WidePoint (WYY) 10-Q 14 Aug 19 2019 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2019	Aug. 14, 2019
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2
Entity Registrant Name	WIDEPOINT CORP
Entity Central Index Key	0001034760
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	true
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		84,775,186

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Income Statement [Abstract]
REVENUES	$ 22,093,153	$ 17,544,338	$ 44,010,055	$ 37,623,957
COST OF REVENUES (including amortization and depreciation of $232,968, $258,201, $465,159, and $554,165, respectively)	18,036,409	13,997,185	35,699,468	30,524,797
GROSS PROFIT	4,056,744	3,547,153	8,310,587	7,099,160
OPERATING EXPENSES
Sales and marketing	415,462	444,945	808,873	979,582
General and administrative expenses (including share-based compensation of $284,111, $195,934, $373,377 and $320,338, respectively)	3,563,405	3,427,301	6,698,114	6,780,642
Depreciation and amortization	244,064	110,463	484,612	207,849
Total operating expenses	4,222,931	3,982,709	7,991,599	7,968,073
(LOSS) INCOME FROM OPERATIONS	(166,187)	(435,556)	318,988	(868,913)
OTHER (EXPENSE) INCOME
Interest income	259	2,077	4,721	5,403
Interest expense	(75,372)	(23,937)	(152,917)	(49,887)
Other income	(9)	3	0	1
Total other expense	(75,122)	(21,857)	(148,196)	(44,483)
(LOSS) INCOME BEFORE INCOME TAX PROVISION	(241,309)	(457,413)	170,792	(913,396)
INCOME TAX PROVISION	66,452	14,758	94,452	20,948
NET (LOSS) INCOME	$ (307,761)	$ (472,171)	$ 76,340	$ (934,344)
BASIC EARNINGS (LOSS) PER SHARE	$ 0	$ (0.01)	$ 0	$ (0.01)
BASIC WEIGHTED-AVERAGE SHARES OUTSTANDING	83,990,722	83,081,597	83,902,077	83,061,707
DILUTED EARNINGS (LOSS) PER SHARE	$ 0	$ (0.01)	$ 0	$ (0.01)
DILUTED WEIGHTED-AVERAGE SHARES OUTSTANDING	83,990,722	83,081,597	83,965,994	83,061,707

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Income Statement [Abstract]
Amortization and depreciation	$ 232,968	$ 258,201	$ 465,159	$ 554,165
Share-based compensation expense	$ 284,111	$ 195,934	$ 373,377	$ 320,338

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Statement of Comprehensive Income [Abstract]
NET (LOSS) INCOME	$ (307,761)	$ (472,171)	$ 76,340	$ (934,344)
Other comprehensive (loss) income:
Foreign currency translation adjustments, net of tax	13,995	(38,335)	(15,287)	(35,397)
Other comprehensive (loss) income	13,995	(38,335)	(15,287)	(35,397)
COMPREHENSIVE (LOSS) INCOME	$ (293,766)	$ (510,506)	$ 61,053	$ (969,741)

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Jun. 30, 2019	Dec. 31, 2018
CURRENT ASSETS
Cash and cash equivalents	$ 5,422,065	$ 2,431,892
Accounts receivable, net of allowance for doubtful accounts of $117,120 and $106,733 in 2019 and 2018, respectively	7,868,097	11,089,315
Unbilled accounts receivable	11,259,905	9,566,170
Other current assets	1,254,269	1,086,686
Total current assets	25,804,336	24,174,063
NONCURRENT ASSETS
Property and equipment, net	658,074	1,012,684
Operating lease right of use asset, net	5,827,822	0
Intangibles, net	2,826,141	3,103,753
Goodwill	18,555,578	18,555,578
Other long-term assets	142,952	209,099
Total assets	53,814,903	47,055,177
CURRENT LIABILITIES
Accounts payable	6,575,453	7,363,621
Accrued expenses	12,369,314	10,716,438
Deferred revenue	2,065,446	2,072,344
Current portion of operating lease liabilities	420,932	107,325
Current portion of other term obligations	36,049	192,263
Total current liabilities	21,467,194	20,451,991
NONCURRENT LIABILITIES
Operating lease liabilities, net of current portion	5,534,028	122,040
Other term obligations, net of current portion	0	73,952
Deferred revenue	381,261	466,714
Deferred tax liability	1,581,020	1,523,510
Total liabilities	28,963,503	22,638,207
STOCKHOLDERS' EQUITY
Preferred stock, $0.001 par value; 10,000,000 shares authorized; 2,045,714 shares issued and none outstanding	0	0
Common stock, $0.001 par value; 110,000,000 shares authorized; 84,775,186 and 84,112,446 shares issued and oustanding, respectively	84,776	84,113
Additional paid-in capital	95,299,274	94,926,560
Accumulated other comprehensive loss	(201,772)	(186,485)
Accumulated deficit	(70,330,878)	(70,407,218)
Total stockholders' equity	24,851,400	24,416,970
Total liabilities and stockholders' equity	$ 53,814,903	$ 47,055,177

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Allowance for doubtful accounts receivable	$ 117,120	$ 106,733
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	2,045,714	2,045,714
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	110,000,000	110,000,000
Common stock, shares issued	84,775,186	84,112,446
Common stock, shares outstanding	84,775,186	84,112,446

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
CASH FLOWS FROM OPERATING ACTIVITIES
Net income (loss)	$ 76,340	$ (934,344)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Deferred income tax expense	58,444	0
Depreciation expense	552,140	275,375
Provision for doubtful accounts	11,190	(5,766)
Amortization of intangibles	397,631	486,639
Amortization of deferred financing costs	2,500	14,804
Share-based compensation expense	373,377	320,338
Changes in assets and liabilities:
Accounts receivable and unbilled receivables	1,457,869	1,689,709
Inventories	(276,256)	(11,254)
Prepaid expenses and other current assets	77,759	(88,328)
Other assets	60,411	(109,990)
Accounts payable and accrued expenses	810,590	(1,637,123)
Income tax payable	(2,442)	2,523
Deferred revenue and other liabilities	(89,365)	347,456
Net cash used in operating activities	3,510,188	350,039
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property and equipment	(140,052)	(93,983)
Software development costs	(125,725)	(151,559)
Net cash used in investing activities	(265,777)	(245,542)
CASH FLOWS FROM FINANCING ACTIVITIES
Advances on bank line of credit	6,258,000	11,598,706
Repayments of bank line of credit advances	(6,258,000)	(11,443,612)
Principal repayments under capital lease obligations	(238,675)	(50,944)
Debt issuance costs	(5,000)	0
Contingent consideration payment	0	(100,000)
Proceeds from exercise of stock options	0	22,000
Net cash (used in) provided by financing activities	(243,675)	26,150
Net effect of exchange rate on cash and equivalents	(10,563)	(39,274)
NET INCREASE IN CASH	2,990,173	91,373
CASH AND CASH EQUIVALENTS, beginning of period	2,431,892	5,272,457
CASH AND CASH EQUIVALENTS, end of period	5,422,065	5,363,830
SUPPLEMENTAL CASH FLOW INFORMATION
Cash paid for interest	127,583	34,909
Cash paid for income taxes	$ 8,904	$ 14,613

CONDENSED CONSOLIDATED STATEM_5

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Accumulated Deficit [Member]	Total
Balance (in shares) at Dec. 31, 2017	83,031,595
Balance at Dec. 31, 2017	$ 83,032	$ 94,200,237	$ (122,461)	$ (68,950,742)	$ 25,210,066
Issuance of common stock options exercises (in shares)	50,000
Issuance of common stock options exercises	$ 50	21,950			22,000
Issuance of common stock restricted (in shares)	980,851
Issuance of common stock restricted	$ 981	(981)			0
Stock compensation expense restricted		49,884			49,884
Stock compensation expense non-qualified stock options		74,520			74,520
Foreign currency translation - (loss)			2,938		2,938
Net income (loss)				(462,173)	(462,173)
Balance (in shares) at Mar. 31, 2018	84,062,446
Balance at Mar. 31, 2018	$ 84,063	94,345,610	(119,523)	(69,412,915)	24,897,235
Balance (in shares) at Dec. 31, 2017	83,031,595
Balance at Dec. 31, 2017	$ 83,032	94,200,237	(122,461)	(68,950,742)	25,210,066
Foreign currency translation - (loss)					(35,397)
Net income (loss)					(934,344)
Balance (in shares) at Jun. 30, 2018	84,062,446
Balance at Jun. 30, 2018	$ 84,063	94,541,544	(157,858)	(69,885,086)	24,582,663
Balance (in shares) at Mar. 31, 2018	84,062,446
Balance at Mar. 31, 2018	$ 84,063	94,345,610	(119,523)	(69,412,915)	24,897,235
Stock compensation expense restricted		118,034			118,034
Stock compensation expense non-qualified stock options		77,900			77,900
Foreign currency translation - (loss)			(38,335)		(38,335)
Net income (loss)				(472,171)	(472,171)
Balance (in shares) at Jun. 30, 2018	84,062,446
Balance at Jun. 30, 2018	$ 84,063	94,541,544	(157,858)	(69,885,086)	24,582,663
Balance (in shares) at Dec. 31, 2018	84,112,446
Balance at Dec. 31, 2018	$ 84,113	94,926,560	(186,485)	(70,407,218)	24,416,970
Stock compensation expense restricted		16,737			16,737
Stock compensation expense non-qualified stock options		72,529			72,529
Foreign currency translation - (loss)			(29,282)		(29,282)
Net income (loss)				384,101	384,101
Balance (in shares) at Mar. 31, 2019	84,112,446
Balance at Mar. 31, 2019	$ 84,113	95,015,826	(215,767)	(70,023,117)	24,861,055
Balance (in shares) at Dec. 31, 2018	84,112,446
Balance at Dec. 31, 2018	$ 84,113	94,926,560	(186,485)	(70,407,218)	24,416,970
Foreign currency translation - (loss)					(15,287)
Net income (loss)					76,340
Balance (in shares) at Jun. 30, 2019	84,775,186
Balance at Jun. 30, 2019	$ 84,776	95,299,274	(201,772)	(70,330,878)	24,851,400
Balance (in shares) at Mar. 31, 2019	84,112,446
Balance at Mar. 31, 2019	$ 84,113	95,015,826	(215,767)	(70,023,117)	24,861,055
Issuance of common stock restricted (in shares)	662,740
Issuance of common stock restricted	$ 663	(663)			0
Stock compensation expense restricted		180,863			180,863
Stock compensation expense non-qualified stock options		103,248			103,248
Foreign currency translation - (loss)			13,995		13,995
Net income (loss)				(307,761)	(307,761)
Balance (in shares) at Jun. 30, 2019	84,775,186
Balance at Jun. 30, 2019	$ 84,776	$ 95,299,274	$ (201,772)	$ (70,330,878)	$ 24,851,400

