cash and Cash Equivalents
Cash and Cash Equivalents

Cash and cash equivalents are comprised of cash in banks and highly liquid instruments with original maturities of three months or less, primarily consisting of investments in institutional money market funds.
Property and Equipment
Property and Equipment

Property and equipment are recorded at cost. Depreciation is provided on the straight-line method over the estimated useful life of the asset. Estimated useful lives are generally as follows:


Fixtures, equipment and software -- 1 to 10 years

Leasehold improvements -- lower of estimated useful life or term of lease (i.e., 2 to 7 years)
Goodwill
Goodwill

Goodwill and other indefinite-lived intangible assets are subject to annual impairment testing using the specific guidance and criteria described in the accounting guidance FASB Accounting Standards Update (“ASU”) ASU No. 2017-04. The Company performs its goodwill impairment testing at least annually in the fourth quarter of each year. The Company tests for impairment of intangible assets whenever events or changes in circumstances indicate that the carrying value of such assets may not be recoverable. With respect to goodwill, the Company first assesses qualitative factors to determine whether it is more likely than not that the fair value is less than the carrying value. If, based on that assessment, the Company believes it is more likely than not that the fair value is less than the carrying value, a one-step goodwill impairment test is performed. The Company concluded that there was no impairment to goodwill in the 2023 or 2022 fiscal years.
Long-Lived Assets
Long-Lived Assets

The Company reviews its long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable in accordance with accounting guidance. Recoverability of assets held and used is measured by a comparison of the carrying amount of an asset to undiscounted pre-tax future net cash flows expected to be generated by that asset. An impairment loss is recognized for the amount by which the carrying amount of the assets exceeds the fair value of the assets. As of December 31, 2023 and 2022, management believes no impairment of long-lived assets has occurred.
Income Taxes
Income Taxes

The Company provides for deferred income taxes resulting from temporary differences between financial statements and income tax reporting. Temporary differences are differences between the amounts of assets and liabilities reported for financial statement purposes and their tax bases. Deferred tax liabilities are recognized for temporary differences that will be taxable in future years’ tax returns. Deferred tax assets are recognized for temporary differences that will be deductible in future years’ tax returns and for operating loss and tax credit carryforwards. Deferred tax assets are reduced by a valuation allowance if it is deemed more likely than not that some or all of the deferred tax assets will not be realized.
Revenue Recognition
Revenue Recognition

The Company applies FASB Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers (“ASC 606”) to recognize revenue. ASC 606 requires an entity to apply the following five-step approach: (1) identify the contract(s) with a customer; (2) identify each performance obligation in the contract; (3) determine the transaction price; (4) allocate the transaction price to each performance obligation; and (5) recognize revenue when or as each performance obligation is satisfied. The Company’s primary source of revenue is subscription income which is recognized ratably over the subscription term.

The Company has applied the practical expedient to recognize incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that otherwise would have been recognized is one year or less.
Lease Accounting
Lease Accounting

For all leases, at the lease commencement date, a right-of-use asset and a lease liability are recognized. The right-of-use asset represents the right to use the leased asset for the lease term. The lease liability represents the present value of the remaining lease payments under the lease. Lease payments included in the measurement of the lease liability comprise the following: the fixed noncancelable lease payments and payments for optional renewal periods where it is reasonably certain the renewal period will be exercised. Lease expense for operating leases consists of the lease payments plus any initial direct costs, and is recognized on a straight-line basis over the lease term.

The Company’s operating lease right-of-use asset and operating lease liability represent the lease for the office space used to conduct its business.
Net Income Per Share
Net Income Per Share

Net income per share is calculated based on the weighted average number of shares of common stock outstanding during the reporting period. Diluted net income per share is calculated giving effect to all potentially dilutive common shares, assuming such shares were outstanding during the reporting period. The difference between basic and diluted net income per share is solely attributable to stock options. The Company uses the treasury stock method to calculate the impact of outstanding stock options (see Note 9).
Segment Information
Segment Information

An operating segment, in part, is a component of an enterprise whose operating results are regularly reviewed by the chief operating decision maker (the “CODM”) to make decisions about resources to be allocated to the segment and assess its performance. Operating segments may be aggregated only to a limited extent. The Company’s CODM, the Chief Executive Officer, reviews financial information presented on a consolidated basis, accompanied by disaggregated information about revenues for purposes of making operating decisions and assessing financial performance. Accordingly, the Company has determined that it has a single operating and reportable segment. In addition, the Company has no foreign operations or any assets in foreign locations.
Stock-Based Compensation
Stock-Based Compensation

The Company recognizes the grant-date fair value of all stock-based awards on a ratable basis over the award’s vesting period. The Company records deferred tax assets for awards that will result in deductions on its tax returns, based upon the amount of compensation cost recognized and the statutory tax rate in the jurisdiction in which it will receive a deduction.

