Document And Entity Information
Document And Entity Information Pure in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Mar. 20, 2024 shares | Jun. 30, 2023 USD ($) | |
Document Information [Line Items] | |||
Entity Central Index Key | 0001140102 | ||
Entity Registrant Name | HireQuest, Inc. | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2023 | ||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Document Transition Report | false | ||
Entity File Number | 001-38513 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 91-2079472 | ||
Entity Address, Address Line One | 111 Springhall Drive | ||
Entity Address, City or Town | Goose Creek | ||
Entity Address, State or Province | SC | ||
Entity Address, Postal Zip Code | 29445 | ||
City Area Code | 843 | ||
Local Phone Number | 723-7400 | ||
Title of 12(b) Security | Common Stock, $0.001 par value | ||
Trading Symbol | HQI | ||
Security Exchange Name | NASDAQ | ||
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 | $ | $ 133,200,000 | ||
Entity Common Stock, Shares Outstanding | shares | 14,000,000 | ||
Entity Number of Employees | 73 | ||
Auditor Name | FORVIS, LLP | ||
Auditor Firm ID | 686 | ||
Auditor Location | Tampa, Florida |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash | $ 1,342 | $ 3,049 |
Accounts receivable, net of allowance for doubtful accounts | 44,394 | 45,728 |
Notes receivable | 1,788 | 817 |
Prepaid expenses, deposits, and other assets | 3,283 | 1,833 |
Prepaid workers' compensation | 646 | 503 |
Total current assets | 51,453 | 51,930 |
Property and equipment, net | 4,280 | 4,353 |
Workers’ compensation claim payment deposit | 1,469 | 1,231 |
Franchise agreements, net | 21,440 | 23,144 |
Other intangible assets, net | 10,162 | 10,690 |
Goodwill | 5,870 | 5,870 |
Deferred tax asset | 325 | 0 |
Other assets | 102 | 325 |
Notes receivable, net of current portion and reserve | 7,834 | 2,675 |
Intangible assets held for sale - discontinued operations | 891 | 3,065 |
Total assets | 103,826 | 103,283 |
Current liabilities | ||
Accounts payable | 137 | 448 |
Line of credit | 14,119 | 12,543 |
Term loans payable | 514 | 704 |
Other current liabilities | 2,338 | 3,408 |
Accrued wages, benefits and payroll taxes | 4,286 | 5,602 |
Due to franchisee | 9,881 | 9,846 |
Risk management incentive program liability | 565 | 877 |
Workers' compensation claims liability | 3,871 | 3,352 |
Total current liabilities | 35,711 | 36,780 |
Term loans payable, net of current portion | 132 | 3,291 |
Workers' compensation claims liability, net of current portion | 2,766 | 2,573 |
Deferred tax liability | 60 | |
Franchisee deposits | 2,485 | 2,325 |
Total liabilities | 41,094 | 45,029 |
Commitments and contingencies (Note 11) | ||
Stockholders' equity | ||
Preferred stock - $0.001 par value, 1,000 shares authorized; none issued | 0 | 0 |
Common stock - $0.001 par value, 30,000 shares authorized; 13,997 and 13,918 shares issued, respectively | 14 | 14 |
Additional paid-in capital | 34,527 | 32,844 |
Treasury stock, at cost - 44 and 40 shares, respectively | (146) | (146) |
Retained earnings | 28,337 | 25,542 |
Total stockholders' equity | 62,732 | 58,254 |
Total liabilities and stockholders' equity | $ 103,826 | $ 103,283 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares shares in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 1,000 | 1,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 30,000 | 30,000 |
Common stock, shares issued (in shares) | 13,997 | 13,918 |
Treasury stock, shares (in shares) | 44 | 40 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Revenue | $ 37,882 | $ 30,952 |
Selling, general and administrative expenses | 24,448 | 12,874 |
Depreciation and amortization | 2,793 | 2,040 |
Income from operations | 10,641 | 16,038 |
Other miscellaneous expense | (1,738) | (2,047) |
Interest income | 263 | 247 |
Interest and other financing expense | (1,386) | (368) |
Net income before income taxes | 7,780 | 13,870 |
Provision for income taxes | 1,345 | 1,895 |
Net income from continuing operations | 6,435 | 11,975 |
(Loss) income from discontinued operations, net of tax | (300) | 483 |
Net income | $ 6,135 | $ 12,458 |
Basic earnings per share | ||
Continuing operations (in dollars per share) | $ 0.47 | $ 0.87 |
Discontinued operations (in dollars per share) | (0.02) | 0.04 |
Total (in dollars per share) | 0.45 | 0.91 |
Diluted earnings per share | ||
Continuing operations (in dollars per share) | 0.47 | 0.87 |
Discontinued operations (in dollars per share) | (0.02) | 0.04 |
Total (in dollars per share) | $ 0.45 | $ 0.91 |
Weighted average shares outstanding | ||
Basic (in shares) | 13,733 | 13,654 |
Diluted (in shares) | 13,801 | 13,721 |
Royalty [Member] | ||
Revenue | $ 35,813 | $ 28,897 |
Service [Member] | ||
Revenue | $ 2,069 | $ 2,055 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member] | Treasury Stock, Common [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Balance (in shares) at Dec. 31, 2021 | 13,745 | ||||
Balance at Dec. 31, 2021 | $ 14 | $ (146) | $ 30,472 | $ 16,395 | $ 46,735 |
Stock-based compensation | 0 | 2,372 | 0 | 2,372 | |
Cash dividends ($0.06 per share) | $ 0 | 0 | 0 | (3,311) | (3,311) |
Restricted common stock granted for services (in shares) | 173 | ||||
Restricted common stock granted for services | $ 0 | 0 | 0 | 0 | 0 |
Net Income (loss) | 0 | 0 | 12,458 | 12,458 | |
Balance (in shares) at Dec. 31, 2022 | 13,918 | ||||
Balance at Dec. 31, 2022 | $ 14 | (146) | 32,844 | 25,542 | 58,254 |
Stock-based compensation | 0 | 1,683 | 0 | 1,683 | |
Cash dividends ($0.06 per share) | $ 0 | 0 | 0 | (3,340) | (3,340) |
Restricted common stock granted for services (in shares) | 79 | ||||
Restricted common stock granted for services | $ 0 | 0 | 0 | 0 | 0 |
Net Income (loss) | 0 | 0 | 6,135 | 6,135 | |
Balance (in shares) at Dec. 31, 2023 | 13,997 | ||||
Balance at Dec. 31, 2023 | $ 14 | $ (146) | $ 34,527 | $ 28,337 | $ 62,732 |
Consolidated Statement of Cha_2
Consolidated Statement of Changes in Stockholders' Equity (Parentheticals) - $ / shares | 1 Months Ended | 12 Months Ended | ||||||||
Dec. 01, 2023 | Sep. 01, 2023 | Jun. 01, 2023 | Mar. 01, 2023 | Sep. 01, 2022 | Jun. 01, 2022 | Mar. 01, 2022 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Dividends per share (in dollars per share) | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Cash flows from operating activities | ||
Net income | $ 6,135 | $ 12,458 |
Loss (income) from discontinued operations | 300 | (483) |
Net income from continuing operations | 6,435 | 11,975 |
Adjustments to reconcile net income to net cash provided by operations: | ||
Depreciation and amortization | 2,793 | 2,040 |
Non-cash interest and loss on debt extinguishment | 354 | 95 |
Allowance for losses on notes receivable | 540 | 350 |
Stock based compensation | 1,683 | 2,372 |
Deferred taxes | (349) | (412) |
Loss on disposition of intangible assets | 2,027 | 2,233 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 1,334 | (974) |
Prepaid expenses, deposits, and other assets | (1,452) | (9) |
Prepaid workers' compensation | (143) | (134) |
Accounts payable | (311) | (2,192) |
Risk management incentive program liability | (312) | (755) |
Other current liabilities | (1,153) | 230 |
Accrued wages, benefits and payroll taxes | (1,316) | 1,450 |
Due to franchisees | 35 | 2,350 |
Workers’ compensation claim payment deposit | (238) | (284) |
Workers' compensation claims liability | 712 | (2,325) |
Net cash provided by operating activities - continuing operations | 10,639 | 16,010 |
Net cash provided by operating activities - discontinued operations | (18) | 868 |
Net cash provided by operating activities | 10,621 | 16,878 |
Cash flows from investing activities | ||
Purchase of acquisitions | (9,750) | (32,355) |
Purchase of property and equipment | (98) | (100) |
Proceeds from the sale of purchased locations | 2,273 | 9,317 |
Proceeds from payments on notes receivable | 919 | 799 |
Cash issued for notes receivable | (198) | (125) |
Investment in intangible assets | (390) | (1,377) |
Net change in franchisee deposits | 160 | 267 |
Net cash used in investing activities | (7,084) | (23,574) |
Cash flows from financing activities | ||
Payment on term loan payable | (3,349) | (571) |
Payments related to debt issuance | (131) | 0 |
Net proceeds from revolving line of credit | 1,576 | 12,371 |
Net cash (used in) provided by financing activities | (5,244) | 8,489 |
Net (decrease) increase in cash | (1,707) | 1,793 |
Cash, beginning of period | 3,049 | 1,256 |
Cash, end of period | 1,342 | 3,049 |
Supplemental disclosure of non-cash investing and financing activities | ||
Notes receivable issued for the sale of branches | 7,392 | 350 |
Amounts payable related to the purchase of acquisition | 0 | 1,800 |
Supplemental disclosure of cash flow information | ||
Interest paid | 1,348 | 273 |
Income taxes paid | 2,817 | 3,048 |
Line of Credit [Member] | Revolving Credit Facility [Member] | ||
Cash flows from financing activities | ||
Payment of dividends | $ (3,340) | $ (3,311) |
Note 1 - Overview and Summary o
Note 1 - Overview and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Basis of Presentation and Significant Accounting Policies [Text Block] | Note 1 Overview and Summary of Significant Accounting Policies Nature of Business HireQuest, Inc. (together with its subsidiaries, “HQI, the “Company,” “we,” us,” or “our”) is a nationwide franchisor of offices providing direct-dispatch, executive search, and commercial staffing solutions primarily in the light industrial and blue-collar segments of the staffing industry and traditional commercial staffing. Our franchisees provide various types of temporary personnel through two On December 4, 2023 40 On January 24, 2022 February 21, 2022 February 28, 2022 December 12, 2022 third For additional information related to these transactions, see Note 2 - Acquisitions As of December 31, 2023 1 13 Basis of Presentation We have prepared the accompanying consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). In the opinion of management, the accompanying consolidated financial statements reflect all adjustments of a normal recurring nature that are necessary for a fair presentation of the results for the periods presented. Consolidation The consolidated financial statements include the accounts of HQI and all of its wholly-owned subsidiaries. Intercompany balances and transactions have been eliminated. U.S. GAAP requires the primary beneficiary of a variable interest entity (a “VIE”) to consolidate that entity. To be the primary beneficiary of a VIE, an entity must have both the power to direct the activities that most significantly impact the VIE’s economic performance, and the obligation to absorb losses or the right to receive benefits from the VIE that are significant to it. We provide acquisition financing to some of our franchisees that results in some of them being considered a VIE. We have reviewed these franchisees and determined that we are not not Foreign Currency Translation The functional currency of the company and all of its' subsidiaries is the United States dollar. Certain franchises located outside the United States may may zero December 31, 2023 2022, Cost of Staffing Revenue Cost of staffing revenue is present when we have owned locations and consists of temporary employee wages, the related payroll taxes, workers’ compensation expenses, and other direct costs of services. Use of Estimates The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expenses. Actual results could differ from those estimates. Significant estimates and assumptions underlie our workers’ compensation claim liabilities, our workers’ compensation Risk Management Incentive Program, our deferred taxes, our allowance for credit losses, potential impairment of goodwill and other intangibles, stock-based compensation, and estimated fair value of assets and liabilities acquired. Cash and Cash Equivalents Cash and cash equivalents consists of demand deposits, including interest-bearing accounts with original maturities of three Revenue Recognition Our primary source of revenue comes from royalty fees based on the operation of our franchised offices. Royalty fees from our HireQuest Direct business model are based on a percentage of sales for services our franchisees provide to customers, which ranges from 6.0% to 8.0%. Royalty fees from our HireQuest business line, including HireQuest franchisees, DriverQuest franchisees, the Northbound franchisee, the HireQuest Health franchisees, and Snelling and LINK franchisees who executed new franchise agreements upon closing, are 4.5% of the payroll we fund plus 18.0% of the gross margin for the territory. The MRI franchisees with a lower royalty scale generally pay a flat annual fee plus a percentage-based royalty. For contract staffing, MRI franchisees pay a royalty that ranges from 20% to 25% of payroll, depending on sales volume. Some customers that utilize qualified independent contractors cause the franchisee to pay a royalty that ranges from 4% to 10% of contractor payments, depending on sales volume. Royalty fees from the Snelling and SearchPath franchise agreements assumed and not For franchised locations, we recognize revenue when we satisfy our performance obligations. Our performance obligations primarily take the form of a franchise license and promised services. Promised services consist primarily of paying temporary employees, completing all statutory payroll related obligations, and providing workers' compensation insurance on behalf of temporary employees. Because these performance obligations are interrelated, we do not Advertising fund revenue includes contributions to our National Advertising Fund by franchisees. Revenue related to these contributions is based on a percentage of sales of certain franchised locations and is recognized as earned. For owned locations, we account for revenue when both parties to the contract have approved the contract, the rights and obligations of the parties are identified, payment terms are identified, and collectability of consideration is probable. Revenue derived from owned locations is recognized at the time we satisfy our performance obligation. Our contracts have a single performance obligation, which is the transfer of services. Because our customers receive and consume the benefits of our services simultaneously, our performance obligations are satisfied when our services are provided. Revenue from owned locations is reported net of customer credits, discounts, and taxes collected from customers that are remitted to taxing authorities. Our customers are invoiced every week and we rarely require payment prior to the delivery of service. Substantially all of our contracts include payment terms of 30 no not one Below are summaries of our franchise royalties disaggregated by business model (in thousands): Year ended December 31, December 31, 2023 2022 HireQuest Direct model $ 15,640 $ 16,224 HireQuest, Snelling, DriverQuest, HireQuest Health, and Northbound 12,318 12,204 MRI 7,855 469 Total $ 35,813 $ 28,897 Workers Compensation Claims Liability We maintain reserves for workers’ compensation claims based on their estimated future cost. These reserves include claims that have been reported but not not may Workers compensation Risk Management Incentive Program ( RMIP ) Our RMIP is designed to incentivize our franchises to keep our temporary employees safe and control exposure to large workers’ compensation claims. We accomplish this by paying our franchisees an amount equivalent to a percentage of the amount they pay for workers’ compensation insurance if they keep their workers’ compensation loss ratios