Organization and Nature of Oper

Organization and Nature of Operations	6 Months Ended
	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Nature of Operations	Organization WidePoint Corporation (“WidePoint” or the “Company”) was incorporated in Delaware on May 30, 1997 and conducts operations through its wholly-owned operating subsidiaries throughout the continental United States, Ireland, the Netherlands and the United Kingdom. The Company’s principal executive and administrative headquarters is located in Fairax, Virginia. Nature of Operations The Company is a leading provider of trusted mobility management (TM2). The Company’s TM2 platform and service solutions enable its customers to efficiently secure, manage and analyze the entire lifecycle of their mobile communications assets through its federally compliant platform Intelligent Telecommunications Management System (ITMS™). The Company’s ITMS™ platform is SSAE 18 compliant and was granted an Authority to Operate by the U.S. Department of Homeland Security. Additionally, the Company was granted an Authority to Operate by the General Services Administration with regard to its identity credentialing component of its TM2 platform. The Company’s TM2 platform is internally hosted and accessible on-demand through a secure customer portal that is specially configured for each customer. The Company can deliver these solutions in a number of configurations ranging from utilizing the platform as a service to a full-service solution that includes full lifecycle support for all end users and the organization. The Company derives a significant amount of its revenues from contracts funded by federal government agencies for which WidePoint’s subsidiaries act in the capacity as the prime contractor, or as a subcontractor. The Company believes that contracts with federal government agencies will be the primary source of revenues for the foreseeable future. External factors outside of the Company’s control such as delays and/or a change in government administrations, budgets and other political matters that may impact the timing and commencement of such work and could result in variations in operating results and directly affect the Company’s financial performance. Successful contract performance and variation in the volume of activity as well as in the number of contracts commenced or completed during any quarter may cause significant variations in operating results from quarter to quarter. A significant portion of the Company’s expenses, such as personnel and facilities costs, are fixed in the short term and may be not be easily modified to manage through changes in the Company’s market place that may create pressure on pricing and/or costs to deliver its services. The Company has periodic capital expense requirements to maintain and upgrade its internal technology infrastructure tied to its hosted solutions and other such costs may be significant when incurred in any given quarter.

Basis of Presentation and Accou

Basis of Presentation and Accounting Policies	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Basis of Presentation and Accounting Policies	Basis of Presentation The unaudited condensed consolidated financial statements as of June 30, 2019 and for each of the three and six month periods ended June 30, 2019 and 2018, respectively, included herein have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Pursuant to such regulations, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) have been condensed or omitted. It is the opinion of management that all adjustments (which include normal recurring adjustments) necessary for a fair statement of financial results are reflected in the financial statements for the interim periods presented. The condensed consolidated balance sheet as of December 31, 2018 was derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018. The results of operations for the three and six month period ended June 30, 2019 are not indicative of the operating results for the full year. Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of the Company, its wholly owned subsidiaries and acquired entities since their respective dates of acquisition. All significant inter-company amounts were eliminated in consolidation. Foreign Currency Assets and liabilities denominated in foreign currencies are translated into U.S. dollars based upon exchange rates prevailing at the end of each reporting period. The resulting translation adjustments, along with any related tax effects, are included in accumulated other comprehensive (loss) income, a component of stockholders’ equity. Translation adjustments are reclassified to earnings upon the sale or substantial liquidation of investments in foreign operations. Revenues and expenses are translated at the average month-end exchange rates during the year. Gains and losses related to transactions in a currency other than the functional currency, including operations outside the U.S. where the functional currency is the U.S. dollar, are reported net in the Company’s condensed consolidated statements of operations, depending on the nature of the activity. Use of Estimates The preparation of condensed consolidated financial statements in conformity with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The more significant areas requiring use of estimates and judgment relate to revenue recognition, accounts receivable valuation reserves, ability to realize intangible assets and goodwill, ability to realize deferred income tax assets, fair value of certain financial instruments and the evaluation of contingencies and litigation. Management bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. Actual results could differ from those estimates. There were no significant changes in accounting estimates used by management during the quarter. Segment Reporting Our TM2 solution offerings comprise an overall single business from which the Company earns revenues and incurs costs. The Company’s TM2 solution offerings are centrally managed and reported on that basis to its Chief Operating Decision Maker who evaluates its business as a single segment. See Note 14 for detailed information regarding the composition of revenues. Significant Accounting Policies There were no significant changes in the Company’s significant accounting policies during the first six months of 2019 from those disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 filed with the SEC on March 22, 2019, except as further described below: Recently Adopted Accounting Standards In February 2016, the FASB issued new accounting guidance on leases (ASC Topic 842). Effective January 1, 2019, the Company adopted an accounting standards update with new guidance intended to increase transparency and comparability among organizations relating to leases. The new guidance requires lessees to recognize a liability to make lease payments and a right-of-use asset representing the right to use the underlying asset for the lease term. The standards update retained a dual model for lease classification, requiring leases to be classified as finance or operating leases to determine recognition in the statements of operations and cash flows; however, substantially all leases are now required to be recognized on the balance sheet. The standards update also requires quantitative and qualitative disclosures regarding key information about leasing arrangements. The Company elected the modified retrospective transition method and applied the new guidance at the date of adoption, without adjusting the comparative periods presented. The Company also elected the practical expedients permitted under the transition guidance that retain the lease classification and initial direct costs for any leases that existed prior to adoption of the standard. In addition, the Company did not reassess whether any contracts entered into prior to adoption are leases. Upon adoption of the standard, the Company recorded approximately $6.1 million of right of use assets and finance lease-related liabilities, respectively. The adoption of this standards update had a material impact on the Company’s Consolidated Balance Sheets and related disclosures. The adoption of this standards update did not have a material impact on the Company’s results of operations or cash flows. The cumulative effect of the changes made to our January 1, 2019 balance sheet for the adoption of the standards update was as follows: As Previously As Reported under Reported Topic 842 DECEMBER 31, Adoption JANUARY 1, 2018 Adjustment 2019 Operating lease right of use asset, net $ - $ 6,061,566 $ 6,061,566 Property and equipment, net 1,012,684 (170,000 ) 842,684 Other current assets 1,086,686 (38,015 ) 1,048,671 Current portion of operating lease liabilities 122,040 268,711 390,751 Current portion of other term obligations 192,263 (40,859 ) 151,404 Operating lease liabilities, net of current portion 122,040 5,699,651 5,821,691 Other term obligations, net of current portion 73,952 (73,952 ) - In June 2018, the FASB issued ASU 2018-07, Compensation - Stock Compensation (Topic 718); Improvements to Nonemployee Share-Based Payment Accounting. Effective January 1, 2019, the Company adopted ASU 2018-07. The new guidance simplifies the accounting for share-based payments made to nonemployees. Under this ASU, share-based awards to nonemployees will be measured at fair value on the grant date of the awards. Entities will need to assess the probability of satisfying performance conditions if any are present, and awards will continue to be classified according to ASC 718 upon vesting, which eliminates the need to reassess classification upon vesting, consistent with awards granted to employees. The Company has not historically issued a material amount of share-based payments to non-employees. There was no material effect on the Company’s consolidated financial statements upon adoption. Accounting Standards under Evaluation In January 2017, ASU No. 2017-04, “Simplifying the Test for Goodwill Impairment” was issued. Under the amendments in this ASU, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit's fair value; however, the loss should not exceed the total amount of goodwill allocated to that reporting unit. The ASU also eliminated the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment and, if it fails that qualitative test, to perform Step 2 of the goodwill impairment test. An entity should apply this ASU on a prospective basis and for its annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. The Company is continuing to evaluate the effect this guidance will have on the consolidated financial statements and related disclosures.