See Note 6 for more information regarding the Company’s stock compensation plans.
Marketable Securities
Marketable Securities

All marketable securities are classified as held-to-maturity and are carried at amortized cost. Realized gains, losses, amortization of premiums and discounts, interest and dividend income are included in interest and other income.
Fair Value Measurements
Fair Value Measurements

The Company records its financial instruments at fair value in accordance with accounting guidance. The determination of fair value assumes that the transaction to sell an asset or transfer a liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The fair value hierarchy is broken down into three levels based on the source of inputs as follows: (a) Level 1 – valuations based on unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; (b) Level 2 – valuations based on quoted prices in markets that are not active, or financial instruments for which all significant inputs are observable; either directly or indirectly; and (c) Level 3 – valuations based on prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable; thus, reflecting assumptions about the market participants.

The Company, in accordance with ASU 2016-01, classifies its debt securities as “held-to-maturity” and are recorded at a discount. Realized gains on held-to-maturity debt securities are amortized and reported in other income until their maturity date.
Concentrations of Credit Risk
Concentrations of Credit Risk

Financial instruments that potentially subject the Company to concentrations of credit risk principally consist of cash, cash equivalents, available-for-sale securities and accounts receivable. The Company maintains its cash and cash equivalents in bank deposits and other accounts, the balances of which, at times, may exceed federally insured limits. Exposure to credit risk is reduced by placing such deposits in high credit quality financial institutions.

The Company closely monitors the extension of credit to its subscribers. The Company’s accounts receivable balance is net of an allowance for doubtful accounts. The Company does not require collateral or other security to support credit sales but provides an allowance for doubtful accounts of $30,000 as of December 31, 2023 and 2022, based on historical experience and specifically identified risks. Accounts receivable are charged off against the allowance for doubtful accounts when management determines that recovery is unlikely and the Company ceases collection efforts. The Company does not believe that significant credit risk existed at December 31, 2023 nor 2022.
v3.24.1
FAIR VALUE MEASUREMENTS (Tables)
12 Months Ended
Dec. 31, 2023
FAIR VALUE MEASUREMENTS [Abstract]  
Cash and Cash Equivalents and Marketable Securities Measured at Fair Value on Recurring Basis
The tables below set forth the Company’s cash and cash equivalents, as well as marketable securities as of December 31, 2023 and 2022, respectively, which are measured at fair value on a recurring basis by level within the fair value hierarchy.

   
December 31, 2023
 
   
Level 1
   
Level 2
   
Level 3
   
Total
 
                         
Cash and cash equivalents
 
$
11,004,937
   
$
-
   
$
-
   
$
11,004,937
 
Held-to-maturity securities
    4,194,958       -       -       4,194,958  

  $
15,199,895     $
-     $
-     $
15,199,895  

   
December 31, 2022
 
   
Level 1
   
Level 2
   
Level 3
   
Total
 
                         
Cash and cash equivalents
 
$
9,866,628
   
$
-
   
$
-
   
$
9,866,628
 
Held-to-maturity securities     4,028,565       -       -       4,028,565  

  $ 13,895,193     $ -     $ -     $ 13,895,193  
v3.24.1
MARKETABLE SECURITIES (Tables)
12 Months Ended
Dec. 31, 2023
MARKETABLE SECURITIES [Abstract]  
Cost and Fair Value of Marketable Securities

The following table summarizes the cost and fair value of marketable securities at December 31, 2023 is as follows:



   
Amortized Cost
   
Gross Unrealized Gain (Loss)
   
Fair Value
 
                   
Held-to-maturity securities
                 
US Treasuries
 
$
4,194,958
   
$
77,042
   
$
4,272,000
 
Maturities of Marketable Securities

Maturities of marketable securities were as follows at December 31, 2023:



Held-to-maturity securities:
     