below specified thresholds. Notes Receivable Notes receivable from franchisees consist primarily of amounts due to us related to the financing of franchised locations. We report notes receivable from franchisees at the principal balance outstanding less an allowance for losses. We charge interest at a fixed rate and interest income is calculated by applying the effective rate to the outstanding principal balance. Notes receivable are generally secured by the assets of each location and the ownership interests in the franchise. We monitor the financial condition of our debtors and record provisions for estimated losses when we believe it is probable that our debtors will be unable to make their required payments. We evaluate the potential impairment of notes receivable based on various analyses, including estimated discounted future cash flow, at least annually and whenever events or changes in circumstances indicate that the carrying amount of the assets may not December 31, 2023 December 31, 2022, Some of our notes receivable have contingent consideration based on a percentage of specified system-wide sales that exceed certain thresholds. Notes with contingent consideration are recorded at fair value when originated. Probability of payment is reflected in the fair value, as is the time value of money. Subsequent changes in the recorded amount of contingent consideration are recognized during period in which the change was recognized. Notes receivable from non-franchisees consist primarily of amounts due to us from the sale of non-core assets acquired after an acquisition. We report notes receivable from non-franchisees at the principal balance outstanding less an allowance for losses. We charge interest at a fixed rate and interest income is calculated by applying the effective rate to the outstanding principal balance. Notes receivable are generally unsecured. We monitor the financial condition of our debtors and evaluate the potential impairment of notes receivable based on various analyses, including estimated discounted future cash flows, at least annually and whenever events or changes in circumstances indicate that the carrying amount of the assets may not December 31, 2023 December 31, 2022. Stock-Based Compensation Periodically, we issue restricted common shares to our officers, directors, or employees. Command Center, an entity we merged with in 2019, Debt Issuance Costs Debt issuance costs associated with our revolving line of credit is capitalized and presented as prepaid expenses, deposits, and other assets. Because debt issuance costs are related to a line of credit, they are presented as an asset, rather than a decrease to debt. Debt issuance costs are amortized using the straight-line method over the term of the related agreement. Capitalized debt issuance costs were approximately $109 thousand and $334 thousand at December 31, 2023 December 31, 2022, Intangible Assets Intangible assets acquired are recorded at fair value. We test our finite-lived intangible assets for impairment whenever events or changes in circumstances indicate that the carrying value of the assets may not may not Impairment not 2023 2022 . Finite-lived intangible assets are amortized using the straight-line method over their estimated useful lives, which ranges from 5 to 15 years. Our finite-lived intangible assets include acquired franchise agreements, acquired customer relationships, acquired customer lists, internally developed software, and purchased software. Our indefinite-lived intangible assets include acquired domain names and acquired trade names. For additional information related to significant additions to intangible assets, see Note 2 - Acquisitions Intangible assets internally developed are measured at cost. We capitalize costs to develop or purchase computer software for internal use which are incurred during the application development stage. These costs include fees paid to third not Impairment - Intangible Assets Indefinite-lived intangible assets are tested annually for impairment during the fourth not may Impairment of indefinite-lived intangibles is determined using a two first not no may none, Goodwill Goodwill represents the excess purchase price over the fair value of identifiable assets received attributable to business combinations. Goodwill is measured for impairment at least annually, or whenever events and circumstances arise that indicate an impairment may Impairment December 31, 2023 There were no 2023. December 31, 2023 December 31, 2022 ( Goodwill recorded on acquisition of Temporary Alternatives 375 Goodwill recorded on acquisition of Dubin 200 Goodwill recorded on acquisition of Northbound 500 Goodwill recorded on acquisition of MRI 4,795 Goodwill balance at December 31, 2023 $ 5,870 Impairment - Goodwill Goodwill is tested annually for impairment during the third not may For purposes of our impairment test, we operate as a single reporting unit. Determining the fair value of a reporting unit when performing a quantitative impairment test involves the use of significant estimates and assumptions by management. Different judgments relating to the determination of reporting units could significantly affect the testing of goodwill for impairment and the amount of any impairment recognized. When evaluating goodwill for impairment, we have the option to first not not not no Based on our annual assessment, we have concluded that it is more likely than not not Provision for Income Taxes We account for income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry forwards. We measure deferred tax assets and liabilities using enacted tax rates expected to apply to taxable income in the years in which we expect to recover or settle those deferred amounts. We record valuation allowances for deferred tax assets that more likely than not not We analyze our filing positions in all jurisdictions where we are required to file returns and identify any positions that would require a liability for unrecognized income tax positions to be recognized. If we are assessed penalties and/or interest, penalties will be charged to selling, general, and administrative expense and interest will be charged to interest expense. The federal Work Opportunity Tax Credit (“WOTC”) is a source of fluctuation in our effective income tax rate. The WOTC is designed to encourage the hiring of workers from certain disadvantaged targeted categories and is generally calculated as a percentage of wages over a twelve December 31, 2025. Business Combinations We account for business acquisitions under the acquisition method of accounting by recognizing identifiable tangible and intangible assets acquired, liabilities assumed, and non-controlling interests in the acquired business at their fair values. We record the portion of the purchase price that exceeds the fair value of the identifiable tangible and intangible assets acquired and liabilities assumed, if any, as goodwill. Any gain on a bargain purchase is recognized immediately. We recognize identifiable assets acquired and liabilities assumed in a business combination regardless of whether they have been previously recognized by the acquiree prior to the acquisition. We expense acquisition related costs as we incur them. Our acquisitions may Asset Acquisitions When we purchase a group of assets in a transaction that is not not not may Earnings per Share We calculate basic earnings (loss) per share by dividing net income or loss available to common stockholders by the weighted average number of common shares outstanding. We do not December 31, 2023 December 31, 2022 Diluted common shares outstanding were calculated using the treasury stock method and are as follows (in thousands): Year ended December 31, December 31, 2023 2022 Weighted average number of common shares used in basic net income per common share 13,733 13,654 Dilutive effects of stock options and unvested restricted stock 68 67 Weighted average number of common shares used in diluted net income per common share 13,801 13,721 Property and Equipment We record property and equipment at cost. We compute depreciation using the straight-line method over the estimated useful lives. Land is not ● Buildings – 40 years ● Building improvements – 15 years ● Computers, furniture, and equipment – 5 to 7 years. ● Leasehold improvements – lesser of useful life or remaining lease term Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable consist of amounts due for staffing services from customers of franchisees and of accounts receivable originating at company-owned locations. At December 31, 2023 December 31, 2022, not For contract staffing services provided by MRI offices and for our company-owned office, we record accounts receivable at face value less an allowance for doubtful accounts. We determine the allowance for doubtful accounts based on historical write-off experience, the age of the receivable, other qualitative factors and extenuating circumstances, and current economic data which represents our best estimate of the amount of probable losses on these accounts receivable, if any. We review the allowance for doubtful accounts periodically and write off past due balances when it is probable that the receivable will not December 31, 2023 December 31, 2022, Advertising and Marketing Costs We expense advertising and marketing costs as we incur them. These costs were $1.2 million and $272 thousand in 2023 2022, Fair Value Measures Fair value is the price that would be received to sell an asset, or paid to transfer a liability, in the principal or most advantageous market for the asset or liability in an ordinary transaction between market participants on the measurement date. Our policy on fair value measures requires us to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The policy establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The policy prioritizes the inputs into three may Level 1: Level 2: Level 3: The carrying amounts of cash, accounts receivable, accounts payable, the line of credit and all other current assets and liabilities approximate fair values due to their short-term nature. The fair value of notes receivable approximates the amortized cost basis as adjusted by an allowance for credit losses, as we believe the stated interest rates reflects the prevailing market rates given our unique collateral position and the scarce capital resources willing to finance a franchise. The fair value of the term loan payable approximates its carrying value because current rates for similar borrowings do not December 31, 2023 Total Level 1 Level 2 Level 3 Cash $ 1,342 $ 1,342 $ - $ - Notes receivable 9,622 - 9,622 - Accounts receivable 44,394 - 44,394 - Total assets at fair value $ 55,358 $ 1,342 $ 54,016 $ - Term loan payable $ 646 $ - $ 646 $ - Line of credit 14,119 - 14,119 - Total liabilities at fair value $ 14,765 $ - $ 14,765 $ - December 31, 2022 Total Level 1 Level 2 Level 3 Cash $ 3,049 $ 3,049 $ - $ - Notes receivable 3,492 - 3,492 - Accounts receivable 45,728 - 45,728 - Total assets at fair value $ 52,269 $ 3,049 $ 49,220 $ - Term loan payable $ 3,995 $ - $ 3,995 $ - Line of credit 12,543 - 12,543 - Total liabilities at fair value $ 16,538 $ - $ 16,538 $ - For additional information related to our impaired notes receivable, see Note 13 Notes Receivable Discontinued Operations Company-owned offices that have been disposed of by sale, disposed of other than by sale, or are classified as held-for-sale are reported separately as discontinued operations. In addition, a newly acquired business that on acquisition meets the held-for-sale criteria will be reported as discontinued operations. Accordingly, the assets and liabilities, operating results, and cash flows for these businesses are presented separate from our continuing operations, for all periods presented in our consolidated financial statements and footnotes, unless indicated otherwise. The assets and liabilities of a discontinued operation held-for-sale are measured at the lower of the carrying value or fair value less cost to sell. Savings Plan We have a savings plan that qualifies under Section 401 401 may first 3% 3%, December 31, 2023 December 31, 2022, Recently Adopted And Not In June 2016, 2016 13, Financial Instruments Credit Losses (Topic 326 not first 2023. not In March 2020, 2020 04, Reference Rate Reform (Topic 848 December 21, 2022, 2022 06, Reference Rate Reform (Topic 848 848 2022 04. February 28, 2023 no In October 2021, 2021 08, Business Combinations Accounting for Contract Assets and Contract Liabilities from Contracts with Customers. 606 January 1, 2023 not In October 2023, 2023 06, Disclosure Improvements: Codification Amendments in Response to the SEC s Disclosure Update and Simplification Initiative No. 33 10532, August 17, 2018, 2023 06 14 27 X not In November 2023, 2023 07, Segment Reporting (Topic 280 December 15, 2023, December 15, 2024. 2023 07 not In December 2023, 2023 09, Income Taxes (Topic 740 December 15, 2024, 2023 09 not There are no |
Note 2 - Acquisitions
Note 2 - Acquisitions | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Mergers, Acquisitions and Dispositions Disclosures [Text Block] | Note 2 Acquisitions Business Combinations Temporary Alternatives On January 24, 2022, January 10, 2022, three The fair values of the assets acquired were determined based on information available to us. From the date of acquisition through December 31, 2022, third Cash consideration $ 6,707 Net working capital payable 336 Total consideration $ 7,043 Customer lists $ 4,000 Accounts receivable 2,668 Goodwill 375 Purchase price allocation $ 7,043 Goodwill represents the expected synergies with our existing business, the acquired assembled workforce, potential new customers, and future cash flows after the acquisition of Temporary Alternatives. Goodwill is deductible for income tax purposes. The following table presents unaudited pro forma information (in thousands, except per share data) assuming (a) the acquisition of Temporary Alternatives had occurred on January 1, 2021, ( none 2 not thousand is December 31, 2023. Year Ended December 31, 2023 December 31, 2022 Total revenue $ 37,882 $ 31,097 Net income 6,135 13,312 Basic earnings per share $ 0.45 $ 0.98 Basic weighted average shares outstanding 13,733 13,654 Diluted earnings per share $ 0.45 $ 0.98 Diluted weighted average shares outstanding 13,801 13,721 These calculations reflect increased amortization expense, increased SG&A expense, the elimination of losses associated with the transaction, and the consequential tax effects that would have resulted had the acquisition closed on January 1, 2021. In connection with the acquisition, we sold certain assets related to the operations of the acquired locations to a related party. In connection with their purchase, the buyers executed franchise agreements with us and became franchisees. The aggregate sale price for the operating assets was approximately $2.9 million. In conjunction with the sale of assets acquired in this transaction, we recognized a loss of approximately $1.1 million which is reflected on the line item, "Other miscellaneous income (expense)," in our consolidated statement of income. The franchisee is a related party. See Note 3 third December 31, 2022. The Dubin Group, Inc., and Dubin Workforce Solutions On February 21, 2022 January 19, 2022 The fair values of the assets acquired were determined based on information available to us. From the date of acquisition through December 31, 2022, third Cash consideration $ 2,100 Note payable & net working capital payable 362 Total consideration $ 2,462 Customer relationships $ 1,600 Customer lists 200 Accounts receivable 462 