Accounts Receivable and Signifi

Accounts Receivable and Significant Concentrations	6 Months Ended
	Jun. 30, 2019
Receivables [Abstract]
Accounts Receivable And Significant Concentration	A significant portion of the Company’s receivables are billed under firm fixed price contracts with agencies of the U.S. federal government and similar pricing structures with several corporations. Accounts receivable consist of the following by customer type in the table below as of the periods presented: JUNE 30, DECEMBER 31, 2019 2018 (Unaudited) Government (1) $ 5,370,956 $ 7,332,338 Commercial (2) 2,614,261 3,863,710 Gross accounts receivable 7,985,217 11,196,048 Less: allowances for doubtful accounts (3) 117,120 106,733 Accounts receivable, net $ 7,868,097 $ 11,089,315 (1) Government contracts are generally firm fixed price not to exceed arrangements with a term of five (5) years, which consists of a base year and four (4) annual option year renewals. Government receivables are billed under a single consolidated monthly invoice and are billed approximately thirty (30) to sixty (60) days in arrears from the date of service and payment is generally due within thirty (30) days of the invoice date. Government accounts receivable payments could be delayed due to administrative processing delays by the government agency, continuing budget resolutions that may delay availability of contract funding, and/or administrative only invoice correction requests by contracting officers that may delay payment processing by our government customer. (2) Commercial contracts are generally fixed price arrangements with contract terms ranging from two (2) to three (3) years. Commercial accounts receivables are billed based on the underlying contract terms and conditions which generally have repayment terms that range from thirty (30) to ninety (90) days. Commercial receivables are stated at amounts due from customers net of an allowance for doubtful accounts if deemed necessary. (3) For the six months ended June 30, 2019, the Company did not recognize any material provisions for bad debt, write-offs or recoveries of existing provisions for bad debt. The Company has not historically maintained a bad debt reserve for its government customers as it has not experienced material or recurring bad debt charges and the nature and size of the contracts has not necessitated the Company’s establishment of such a bad debt reserve. Significant Concentrations The following table presents customers that represent ten (10) percent or more of consolidated trade accounts receivable as of the periods presented below: JUNE 30, DECEMBER 31, 2019 2018 As a % of As a % of Customer Name Receivables Receivables (Unaudited) U.S. Customs Border Patrol -- 14 % U.S. Department of Homeland Security HQ 14 % -- U.S. Coast Guard -- 13 % Iron Bow Technologies -- 15 % U.S. Transportation Safety Administration 13 % -- The following table presents customers that represent ten (10) percent or more of consolidated revenues in the current and/or comparative periods: JUNE 30, DECEMBER 31, 2019 2018 As a % of As a % of Customer Name Receivables Receivables (Unaudited) U.S. Customs Border Patrol -- 14 % U.S. Department of Homeland Security HQ 14 % -- U.S. Coast Guard -- 13 % Iron Bow Technologies -- 15 % U.S. Transportation Safety Administration 13 % --

Unbilled Accounts Receivable

Unbilled Accounts Receivable	6 Months Ended
	Jun. 30, 2019
Receivables [Abstract]
Unbilled Accounts Receivables	Unbilled accounts receivable represent revenues earned but not invoiced to the customer at the balance sheet date due to either timing of invoice processing or delays due to fixed contractual billing schedules. A significant portion of our unbilled accounts receivable consist of carrier services and hardware and software products delivered but not invoiced at the end of the reporting period. The following table presents customers that represent ten (10) percent or more of consolidated unbilled accounts receivable as of the periods presented below: JUNE 30, DECEMBER 31, 2019 2018 As a % of As a % of Customer Name Receivables Receivables (Unaudited) U.S. Department of Homeland Security Headquarters -- 11 % U.S. Immigration and Customs Enforcement 30 % 37 % U.S. Federal Air Marshall Service 14 % -- U.S. Coast Guard 12 % 11 % U.S. Transportation Safety Administration -- 10 %

Other Current Assets and Accrue

Other Current Assets and Accrued Expenses	6 Months Ended
	Jun. 30, 2019
Other Assets [Abstract]
Other Current Assets and Accrued Expenses	Other current assets consisted of the following as of the periods presented below: JUNE 30, DECEMBER 31, 2019 2018 (Unaudited) Inventories $ 460,140 $ 183,900 Prepaid rent, insurance and other assets 794,129 902,786 Total other current assets $ 1,254,269 $ 1,086,686 Accrued expenses consisted of the following as of the periods presented below: JUNE 30, DECEMBER 31, 2019 2018 (Unaudited) Carrier service costs $ 9,472,300 $ 8,476,110 Salaries and payroll taxes 1,236,248 1,308,726 Inventory purchases, consultants and other costs 1,638,714 913,038 Severance costs 7,612 1,634 U.S. income tax payable 5,900 8,550 Foreign income tax payable 8,540 8,380 Total accrued expenses $ 12,369,314 $ 10,716,438

Property and Equipment

Property and Equipment	6 Months Ended
	Jun. 30, 2019
Property, Plant and Equipment [Abstract]
Property and Equipment	Major classes of property and equipment consisted of the following as of the periods presented below: JUNE 30, DECEMBER 31, 2019 2018 (Unaudited) Computer hardware and software $ 1,948,387 $ 2,110,298 Furniture and fixtures 339,683 333,539 Leasehold improvements 267,003 268,561 Automobiles 82,304 178,597 Gross property and equipment 2,637,377 2,890,995 Less: accumulated depreciation and amortization 1,979,303 1,878,311 Property and equipment, net $ 658,074 $ 1,012,684 During the three and six month periods ended June 30, 2019, property and equipment depreciation expense was approximately $140,000 and $275,000, respectively, as compared to $100,020 and $275,375, respectively, for the three and six month periods ended June 30, 2018. During the six month period ended June 30, 2019 there were no material disposals of owned property and equipment. During the six month period ended June 30, 2018 there were disposals of fully depreciated owned property and equipment with related cost and accumulated depreciation of approximately $129,000. There were no changes in the estimated useful lives used to depreciate property and equipment during the three and six month periods ended June 30, 2019 and 2018.

Leases

Leases	6 Months Ended
	Jun. 30, 2019
Leases [Abstract]
Leases	The Company entered into operating leases for corporate and operational facilities (“real estate leases”), computer hardware for datacenters and automobiles (“all other leases”). Real estate leases. All other leases. The components of lease expense were as follows: THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, 2019 2019 (Unaudited) Operating lease expense $ 60,641 $ 119,641 Finance lease expense: Amortization of right of use assets $ 138,234 $ 277,269 Interest on finance lease liabilities 69,603 139,338 Total finance lease expense $ 207,837 $ 416,607 Operating lease expense is included in general and administrative expenses in the condensed consolidated statement of operations. Amortization of right of use assets is include in depreciation and amortization in the condensed consolidated statement of operations. Supplemental cash flow information related to leases was as follows: SIX MONTHS ENDED JUNE 30, 2019 (Unaudited) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 119,641 Operating cash flows from finance leases 139,338 Financing cash flows from finance leases 238,675 Supplemental balance sheet information related to leases was as follows: JUNE 30, 2019 (Unaudited) Operating lease right of use assets, net $ 5,827,822 Current portion of operating lease liabilities 420,932 Operating lease liabilities, net of current portion 5,534,028 Weighted average remaining lease term Operating leases 12.1 Finance leases 1.6 Weighted average discount rate Operating leases 5 % Finance leases 5 % Maturities of lease liabilities as of June 30, 2019, were as follows: Operating Leases Finance Leases 2019 $ 660,669 $ 121,332 2020 678,849 66,456 2021 697,578 - 2022 715,729 - 2023 735,573 - Thereafter 4,325,486 - Total undiscounted operating lease payments 7,813,884 187,788 Less: Imputed interest 2,035,299 11,413 Total finance lease liability $ 5,778,585 $ 176,375 During the six month period ended June 30, 2019, there were no new material operating leases or modifications to existing operating leases.

Goodwill and Intangible Assets

Goodwill and Intangible Assets	6 Months Ended
	Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	The Company has recorded goodwill of $18,555,578 as of June 30, 2019. There were no changes in the carrying amount of goodwill during the six month period ended June 30, 2019. There were no indicators of impairment during the month period ended June 30, 2019. The Company has recorded net intangible assets of $2,826,141, consisting of purchased intangibles and internally developed software used to deliver managed service solutions offered by the Company. For the three and six month periods ended June 30, 2019, the Company capitalized internally developed software costs of approximately $67,225 and $125,725, respectively, related to costs associated with our next generation TDI Optimiser™ application. There were no disposals of intangible assets during the three and six month periods ended June 30, 2019. There were no disposals of intangible assets during the three month period ended June 30, 2018. For the six month period ended June 30, 2018, there were disposals of fully amortized intangible assets of approximately $1,930,000. The aggregate amortization expense recorded for the three month periods ended June 30, 2019 and 2018 were approximately $198,800 and $186,800, respectively. The aggregate amortization expense recorded for the six month periods ended June 30, 2019 and 2018 were approximately $397,600 and $486,600, respectively. The total weighted remaining average life of all purchased intangible assets and internally developed software costs was approximately 5.0 years and 1.0 years, respectively, at June 30, 2019.