Due in one year or less
 
$
3,494,958
 
Due in 12 – 24 months     700,000  
    $ 4,194,958  
v3.24.1
INCOME TAXES (Tables)
12 Months Ended
Dec. 31, 2023
INCOME TAXES [Abstract]  
Income Tax (Benefit) Expense
The Company’s income tax (benefit) expense consisted of the following:

   
2023
   
2022
 
Current:
           
Federal
 
$
478,379
   
$
449,194
 
State
   
15,956
     
18,048
 
Deferred:
               
Federal
   
16,754
     
(70,613
)
State
   
1,284
     
(4,626
)
                 
   
$
512,373
   
$
392,003
 
Income Tax Reconciliation
The actual tax (benefit) expense for 2023 and 2022 differs from the “expected” tax expense for those years (computed by applying the applicable United States federal corporate tax rate to income before income taxes) as follows:

   
2023
   
2022
 
             
Computed “expected” expense
 
$
476,239
   
$
367,452
 
Permanent differences
   
24,056
     
15,685
 
State and local income tax expense
   
17,537
     
13,137
 
True-up of current taxes
   
(123,523
)
   
3,709
 
True-up of deferred taxes
   
117,464
     
(6,158
)
Change in state apportionment
   
600
     
(1,822
)
                 
Income tax expense
 
$
512,373
   
$
392,003
 
Net Deferred Tax Assets (Liabilities)
The tax effects of temporary differences that give rise to significant portions of the net deferred tax assets (liabilities) at December 31, 2023 and 2022 are as follows:

   
2023
   
2022
 
Deferred tax assets:
           
Stock options
 
$
22,830
   
$
21,654
 
Accrued vacation
   
109,955
     
91,161
 
Bad debt allowance
   
6,557
     
6,546
 
Deferred revenue
   
1,007
     
1,222
 
Deferred rent
   
28,224
     
25,982
 
Other
   
929
     
46,228
 
                 
Total deferred tax assets
   
169,502
     
192,793
 
                 
Deferred tax liabilities:
               
Goodwill
   
(427,204
)
   
(426,433
)
Fixed assets
   
(92,903
)
   
(98,926
)
                 
Total deferred tax liabilities
   
(520,107
)
   
(525,359
)
                 
Net deferred tax liabilities
 
$
(350,605
)
 
$
(332,566
)
v3.24.1
COMMON STOCK AND STOCK OPTIONS (Tables)
12 Months Ended
Dec. 31, 2023
COMMON STOCK AND STOCK OPTIONS [Abstract]  
Stock Option Activity
Transactions with respect to the Company’s stock option plans for the years ended December 31, 2023 and 2022 are as follows:

   
Number
of Shares
   
Weighted
Average
Exercise
Price
 
             
Outstanding at January 1, 2022
   
568,650
   
$
2.02
 
Granted
   
110,000
     
2.03
 
Expired
    (40,300 )     2.32  
Forfeited
   
(10,750
)
   
2.36
 
                 
Outstanding at December 31, 2022
   
627,600
   
$
2.00
 
Granted
   
118,950
     
2.86
 
Expired
   
-
   
0.00
 
Forfeited
   
(32,500
)
   
2.14
 
                 
Outstanding at December 31, 2023
   
714,050
   
$
2.14
 
Stock-based Compensation Expense for Stock Options
The following table summarizes the stock-based compensation expense for stock options that was recorded in the Company’s results of operations for the years ended December 31:

 
 
2023
   
2022
 
             
Data and product costs
 
$
38,110
   
$
27,765
 
Selling, general and administrative costs
   
64,988
     
52,668
 
                 
   
$
103,098
   
$
80,433
 
Fair Value Assumptions used in the Valuation of Stock Options The fair value of options at date of grant was estimated using the Black-Scholes model with the following assumptions:

   
2023
   
2022
 
Risk-free interest rate
   
3.80
%
   
1.91
%
Expected volatility factor
   
74.56
%
   
71.09
%
Expected dividends
   
0.00
     
0.00
 
Expected life of the option (years)
   
7.40
     
6.32
 
Stock Options Outstanding by Price Range
The following table summarizes information about the Company’s stock options outstanding at December 31, 2023:

     
Options Outstanding
   
Options Exercisable
 
Range of
Exercise Prices
   
Number
Outstanding
   
Weighted
Average
Remaining
Contractual
Life
(in years)
   