Goodwill 200 Purchase price allocation $ 2,462 Goodwill represents the expected synergies with our existing business, the acquired assembled workforce, potential new customers, and future cash flows after the acquisition of Dubin. Goodwill is deductible for income tax purposes. The following table presents unaudited pro forma information (in thousands, except per share data) assuming (a) the acquisition of Dubin had occurred on January 1, 2021, ( none 2 not thousand is December 31, 2023. Year Ended December 31, 2023 December 31, 2022 Total revenue $ 37,882 $ 31,303 Net income 6,135 12,429 Basic earnings per share $ 0.45 $ 0.91 Basic weighted average shares outstanding 13,733 13,654 Diluted earnings per share $ 0.45 $ 0.91 Diluted weighted average shares outstanding 13,801 13,721 These calculations reflect increased amortization expense, increased payroll expense, increased SG&A expense, the elimination of gains associated with the transaction, and the consequential tax effects that would have resulted had the acquisition closed on January 1, 2021. In connection with the acquisition, we divided Dubin into separate businesses and sold certain assets related to the operations of one three March 31, 2022. third December 31, 2022 not December 31, 2023 Northbound Executive Search On February 28, 2022 January 25, 2022, The fair values of the assets acquired and the liabilities assumed were determined based on information available to us. From the date of acquisition through December 31, 2022, third Cash consideration $ 9,600 Net working capital payable 328 Note payable 1,500 Total consideration $ 11,428 Customer relationships $ 7,700 Trade name 1,400 Accounts receivable 3,386 Other current assets 94 Goodwill 500 Current liabilities assumed (1,652 ) Purchase price allocation $ 11,428 Goodwill represents the expected synergies with our existing business, the acquired assembled workforce, potential new customers, and future cash flows after the acquisition of Northbound. Goodwill is deductible for income tax purposes. The following table presents unaudited pro forma information (in thousands, except per share data) assuming (a) the acquisition of Northbound had occurred on January 1, 2021, ( none 2 not December 31, 2023. Year Ended December 31, 2023 December 31, 2022 Total revenue $ 37,882 $ 31,140 Net income 6,135 13,510 Basic earnings per share $ 0.45 $ 0.99 Basic weighted average shares outstanding 13,733 13,654 Diluted earnings per share $ 0.45 $ 0.99 Diluted weighted average shares outstanding 13,801 13,721 These calculations reflect increased amortization expense, increased SG&A expense, the elimination of losses associated with the transaction, and the consequential tax effects that would have resulted had the acquisition closed on January 1, 2021. In connection with the Northbound acquisition, we entered into an amortizing term loan from the seller for $1.5 million scheduled to mature on March 1, 2025 Note 4 Immediately after the acquisition, we sold certain assets related to the operations of the acquired locations to a related party. In connection with their purchase, the buyers executed franchise agreements with us and became franchisees. The aggregate sale price for the operating assets was $6.4 million. In conjunction with the sale of assets acquired in this transaction, we recognized a loss of approximately $1.3 million which is reflected on the line item, "Other miscellaneous income (expense)," in our consolidated statement of income. The franchisee that purchased these operating assets is a related party. For more information, see Note 3 third December 31, 2022. MRI On December 12, 2022, November 16, 2022, he acquisition of MRI expedited our growth into a new staffing vertical, expanded our national footprint, and grew our franchise base. The following table summarizes the estimated fair values of the identifiable assets acquired and liabilities assumed as of the acquisition date: Cash consideration $ 13,000 Contingent consideration 60 Net working capital payable 223 Total consideration $ 13,283 Franchise relationships $ 5,640 Trade name 2,180 Royalty receivable 575 Current assets 581 Goodwill 4,795 Current liabilities assumed (488 ) Purchase price allocation $ 13,283 Goodwill represents the expected synergies with our existing business, the acquired assembled workforce, potential new customers, and future cash flows after the acquisition of MRI. Goodwill is deductible for income tax purposes. The following table presents unaudited pro forma information (in thousands, except per share data) assuming (a) the acquisition of MRI had occurred on January 1, 2021, ( none 2 not December 31, 2023. Year Ended December 31, 2023 December 31, 2022 Total revenue $ 37,882 $ 41,995 Net income 6,135 17,813 Basic earnings per share $ 0.45 $ 1.30 Basic weighted average shares outstanding 13,733 13,654 Diluted earnings per share $ 0.45 $ 1.30 Diluted weighted average shares outstanding 13,801 13,721 These calculations reflect increased amortization expense, increased selling, general and administrative expenses, the elimination of transaction related costs, and the consequential tax effects that would have resulted had the acquisition closed on January 1, 2021. Asset Acquisitions TEC, The Employment Company On December 4, 2023 October 23, 2023 ( 40 The following table summarizes the estimated fair values of the identifiable assets acquired as of the acquisition date: Cash consideration $ 9,750 Total consideration $ 9,750 Customer relationships $ 9,750 We determined the TEC transaction was an asset acquisition for accounting purposes as substantially all of the fair value of the gross assets acquired was concentrated in the customer relationships. Accordingly, no Franchise royalties attributable to the acquiree of approximately $107 thousand are included in our consolidated statement of income for the year ended December 31, 2023. Immediately after the acquisition, we sold all of the assets acquired. In connection with their purchase, the buyers executed franchise agreements with us and became franchisees. The aggregate sale price for the assets was approximately $7.6 million. In conjunction with the sale of assets acquired in this transaction, we recognized a loss of approximately $2.1 million which is reflected on the line item, "Other miscellaneous expense," in our consolidated statement of income. |
Note 3 - Related Party Transact
Note 3 - Related Party Transactions | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Related Party Transactions Disclosure [Text Block] | Note 3 Related Party Transactions Prior to entering into a new related party transaction which is disclosable, the Audit Committee reviews and monitors all relevant information available. In addition, the Audit Committee reviews a summary of related parties and related party transactions on a quarterly basis. The Audit Committee, in its sole discretion, may may Several significant shareholders and directors of HQI own portions of Jackson Insurance Agency, Bass Underwriters, Inc., Insurance Technologies, Inc., and a number of our franchisees (in whole or in part). Jackson Insurance Agency ("Jackson Insurance") and Bass Underwriters, Inc. ("Bass") Edward Jackson, a member of our Board and significant stockholder, and a member of Mr. Jackson’s immediate family own Jackson Insurance. Mr. Jackson, Richard Hermanns, our CEO, Chairman of our Board, and most significant stockholder, and irrevocable trusts set up by each of them, collectively own a majority of Bass, a large managing general agent. Jackson Insurance and Bass brokered property, casualty, general liability, and cybersecurity insurance for a series of predecessor entities (“Legacy HQ”) prior to the merger with Command Center in 2019. July 15, 2019, During the year ended December 31, 2023 December 31, 2022, 9% 15% December 31, 2023 December 31, 2022, 0 Insurance Technologies, Inc. ("Insurance Technologies") Mr. Jackson, Mr. Hermanns, and irrevocable trusts set up by each of them, collectively own a majority of Insurance Technologies, an IT development and security firm. On October 24, 2019, During the year ended December 31, 2023 December 31, 2022, December 31, 2023 December 31, 2022, 0 The Worlds Franchisees Mr. Hermanns' children and Mr. Jackson have direct or indirect ownership interests in certain of our franchisees (the “Worlds Franchisees”). There were 34 Worlds Franchisees at December 31, 2023 December 31, 2022. Balances regarding the Worlds Franchisees are summarized below: December 31, December 31, 2023 2022 Due to franchisee $ 2,677 $ 1,154 Risk management incentive program liability 267 234 Transactions regarding the Worlds Franchisees are summarized below: Year ended December 31, December 31, 2023 2022 Franchisee royalties $ 9,577 $ 8,676 |
Note 4 - Line of Credit and Ter
Note 4 - Line of Credit and Term Loans | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | Note 4 Line of Credit and Term Loans Revolving Credit Agreement with Bank of America, N.A. On February 28, 2023 one ten December 31, 2023 not 1.0:1.0 not 3.0:1.0; 1.25:1.0. December 31, 2023 Interest will accrue on the outstanding balance of the Line of Credit at a variable rate equal to (a) the BSBY Daily Floating Rate plus a margin between 1.00% and 1.75% per annum. In each case, the applicable margin is determined by the Company's Total Funded Debt to Adjusted EBITDA, as defined in the Credit Agreement. At December 31, 2023 February 28, 2028. December 31, 2023. The Credit Agreement and other loan documents contain customary representations and warranties, affirmative, and negative covenants, including without limitation, those covenants governing indebtedness, liens, fundamental changes, restricting certain payments including dividends unless certain conditions are met, transactions with affiliates, investments, engaging in business other than the current business of the Company and business reasonably related thereto, and sale/leaseback transactions. The Credit Agreement and other loan documents also contain customary events of default including, without limitation, payment default, material breaches of representations and warranties, breach of covenants, cross-default on material indebtedness, certain bankruptcies, certain ERISA violations, material judgments, change in control, termination or invalidity of any guaranty or security documents, and defaults under other loan documents. The obligations under the Credit Agreement and other loan documents are secured by substantially all of the assets of the Company as collateral including, without limitation, their accounts and notes receivable, intellectual property and the real estate owned by HQ Real Property Corporation. At December 31, 2023, Note 5 Revolving Credit and Term Loan Agreement with Truist Bank On June 29, 2021 may June 29, 2026. 15 June 29, 2036. Term Loan In connection with the Northbound acquisition, we entered into an amortizing term loan from the seller for $1.5 million scheduled to mature on March 1, 2025 April 1, 2022 March 1, 2025. may The following table provides the estimated future maturities of term loans as of December 31, 2023 ( 2024 $ 514 2025 132 Total future maturities $ 646 |
Note 5 - Workers' Compensation
Note 5 - Workers' Compensation Insurance and Reserves | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Workers Compensation Insurance and Reserves Disclosure [Text Block] | Note 5 Workers Compensation Insurance and Reserves Beginning in March 2014, one July 15, 2019, July 15, 2019. July 15, 2019 Command Center also obtained its workers’ compensation insurance through ACE. Pursuant to Command Center’s policy, ACE provides insurance for covered losses and expenses in excess of $500 one $500 $750 $500 July 15, 2019, Under these high deductible programs, HQI is effectively self-insured. Per our contractual agreements with ACE, we must provide collateral deposits of approximately $9.2 million, which we accomplished by providing letters of credit under our agreement with Bank of America. For workers’ compensation claims originating in the monopolistic jurisdictions of Washington, North Dakota, Ohio, and Wyoming, we pay workers’ compensation insurance premiums and obtain full coverage under mandatory state administered programs. Our liability associated with claims in these jurisdictions is limited to premium payments based upon the amount of payroll paid within each jurisdiction. Accordingly, our consolidated financial statements reflect only the mandated workers’ compensation insurance premium liability for workers’ compensation claims in these jurisdictions. The following table reflects the changes in our workers' compensation claims liability: December 31, December 31, 2023 2022 Estimated future claims liabilities at the beginning of the period $ 5,925 $ 8,249 Claims paid during the period (5,192 ) (3,936 ) Additional future claims liabilities recorded during the period 5,904 1,612 Estimated future claims liabilities at the end of the period $ 6,637 $ 5,925 |
Note 6 - Analysis of Franchised
Note 6 - Analysis of Franchised and Company-Owned Offices | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Analysis Of Franchise Locations Disclosure [Text Block] | Note 6 Analysis of Franchised and Company-Owned Offices Below is a summary of changes in the number of franchised offices: Franchised offices, December 31, 2021 217 Purchased in 2022 (net of sold locations) 207 Opened in 2022 16 Closed in 2022 (5 ) Franchised offices, December 31, 2022 435 Purchased in 2023 7 Opened in 2023 14 Closed in 2023 (29 ) Franchised offices, December 31, 2023 427 At December 31, 2023 December 31, 2022 |
Note 7 - Stockholders' Equity
Note 7 - Stockholders' Equity | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Equity [Text Block] | Note 7 Stockholders Equity Dividend In the third 2020, 2023 2022 Declaration date Dividend Total paid March 1, 2022 $ 0.06 $ 822 June 1, 2022 0.06 827 September 1, 2022 0.06 829 December 1, 2022 0.06 833 March 1, 2023 0.06 833 June 1, 2023 0.06 835 September 1, 2023 0.06 836 December 1, 2023 0.06 836 |
Note 8 - Stock Based Compensati
Note 8 - Stock Based Compensation | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Share-Based Payment Arrangement [Text Block] | Note 8 Stock Based Compensation Employee Stock Incentive Plan In December 2019, 2019 “2019 2019 no 2019 No may no may no may twelve may 2019 June 2020 In September 2019, second 2023, 2022, In 2023, 2019 three 2023, Also in 2023, 2019 three 4 second In 2022, 2019 three Also in 2022, 2019 three 2019 first The following table summarizes our restricted stock outstanding at December 31, 2021, December 31, 2022 December 31, 2023 ( Shares Weighted average grant date price Non-vested, December 31, 2021 196 11.26 Granted 173 15.97 Vested (167 ) 11.46 Non-vested, December 31, 2022 202 15.15 Granted 79 19.43 Vested (126 ) 15.50 Non-vested, December 31, 2023 155 17.52 At December 31, 2023, Stock options that were outstanding at Command Center were deemed to be issued on the date of the Merger. Outstanding awards continue to remain in effect according to the terms of the 2008 2016 December 31, 2023 December 31, 2022. December 31, 2023 December 31, 2022. 2023 2022. The following table summarizes our stock options outstanding at December 31, 2021, December 31, 2022 December 31, 2023 ( Number of shares underlying options Weighted average exercise price per share Weighted average grant date fair value Outstanding, December 31, 2021 13 $ 5.47 $ 2.98 Granted - - - Outstanding, December 31, 2022 13 5.47 2.98 Granted - - - Outstanding, December 31, 2023 13 5.47 2.98 The following table summarizes additional information about our outstanding stock options, and reflects the intrinsic value recalculated based on the closing price of our common stock of $15.35 on December 29, 2023 ( Number of shares underlying options Weighted average exercise price per share Weighted average remaining contractual life (years) Aggregate intrinsic value Outstanding 13 $ 5.47 4.23 $ 128 Exercisable 13 5.47 4.23 128 |