Line of Credit

Line of Credit	6 Months Ended
	Jun. 30, 2019
Line of Credit Facility [Abstract]
Line of Credit	On June 15, 2017, the Company entered into a Loan and Security Agreement with Atlantic Union Bank (formerly known as Access National Bank) (the “Loan Agreement”). The Loan Agreement provides for a $5.0 million working capital revolving line of credit. Effective April 30, 2018, the Company entered into a second modification agreement with Atlantic Union Bank that extended the maturity date of the facility through April 30, 2019, increased the interest rate to the Wall Street Journal prime rate plus 1.0%, and added an additional financial covenant requiring the Company to maintain consolidated minimum adjusted earnings before interest, taxes, depreciation and amortization, plus share-based compensation, plus non-cash charges (EBITDA) (as defined in the second modification) of at least two times interest expense (excluding interest reported under recently adopted lease accounting standards) to be measured as of the last day of each quarterly period. Effective, April 30, 2019, the Company entered into a fourth modification agreement (“Modification Agreement”) with Atlantic Union Bank to amend the existing Loan Agreement. The Modification Agreement extended the maturity date of the facility through April 30, 2020 and changed the variable interest rate to the Wall Street Journal prime rate plus 0.50%. The Loan Agreement requires that the Company meet the following financial covenants on a quarterly basis: (i) maintain a minimum adjusted tangible net worth of at least $2.0 million, (ii) maintain minimum consolidated adjusted EBITDA of at least two times interest expense and (iii) maintain a current ratio of 1.10:1 (excluding finance lease liabilities reported under recently adopted lease accounting standards). The available amount under the working capital line of credit is subject to a borrowing base, which is equal to the lesser of (i) $5.0 million or (ii) 70% of the net unpaid balance of the Company’s eligible accounts receivable. The facility is secured by a first lien security interest on all of the Company’s personal property, including its accounts receivable, general intangibles, inventory and equipment maintained in the United States. As of June 30, 2019, the Company was eligible to borrow up to $4.2 million under the borrowing base formula.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2019
Income Tax Disclosure [Abstract]
Income Taxes	The Company files U.S. federal income tax returns with the Internal Revenue Service (“IRS”) as well as income tax returns in various states and certain foreign countries. The Company may be subject to examination by the IRS or various state taxing jurisdictions for tax years 2003 and forward. The Company may be subject to examination by various foreign countries for tax years 2014 forward. As of June 30, 2019, the Company was not under examination by the IRS, any state or foreign tax jurisdiction. The Company did not have any unrecognized tax benefits at either June 30, 2019 or December 31, 2018. In the future if applicable, any interest and penalties related to uncertain tax positions will be recognized in income tax expense. As of June 30, 2019, the Company had approximately $38.5 million in net operating loss (NOL) carry forwards available to offset future taxable income for federal income tax purposes, net of the potential Section 382 limitations. These federal NOL carry forwards expire between 2020 and 2037. Included in the recorded deferred tax asset, the Company had a benefit of approximately $39.8 million available to offset future taxable income for state income tax purposes. These state NOL carry forwards expire between 2024 and 2036. Because of the change of ownership provisions of the Tax Reform Act of 1986, use of a portion of our domestic NOL may be limited in future periods. Further, a portion of the carryforwards may expire before being applied to reduce future income tax liabilities. Management assesses the available positive and negative evidence to estimate if sufficient future taxable income will be generated to use the existing deferred tax assets. Under existing income tax accounting standards such objective evidence is more heavily weighted in comparison to other subjective evidence such as our projections for future growth, tax planning and other tax strategies. A significant piece of objective negative evidence considered in management’s evaluation of the realizability of its deferred tax assets was the existence of cumulative losses over the latest three-year period. Management forecast future taxable income, but concluded that there may not be enough of a recovery before the end of the fiscal year to overcome the negative objective evidence of three years of cumulative losses. On the basis of this evaluation, management recorded a valuation allowance against all deferred tax assets. If management’s assumptions change and we determine we will be able to realize these deferred tax assets, the tax benefits relating to any reversal of the valuation allowance on deferred tax assets will be accounted for as a reduction of income tax expense.

Stockholders' Equity

Stockholders' Equity	6 Months Ended
	Jun. 30, 2019
STOCKHOLDERS' EQUITY
Stockholders' Equity	Preferred Stock There were no issuances of preferred stock during the six month periods ended June 30, 2019 and 2018 . Common Stock The Company is authorized to issue 110,000,000 shares of common stock, $.001 par value per share. As of June 30, 2019, there were 84,775,186 shares issued and outstanding (including 674,168 restricted shares not vested). The Company issued 238,572 shares of common stock as a result of the vesting portion of restricted stock awards (RSA) during the three month period ended June 30, 2019. There were no shares of common stock issued as a result of the vesting of RSAs during the three month period ended June 30, 2018. See Note 12 for additional information regarding RSA activity. There were no shares of common stock issued as a result of stock option exercises during the three month periods ended June 30, 2019 and 2018. There were no shares of common stock issued as a result of stock option exercises during the six month period ended June 30, 2019. Shares of common stock issued as a result of stock option exercises and realized gross proceeds during the six month period ended June 30, 2018 were 50,000 and $22,000, respectively. See Note 12 for additional information regarding the stock incentive plans.

Stock Award Programs

Stock Award Programs	6 Months Ended
	Jun. 30, 2019
Share-based Payment Arrangement [Abstract]
Stock Award Programs	The Company’s stock incentive plan is administered by the Compensation Committee and authorizes the grant or award of incentive stock options, non-qualified stock options (NQSO), restricted stock awards (RSA), stock appreciation rights, dividend equivalent rights, performance unit awards and phantom shares. The Company issues new shares of common stock upon the exercise of stock options. Any shares associated with options forfeited are added back to the number of shares that underlie stock options to be granted under the stock incentive plan. The Company has issued restricted stock awards and non-qualified stock option awards as described below. Valuation of Stock Awards Restricted Stock. Non-Qualified Stock Options. Restricted Stock Award Activity A summary of RSA activity as of June 30, 2019 and 2018, and changes during the six month periods ended June 30, 2019 and 2018 are set forth below: 2019 2018 NON-VESTED AWARDS (Unaudited) Non-vested awards outstanding, January 1, 300,000 - Granted (+) 662,740 (1) 980,851 (1) Cancelled (-) 50,000 (2) - Vested (-) 238,572 (3) - Non-vested awards outstanding, June 30, 674,168 980,851 Weighted-average remaining contractual life (in years) 6.77 1.1 Unamortized RSA compensation expense $ 274,412 $ 356,082 Aggregate intrinsic value of RSAs non-vested, June 30 $ 283,151 $ 539,468 Aggregate intrinsic value of RSAs vested, June 30 $ - $ - (1) During the six month period ended June 30, 2019, the Company granted 662,740 RSAs, of which i) 238,572 of RSAs were awarded to members of the Company’s board of directors as part of their annual board retainer fee that had a grant date fair value of $100,200 and vested during the period, and ii) 424,168 of RSAs were awarded to key employees tied to the attainment of certain financial goals as outlined by the Company’s Compensation Committee of the Board of Directors that had a grant date fair value of $254,501. During the six month period ended June 30, 2018, the Company granted 980,851 RSAs, of which i) 300,000 of RSAs were awarded as part of additional compensation plan to align key employees with the Company’s long term financial goals, and ii) 680,851 were awarded to members of the Company’s board of directors as part of their annual board retainer fee and vested during the period. (2) There were 50,000 RSAs that were cancelled during the six month period ended June 30, 2019. There were no RSAs cancelled or expired during the six month period ended June 30, 2018, respectively. (3) During the six month period ended June 30, 2019, 238,572 RSAs vested during the period. Non-Qualified Stock Option Award Activity A summary of stock option activity as of June 30, 2019 and 2018, and changes during the six month periods ended June 30, 2019 and 2018 are set forth below: 2019 2018 Weighted Weighted Average Average Grant Date Grant Date NON-VESTED AWARDS Shares Fair Value Shares Fair Value (Unaudited) Non-vested balances, January 1, 2,067,503 $ 0.36 2,685,004 $ 0.35 Granted (+) 25,000 (1) $ 0.15 - (1) $ 0.00 Cancelled (-) 80,001 (2) $ 0.34 - (2) $ 0.00 Vested/Exercised (-) 500,000 $ 0.40 50,000 (3) $ 0.40 Non-vested balances, June 30, 1,512,502 $ 0.34 2,635,004 $ 0.35 2019 2018 Weighted Weighted Average Average OUTSTANDING AND EXERCISABLE AWARDS Shares Exercise Price Shares Exercise Price (Unaudited) Awards outstanding, January 1, 4,013,334 $ 0.58 4,173,334 $ 0.60 Granted (+) 25,000 (1) $ 0.41 - (1) $ 0.00 Cancelled (-) 80,001 (2) $ 0.55 60,000 (2) $ 1.48 Exercised (-) - - 50,000 (3) $ 0.44 Awards outstanding, June 30, 3,958,333 $ 0.58 4,063,334 $ 0.00 Awards vested and expected to vest, June 30, 3,483,356 $ 0.59 3,481,526 $ 0.58 Awards outstanding and exercisable, June 30, 2,445,831 $ 0.59 1,438,330 $ 0.58 (1) During the six month period ended June 30, 2019, there were non-qualified stock option (NQSO) grants of 25,000 granted to a non-employee as compensation for investor relations services. This stock award grant was valued using a Black-Scholes model that assumed a 1-year vesting period, 2-year option term, a risk free rate of 2.5%, volatility of 64.6%, no assumed dividend yield, and a forfeiture rate estimate of 1.2%. During the six month period ended June 30, 2018, there were no grants of non-qualified stock options. (2) During the six month period ended June 30, 2019, there were 80,001 NQSOs that were unvested and cancelled related to voluntary employee terminations. (3) The total intrinsic value of stock options exercised during the six month ended June 30, 2018 was approximately $5,500. The weighted-average remaining contractual life of the non-qualified stock options outstanding, exercisable, and vested and expected to vest as of June 30, 2019 were 2.6 years, 2.3 years and 2.3 years, respectively. The aggregate intrinsic value associated with options outstanding, vested and expected to vest as of June 30, 2019 was approximately $250 and $247, respectively. Aggregate intrinsic value represents total pretax intrinsic value (the difference between WidePoint’s closing stock price on June 30, 2019 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on June 30, 2019. The intrinsic value will change based on the fair market value of WidePoint’s stock. Share-Based Compensation Expense Share-based compensation (including restricted stock awards) represents both stock options based expense and stock grant expense. The following table sets forth the composition of stock compensation expense included in general and administrative expense for the periods then ended: THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30 JUNE 30 2019 2018 2019 2018 (Unaudited) Restricted stock compensation expense $ 180,863 $ 118,034 $ 197,600 $ 167,918 Non-qualified option stock compensation expense 103,248 77,900 175,777 152,420 Total share-based compensation before taxes $ 284,111 $ 195,934 $ 373,377 $ 320,338 At June 30, 2019, the Company had approximately $473,485 of total unamortized share-based compensation expense, net of estimated forfeitures, related to stock option plans that will be recognized over the weighted average remaining period of 1 year.