Weighted
Average
Exercise
Price
   
Number
Exercisable
   
Weighted
Average
Exercise
Price
 
                                 
$ 1.00 - $ 2.00
     
308,250
     
5.95
   
$
1.59
     
68,720
    $
1.57
 
$ 2.01 - $ 3.00
     
350,800
     
4.38
   
$
2.45
     
138,940
   
$
2.50
 
$ 3.01 - $ 6.00
     
55,000
     
8.68
   
$
3.16
     
4,000
   
$
4.00
 
                                           
       
714,050
     
5.39
   
$
2.14
     
211,660
   
$
2.23
 
Non-vested Options
A summary of the status of the Company’s non-vested options and changes during the year ended December 31, 2023 is presented below:

   
Number of Shares
   
Weighted
Average Grant
Date Fair Value
 
Non-vested, beginning of year
   
524,955
   
$
1.05
 
Granted
   
118,950
     
1.99
 
Vested
   
(114,215
)
   
1.06
 
Terminated or expired
   
(27,300
)
   
1.14
 
Non-vested, end of year
   
502,390
   
$
1.27
 
v3.24.1
PROPERTY AND EQUIPMENT (Tables)
12 Months Ended
Dec. 31, 2023
PROPERTY AND EQUIPMENT [Abstract]  
Property and Equipment
Property and equipment consisted of the following:

   
2023
   
2022
 
             
Computer equipment and software
 
$
2,748,129
   
$
2,288,532
 
Furniture and fixtures
   
544,021
     
544,021
 
Leasehold improvements
   
284,746
     
284,746
 
     
3,576,896
     
3,117,299
 
Less accumulated depreciation and amortization
   
(3,019,262
)
   
(2,635,495
)
                 
   
$
557,634
   
$
481,804
 
v3.24.1
OPERATING LEASE (Tables)
12 Months Ended
Dec. 31, 2023
OPERATING LEASE [Abstract]  
Undiscounted Cash Flows for Operating Lease
The following table reconciles the undiscounted cash flows for the Company’s operating lease at December 31, 2023 to the operating lease liability recorded on the balance sheet:

2024
 
$
287,356
 
2025
   
295,975
 
2026
   
304,855
 
2027
   
314,000
 
2028
   
323,420
 
Thereafter
   
530,803
 
Total future undiscounted lease payments
   
2,056,409
 
Less: Imputed interest
   
(290,235
)
Present value of lease liability
 
$
1,766,174
 
         
Current portion of operating lease liability
 
$
211,488
 
Non-current portion of operating lease liability
   
1,554,686
 
   
$
1,766,174
 
v3.24.1
NET INCOME PER SHARE (Tables)
12 Months Ended
Dec. 31, 2023
Net Income per Share [Abstract]  
Computation of Basic and Diluted Net Income per Share
Basic net income per share is based on the weighted average number of common shares outstanding. Diluted net income per share is based on the weighted average number of common shares outstanding and the dilutive effect of outstanding stock options:

   
2023
   
2022
 
             
Net income
 
$
1,695,053
   
$
1,360,238
 
                 
Weighted average common shares outstanding – basic
   
10,722,401
     
10,722,401
 
Potential shares exercisable under stock option plans
   
315,862
     
237,000
 
Less: Shares which could be repurchased under treasury stock method
   
(241,141
)
   
(198,511
)
Weighted average common shares outstanding – diluted
   
10,797,122
     
10,760,890
 
                 
Net income per share:
               
Basic
 
$
0.16
   
$
0.13
 
Diluted
 
$
0.16
   
$
0.13
 
v3.24.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Property and Equipment (Details)
Dec. 31, 2023
Fixtures, Equipment and Software [Member] | Minimum [Member]  
Property, Plant and Equipment [Abstract]  
Useful life of asset 1 year
Fixtures, Equipment and Software [Member] | Maximum [Member]  
Property, Plant and Equipment [Abstract]  
Useful life of asset 10 years
Leasehold Improvements [Member] | Minimum [Member]  
Property, Plant and Equipment [Abstract]  
Useful life of asset 2 years
Leasehold Improvements [Member] | Maximum [Member]  
Property, Plant and Equipment [Abstract]  
Useful life of asset 7 years
v3.24.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Goodwill (Details) - USD ($)
12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Goodwill [Abstract]    
Impairment of goodwill $ 0 $ 0