Note 9 - Property and Equipment
Note 9 - Property and Equipment | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | Note 9 Property and Equipment The following table summarizes the book value of our assets and accumulated depreciation (in thousands): December 31, December 31, 2023 2022 Land $ 472 $ 472 Buildings and improvements 4,147 4,115 Furniture and fixtures 730 663 Accumulated depreciation (1,069 ) (897 ) Total property and equipment, net $ 4,280 $ 4,353 We own our corporate headquarters in Goose Creek, SC. Excess capacity is leased to an unrelated third December 31, 2023 December 31, 2022, Depreciation expense related to property and equipment totaled approximately $172 thousand and $201 thousand during the years ended December 31, 2023 December 31, 2022, |
Note 10 - Intangible Assets
Note 10 - Intangible Assets | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Intangible Assets Disclosure [Text Block] | Note 10 Intangible Assets The following table reflects our intangible assets (in thousands except useful life): December 31, 2023 December 31, 2022 Estimated useful life (in years) Gross Accumulated amortization Net Gross Accumulated amortization Net Finite-lived intangible assets: Franchise agreements 15 $ 25,556 $ (4,116 ) $ 21,440 $ 25,556 $ (2,412 ) $ 23,144 Customer lists 10 - - - - - - Purchased software 7 3,200 (1,029 ) 2,171 3,200 (571 ) 2,629 Internally developed software 5 2,683 (498 ) 2,185 2,294 (39 ) 2,255 Total finite-lived intangible assets $ 31,439 $ (5,643 ) $ 25,796 $ 31,050 $ (3,022 ) $ 28,028 Indefinite-lived intangible assets: Domain name Indefinite $ 2,226 $ - $ 2,226 $ 2,226 $ - $ 2,226 Trade name Indefinite 3,580 - $ 3,580 3,580 - 3,580 Total intangible assets $ 37,245 $ (5,643 ) $ 31,602 $ 36,856 $ (3,022 ) $ 33,834 Amortization expense related to intangible assets totaled approximately $2.6 million and $2.2 million during the years ended December 31, 2023 December 31, 2022, The following table provides the estimated future amortization of finite-lived intangible assets as of December 31, 2023 ( 2024 $ 2,625 2025 2,626 2026 2,625 2027 2,587 2028 2,051 Thereafter 13,282 Total future amortization $ 25,796 |
Note 11 - Commitments and Conti
Note 11 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | Note 11 Commitments and Contingencies Franchise Acquisition Indebtedness We financed the sale of several acquired offices to new franchises with notes receivable. In some instances, this financing resulted in certain franchises being considered VIE’s. We have determined that we are not not December 31, 2023 December 31, 2022 Legal Proceedings From time to time, we are involved in various legal and administrative proceedings. Based on information currently available to us, we do not not no December 31, 2023. |
Note 12 - Income Tax
Note 12 - Income Tax | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | Note 12 Income Tax The provision for income taxes is comprised of the following (in thousands): December 31, December 31, 2023 2022 Current taxes Federal $ 1,080 $ 1,874 State 614 434 Total current taxes 1,694 2,308 Deferred taxes Federal (332 ) (279 ) State (17 ) (134 ) Total deferred taxes (349 ) (413 ) Provision for income taxes $ 1,345 $ 1,895 Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of our deferred taxes are as follows (in thousands): December 31, December 31, 2023 2022 Deferred tax assets Workers' compensation claims liability 1,578 $ 1,227 Bad debt reserve 49 17 Accrued vacation 80 73 Impairment of notes receivable 153 63 Stock based compensation 92 268 Net operating loss carryforward 92 123 Other 40 87 Total deferred tax asset 2,084 1,858 Deferred tax liabilities Depreciation and amortization (1,702 ) (1,918 ) Deferred gain on installment sale (57 ) - Total deferred tax liabilities (1,759 ) (1,918 ) Total deferred taxes, net $ 325 $ (60 ) At December 31, 2023, may may Management estimates that our effective tax rates were approximately 17.3% and 13.7% for 2023 2022, December 31, 2023 December 31, 2022 Income tax expense based on statutory rate $ 1,634 21.0 % $ 2,913 21.0 % Non-deductible executive compensation 142 1.8 % 120 0.9 % Stock based compensation (77 ) (1.0 )% (75 ) (0.5 )% State income taxes expense net of federal taxes 468 6.0 % 210 1.5 % WOTC (925 ) (11.9 )% (1,269 ) (9.1 )% Other 103 1.3 % (4 ) (0.0 )% Total taxes on income $ 1,345 17.3 % $ 1,895 13.7 % U.S. federal income tax returns after 2020 remain open to examination. Generally, state income tax returns after 2019 No December 31, 2023, December 31, 2022, not |
Note 13 - Notes Receivable
Note 13 - Notes Receivable | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | Note 13 Notes Receivable Notes from Franchisees Several franchisees borrowed funds from us primarily to finance the initial purchase price of office assets, including intangible assets. Notes outstanding, net of allowance for losses, were approximately $9.6 million and $3.5 million as of December 31, 2023 December 31, 2022, December 31, 2023 December 31, 2022, We estimate the allowance for losses for franchisees separately from the allowance for losses from non-franchisees because of the level of detailed sales information available to us with respect to our franchisees. Based on our review of the financial condition of the borrowers, the underlying collateral value, and the potential future impact of the economy on certain borrowers’ economic performance and estimated future cash flows, we have established an allowance of approximately $623 thousand and $260 thousand as of December 31, 2023 December 31, 2022, The following table summarizes changes in our notes receivable balance to franchisees (in thousands): December 31, 2023 December 31, 2022 Note receivable $ 10,245 $ 3,752 Allowance for losses (623 ) (260 ) Notes receivable, net $ 9,622 $ 3,492 Notes Receivable from Non-Franchisees During 2020, 19 2021 may $233 June 2022. August 2022 third We did not December 31, 2023 December 31, 2022. no December 31, 2023 December 31, 2022. |
Note 14 - Discontinued Operatio
Note 14 - Discontinued Operations | 12 Months Ended |
Dec. 31, 2023 | |
Notes to Financial Statements | |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | Note 14 Discontinued Operations In connection with the Dubin acquisition, certain assets acquired are still owned by us and classified as held-for-sale. When we acquired Dubin, there were two not 2023, not 12 When we acquired Dental Power in 2021, December 2022, March 1, 2023, first 2023 Intangible assets associated with discontinued operations consist of customer lists with a net carrying value of approximately $891 thousand and $3.1 million at December 31, 2023 December 31, 2022, December 2023, The income from discontinued operations amounts as reported on our consolidated statements of operations was comprised of the following amounts (in thousands): Year ended December 31, December 31, 2023 2022 Revenue $ 1,777 $ 6,313 Cost of staffing services 1,145 4,505 Gross profit 632 1,808 Selling, general and administrative expense (713 ) (795 ) Gain on sale of intangible assets 197 - Amortization - (384 ) Impairment of intangible asset (514 ) - Net (loss) income before income taxes (398 ) 629 (Benefit) provision for income taxes (98 ) 146 Net (loss) income $ (300 ) $ 483 |
Insider Trading Arrangements
Insider Trading Arrangements | 12 Months Ended |
Dec. 31, 2023 | |
Insider Trading Arr Line Items | |
Material Terms of Trading Arrangement [Text Block] | 9B. Other Information None |
Rule 10b5-1 Arrangement Adopted [Flag] | false |
Non-Rule 10b5-1 Arrangement Adopted [Flag] | false |
Rule 10b5-1 Arrangement Terminated [Flag] | false |
Non-Rule 10b5-1 Arrangement Terminated [Flag] | false |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Nature of Operations, Policy [Policy Text Block] | Nature of Business HireQuest, Inc. (together with its subsidiaries, “HQI, the “Company,” “we,” us,” or “our”) is a nationwide franchisor of offices providing direct-dispatch, executive search, and commercial staffing solutions primarily in the light industrial and blue-collar segments of the staffing industry and traditional commercial staffing. Our franchisees provide various types of temporary personnel through two On December 4, 2023 40 On January 24, 2022 February 21, 2022 February 28, 2022 December 12, 2022 third For additional information related to these transactions, see Note 2 - Acquisitions As of December 31, 2023 1 13 |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation We have prepared the accompanying consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). In the opinion of management, the accompanying consolidated financial statements reflect all adjustments of a normal recurring nature that are necessary for a fair presentation of the results for the periods presented. |
Consolidation, Policy [Policy Text Block] | Consolidation The consolidated financial statements include the accounts of HQI and all of its wholly-owned subsidiaries. Intercompany balances and transactions have been eliminated. U.S. GAAP requires the primary beneficiary of a variable interest entity (a “VIE”) to consolidate that entity. To be the primary beneficiary of a VIE, an entity must have both the power to direct the activities that most significantly impact the VIE’s economic performance, and the obligation to absorb losses or the right to receive benefits from the VIE that are significant to it. We provide acquisition financing to some of our franchisees that results in some of them being considered a VIE. We have reviewed these franchisees and determined that we are not not |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Foreign Currency Translation The functional currency of the company and all of its' subsidiaries is the United States dollar. Certain franchises located outside the United States may may zero December 31, 2023 2022, |
Cost of Goods and Service [Policy Text Block] | Cost of Staffing Revenue Cost of staffing revenue is present when we have owned locations and consists of temporary employee wages, the related payroll taxes, workers’ compensation expenses, and other direct costs of services. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expenses. Actual results could differ from those estimates. Significant estimates and assumptions underlie our workers’ compensation claim liabilities, our workers’ compensation Risk Management Incentive Program, our deferred taxes, our allowance for credit losses, potential impairment of goodwill and other intangibles, stock-based compensation, and estimated fair value of assets and liabilities acquired. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents Cash and cash equivalents consists of demand deposits, including interest-bearing accounts with original maturities of three |
Revenue [Policy Text Block] | Revenue Recognition Our primary source of revenue comes from royalty fees based on the operation of our franchised offices. Royalty fees from our HireQuest Direct business model are based on a percentage of sales for services our franchisees provide to customers, which ranges from 6.0% to 8.0%. Royalty fees from our HireQuest business line, including HireQuest franchisees, DriverQuest franchisees, the Northbound franchisee, the HireQuest Health franchisees, and Snelling and LINK franchisees who executed new franchise agreements upon closing, are 4.5% of the payroll we fund plus 18.0% of the gross margin for the territory. The MRI franchisees with a lower royalty scale generally pay a flat annual fee plus a percentage-based royalty. For contract staffing, MRI franchisees pay a royalty that ranges from 20% to 25% of payroll, depending on sales volume. Some customers that utilize qualified independent contractors cause the franchisee to pay a royalty that ranges from 4% to 10% of contractor payments, depending on sales volume. Royalty fees from the Snelling and SearchPath franchise agreements assumed and not For franchised locations, we recognize revenue when we satisfy our performance obligations. Our performance obligations primarily take the form of a franchise license and promised services. Promised services consist primarily of paying temporary employees, completing all statutory payroll related obligations, and providing workers' compensation insurance on behalf of temporary employees. Because these performance obligations are interrelated, we do not Advertising fund revenue includes contributions to our National Advertising Fund by franchisees. Revenue related to these contributions is based on a percentage of sales of certain franchised locations and is recognized as earned. For owned locations, we account for revenue when both parties to the contract have approved the contract, the rights and obligations of the parties are identified, payment terms are identified, and collectability of consideration is probable. Revenue derived from owned locations is recognized at the time we satisfy our performance obligation. Our contracts have a single performance obligation, which is the transfer of services. Because our customers receive and consume the benefits of our services simultaneously, our performance obligations are satisfied when our services are provided. Revenue from owned locations is reported net of customer credits, discounts, and taxes collected from customers that are remitted to taxing authorities. Our customers are invoiced every week and we rarely require payment prior to the delivery of service. Substantially all of our contracts include payment terms of 30 no not one Below are summaries of our franchise royalties disaggregated by business model (in thousands): Year ended December 31, December 31, 2023 2022 HireQuest Direct model $ 15,640 $ 16,224 HireQuest, Snelling, DriverQuest, HireQuest Health, and Northbound 12,318 12,204 MRI 7,855 469 Total $ 35,813 $ 28,897 |
Workers Compensation Claims Liability [Policy Text Block] | Workers Compensation Claims Liability We maintain reserves for workers’ compensation claims based on their estimated future cost. These reserves include claims that have been reported but not not may |
Workers Compensation Risk Management Incentive Program [Policy Text Block] | Workers compensation Risk Management Incentive Program ( RMIP ) Our RMIP is designed to incentivize our franchises to keep our temporary employees safe and control exposure to large workers’ compensation claims. We accomplish this by paying our franchisees an amount equivalent to a percentage of the amount they pay for workers’ compensation insurance if they keep their workers’ compensation loss ratios below specified thresholds. |