(Loss) Earnings Per Common Shar

(Loss) Earnings Per Common Share (EPS)	6 Months Ended
	Jun. 30, 2019
Earnings Per Share [Abstract]
(Loss) Earnings Per Common Share (EPS)	The computations of basic and diluted (loss) earnings per share were as follows for the periods presented below: THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, 2019 2018 2019 2018 (Unaudited) Basic (Loss) Earnings Per Share Computation: Net (loss) income $ (307,761 ) $ (472,171 ) $ 76,340 $ (934,344 ) Weighted average number of common shares 83,990,722 83,081,597 83,902,077 83,061,707 Basic Loss Per Share $ (0.00 ) $ (0.01 ) $ 0.00 $ (0.01 ) Diluted (Loss) Earnings Per Share Computation: Net (loss) income $ (307,761 ) $ (472,171 ) $ 76,340 $ (934,344 ) Weighted average number of common shares 83,990,722 83,081,597 83,902,077 83,061,707 Incremental shares from assumed conversions of stock options - - 63,917 - Adjusted weighted average number of common shares 83,990,722 83,081,597 83,965,994 83,061,707 Diluted (Loss) Earnings Per Share $ (0.00 ) $ (0.01 ) $ 0.00 $ (0.01 ) Unexercised stock options and restricted stock awards of 4,632,501 and 5,044,185 for the three month periods ended June 30, 2019 and 2018, respectively, have been excluded from the computation of loss per share because inclusion of these securities would have been anti-dilutive. Unexercised stock options and restricted stock awards of 5,044,185 for the six month period ended June 30, 2018, have been excluded from the computation of loss per share because inclusion of these securities would have been anti-dilutive.

Revenue from Contracts with Cus

Revenue from Contracts with Customers	6 Months Ended
	Jun. 30, 2019
Revenue from Contract with Customer [Abstract]
Revenue from Contracts with Customers	The following table was prepared to provide additional information about the composition of revenues from contracts with customers for the periods presented: THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, 2019 2018 2019 2018 (Unaudited) Carrier Services $ 14,023,930 $ 11,282,881 $ 28,366,941 $ 23,095,025 Managed Services 8,069,223 6,261,457 15,643,114 14,528,932 $ 22,093,153 $ 17,544,338 $ 44,010,055 $ 37,623,957 The Company recognized revenues from contracts with customers for the following customer types as set forth below: THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, 2019 2018 2019 2018 (Unaudited) U.S. Federal Government $ 18,441,671 $ 13,910,773 $ 36,604,169 $ 28,184,819 U.S. State and Local Governments 126,342 112,526 242,181 219,528 Foreign Governments 24,353 78,378 68,897 104,922 Commercial Enterprises 3,500,787 3,442,661 7,094,808 9,114,688 $ 22,093,153 $ 17,544,338 $ 44,010,055 $ 37,623,957 The Company recognized revenues from contracts with customers in the following geographic regions: THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, 2019 2018 2019 2018 (Unaudited) North America $ 20,950,816 $ 16,297,433 $ 41,731,127 $ 35,041,083 Europe 1,142,337 1,246,905 2,278,928 2,582,874 $ 22,093,153 $ 17,544,338 $ 44,010,055 $ 37,623,957

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	The Company has employment agreements with certain senior executives that set forth compensation levels and provide for severance payments in certain instances.

Basis of Presentation and Acc_2

Basis of Presentation and Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Basis of Presentation	The unaudited condensed consolidated financial statements as of June 30, 2019 and for each of the three and six month periods ended June 30, 2019 and 2018, respectively, included herein have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Pursuant to such regulations, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) have been condensed or omitted. It is the opinion of management that all adjustments (which include normal recurring adjustments) necessary for a fair statement of financial results are reflected in the financial statements for the interim periods presented. The condensed consolidated balance sheet as of December 31, 2018 was derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018. The results of operations for the three and six month period ended June 30, 2019 are not indicative of the operating results for the full year.
Principles of Consolidation	The accompanying condensed consolidated financial statements include the accounts of the Company, its wholly owned subsidiaries and acquired entities since their respective dates of acquisition. All significant inter-company amounts were eliminated in consolidation.
Foreign Currency	Assets and liabilities denominated in foreign currencies are translated into U.S. dollars based upon exchange rates prevailing at the end of each reporting period. The resulting translation adjustments, along with any related tax effects, are included in accumulated other comprehensive (loss) income, a component of stockholders’ equity. Translation adjustments are reclassified to earnings upon the sale or substantial liquidation of investments in foreign operations. Revenues and expenses are translated at the average month-end exchange rates during the year. Gains and losses related to transactions in a currency other than the functional currency, including operations outside the U.S. where the functional currency is the U.S. dollar, are reported net in the Company’s condensed consolidated statements of operations, depending on the nature of the activity.
Use of Estimates	The preparation of condensed consolidated financial statements in conformity with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The more significant areas requiring use of estimates and judgment relate to revenue recognition, accounts receivable valuation reserves, ability to realize intangible assets and goodwill, ability to realize deferred income tax assets, fair value of certain financial instruments and the evaluation of contingencies and litigation. Management bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. Actual results could differ from those estimates. There were no significant changes in accounting estimates used by management during the quarter.
Segment Reporting	Our TM2 solution offerings comprise an overall single business from which the Company earns revenues and incurs costs. The Company’s TM2 solution offerings are centrally managed and reported on that basis to its Chief Operating Decision Maker who evaluates its business as a single segment. See Note 14 for detailed information regarding the composition of revenues.
Significant Accounting Policies	There were no significant changes in the Company’s significant accounting policies during the first six months of 2019 from those disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 filed with the SEC on March 22, 2019, except as further described below:
New Accounting Pronouncements	Recently Adopted Accounting Standards In February 2016, the FASB issued new accounting guidance on leases (ASC Topic 842). Effective January 1, 2019, the Company adopted an accounting standards update with new guidance intended to increase transparency and comparability among organizations relating to leases. The new guidance requires lessees to recognize a liability to make lease payments and a right-of-use asset representing the right to use the underlying asset for the lease term. The standards update retained a dual model for lease classification, requiring leases to be classified as finance or operating leases to determine recognition in the statements of operations and cash flows; however, substantially all leases are now required to be recognized on the balance sheet. The standards update also requires quantitative and qualitative disclosures regarding key information about leasing arrangements. The Company elected the modified retrospective transition method and applied the new guidance at the date of adoption, without adjusting the comparative periods presented. The Company also elected the practical expedients permitted under the transition guidance that retain the lease classification and initial direct costs for any leases that existed prior to adoption of the standard. In addition, the Company did not reassess whether any contracts entered into prior to adoption are leases. Upon adoption of the standard, the Company recorded approximately $6.1 million of right of use assets and finance lease-related liabilities, respectively. The adoption of this standards update had a material impact on the Company’s Consolidated Balance Sheets and related disclosures. The adoption of this standards update did not have a material impact on the Company’s results of operations or cash flows. The cumulative effect of the changes made to our January 1, 2019 balance sheet for the adoption of the standards update was as follows: As Previously As Reported under Reported Topic 842 DECEMBER 31, Adoption JANUARY 1, 2018 Adjustment 2019 Operating lease right of use asset, net $ - $ 6,061,566 $ 6,061,566 Property and equipment, net 1,012,684 (170,000 ) 842,684 Other current assets 1,086,686 (38,015 ) 1,048,671 Current portion of operating lease liabilities 122,040 268,711 390,751 Current portion of other term obligations 192,263 (40,859 ) 151,404 Operating lease liabilities, net of current portion 122,040 5,699,651 5,821,691 Other term obligations, net of current portion 73,952 (73,952 ) - In June 2018, the FASB issued ASU 2018-07, Compensation - Stock Compensation (Topic 718); Improvements to Nonemployee Share-Based Payment Accounting. Effective January 1, 2019, the Company adopted ASU 2018-07. The new guidance simplifies the accounting for share-based payments made to nonemployees. Under this ASU, share-based awards to nonemployees will be measured at fair value on the grant date of the awards. Entities will need to assess the probability of satisfying performance conditions if any are present, and awards will continue to be classified according to ASC 718 upon vesting, which eliminates the need to reassess classification upon vesting, consistent with awards granted to employees. The Company has not historically issued a material amount of share-based payments to non-employees. There was no material effect on the Company’s consolidated financial statements upon adoption. Accounting Standards under Evaluation In January 2017, ASU No. 2017-04, “Simplifying the Test for Goodwill Impairment” was issued. Under the amendments in this ASU, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit's fair value; however, the loss should not exceed the total amount of goodwill allocated to that reporting unit. The ASU also eliminated the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment and, if it fails that qualitative test, to perform Step 2 of the goodwill impairment test. An entity should apply this ASU on a prospective basis and for its annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. The Company is continuing to evaluate the effect this guidance will have on the consolidated financial statements and related disclosures.