Notes Receivables [Policy Text Block] | Notes Receivable Notes receivable from franchisees consist primarily of amounts due to us related to the financing of franchised locations. We report notes receivable from franchisees at the principal balance outstanding less an allowance for losses. We charge interest at a fixed rate and interest income is calculated by applying the effective rate to the outstanding principal balance. Notes receivable are generally secured by the assets of each location and the ownership interests in the franchise. We monitor the financial condition of our debtors and record provisions for estimated losses when we believe it is probable that our debtors will be unable to make their required payments. We evaluate the potential impairment of notes receivable based on various analyses, including estimated discounted future cash flow, at least annually and whenever events or changes in circumstances indicate that the carrying amount of the assets may not December 31, 2023 December 31, 2022, Some of our notes receivable have contingent consideration based on a percentage of specified system-wide sales that exceed certain thresholds. Notes with contingent consideration are recorded at fair value when originated. Probability of payment is reflected in the fair value, as is the time value of money. Subsequent changes in the recorded amount of contingent consideration are recognized during period in which the change was recognized. Notes receivable from non-franchisees consist primarily of amounts due to us from the sale of non-core assets acquired after an acquisition. We report notes receivable from non-franchisees at the principal balance outstanding less an allowance for losses. We charge interest at a fixed rate and interest income is calculated by applying the effective rate to the outstanding principal balance. Notes receivable are generally unsecured. We monitor the financial condition of our debtors and evaluate the potential impairment of notes receivable based on various analyses, including estimated discounted future cash flows, at least annually and whenever events or changes in circumstances indicate that the carrying amount of the assets may not December 31, 2023 December 31, 2022. |
Share-Based Payment Arrangement [Policy Text Block] | Stock-Based Compensation Periodically, we issue restricted common shares to our officers, directors, or employees. Command Center, an entity we merged with in 2019, |
Debt, Policy [Policy Text Block] | Debt Issuance Costs Debt issuance costs associated with our revolving line of credit is capitalized and presented as prepaid expenses, deposits, and other assets. Because debt issuance costs are related to a line of credit, they are presented as an asset, rather than a decrease to debt. Debt issuance costs are amortized using the straight-line method over the term of the related agreement. Capitalized debt issuance costs were approximately $109 thousand and $334 thousand at December 31, 2023 December 31, 2022, |
Goodwill and Intangible Assets, Intangible Assets, Policy [Policy Text Block] | Intangible Assets Intangible assets acquired are recorded at fair value. We test our finite-lived intangible assets for impairment whenever events or changes in circumstances indicate that the carrying value of the assets may not may not Impairment not 2023 2022 . Finite-lived intangible assets are amortized using the straight-line method over their estimated useful lives, which ranges from 5 to 15 years. Our finite-lived intangible assets include acquired franchise agreements, acquired customer relationships, acquired customer lists, internally developed software, and purchased software. Our indefinite-lived intangible assets include acquired domain names and acquired trade names. For additional information related to significant additions to intangible assets, see Note 2 - Acquisitions Intangible assets internally developed are measured at cost. We capitalize costs to develop or purchase computer software for internal use which are incurred during the application development stage. These costs include fees paid to third not Impairment - Intangible Assets Indefinite-lived intangible assets are tested annually for impairment during the fourth not may Impairment of indefinite-lived intangibles is determined using a two first not no may none, |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | Goodwill Goodwill represents the excess purchase price over the fair value of identifiable assets received attributable to business combinations. Goodwill is measured for impairment at least annually, or whenever events and circumstances arise that indicate an impairment may Impairment December 31, 2023 There were no 2023. December 31, 2023 December 31, 2022 ( Goodwill recorded on acquisition of Temporary Alternatives 375 Goodwill recorded on acquisition of Dubin 200 Goodwill recorded on acquisition of Northbound 500 Goodwill recorded on acquisition of MRI 4,795 Goodwill balance at December 31, 2023 $ 5,870 Impairment - Goodwill Goodwill is tested annually for impairment during the third not may For purposes of our impairment test, we operate as a single reporting unit. Determining the fair value of a reporting unit when performing a quantitative impairment test involves the use of significant estimates and assumptions by management. Different judgments relating to the determination of reporting units could significantly affect the testing of goodwill for impairment and the amount of any impairment recognized. When evaluating goodwill for impairment, we have the option to first not not not no Based on our annual assessment, we have concluded that it is more likely than not not |
Income Tax, Policy [Policy Text Block] | Provision for Income Taxes We account for income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry forwards. We measure deferred tax assets and liabilities using enacted tax rates expected to apply to taxable income in the years in which we expect to recover or settle those deferred amounts. We record valuation allowances for deferred tax assets that more likely than not not We analyze our filing positions in all jurisdictions where we are required to file returns and identify any positions that would require a liability for unrecognized income tax positions to be recognized. If we are assessed penalties and/or interest, penalties will be charged to selling, general, and administrative expense and interest will be charged to interest expense. The federal Work Opportunity Tax Credit (“WOTC”) is a source of fluctuation in our effective income tax rate. The WOTC is designed to encourage the hiring of workers from certain disadvantaged targeted categories and is generally calculated as a percentage of wages over a twelve December 31, 2025. |
Business Combinations Policy [Policy Text Block] | Business Combinations We account for business acquisitions under the acquisition method of accounting by recognizing identifiable tangible and intangible assets acquired, liabilities assumed, and non-controlling interests in the acquired business at their fair values. We record the portion of the purchase price that exceeds the fair value of the identifiable tangible and intangible assets acquired and liabilities assumed, if any, as goodwill. Any gain on a bargain purchase is recognized immediately. We recognize identifiable assets acquired and liabilities assumed in a business combination regardless of whether they have been previously recognized by the acquiree prior to the acquisition. We expense acquisition related costs as we incur them. Our acquisitions may Asset Acquisitions When we purchase a group of assets in a transaction that is not not not may |
Earnings Per Share, Policy [Policy Text Block] | Earnings per Share We calculate basic earnings (loss) per share by dividing net income or loss available to common stockholders by the weighted average number of common shares outstanding. We do not December 31, 2023 December 31, 2022 Diluted common shares outstanding were calculated using the treasury stock method and are as follows (in thousands): Year ended December 31, December 31, 2023 2022 Weighted average number of common shares used in basic net income per common share 13,733 13,654 Dilutive effects of stock options and unvested restricted stock 68 67 Weighted average number of common shares used in diluted net income per common share 13,801 13,721 |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment We record property and equipment at cost. We compute depreciation using the straight-line method over the estimated useful lives. Land is not ● Buildings – 40 years ● Building improvements – 15 years ● Computers, furniture, and equipment – 5 to 7 years. ● Leasehold improvements – lesser of useful life or remaining lease term |
Receivable [Policy Text Block] | Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable consist of amounts due for staffing services from customers of franchisees and of accounts receivable originating at company-owned locations. At December 31, 2023 December 31, 2022, not For contract staffing services provided by MRI offices and for our company-owned office, we record accounts receivable at face value less an allowance for doubtful accounts. We determine the allowance for doubtful accounts based on historical write-off experience, the age of the receivable, other qualitative factors and extenuating circumstances, and current economic data which represents our best estimate of the amount of probable losses on these accounts receivable, if any. We review the allowance for doubtful accounts periodically and write off past due balances when it is probable that the receivable will not December 31, 2023 December 31, 2022, |
Advertising Cost [Policy Text Block] | Advertising and Marketing Costs We expense advertising and marketing costs as we incur them. These costs were $1.2 million and $272 thousand in 2023 2022, |
Fair Value Measurement, Policy [Policy Text Block] | Fair Value Measures Fair value is the price that would be received to sell an asset, or paid to transfer a liability, in the principal or most advantageous market for the asset or liability in an ordinary transaction between market participants on the measurement date. Our policy on fair value measures requires us to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The policy establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The policy prioritizes the inputs into three may Level 1: Level 2: Level 3: The carrying amounts of cash, accounts receivable, accounts payable, the line of credit and all other current assets and liabilities approximate fair values due to their short-term nature. The fair value of notes receivable approximates the amortized cost basis as adjusted by an allowance for credit losses, as we believe the stated interest rates reflects the prevailing market rates given our unique collateral position and the scarce capital resources willing to finance a franchise. The fair value of the term loan payable approximates its carrying value because current rates for similar borrowings do not December 31, 2023 Total Level 1 Level 2 Level 3 Cash $ 1,342 $ 1,342 $ - $ - Notes receivable 9,622 - 9,622 - Accounts receivable 44,394 - 44,394 - Total assets at fair value $ 55,358 $ 1,342 $ 54,016 $ - Term loan payable $ 646 $ - $ 646 $ - Line of credit 14,119 - 14,119 - Total liabilities at fair value $ 14,765 $ - $ 14,765 $ - December 31, 2022 Total Level 1 Level 2 Level 3 Cash $ 3,049 $ 3,049 $ - $ - Notes receivable 3,492 - 3,492 - Accounts receivable 45,728 - 45,728 - Total assets at fair value $ 52,269 $ 3,049 $ 49,220 $ - Term loan payable $ 3,995 $ - $ 3,995 $ - Line of credit 12,543 - 12,543 - Total liabilities at fair value $ 16,538 $ - $ 16,538 $ - For additional information related to our impaired notes receivable, see Note 13 Notes Receivable |
Discontinued Operations, Policy [Policy Text Block] | Discontinued Operations Company-owned offices that have been disposed of by sale, disposed of other than by sale, or are classified as held-for-sale are reported separately as discontinued operations. In addition, a newly acquired business that on acquisition meets the held-for-sale criteria will be reported as discontinued operations. Accordingly, the assets and liabilities, operating results, and cash flows for these businesses are presented separate from our continuing operations, for all periods presented in our consolidated financial statements and footnotes, unless indicated otherwise. The assets and liabilities of a discontinued operation held-for-sale are measured at the lower of the carrying value or fair value less cost to sell. |
Postemployment Benefit Plans, Policy [Policy Text Block] | Savings Plan We have a savings plan that qualifies under Section 401 401 may first 3% 3%, December 31, 2023 December 31, 2022, |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Adopted And Not In June 2016, 2016 13, Financial Instruments Credit Losses (Topic 326 not first 2023. not In March 2020, 2020 04, Reference Rate Reform (Topic 848 December 21, 2022, 2022 06, Reference Rate Reform (Topic 848 848 2022 04. February 28, 2023 no In October 2021, 2021 08, Business Combinations Accounting for Contract Assets and Contract Liabilities from Contracts with Customers. 606 January 1, 2023 not In October 2023, 2023 06, Disclosure Improvements: Codification Amendments in Response to the SEC s Disclosure Update and Simplification Initiative No. 33 10532, August 17, 2018, 2023 06 14 27 X not In November 2023, 2023 07, Segment Reporting (Topic 280 December 15, 2023, December 15, 2024. 2023 07 not In December 2023, 2023 09, Income Taxes (Topic 740 December 15, 2024, 2023 09 not There are no |
Note 1 - Overview and Summary_2
Note 1 - Overview and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Year ended December 31, December 31, 2023 2022 HireQuest Direct model $ 15,640 $ 16,224 HireQuest, Snelling, DriverQuest, HireQuest Health, and Northbound 12,318 12,204 MRI 7,855 469 Total $ 35,813 $ 28,897 |
Schedule of Goodwill [Table Text Block] | Goodwill recorded on acquisition of Temporary Alternatives 375 Goodwill recorded on acquisition of Dubin 200 Goodwill recorded on acquisition of Northbound 500 Goodwill recorded on acquisition of MRI 4,795 Goodwill balance at December 31, 2023 $ 5,870 |
Schedule of Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Table Text Block] | Year ended December 31, December 31, 2023 2022 Weighted average number of common shares used in basic net income per common share 13,733 13,654 Dilutive effects of stock options and unvested restricted stock 68 67 Weighted average number of common shares used in diluted net income per common share 13,801 13,721 |
Fair Value, Assets Measured on Recurring and Nonrecurring Basis [Table Text Block] | December 31, 2023 Total Level 1 Level 2 Level 3 Cash $ 1,342 $ 1,342 $ - $ - Notes receivable 9,622 - 9,622 - Accounts receivable 44,394 - 44,394 - Total assets at fair value $ 55,358 $ 1,342 $ 54,016 $ - Term loan payable $ 646 $ - $ 646 $ - Line of credit 14,119 - 14,119 - Total liabilities at fair value $ 14,765 $ - $ 14,765 $ - December 31, 2022 Total Level 1 Level 2 Level 3 Cash $ 3,049 $ 3,049 $ - $ - Notes receivable 3,492 - 3,492 - Accounts receivable 45,728 - 45,728 - Total assets at fair value $ 52,269 $ 3,049 $ 49,220 $ - Term loan payable $ 3,995 $ - $ 3,995 $ - Line of credit 12,543 - 12,543 - Total liabilities at fair value $ 16,538 $ - $ 16,538 $ - |
Note 2 - Acquisitions (Tables)
Note 2 - Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | Cash consideration $ 6,707 Net working capital payable 336 Total consideration $ 7,043 Customer lists $ 4,000 Accounts receivable 2,668 Goodwill 375 Purchase price allocation $ 7,043 Cash consideration $ 2,100 Note payable & net working capital payable 362 Total consideration $ 2,462 Customer relationships $ 1,600 Customer lists 200 Accounts receivable 462 Goodwill 200 Purchase price allocation $ 2,462 Cash consideration $ 9,600 Net working capital payable 328 Note payable 1,500 Total consideration $ 11,428 Customer relationships $ 7,700 Trade name 1,400 Accounts receivable 3,386 Other current assets 94 Goodwill 500 Current liabilities assumed (1,652 ) Purchase price allocation $ 11,428 Cash consideration $ 13,000 Contingent consideration 60 Net working capital payable 223 Total consideration $ 13,283 Franchise relationships $ 5,640 Trade name 2,180 Royalty receivable 575 Current assets 581 Goodwill 4,795 Current liabilities assumed (488 ) Purchase price allocation $ 13,283 Cash consideration $ 9,750 Total consideration $ 9,750 Customer relationships $ 9,750 |
Business Acquisition, Pro Forma Information [Table Text Block] | Year Ended December 31, 2023 December 31, 2022 Total revenue $ 37,882 $ 31,097 Net income 6,135 13,312 Basic earnings per share $ 0.45 $ 0.98 Basic weighted average shares outstanding 13,733 13,654 Diluted earnings per share $ 0.45 $ 0.98 Diluted weighted average shares outstanding 13,801 13,721 Year Ended December 31, 2023 December 31, 2022 Total revenue $ 37,882 $ 31,303 Net income 6,135 12,429 Basic earnings per share $ 0.45 $ 0.91 Basic weighted average shares outstanding 13,733 13,654 Diluted earnings per share $ 0.45 $ 0.91 Diluted weighted average shares outstanding 13,801 13,721 Year Ended December 31, 2023 December 31, 2022 Total revenue $ 37,882 $ 31,140 Net income 6,135 13,510 Basic earnings per share $ 0.45 $ 0.99 Basic weighted average shares outstanding 13,733 13,654 Diluted earnings per share $ 0.45 $ 0.99 Diluted weighted average shares outstanding 13,801 13,721 Year Ended December 31, 2023 December 31, 2022 Total revenue $ 37,882 $ 41,995 Net income 6,135 17,813 Basic earnings per share $ 0.45 $ 1.30 Basic weighted average shares outstanding 13,733 13,654 Diluted earnings per share $ 0.45 $ 1.30 Diluted weighted average shares outstanding 13,801 13,721 |
Note 3 - Related Party Transa_2
Note 3 - Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Related Party Transactions [Table Text Block] | December 31, December 31, 2023 2022 Due to franchisee $ 2,677 $ 1,154 Risk management incentive program liability 267 234 Year ended December 31, December 31, 2023 2022 Franchisee royalties $ 9,577 $ 8,676 |
Note 4 - Line of Credit and T_2
Note 4 - Line of Credit and Term Loans (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Maturities of Long-Term Debt [Table Text Block] | 2024 $ 514 2025 132 Total future maturities $ 646 |
Note 5 - Workers' Compensatio_2
Note 5 - Workers' Compensation Insurance and Reserves (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Changes in Workers Compensation Claims Liability [Table Text Block] | December 31, December 31, 2023 2022 Estimated future claims liabilities at the beginning of the period $ 5,925 $ 8,249 Claims paid during the period (5,192 ) (3,936 ) Additional future claims liabilities recorded during the period 5,904 1,612 Estimated future claims liabilities at the end of the period $ 6,637 $ 5,925 |
Note 6 - Analysis of Franchis_2
Note 6 - Analysis of Franchised and Company-Owned Offices (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Summary Of Franchised and Owned Branch Locations [Table Text Block] | Franchised offices, December 31, 2021 217 Purchased in 2022 (net of sold locations) 207 Opened in 2022 16 Closed in 2022 (5 ) Franchised offices, December 31, 2022 435 Purchased in 2023 7 Opened in 2023 14 Closed in 2023 (29 ) Franchised offices, December 31, 2023 427 |
Note 7 - Stockholders' Equity (
Note 7 - Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Dividends Declared [Table Text Block] | Declaration date Dividend Total paid March 1, 2022 $ 0.06 $ 822 June 1, 2022 0.06 827 September 1, 2022 0.06 829 December 1, 2022 0.06 833 March 1, 2023 0.06 833 June 1, 2023 0.06 835 September 1, 2023 0.06 836 December 1, 2023 0.06 836 |
Note 8 - Stock Based Compensa_2
Note 8 - Stock Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Share-Based Payment Arrangement, Restricted Stock and Restricted Stock Unit, Activity [Table Text Block] | Shares Weighted average grant date price Non-vested, December 31, 2021 196 11.26 Granted 173 15.97 Vested (167 ) 11.46 Non-vested, December 31, 2022 202 15.15 Granted 79 19.43 Vested (126 ) 15.50 Non-vested, December 31, 2023 155 17.52 |
Share-Based Payment Arrangement, Option, Activity [Table Text Block] | Number of shares underlying options Weighted average exercise price per share Weighted average grant date fair value Outstanding, December 31, 2021 13 $ 5.47 $ 2.98 Granted - - - Outstanding, December 31, 2022 13 5.47 2.98 Granted - - - Outstanding, December 31, 2023 13 5.47 2.98 |
Schedule of Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Grant Date Intrinsic Value [Table Text Block] | Number of shares underlying options Weighted average exercise price per share Weighted average remaining contractual life (years) Aggregate intrinsic value Outstanding 13 $ 5.47 4.23 $ 128 Exercisable 13 5.47 4.23 128 |
Note 9 - Property and Equipme_2
Note 9 - Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | December 31, December 31, 2023 2022 Land $ 472 $ 472 Buildings and improvements 4,147 4,115 Furniture and fixtures 730 663 Accumulated depreciation (1,069 ) (897 ) Total property and equipment, net $ 4,280 $ 4,353 |
Note 10 - Intangible Assets (Ta
Note 10 - Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | December 31, 2023 December 31, 2022 Estimated useful life (in years) Gross Accumulated amortization Net Gross Accumulated amortization Net Finite-lived intangible assets: Franchise agreements 15 $ 25,556 $ (4,116 ) $ 21,440 $ 25,556 $ (2,412 ) $ 23,144 Customer lists 10 - - - - - - Purchased software 7 3,200 (1,029 ) 2,171 3,200 (571 ) 2,629 Internally developed software 5 2,683 (498 ) 2,185 2,294 (39 ) 2,255 Total finite-lived intangible assets $ 31,439 $ (5,643 ) $ 25,796 $ 31,050 $ (3,022 ) $ 28,028 Indefinite-lived intangible assets: Domain name Indefinite $ 2,226 $ - $ 2,226 $ 2,226 $ - $ 2,226 Trade name Indefinite 3,580 - $ 3,580 3,580 - 3,580 Total intangible assets $ 37,245 $ (5,643 ) $ 31,602 $ 36,856 $ (3,022 ) $ 33,834 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | 2024 $ 2,625 2025 2,626 2026 2,625 2027 2,587 2028 2,051 Thereafter 13,282 Total future amortization $ 25,796 |
Note 12 - Income Tax (Tables)
Note 12 - Income Tax (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | December 31, December 31, 2023 2022 Current taxes Federal $ 1,080 $ 1,874 State 614 434 Total current taxes 1,694 2,308 Deferred taxes Federal (332 ) (279 ) State (17 ) (134 ) Total deferred taxes (349 ) (413 ) Provision for income taxes $ 1,345 $ 1,895 |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | December 31, December 31, 2023 2022 Deferred tax assets Workers' compensation claims liability 1,578 $ 1,227 Bad debt reserve 49 17 Accrued vacation 80 73 Impairment of notes receivable 153 63 Stock based compensation 92 268 Net operating loss carryforward 92 123 Other 40 87 Total deferred tax asset 2,084 1,858 Deferred tax liabilities Depreciation and amortization (1,702 ) (1,918 ) Deferred gain on installment sale (57 ) - Total deferred tax liabilities (1,759 ) (1,918 ) Total deferred taxes, net $ 325 $ (60 ) |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | December 31, 2023 December 31, 2022 Income tax expense based on statutory rate $ 1,634 21.0 % $ 2,913 21.0 % Non-deductible executive compensation 142 1.8 % 120 0.9 % Stock based compensation (77 ) (1.0 )% (75 ) (0.5 )% State income taxes expense net of federal taxes 468 6.0 % 210 1.5 % WOTC (925 ) (11.9 )% (1,269 ) (9.1 )% Other 103 1.3 % (4 ) (0.0 )% Total taxes on income $ 1,345 17.3 % $ 1,895 13.7 % |
Note 13 - Notes Receivable (Tab
Note 13 - Notes Receivable (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | December 31, 2023 December 31, 2022 Note receivable $ 10,245 $ 3,752 Allowance for losses (623 ) (260 ) Notes receivable, net $ 9,622 $ 3,492 |
Note 14 - Discontinued Operat_2
Note 14 - Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Notes Tables | |
Disposal Groups, Including Discontinued Operations [Table Text Block] | Year ended December 31, December 31, 2023 2022 Revenue $ 1,777 $ 6,313 Cost of staffing services 1,145 4,505 Gross profit 632 1,808 Selling, general and administrative expense (713 ) (795 ) Gain on sale of intangible assets 197 - Amortization - (384 ) Impairment of intangible asset (514 ) - Net (loss) income before income taxes (398 ) 629 (Benefit) provision for income taxes (98 ) 146 Net (loss) income $ (300 ) $ 483 |
Note 1 - Overview and Summary_3
Note 1 - Overview and Summary of Significant Accounting Policies (Details Textual) shares in Thousands | 1 Months Ended | 12 Months Ended | ||||||
Dec. 12, 2022 USD ($) | Feb. 28, 2022 USD ($) | Feb. 21, 2022 USD ($) | Jan. 24, 2022 USD ($) | Jan. 19, 2022 USD ($) | Dec. 31, 2023 USD ($) | Dec. 31, 2023 USD ($) shares | Dec. 31, 2022 USD ($) shares | |
Number of Franchisee Owned Offices | 427 | 427 | ||||||
Number of States in which Entity Operates | 42 | 42 | ||||||
Entity Number of Employees | 73,000 | 73,000 | ||||||
Financing Receivable, Allowance for Credit Loss, Ending Balance | $ 623,000 | $ 623,000 | $ 260,000 | |||||
Impairment Reserve on Notes Receivable | 0 | 0 | 0 | |||||
Debt Issuance Costs, Noncurrent, Net, Total | 109,000 | 109,000 | 334,000 | |||||
Impairment of Intangible Assets (Excluding Goodwill), Total | $ 0 | $ 0 | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares) | shares | 155 | 215 | ||||||
Accounts Receivable, Allowance for Credit Loss, Ending Balance | $ 199,000 | $ 199,000 | $ 70,000 | |||||
Marketing and Advertising Expense | $ 1,200 | 272,000 | ||||||
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 4% | |||||||
Defined Contribution Plan, Cost | $ 70,000 | $ 62,000 | ||||||
First Three Percent [Member] | ||||||||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 100% | |||||||
Beyond Three Percent [Member] | ||||||||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 50% | |||||||
Building [Member] | ||||||||
Property, Plant and Equipment, Useful Life (Year) | 40 years | 40 years | ||||||
Building Improvements [Member] | ||||||||
Property, Plant and Equipment, Useful Life (Year) | 15 years | 15 years | ||||||
HireQuest, HireQuest Health, Snelling, DriverQuest, Link & Northbound [Member] | ||||||||
Royalty Fees, Percentage of Payroll | 4.50% | 4.50% | ||||||
Revenue, Percentage of Gross Margin | 18% | 18% | ||||||
Minimum [Member] | ||||||||
Percentage of Sales for Services | 6% | 6% | ||||||
Royalty Fees, Percentage of Contractor Payments | 4% | 4% | ||||||
Finite-Lived Intangible Asset, Useful Life (Year) | 5 years | 5 years | ||||||
Accounts Receivable Age Dates (Day) | 42 days | |||||||
Minimum [Member] | Equipment [Member] | ||||||||
Property, Plant and Equipment, Useful Life (Year) | 5 years | 5 years | ||||||
Minimum [Member] | MRI Franchise [Member] | ||||||||
Royalty Fees, Percentage of Payroll | 20% | 20% | ||||||
Minimum [Member] | Franchise [Member] | ||||||||
Percentage of Sales for Services | 5% | 5% | ||||||
Maximum [Member] | ||||||||
Percentage of Sales for Services | 8% | 8% | ||||||
Royalty Fees, Percentage of Contractor Payments | 10% | 10% | ||||||
Finite-Lived Intangible Asset, Useful Life (Year) | 15 years | 15 years | ||||||
Accounts Receivable Age Dates (Day) | 84 days | |||||||
Maximum [Member] | Equipment [Member] | ||||||||
Property, Plant and Equipment, Useful Life (Year) | 7 years | 7 years | ||||||
Maximum [Member] | MRI Franchise [Member] | ||||||||
Royalty Fees, Percentage of Payroll | 25% | 25% | ||||||
Maximum [Member] | Franchise [Member] | ||||||||
Percentage of Sales for Services | 8% | 8% | ||||||
TEC Staffing Services [Member] | ||||||||
Significant Changes, Franchises Purchased During Period | 10 | |||||||
Business Combination, Consideration Transferred, Total | $ 9,800,000 | |||||||
Temporary Alternatives [Member] | ||||||||
Significant Changes, Franchises Purchased During Period | 3 | |||||||
Business Combination, Consideration Transferred, Total | $ 7,000,000 | |||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 336,000 | |||||||
Dubin [Member] | ||||||||
Business Combination, Consideration Transferred, Total | $ 2,500,000 | 7,043,000 | $ 2,500,000 | $ 2,462,000 | ||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 336,000 | $ 362,000 | ||||||
Dubin [Member] | Adjusted Net Working Capital Payable [Member] | ||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 62,000 | |||||||
Dubin [Member] | Notes Payable, Other Payables [Member] | ||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 300,000 | |||||||
Northbound [Member] | ||||||||
Business Combination, Consideration Transferred, Total | $ 11,428,000 | |||||||
Northbound [Member] | Adjusted Net Working Capital Payable [Member] | ||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 328,000 | |||||||
Northbound [Member] | Notes Payable, Other Payables [Member] | ||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 1,500,000 | |||||||
MRINetwork [Member] | ||||||||
Business Combination, Consideration Transferred, Total | $ 13,283,000 | |||||||
MRINetwork [Member] | Adjusted Net Working Capital Payable [Member] | ||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 223,000 | |||||||
MRINetwork [Member] | Contingent Consideration Liability [Member] | ||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 60,000 |
Note 1 -Overview and Summary of
Note 1 -Overview and Summary of Significant Accounting Policies - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Revenue from Contract with Customer, Including Assessed Tax | $ 35,813 | $ 28,897 |
HireQuest Direct [Member] | ||
Revenue from Contract with Customer, Including Assessed Tax | 15,640 | 16,224 |
HireQuest, Snelling, DriverQuest, HireQuest Health, and Northbound [Member] | ||
Revenue from Contract with Customer, Including Assessed Tax | 12,318 | 12,204 |
MRINetwork [Member] | ||
Revenue from Contract with Customer, Including Assessed Tax | $ 7,855 | $ 469 |
Note 1 - Overview and Summary_4
Note 1 - Overview and Summary of Significant Accounting Policies - Goodwill (Details) - USD ($) $ in Thousands | 10 Months Ended | 11 Months Ended | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2023 | |
Goodwill balance | $ 5,870 | $ 5,870 | $ 5,870 | $ 5,870 |
Temporary Alternatives [Member] | ||||
Goodwill recorded on acquisition | $ 375 | 375 | ||
Dubin [Member] | ||||
Goodwill recorded on acquisition | $ 200 | 200 | ||
Goodwill balance | 200 | |||
Northbound [Member] | ||||
Goodwill recorded on acquisition | $ 500 | 500 | ||
MRINetwork [Member] | ||||
Goodwill recorded on acquisition | $ 4,795 |
Note 1 - Overview and Summary_5
Note 1 - Overview and Summary of Significant Accounting Policies - Diluted Common Shares Outstanding (Details) - shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Basic (in shares) | 13,733 | 13,654 |
Dilutive effects of stock options and unvested restricted stock (in shares) | 68 | 67 |
Weighted average number of common shares used in diluted net income per common share (in shares) | 13,801 | 13,721 |
Note 1 - Overview and Summary_6
Note 1 - Overview and Summary of Significant Accounting Policies - Fair Value of Cash, Notes Receivable and Accounts Receivable (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Cash | $ 1,342 | $ 3,049 |
Notes receivable, net | 9,600 | 3,500 |
Fair Value, Inputs, Level 1 [Member] | ||
Cash | 1,342 | 3,049 |
Notes receivable, net | 0 | 0 |
Accounts receivable | 0 | 0 |
Total assets at fair value | 1,342 | 3,049 |
Term loan payable | 0 | 0 |
Line of credit | 0 | 0 |
Total liabilities at fair value | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Cash | 0 | 0 |
Notes receivable, net | 9,622 | 3,492 |
Accounts receivable | 44,394 | 45,728 |
Total assets at fair value | 54,016 | 49,220 |
Term loan payable | 646 | 3,995 |
Line of credit | 14,119 | 12,543 |
Total liabilities at fair value | 14,765 | 16,538 |
Fair Value, Inputs, Level 3 [Member] | ||
Cash | 0 | 0 |
Notes receivable, net | 0 | 0 |
Accounts receivable | 0 | 0 |
Total assets at fair value | 0 | 0 |