Basis of Presentation and Acc_3

Basis of Presentation and Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Effect of change in accounting	As Previously As Reported under Reported Topic 842 DECEMBER 31, Adoption JANUARY 1, 2018 Adjustment 2019 Operating lease right of use asset, net $ - $ 6,061,566 $ 6,061,566 Property and equipment, net 1,012,684 (170,000 ) 842,684 Other current assets 1,086,686 (38,015 ) 1,048,671 Current portion of operating lease liabilities 122,040 268,711 390,751 Current portion of other term obligations 192,263 (40,859 ) 151,404 Operating lease liabilities, net of current portion 122,040 5,699,651 5,821,691 Other term obligations, net of current portion 73,952 (73,952 ) -

Accounts Receivable and Signi_2

Accounts Receivable and Significant Concentrations (Tables)	6 Months Ended
	Jun. 30, 2019
Schedule of accounts receivable	JUNE 30, DECEMBER 31, 2019 2018 (Unaudited) Government (1) $ 5,370,956 $ 7,332,338 Commercial (2) 2,614,261 3,863,710 Gross accounts receivable 7,985,217 11,196,048 Less: allowances for doubtful accounts (3) 117,120 106,733 Accounts receivable, net $ 7,868,097 $ 11,089,315 (1) Government contracts are generally firm fixed price not to exceed arrangements with a term of five (5) years, which consists of a base year and four (4) annual option year renewals. Government receivables are billed under a single consolidated monthly invoice and are billed approximately thirty (30) to sixty (60) days in arrears from the date of service and payment is generally due within thirty (30) days of the invoice date. Government accounts receivable payments could be delayed due to administrative processing delays by the government agency, continuing budget resolutions that may delay availability of contract funding, and/or administrative only invoice correction requests by contracting officers that may delay payment processing by our government customer. (2) Commercial contracts are generally fixed price arrangements with contract terms ranging from two (2) to three (3) years. Commercial accounts receivables are billed based on the underlying contract terms and conditions which generally have repayment terms that range from thirty (30) to ninety (90) days. Commercial receivables are stated at amounts due from customers net of an allowance for doubtful accounts if deemed necessary. (3) For the six months ended June 30, 2019, the Company did not recognize any material provisions for bad debt, write-offs or recoveries of existing provisions for bad debt. The Company has not historically maintained a bad debt reserve for its government customers as it has not experienced material or recurring bad debt charges and the nature and size of the contracts has not necessitated the Company’s establishment of such a bad debt reserve.
Accounts Receivable [Member]
Schedules of concentration of risk	JUNE 30, DECEMBER 31, 2019 2018 As a % of As a % of Customer Name Receivables Receivables (Unaudited) U.S. Customs Border Patrol -- 14 % U.S. Department of Homeland Security HQ 14 % -- U.S. Coast Guard -- 13 % Iron Bow Technologies -- 15 % U.S. Transportation Safety Administration 13 % --
Sales Revenue, Net [Member]
Schedules of concentration of risk	JUNE 30, DECEMBER 31, 2019 2018 As a % of As a % of Customer Name Receivables Receivables (Unaudited) U.S. Customs Border Patrol -- 14 % U.S. Department of Homeland Security HQ 14 % -- U.S. Coast Guard -- 13 % Iron Bow Technologies -- 15 % U.S. Transportation Safety Administration 13 % --

Unbilled Accounts Receivable (T

Unbilled Accounts Receivable (Tables)	6 Months Ended
	Jun. 30, 2019
Receivables [Abstract]
Schedule of unbilled accounts receivable	JUNE 30, DECEMBER 31, 2019 2018 As a % of As a % of Customer Name Receivables Receivables (Unaudited) U.S. Department of Homeland Security Headquarters -- 11 % U.S. Immigration and Customs Enforcement 30 % 37 % U.S. Federal Air Marshall Service 14 % -- U.S. Coast Guard 12 % 11 % U.S. Transportation Safety Administration -- 10 %

Other Current Assets and Accr_2

Other Current Assets and Accrued Expenses (Tables)	6 Months Ended
	Jun. 30, 2019
Other Assets [Abstract]
Schedule of other current assets	JUNE 30, DECEMBER 31, 2019 2018 (Unaudited) Inventories $ 460,140 $ 183,900 Prepaid rent, insurance and other assets 794,129 902,786 Total other current assets $ 1,254,269 $ 1,086,686
Schedule of accrued expenses	JUNE 30, DECEMBER 31, 2019 2018 (Unaudited) Carrier service costs $ 9,472,300 $ 8,476,110 Salaries and payroll taxes 1,236,248 1,308,726 Inventory purchases, consultants and other costs 1,638,714 913,038 Severance costs 7,612 1,634 U.S. income tax payable 5,900 8,550 Foreign income tax payable 8,540 8,380 Total accrued expenses $ 12,369,314 $ 10,716,438

Property and Equipment (Tables)

Property and Equipment (Tables)	6 Months Ended
	Jun. 30, 2019
Property, Plant and Equipment [Abstract]
Schedule of property and equipment	JUNE 30, DECEMBER 31, 2019 2018 (Unaudited) Computer hardware and software $ 1,948,387 $ 2,110,298 Furniture and fixtures 339,683 333,539 Leasehold improvements 267,003 268,561 Automobiles 82,304 178,597 Gross property and equipment 2,637,377 2,890,995 Less: accumulated depreciation and amortization 1,979,303 1,878,311 Property and equipment, net $ 658,074 $ 1,012,684

Leases (Tables)

Leases (Tables)	6 Months Ended
	Jun. 30, 2019
Leases [Abstract]
Lease cost	THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, 2019 2019 (Unaudited) Operating lease expense $ 60,641 $ 119,641 Finance lease expense: Amortization of right of use assets $ 138,234 $ 277,269 Interest on finance lease liabilities 69,603 139,338 Total finance lease expense $ 207,837 $ 416,607
Supplemental information related to leases	Supplemental cash flow information related to leases was as follows: SIX MONTHS ENDED JUNE 30, 2019 (Unaudited) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 119,641 Operating cash flows from finance leases 139,338 Financing cash flows from finance leases 238,675 Supplemental balance sheet information related to leases was as follows: JUNE 30, 2019 (Unaudited) Operating lease right of use assets, net $ 5,827,822 Current portion of operating lease liabilities 420,932 Operating lease liabilities, net of current portion 5,534,028 Weighted average remaining lease term Operating leases 12.1 Finance leases 1.6 Weighted average discount rate Operating leases 5 % Finance leases 5 %
Maturities of lease liabilities	Operating Leases Finance Leases 2019 $ 660,669 $ 121,332 2020 678,849 66,456 2021 697,578 - 2022 715,729 - 2023 735,573 - Thereafter 4,325,486 - Total undiscounted operating lease payments 7,813,884 187,788 Less: Imputed interest 2,035,299 11,413 Total finance lease liability $ 5,778,585 $ 176,375

Stock Award Programs (Tables)