Term loan payable | 0 | 0 |
Line of credit | 0 | 0 |
Total liabilities at fair value | 0 | 0 |
Reported Value Measurement [Member] | ||
Cash | 1,342 | 3,049 |
Notes receivable, net | 9,622 | 3,492 |
Accounts receivable | 44,394 | 45,728 |
Total assets at fair value | 55,358 | 52,269 |
Term loan payable | 646 | 3,995 |
Line of credit | 14,119 | 12,543 |
Total liabilities at fair value | $ 14,765 | $ 16,538 |
Note 2 - Acquisitions (Details
Note 2 - Acquisitions (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 10 Months Ended | 11 Months Ended | 12 Months Ended | |||||||
Dec. 12, 2022 | Feb. 28, 2022 | Feb. 21, 2022 | Jan. 24, 2022 | Jan. 19, 2022 | Mar. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Revenue from Contract with Customer, Including Assessed Tax | $ 35,813 | $ 28,897 | |||||||||
Proceeds from Divestiture of Businesses | 2,273 | 9,317 | |||||||||
Assets Acquired in the TEC Agreement [Member] | Discontinued Operations, Held-for-Sale or Disposed of by Sale [Member] | |||||||||||
Proceeds from Sale of Productive Assets | 7,600 | ||||||||||
Gain (Loss) on Disposition of Assets, Total | (2,100) | ||||||||||
Term Loan in Connection with Northbound Acquisition [Member] | |||||||||||
Debt Instrument, Face Amount | $ 1,500 | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 4% | ||||||||||
Temporary Alternatives [Member] | Royalty [Member] | |||||||||||
Revenue from Contract with Customer, Including Assessed Tax | 523 | ||||||||||
Dubin [Member] | Royalty [Member] | |||||||||||
Revenue from Contract with Customer, Including Assessed Tax | 104 | ||||||||||
Northbound [Member] | Royalty [Member] | |||||||||||
Revenue from Contract with Customer, Including Assessed Tax | 1,100 | ||||||||||
MRINetwork [Member] | |||||||||||
Revenue from Contract with Customer, Including Assessed Tax | 7,900 | ||||||||||
TEC Staffing Services [Member] | |||||||||||
Revenue from Contract with Customer, Including Assessed Tax | 107 | ||||||||||
Temporary Alternatives [Member] | |||||||||||
Business Combination, Consideration Transferred, Total | $ 7,000 | ||||||||||
Business Combination, Provisional Information, Initial Accounting Incomplete, Adjustment, Intangibles | $ (375) | ||||||||||
Business Combination, Provisional Information, Initial Accounting Incomplete, Adjustment, Financial Assets | (3) | ||||||||||
Goodwill, Acquired During Period | $ 375 | 375 | |||||||||
Proceeds from Divestiture of Businesses | 2,900 | ||||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 336 | ||||||||||
Temporary Alternatives [Member] | Other Miscellaneous Income [Member] | |||||||||||
Gain (Loss) on Disposition of Assets Acquired in Acquisition | (1,100) | ||||||||||
Temporary Alternatives [Member] | Other Miscellaneous Income [Member] | Previously Reported [Member] | |||||||||||
Gain (Loss) on Disposition of Assets Acquired in Acquisition | $ (1,500) | ||||||||||
Temporary Alternatives [Member] | Other Miscellaneous Income [Member] | Revision of Prior Period, Adjustment [Member] | |||||||||||
Gain (Loss) on Disposition of Assets Acquired in Acquisition | 375 | ||||||||||
Dubin [Member] | |||||||||||
Business Combination, Consideration Transferred, Total | $ 2,500 | 7,043 | $ 2,500 | 2,462 | |||||||
Goodwill, Acquired During Period | $ 200 | 200 | |||||||||
Proceeds from Divestiture of Businesses | 350 | ||||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 336 | 362 | |||||||||
Dubin [Member] | Adjusted Net Working Capital Payable [Member] | |||||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 62 | ||||||||||
Dubin [Member] | Notes Payable, Other Payables [Member] | |||||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 300 | ||||||||||
Dubin [Member] | Customer Relationships [Member] | |||||||||||
Business Combination, Provisional Information, Initial Accounting Incomplete, Adjustment, Intangibles | 972 | ||||||||||
Dubin [Member] | Customer Lists [Member] | |||||||||||
Business Combination, Provisional Information, Initial Accounting Incomplete, Adjustment, Intangibles | $ (772) | ||||||||||
Dubin [Member] | Other Miscellaneous Income [Member] | |||||||||||
Gain (Loss) on Disposition of Assets Acquired in Acquisition | 150,000 | ||||||||||
Dubin [Member] | Other Miscellaneous Income [Member] | Previously Reported [Member] | |||||||||||
Gain (Loss) on Disposition of Assets Acquired in Acquisition | (478) | ||||||||||
Dubin [Member] | Other Miscellaneous Income [Member] | Revision of Prior Period, Adjustment [Member] | |||||||||||
Gain (Loss) on Disposition of Assets Acquired in Acquisition | 628 | ||||||||||
Northbound [Member] | |||||||||||
Business Combination, Consideration Transferred, Total | $ 11,428 | ||||||||||
Business Combination, Provisional Information, Initial Accounting Incomplete, Adjustment, Financial Assets | $ 363 | ||||||||||
Goodwill, Acquired During Period | 500 | 500 | |||||||||
Proceeds from Divestiture of Businesses | 6,400 | ||||||||||
Business Combination, Provisional Information, Initial Accounting Incomplete, Adjustment, Other Current Assets | (34) | ||||||||||
Business Combination, Provisional Information, Initial Accounting Incomplete, Adjustment, Other Liabilities | 64 | ||||||||||
Northbound [Member] | Adjusted Net Working Capital Payable [Member] | |||||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 328 | ||||||||||
Northbound [Member] | Notes Payable, Other Payables [Member] | |||||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 1,500 | ||||||||||
Northbound [Member] | Customer Relationships [Member] | |||||||||||
Business Combination, Provisional Information, Initial Accounting Incomplete, Adjustment, Intangibles | (389) | ||||||||||
Northbound [Member] | Trade Names [Member] | |||||||||||
Business Combination, Provisional Information, Initial Accounting Incomplete, Adjustment, Intangibles | $ (111) | ||||||||||
Northbound [Member] | Other Miscellaneous Income [Member] | |||||||||||
Gain (Loss) on Disposition of Assets Acquired in Acquisition | (1,300) | ||||||||||
Northbound [Member] | Other Miscellaneous Income [Member] | Previously Reported [Member] | |||||||||||
Gain (Loss) on Disposition of Assets Acquired in Acquisition | $ (1,700) | ||||||||||
Northbound [Member] | Other Miscellaneous Income [Member] | Revision of Prior Period, Adjustment [Member] | |||||||||||
Gain (Loss) on Disposition of Assets Acquired in Acquisition | $ 389 | ||||||||||
MRINetwork [Member] | |||||||||||
Business Combination, Consideration Transferred, Total | $ 13,283 | ||||||||||
Goodwill, Acquired During Period | $ 4,795 | ||||||||||
MRINetwork [Member] | Contingent Consideration Liability [Member] | |||||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 60 | ||||||||||
MRINetwork [Member] | Adjusted Net Working Capital Payable [Member] | |||||||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 223 |
Note 2 - Acquisitions - Identif
Note 2 - Acquisitions - Identifiable Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||||||
Dec. 12, 2022 | Feb. 28, 2022 | Feb. 21, 2022 | Jan. 24, 2022 | Jan. 19, 2022 | Dec. 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Cash consideration | $ 9,750 | $ 32,355 | ||||||
Goodwill | $ 5,870 | 5,870 | $ 5,870 | |||||
Assets Acquired in the TEC Agreement [Member] | ||||||||
Cash consideration | 9,750 | |||||||
Total consideration | 9,750 | |||||||
Customer relationships | 9,750 | 9,750 | ||||||
Dubin [Member] | ||||||||
Cash consideration | $ 6,707 | 2,100 | ||||||
Net working capital payable | 336 | 362 | ||||||
Total consideration | $ 2,500 | 7,043 | $ 2,500 | 2,462 | ||||
Accounts receivable | 2,668 | 462 | 462 | |||||
Goodwill | 375 | 200 | 200 | |||||
Business Combination, Consideration Transferred, Total | 2,500 | 7,043 | $ 2,500 | 2,462 | ||||
Purchase price allocation | 2,462 | |||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 336 | 362 | ||||||
Dubin [Member] | Customer Lists [Member] | ||||||||
Identifiable intangible assets | $ 4,000 | 200 | 200 | |||||
Dubin [Member] | Customer Relationships [Member] | ||||||||
Identifiable intangible assets | $ 1,600 | $ 1,600 | ||||||
Dubin [Member] | Notes Payable, Other Payables [Member] | ||||||||
Net working capital payable | 300 | |||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 300 | |||||||
Dubin [Member] | Adjusted Net Working Capital Payable [Member] | ||||||||
Net working capital payable | 62 | |||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 62 | |||||||
Northbound [Member] | ||||||||
Cash consideration | $ 9,600 | |||||||
Total consideration | 11,428 | |||||||
Accounts receivable | 3,386 | |||||||
Goodwill | 500 | |||||||
Business Combination, Consideration Transferred, Total | 11,428 | |||||||
Other current assets | 94 | |||||||
Current liabilities assumed | (1,652) | |||||||
Northbound [Member] | Customer Relationships [Member] | ||||||||
Identifiable intangible assets | 7,700 | |||||||
Northbound [Member] | Trade Names [Member] | ||||||||
Identifiable intangible assets | 1,400 | |||||||
Northbound [Member] | Notes Payable, Other Payables [Member] | ||||||||
Net working capital payable | 1,500 | |||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 1,500 | |||||||
Northbound [Member] | Adjusted Net Working Capital Payable [Member] | ||||||||
Net working capital payable | 328 | |||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 328 | |||||||
MRINetwork [Member] | ||||||||
Cash consideration | $ 13,000 | |||||||
Total consideration | 13,283 | |||||||
Goodwill | 4,795 | |||||||
Business Combination, Consideration Transferred, Total | 13,283 | |||||||
Current liabilities assumed | (488) | |||||||
Royalty receivable | 575 | |||||||
Current assets | 581 | |||||||
MRINetwork [Member] | Franchise Relationships [Member] | ||||||||
Identifiable intangible assets | 5,640 | |||||||
MRINetwork [Member] | Trade Names [Member] | ||||||||
Identifiable intangible assets | 2,180 | |||||||
MRINetwork [Member] | Adjusted Net Working Capital Payable [Member] | ||||||||
Net working capital payable | 223 | |||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 223 | |||||||
MRINetwork [Member] | Contingent Consideration Liability [Member] | ||||||||
Net working capital payable | 60 | |||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 60 |
Note 2 - Acquisitions - Pro For
Note 2 - Acquisitions - Pro Forma Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Temporary Alternatives [Member] | ||
Total revenue | $ 37,882 | $ 31,097 |
Net income | $ 6,135 | $ 13,312 |
Basic earnings per share (in dollars per share) | $ 0.45 | $ 0.98 |
Basic weighted average shares outstanding (in shares) | 13,733 | 13,654 |
Diluted earnings per share (in dollars per share) | $ 0.45 | $ 0.98 |
Diluted weighted average shares outstanding (in shares) | 13,801 | 13,721 |
Dubin [Member] | ||
Total revenue | $ 37,882 | $ 31,303 |
Net income | $ 6,135 | $ 12,429 |
Basic earnings per share (in dollars per share) | $ 0.45 | $ 0.91 |
Basic weighted average shares outstanding (in shares) | 13,733 | 13,654 |
Diluted earnings per share (in dollars per share) | $ 0.45 | $ 0.91 |
Diluted weighted average shares outstanding (in shares) | 13,801 | 13,721 |
Northbound [Member] | ||
Total revenue | $ 37,882 | $ 31,140 |
Net income | $ 6,135 | $ 13,510 |
Basic earnings per share (in dollars per share) | $ 0.45 | $ 0.99 |
Basic weighted average shares outstanding (in shares) | 13,733 | 13,654 |
Diluted earnings per share (in dollars per share) | $ 0.45 | $ 0.99 |
Diluted weighted average shares outstanding (in shares) | 13,801 | 13,721 |
MRINetwork [Member] | ||
Total revenue | $ 37,882 | $ 41,995 |
Net income | $ 6,135 | $ 17,813 |
Basic earnings per share (in dollars per share) | $ 0.45 | $ 1.3 |
Basic weighted average shares outstanding (in shares) | 13,733 | 13,654 |
Diluted earnings per share (in dollars per share) | $ 0.45 | $ 1.3 |
Diluted weighted average shares outstanding (in shares) | 13,801 | 13,721 |
Note 3 - Related Party Transa_3
Note 3 - Related Party Transactions (Details Textual) | 12 Months Ended | ||
Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 | |
Franchised and Owned Branch Locations | 427 | 435 | 217 |
Number of Offices | 427 | 435 | |
Jackson Insurance Agency and Bass Underwriters Inc [Member] | |||
Related Party Transaction, Amounts of Transaction | $ 1,700 | $ 336,000 | |
Insurance Technologies [Member] | |||
Related Party Transaction, Amounts of Transaction | 443,000 | 245,000 | |
Accounts Payable | 0 | 35,000 | |
Worlds Franchisees [Member] | |||
Related Party Transaction, Amounts of Transaction | $ 9,577,000 | $ 8,676,000 | |
Number of Worlds Franchises | 34 | 27 | |
Franchised and Owned Branch Locations | 70 | 67 |
Note 3 - Related Party Transa_4
Note 3 - Related Party Transactions - Related Party Balances (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Due to franchisee | $ 9,881 | $ 9,846 |
Worlds Franchisees [Member] | ||
Due to franchisee | 2,677 | 1,154 |
Risk management incentive program liability | 267 | 234 |
Franchisee royalties | $ 9,577 | $ 8,676 |
Note 4 - Line of Credit and T_3
Note 4 - Line of Credit and Term Loans (Details Textual) | 12 Months Ended | |||
Feb. 28, 2023 USD ($) | Feb. 28, 2022 USD ($) | Jun. 29, 2021 USD ($) | Dec. 31, 2023 USD ($) | |
Line of Credit Facility, Interest Rate at Period End | 6.70% | |||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.25% | |||
Term Loan [Member] | ||||
Debt Instrument, Face Amount | $ 3,153,500 | |||
Term Loan in Connection with Northbound Acquisition [Member] | ||||
Debt Instrument, Face Amount | $ 1,500,000 | |||
Debt Instrument, Interest Rate, Stated Percentage | 4% | |||
Debt Instrument, Term (Month) | 36 months | |||
Obligations to Workers' Compensation Insurance Carrier [Member] | ||||
Letters of Credit Outstanding, Amount | 9,200,000 | |||
Paycard Funding Account [Member] | ||||
Letters of Credit Outstanding, Amount | $ 500,000 | |||
LIBOR - London Interbank Offered Rate [Member] | Term Loan [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 2% | |||
LIBOR - London Interbank Offered Rate [Member] | Minimum [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 1.25% | |||
LIBOR - London Interbank Offered Rate [Member] | Maximum [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 1.75% | |||
Base Rate [Member] | Term Loan [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 1% | |||
Base Rate [Member] | Minimum [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 0.25% | |||
Base Rate [Member] | Maximum [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 0.75% | |||
Bank of America [Member] | Revolving Credit Facility [Member] | ||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 50,000,000 | |||
Line of Credit Facility, Maximum Borrowing Capacity, One-time Right, Maximum Amount | $ 60,000,000 | |||
Line of Credit, Asset Coverage Ratio | 1 | |||
Line of Credit, Total Funded Debt to Adjusted EBITDA Ratio | 3 | |||
Line of Credit, Fixed Coverage Ratio | 1.25 | |||
Gain (Loss) on Extinguishment of Debt | $ (310,000) | |||
Bank of America [Member] | Revolving Credit Facility [Member] | BSBY Daily Floating Rate [Member] | Minimum [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 1% | |||
Bank of America [Member] | Revolving Credit Facility [Member] | BSBY Daily Floating Rate [Member] | Maximum [Member] | ||||
Debt Instrument, Basis Spread on Variable Rate | 1.75% | |||
Bank of America [Member] | Standby Letters of Credit [Member] | ||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 20,000,000 | |||
Truist [Member] | ||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 60,000,000 | $ 60,000,000 | ||
Letter of Credit [Member] | ||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 20,000,000 |
Note 4 - Line of Credit and T_4