Stock Award Programs (Tables)	6 Months Ended
	Jun. 30, 2019
Share-based Payment Arrangement [Abstract]
Schedule of nonvested restricted stock shares activity	2019 2018 NON-VESTED AWARDS (Unaudited) Non-vested awards outstanding, January 1, 300,000 - Granted (+) 662,740 (1) 980,851 (1) Cancelled (-) 50,000 (2) - Vested (-) 238,572 (3) - Non-vested awards outstanding, June 30, 674,168 980,851 Weighted-average remaining contractual life (in years) 6.77 1.1 Unamortized RSA compensation expense $ 274,412 $ 356,082 Aggregate intrinsic value of RSAs non-vested, June 30 $ 283,151 $ 539,468 Aggregate intrinsic value of RSAs vested, June 30 $ - $ - (1) During the six month period ended June 30, 2019, the Company granted 662,740 RSAs, of which i) 238,572 of RSAs were awarded to members of the Company’s board of directors as part of their annual board retainer fee that had a grant date fair value of $100,200 and vested during the period, and ii) 424,168 of RSAs were awarded to key employees tied to the attainment of certain financial goals as outlined by the Company’s Compensation Committee of the Board of Directors that had a grant date fair value of $254,501. During the six month period ended June 30, 2018, the Company granted 980,851 RSAs, of which i) 300,000 of RSAs were awarded as part of additional compensation plan to align key employees with the Company’s long term financial goals, and ii) 680,851 were awarded to members of the Company’s board of directors as part of their annual board retainer fee and vested during the period. (2) There were 50,000 RSAs that were cancelled during the six month period ended June 30, 2019. There were no RSAs cancelled or expired during the six month period ended June 30, 2018, respectively. (3) During the six month period ended June 30, 2019, 238,572 RSAs vested during the period.
Schedule of nonvested share activity	2019 2018 Weighted Weighted Average Average Grant Date Grant Date NON-VESTED AWARDS Shares Fair Value Shares Fair Value (Unaudited) Non-vested balances, January 1, 2,067,503 $ 0.36 2,685,004 $ 0.35 Granted (+) 25,000 (1) $ 0.15 - (1) $ 0.00 Cancelled (-) 80,001 (2) $ 0.34 - (2) $ 0.00 Vested/Exercised (-) 500,000 $ 0.40 50,000 (3) $ 0.40 Non-vested balances, June 30, 1,512,502 $ 0.34 2,635,004 $ 0.35
Schedule of outstanding and exercercisable share activity	2019 2018 Weighted Weighted Average Average OUTSTANDING AND EXERCISABLE AWARDS Shares Exercise Price Shares Exercise Price (Unaudited) Awards outstanding, January 1, 4,013,334 $ 0.58 4,173,334 $ 0.60 Granted (+) 25,000 (1) $ 0.41 - (1) $ 0.00 Cancelled (-) 80,001 (2) $ 0.55 60,000 (2) $ 1.48 Exercised (-) - - 50,000 (3) $ 0.44 Awards outstanding, June 30, 3,958,333 $ 0.58 4,063,334 $ 0.00 Awards vested and expected to vest, June 30, 3,483,356 $ 0.59 3,481,526 $ 0.58 Awards outstanding and exercisable, June 30, 2,445,831 $ 0.59 1,438,330 $ 0.58 (1) During the six month period ended June 30, 2019, there were non-qualified stock option (NQSO) grants of 25,000 granted to a non-employee as compensation for investor relations services. This stock award grant was valued using a Black-Scholes model that assumed a 1-year vesting period, 2-year option term, a risk free rate of 2.5%, volatility of 64.6%, no assumed dividend yield, and a forfeiture rate estimate of 1.2%. During the six month period ended June 30, 2018, there were no grants of non-qualified stock options. (2) During the six month period ended June 30, 2019, there were 80,001 NQSOs that were unvested and cancelled related to voluntary employee terminations. (3) The total intrinsic value of stock options exercised during the six month ended June 30, 2018 was approximately $5,500.
Schedule of share-based compensation	THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30 JUNE 30 2019 2018 2019 2018 (Unaudited) Restricted stock compensation expense $ 180,863 $ 118,034 $ 197,600 $ 167,918 Non-qualified option stock compensation expense 103,248 77,900 175,777 152,420 Total share-based compensation before taxes $ 284,111 $ 195,934 $ 373,377 $ 320,338

(Loss) Earnings Per Common Sh_2

(Loss) Earnings Per Common Share (EPS) (Tables)	6 Months Ended
	Jun. 30, 2019
Earnings Per Share [Abstract]
Schedule of (loss) earnings per share	THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, 2019 2018 2019 2018 (Unaudited) Basic (Loss) Earnings Per Share Computation: Net (loss) income $ (307,761 ) $ (472,171 ) $ 76,340 $ (934,344 ) Weighted average number of common shares 83,990,722 83,081,597 83,902,077 83,061,707 Basic Loss Per Share $ (0.00 ) $ (0.01 ) $ 0.00 $ (0.01 ) Diluted (Loss) Earnings Per Share Computation: Net (loss) income $ (307,761 ) $ (472,171 ) $ 76,340 $ (934,344 ) Weighted average number of common shares 83,990,722 83,081,597 83,902,077 83,061,707 Incremental shares from assumed conversions of stock options - - 63,917 - Adjusted weighted average number of common shares 83,990,722 83,081,597 83,965,994 83,061,707 Diluted (Loss) Earnings Per Share $ (0.00 ) $ (0.01 ) $ 0.00 $ (0.01 )

Revenue from Contracts with C_2

Revenue from Contracts with Customers (Tables)	6 Months Ended
	Jun. 30, 2019
Revenue from Contract with Customer [Abstract]
Schedule of revenues by service	THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, 2019 2018 2019 2018 (Unaudited) Carrier Services $ 14,023,930 $ 11,282,881 $ 28,366,941 $ 23,095,025 Managed Services 8,069,223 6,261,457 15,643,114 14,528,932 $ 22,093,153 $ 17,544,338 $ 44,010,055 $ 37,623,957
Schedule of revenues by service customer type	THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, 2019 2018 2019 2018 (Unaudited) U.S. Federal Government $ 18,441,671 $ 13,910,773 $ 36,604,169 $ 28,184,819 U.S. State and Local Governments 126,342 112,526 242,181 219,528 Foreign Governments 24,353 78,378 68,897 104,922 Commercial Enterprises 3,500,787 3,442,661 7,094,808 9,114,688 $ 22,093,153 $ 17,544,338 $ 44,010,055 $ 37,623,957
Schedule of revenue from customers by geographic area	THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, 2019 2018 2019 2018 (Unaudited) North America $ 20,950,816 $ 16,297,433 $ 41,731,127 $ 35,041,083 Europe 1,142,337 1,246,905 2,278,928 2,582,874 $ 22,093,153 $ 17,544,338 $ 44,010,055 $ 37,623,957

Organization and Nature of Op_2

Organization and Nature of Operations (Details Narrative)	6 Months Ended
	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
State of incorporation	Delaware
Date of incorporation	May 30, 1997

Basis of Presentation and Acc_4

Basis of Presentation and Accounting Policies (Details) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Operating lease right of use asset, net	$ 5,827,822	$ 0
Property and equipment, net	658,074	1,012,684
Other current assets	1,254,269	1,086,686
Current portion of finance leases	420,932	107,325
Current portion of other term obligations	36,049	192,263
Finance leases, net of current portion	5,534,028	122,040
Other term obligations, net of current portion	$ 0	73,952
Adoption Adjustment [Member]
Operating lease right of use asset, net		6,061,566
Property and equipment, net		(170,000)
Other current assets		(38,015)
Current portion of finance leases		268,711
Current portion of other term obligations		(40,859)
Finance leases, net of current portion		5,699,651
Other term obligations, net of current portion		(73,952)
As Reported [Member]
Operating lease right of use asset, net		6,061,566
Property and equipment, net		842,684
Other current assets		1,048,671
Current portion of finance leases		390,751
Current portion of other term obligations		151,404
Finance leases, net of current portion		5,821,691
Other term obligations, net of current portion		$ 0

Accounts Receivable and Signi_3

Accounts Receivable and Significant Concentrations (Details) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Accounts receivable, gross	$ 7,985,217	$ 11,196,048
Less: allowances for doubtful accounts	117,120	106,733
Accounts receivable, net	7,868,097	11,089,315
Government [Member]
Accounts receivable, gross	5,370,956	7,332,338
Commercial [Member]
Accounts receivable, gross	$ 2,614,261	$ 3,863,710

Accounts Receivable and Signi_4

Accounts Receivable and Significant Concentrations (Details 1) - Accounts Receivable [Member]	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
U.S. Customs Border Patrol [Member]
Concentration risk	0.00%	14.00%
U.S. Department of Homeland Security HQ [Member]
Concentration risk	14.00%	0.00%
U.S. Coast Guard [Member]
Concentration risk	0.00%	13.00%
Iron Bow Technologies [Member]
Concentration risk	0.00%	15.00%
U.S. Transportation Safety Administration [Member]
Concentration risk	13.00%	0.00%

Accounts Receivable and Signi_5

Accounts Receivable and Significant Concentrations (Details 2) - Sales Revenue, Net [Member]	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
U.S. Customs Border Patrol [Member]
Concentration risk	0.00%	14.00%
U.S. Department of Homeland Security HQ [Member]
Concentration risk	14.00%	0.00%
U.S. Coast Guard [Member]
Concentration risk	0.00%	13.00%
Iron Bow Technologies [Member]
Concentration risk	0.00%	15.00%
U.S. Transportation Safety Administration [Member]
Concentration risk	13.00%	0.00%

Unbilled Accounts Receivable (D

Unbilled Accounts Receivable (Details) - Unbilled Accounts Receivable [Member]	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
U.S. Department of Homeland Security HQ [Member]
Concentration risk	0.00%	11.00%
U.S. Immigration and Customs Enforcement [Member]
Concentration risk	30.00%	37.00%
U.S. Federal Air Marshall Service [Member]
Concentration risk	14.00%	0.00%
U.S. Coast Guard [Member]
Concentration risk	12.00%	11.00%
U.S. Transportation Safety Administration [Member]
Concentration risk	0.00%	10.00%

Other Current Assets and Accr_3

Other Current Assets and Accrued Expenses (Details) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Other Assets [Abstract]
Inventories	$ 460,140	$ 183,900
Prepaid rent, insurance and other assets	794,129	902,786
Total other current assets	$ 1,254,269	$ 1,086,686

Other Current Assets and Accr_4

Other Current Assets and Accrued Expenses (Details 1) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Other Assets [Abstract]
Carrier service costs	$ 9,472,300	$ 8,476,110
Salaries and payroll taxes	1,236,248	1,308,726
Inventory purchases, consultants and other costs	1,638,714	913,038
Severance costs	7,612	1,634
U.S. income tax payable	5,900	8,550
Foreign income tax payable (receivable)	8,540	8,380
Total accrued expenses	$ 12,369,314	$ 10,716,438

Property and Equipment (Details

Property and Equipment (Details) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Property and equipment, gross	$ 2,637,377	$ 2,505,172
Less: accumulated depreciation and amortization	197,303	1,738,357
Property and equipment, net	658,074	1,012,684
Computer Hardware Software [Member]
Property and equipment, gross	1,948,387	1,820,075
Furniture and Fixtures [Member]
Property and equipment, gross	339,683	333,539
Leaseholds and Leasehold Improvements [Member]
Property and equipment, gross	267,003	268,561
Automobiles [Member]
Property and equipment, gross	$ 82,304	$ 82,997

Leases (Details)

Leases (Details) - USD ($)	3 Months Ended	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2019
Leases [Abstract]
Operating lease expense	$ 60,641	$ 119,641
Amortization of right of use assets	138,234	277,269
Interest on finance lease liabilities	69,603	139,338
Total finance lease expense	$ 207,837	$ 416,607

Leases (Details 1)

Leases (Details 1)	6 Months Ended
	Jun. 30, 2019USD ($)
Leases [Abstract]
Operating cash flows from operating leases	$ 119,641
Operating cash flows from finance leases	139,338
Financing cash flows from finance leases	$ 238,675

Leases (Details 2)

Leases (Details 2) - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Leases [Abstract]
Operating lease right of use assets, net	$ 5,827,822	$ 0
Current portion of finance leases	420,932	107,325
Finance leases, net of current portion	$ 5,534,028	$ 122,040
Weighted average remaining lease term operating leases (in years)	12 years 1 month 6 days
Weighted average remaining lease term finance leases (in years)	1 year 7 months 6 days
Weighted average discount rate operating leases	5.00%
Weighted average discount rate finance leases	5.00%

Leases (Details 3)

Leases (Details 3)	Jun. 30, 2019USD ($)
Leases [Abstract]
2019	$ 660,669
2020	678,849
2021	697,578
2022	715,729
2023	735,573
Thereafter	4,325,486
Total undiscounted operating lease payments	7,813,884
Less: imputed interest	2,035,299
Total operating lease liability	5,778,585
2019	121,332
2020	66,456
2021	0
2022	0
2023	0
Thereafter	0
Undiscounted finance lease payments	187,788
Less: imputed interest	11,413
Total finance lease liability	$ 176,375

Line of Credit (Details Narrati

Line of Credit (Details Narrative)	Jun. 30, 2019USD ($)
Line of Credit Facility [Abstract]
Line of credit borrowing capacity	$ 4,200,000

Income Taxes (Details Narrative

Income Taxes (Details Narrative)	Jun. 30, 2019USD ($)
Income Tax Disclosure [Abstract]
Net operating loss carry forwards	$ 38,500,000

Stockholders' Equity (Details N

Stockholders' Equity (Details Narrative) - $ / shares	Jun. 30, 2019	Dec. 31, 2018
STOCKHOLDERS' EQUITY
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	110,000,000	110,000,000
Common stock, shares issued	84,775,186	84,112,446
Common stock, shares outstanding	84,775,186	84,112,446

Stock Award Programs (Details)

Stock Award Programs (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018
Unamortized RSA compensation expense	$ 0	$ 0
Restricted Stock [Member]
Non-vested awards outstanding		0	300,000	0
Granted			662,740	980,851
Cancelled			50,000	0
Vested			238,572	0
Non-vested awards outstanding	674,168		674,168	980,851
Weighted-average remaining contractual life (in years)			6 years 9 months 7 days	1 year 1 month 6 days
Unamortized RSA compensation expense			$ 274,412	$ 356,082
Aggregate intrinsic value of RSAs non-vested	$ 283,151		283,151	539,468
Aggregate intrinsic value of RSAs vested	$ 0		$ 0	$ 0

Stock Award Programs (Details 1

Stock Award Programs (Details 1) - Employee Stock Option [Member] - $ / shares	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Number of shares, outstanding and exercisable, options outstanding, beginning balance	4,013,334	4,173,334
Number of shares, granted	25,000	0
Number of shares, cancelled	80,001	60,000
Number of shares, exercised	0	50,000
Number of shares, outstanding and exercisable, options outstanding, ending balance	3,958,333	4,063,334
Number of shares, options vested and expected to vest, ending balance	3,483,356	3,481,526
Number of shares, options outstanding and exercisable, ending balance	2,445,831	1,438,330
Weighted average exercise price per share, outstanding and exercisable, options outstanding, beginning balance	$ .58	$ .60
Weighted average exercise price per share, granted	.41	.00
Weighted average exercise price per share, cancelled	.55	1.48
Weighted average exercise price per share, exercised	.00	0.44
Weighted average exercise price per share, outstanding and exercisable, options outstanding, ending balance	.58	.00
Number of shares, vested and expected to vest, outstanding, weighted average exercise price, ending balance	.59	.58
Weighted average exercise price per share, options outstanding and exercisable, ending balance	$ .59	$ .58

Stock Award Programs (Details 2

Stock Award Programs (Details 2) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Share-based Payment Arrangement [Abstract]
Restricted stock compensation expense	$ 180,863	$ 118,034	$ 197,600	$ 167,918
Non-qualified option stock compensation expense	103,248	77,900	175,777	152,420
Total share-based compensation before taxes	$ 284,111	$ 195,934	$ 373,377	$ 320,338

Stock Award Programs (Details N

Stock Award Programs (Details Narrative)	6 Months Ended
	Jun. 30, 2019USD ($)
Share-based Payment Arrangement [Abstract]
Unamortized share-based compensation expense	$ 473,485
Unamortized share-based compensation expense, recognition period	1 year

(Loss) Earnings Per Common Sh_3

(Loss) Earnings Per Common Share (EPS) (Details) - USD ($)	3 Months Ended				6 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018
Basic (Loss) Earnings Per Share Computation:
Net (loss) income	$ (307,761)	$ 384,101	$ (472,171)	$ (462,173)	$ 76,340	$ (934,344)
Weighted average number of common shares	83,990,722		83,081,597		83,902,077	83,061,707
Basic loss per share	$ 0		$ (0.01)		$ 0	$ (0.01)
Diluted (Loss) Earnings Per Share Computation:
Net (loss) income	$ (307,761)	$ 384,101	$ (472,171)	$ (462,173)	$ 76,340	$ (934,344)
Weighted average number of common shares	83,990,722		83,081,597		83,902,077	83,061,707
Incremental shares from assumed conversions of stock options	0		0		63,917	0
Adjusted weighted average number of common shares	83,990,722		83,081,597		83,965,994	83,061,707
Diluted (loss) earnings per share	$ 0		$ (0.01)		$ 0	$ (0.01)

(Loss) Earnings Per Common Sh_4

(Loss) Earnings Per Common Share (EPS) (Details Narrative) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Earnings Per Share [Abstract]
Antidilutive securities excluded from computation of earnings per share	4,632,501	5,044,185	5,044,185	5,044,185

Revenue from Contracts with C_3

Revenue from Contracts with Customers (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Revenues, net	$ 22,093,153	$ 17,544,338	$ 44,010,055	$ 37,623,957
Carrier Services [Member]
Revenues, net	14,023,930	11,282,881	28,366,941	23,095,025
Management Services [Member]
Revenues, net	$ 8,069,223	$ 6,261,457	$ 15,643,114	$ 14,528,932

Revenue from Contracts with C_4

Revenue from Contracts with Customers (Details 1) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Revenue, net	$ 22,093,153	$ 17,544,338	$ 44,010,055	$ 37,623,957
U.S. Federal Government [Member]
Revenue, net	18,441,671	13,910,773	36,604,169	28,184,819
U.S. State and Local Governments [Member]
Revenue, net	126,342	112,526	242,181	219,528
Foreign Governments [Member]
Revenue, net	24,353	78,378	68,897	104,922
Commercial Enterprises [Member]
Revenue, net	$ 3,500,787	$ 3,442,661	$ 7,094,808	$ 9,114,688

Revenue from Contracts with C_5

Revenue from Contracts with Customers (Details 2) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Revenue, net	$ 22,093,153	$ 17,544,338	$ 44,010,055	$ 37,623,957
North America [Member]
Revenue, net	20,950,816	16,297,433	41,731,127	35,041,083
Europe [Member]
Revenue, net	$ 1,142,337	$ 1,246,905	$ 2,278,928	$ 2,582,874