Note 4 - Line of Credit and Term Loans - Future Maturities of Term Loans (Details) - Term Loan [Member] $ in Thousands | Dec. 31, 2023 USD ($) |
2024 | $ 514 |
2025 | 132 |
Total future maturities | $ 646 |
Note 5 - Workers' Compensatio_3
Note 5 - Workers' Compensation Insurance and Reserves (Details Textual) $ in Millions | Mar. 01, 2014 USD ($) |
Insurance Collateral Deposits | $ 9.2 |
Maximum [Member] | |
Insurance for Covered Losses and Expenses | $ 0.5 |
Note 5 - Workers' Compensatio_4
Note 5 - Workers' Compensation Insurance and Reserves - Changes in Workers' Compensation Claims Liability (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Estimated future claims liabilities at the beginning of the period | $ 5,925 | $ 8,249 |
Claims paid during the period | (5,192) | (3,936) |
Additional future claims liabilities recorded during the period | 5,904 | 1,612 |
Estimated future claims liabilities at the end of the period | $ 6,637 | $ 5,925 |
Note 6 - Analysis of Franchis_3
Note 6 - Analysis of Franchised and Company-Owned Offices (Details Textual) | Dec. 31, 2023 | Dec. 31, 2022 |
Number of Company-owned Office | 1 | 2 |
Note 6 - Analysis of Franchis_4
Note 6 - Analysis of Franchised and Company-owned Offices - Franchised and Owned Branch Locations (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Franchised and owned branch locations | 427 | 435 | 217 |
Purchased in 2022 (net of sold locations) | 7 | 207 | |
Opened | 14 | 16 | |
Closed | (29) | (5) |
Note 7 - Stockholders' Equity -
Note 7 - Stockholders' Equity - Common Share Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | |||||||||
Dec. 01, 2023 | Sep. 01, 2023 | Jun. 01, 2023 | Mar. 01, 2023 | Dec. 01, 2022 | Sep. 01, 2022 | Jun. 01, 2022 | Mar. 01, 2022 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Dividends per share (in dollars per share) | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | $ 0.06 | |
Total paid | $ 836 | $ 836 | $ 835 | $ 833 | $ 833 | $ 829 | $ 827 | $ 822 |
Note 8 - Stock Based Compensa_3
Note 8 - Stock Based Compensation (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Sep. 30, 2019 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 29, 2023 | Dec. 31, 2019 | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Vested in Period (in shares) | 13,000 | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Nonvested, Number of Shares, Ending Balance (in shares) | 0 | 0 | |||
Share price (in dollars per share) | $ 15.35 | ||||
Restricted Stock [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Vested in Period (in shares) | 126,000 | 167,000 | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 79,000 | 173,000 | |||
The 2019 Plan [Member] | Share-Based Payment Arrangement, Option [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant (in shares) | 1,500,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant Pursuant to Exercise of Incentive Stock Options (in shares) | 1,000,000 | ||||
The 2019 Plan [Member] | Share-Based Payment Arrangement, Option [Member] | Employee or Consultant [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant (in shares) | 250,000 | ||||
The 2019 Plan [Member] | Share-Based Payment Arrangement, Option [Member] | Non-employee Director [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant (in shares) | 50,000 | ||||
The 2019 Plan [Member] | Restricted Stock [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Shares Issued in Period (in shares) | 63,805 | ||||
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount | $ 1,600 | ||||
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year) | 3 years 10 months 24 days | ||||
The 2019 Plan [Member] | Restricted Stock [Member] | Board of Directors [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Shares Issued in Period (in shares) | 12,498 | 35,606 | |||
Stock Issued During Period, Value, Issued for Services | $ 231 | $ 536 | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Vested in Period (in shares) | 10,413 | 33,379 | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Month) | 3 months | 3 months | |||
The 2019 Plan [Member] | Restricted Stock [Member] | An Employee [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Shares Issued in Period (in shares) | 65,431 | 104,871 | |||
Stock Issued During Period, Value, Issued for Services | $ 1,300 | $ 1,600 | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Vested in Period (in shares) | 41,066 | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Month) | 3 months | ||||
The 2019 Plan [Member] | Restricted Stock [Member] | Chief Executive Officer [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Shares Issued in Period (in shares) | 55,000 | 50,000 | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Vested in Period (in shares) | 9,272 | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Month) | 3 months | 4 years | |||
The 2019 Plan [Member] | Restricted Stock [Member] | Certain Key Employees [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Month) | 4 years | ||||
The 2019 Plan [Member] | Restricted Stock [Member] | Workforce for Services [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Shares Issued in Period (in shares) | 28,735 | ||||
Stock Issued During Period, Value, Issued for Services | $ 537 | ||||
Share Purchase Match Program [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Matching Percentage of Common Stock Purchased | 20% | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Matching of Common Stock Purchased per Individual Within a Calendar Year | $ 25 | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Shares Issued in Period (in shares) | 9,375,000 | 10,000 | |||
Shares Granted, Value, Share-Based Payment Arrangement, before Forfeiture | $ 158 | $ 155 | |||
Share Purchase Match Program [Member] | Restricted Stock [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Shares Issued in Period (in shares) | 2,085 | ||||
Share Purchase Match Program [Member] | Restricted Stock [Member] | Board of Directors [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Shares Issued in Period (in shares) | 6,131 | 2,227 | |||
Share Purchase Match Program [Member] | Restricted Stock [Member] | Chief Executive Officer [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Shares Issued in Period (in shares) | 1,159 | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 3,805 |
Note 8 - Stock Based Compensa_4
Note 8 - Stock Based Compensation - Summary of Restricted Stock Activity (Details) - $ / shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Vested, shares (in shares) | (13) | |
Restricted Stock [Member] | ||
Non-vested, shares (in shares) | 202 | 196 |
Non-vested, Weighted average grant date price (in dollars per share) | $ 15.15 | $ 11.26 |
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 79 | 173 |
Granted, Weighted average grant date price (in dollars per share) | $ 19.43 | $ 15.97 |
Vested, shares (in shares) | (126) | (167) |
Vested, Weighted average grant date price (in dollars per share) | $ 15.5 | $ 11.46 |
Non-vested, shares (in shares) | 155 | 202 |
Non-vested, Weighted average grant date price (in dollars per share) | $ 17.52 | $ 15.15 |
Note 8 - Stock Based Compensa_5
Note 8 - Stock Based Compensation - Summary of Stock Options (Details) shares in Thousands | 12 Months Ended | |
Dec. 31, 2023 $ / shares shares | Dec. 31, 2022 $ / shares shares | |
Outstanding, shares (in shares) | shares | 13 | 13 |
Outstanding, Weighted average exercise price per shar (in dollars per share) | $ 5.47 | $ 5.47 |
Outstanding, Weighted average grant date fair value | 2,980 | 2,980 |
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross (in shares) | shares | 0 | 0 |
Granted, Weighted average exercise price per share (in dollars per share) | $ 0 | $ 0 |
Granted, Weighted average grant date fair value (in dollars per share) | $ 0 | $ 0 |
Outstanding, shares (in shares) | shares | 13 | 13 |
Outstanding, Weighted average exercise price per shar (in dollars per share) | $ 5.47 | $ 5.47 |
Outstanding, Weighted average grant date fair value | 2,980 | 2,980 |
Note 8 - Stock Based Compensa_6
Note 8 - Stock Based Compensation - Summary of Intrinsic Value (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Outstanding, number of shares underling options (in shares) | 13 | 13 | 13 |
Outstanding, weighted average exercise price per share (in dollars per share) | $ 5.47 | $ 5.47 | $ 5.47 |
Outstanding, weighted average remaining contractual life (Year) | 4 years 2 months 23 days | ||
Outstanding, aggregate intrinsic value | $ 128 | ||
Exercisable, number of shares underling options (in shares) | 13 | ||
Exercisable, weighted average exercise price per share (in dollars per share) | $ 5.47 | ||
Exercisable, weighted average remaining contractual life (Year) | 4 years 2 months 23 days | ||
Exercisable, aggregate intrinsic value | $ 128 |
Note 9 - Property and Equipme_3
Note 9 - Property and Equipment (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Depreciation, Total | $ 172 | $ 201 |
Other Miscellaneous Income [Member] | ||
Rental Income, Nonoperating | $ 186 | $ 195 |
Note 9 - Property and Equipme_4
Note 9 - Property and Equipment - Property and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Accumulated depreciation | $ (1,069) | $ (897) |
Total property and equipment, net | 4,280 | 4,353 |
Land [Member] | ||
Property and equipment, gross | 472 | 472 |
Building and Building Improvements [Member] | ||
Property and equipment, gross | 4,147 | 4,115 |
Furniture and Fixtures [Member] | ||
Property and equipment, gross | $ 730 | $ 663 |
Note 10 - Intangible Assets (De
Note 10 - Intangible Assets (Details Textual) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Amortization of Intangible Assets | $ 2.6 | $ 2.2 |
Note 10 - Intangible Assets - S
Note 10 - Intangible Assets - Schedule of Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Total finite-lived intangible assets | $ 31,439 | $ 31,050 |
Finite-lived, accumulated amortization | (5,643) | (3,022) |
Total finite-lived intangible assets, net | 25,796 | 28,028 |
Indefinite-lived intangible assets | 31,602 | 33,834 |
Total intangible assets | 37,245 | 36,856 |
Domain Name [Member] | ||
Indefinite-lived intangible assets | 2,226 | 2,226 |
Indefinite-lived intangible assets | 2,226 | 2,226 |
Trade Names [Member] | ||
Indefinite-lived intangible assets | 3,580 | 3,580 |
Indefinite-lived intangible assets | $ 3,580 | |
Franchise Agreements [Member] | ||
Finite-Lived Intangible Asset, Useful Life (Year) | 15 years | |
Total finite-lived intangible assets | $ 25,556 | 25,556 |
Finite-lived, accumulated amortization | (4,116) | (2,412) |
Total finite-lived intangible assets, net | $ 21,440 | 23,144 |
Customer Lists [Member] | ||
Finite-Lived Intangible Asset, Useful Life (Year) | 10 years | |
Total finite-lived intangible assets, net | 0 | |
Purchased Software [Member] | ||
Finite-Lived Intangible Asset, Useful Life (Year) | 7 years | |
Total finite-lived intangible assets | $ 3,200 | 3,200 |
Finite-lived, accumulated amortization | (1,029) | (571) |
Total finite-lived intangible assets, net | $ 2,171 | 2,629 |
Internally Developed Software [Member] | ||
Finite-Lived Intangible Asset, Useful Life (Year) | 5 years | |
Total finite-lived intangible assets | $ 2,683 | 2,294 |
Finite-lived, accumulated amortization | (498) | (39) |
Total finite-lived intangible assets, net | $ 2,185 | $ 2,255 |
Note 10 - Intangible Assets - F
Note 10 - Intangible Assets - Future Amortization of Finite-lived Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
2024 | $ 2,625 | |
2025 | 2,626 | |
2026 | 2,625 | |
2027 | 2,587 | |
2028 | 2,051 | |
Thereafter | 13,282 | |
Total future amortization | $ 25,796 | $ 28,028 |
Note 11 - Commitments and Con_2
Note 11 - Commitments and Contingencies (Details Textual) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Financing Receivable, after Allowance for Credit Loss | $ 9.6 | $ 3.5 |
Variable Interest Entity [Member] | ||
Financing Receivable, after Allowance for Credit Loss | $ 8.2 | $ 2.8 |
Note 12 - Income Tax (Details T
Note 12 - Income Tax (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Effective Income Tax Rate Reconciliation, Percent | 17.30% | 13.70% |
Unrecognized Tax Benefits, Ending Balance | $ 0 | $ 0 |
Domestic Tax Authority [Member] | ||
Operating Loss Carryforwards | $ 209 | |
Effective Income Tax Rate Reconciliation, Percent | 17.30% | 13.70% |
Open Tax Year | 2020 | |
State and Local Jurisdiction [Member] | ||
Open Tax Year | 2019 2020 2021 2022 2023 |
Note 12 - Income Tax - Provisio
Note 12 - Income Tax - Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Federal | $ 1,080 | $ 1,874 |
State | 614 | 434 |
Total current taxes | 1,694 | 2,308 |
Federal | (332) | (279) |
State | (17) | (134) |
Total deferred taxes | (349) | (413) |
Total taxes on income | $ 1,345 | $ 1,895 |
Note 12 - Income Tax - Componen
Note 12 - Income Tax - Component of Deferred Tax Asset Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Workers' compensation claims liability | $ 1,578 | $ 1,227 |
Bad debt reserve | 49 | 17 |
Accrued vacation | 80 | 73 |
Impairment of notes receivable | 153 | 63 |
Stock based compensation | 92 | 268 |
Net operating loss carryforward | 92 | 123 |
Other | 40 | 87 |
Total deferred tax asset | 2,084 | 1,858 |
Depreciation and amortization | (1,702) | (1,918) |
Deferred gain on installment sale | (57) | 0 |
Total deferred tax liabilities | (1,759) | (1,918) |
Total deferred taxes, net | 325 | 60 |
Total deferred taxes, net | $ (325) | $ (60) |
Note 12 - Income Tax - Effectiv
Note 12 - Income Tax - Effective Income Tax Rate Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Income tax expense based on statutory rate | $ 1,634 | $ 2,913 |
Income tax expense based on statutory rate | 21% | 21% |
Non-deductible executive compensation | $ 142 | $ 120 |
Non-deductible executive compensation | 1.80% | (0.90%) |
Stock based compensation | $ (77) | $ (75) |
Stock based compensation | (1.00%) | (0.50%) |
State income taxes expense net of federal taxes | $ 468 | $ 210 |
State income taxes expense net of federal taxes, percentage | 6% | 1.50% |
WOTC | $ (925) | $ (1,269) |
WOTC, percentage | (11.90%) | 9.10% |
Effective Income Tax Rate Reconciliation, Other Adjustments, Amount | $ 103 | $ (4) |
Other, percentage | 1.30% | (0.00%) |
Total taxes on income | $ 1,345 | $ 1,895 |
Total taxes on income, percentage | 17.30% | 13.70% |
Note 13 - Notes Receivable (Det
Note 13 - Notes Receivable (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Financing Receivable, after Allowance for Credit Loss | $ 9,600 | $ 3,500 |
Interest Income, Operating | 263 | 247 |
Financing Receivable, Allowance for Credit Loss, Ending Balance | 623 | 260 |
Notes From Non-franchisees [Member] | ||
Interest Income, Operating | $ 0 | $ 0 |
Minimum [Member] | ||
Notes Receivable, Interest Fixed Rate | 6% | |
Maximum [Member] | ||
Notes Receivable, Interest Fixed Rate | 10% |
Note 13 - Notes Receivable - No
Note 13 - Notes Receivable - Notes Receivable (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Allowance for losses | $ (623) | $ (260) |
Notes receivable, net | 9,600 | 3,500 |
Notes Receivable to Franchisees [Member] | ||
Note receivable | 10,245 | 3,752 |
Allowance for losses | (623) | (260) |
Notes receivable, net | $ 9,622 | $ 3,492 |
Note 14 - Discontinued Operat_3
Note 14 - Discontinued Operations (Details Textual) - Discontinued Operations, Held-for-Sale or Disposed of by Sale [Member] - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Assets Acquired in The Dental Power Agreement [Member] | |||
Proceeds from Sale of Productive Assets | $ 2,000 | ||
Disposal Group, Including Discontinued Operation, Payment Term (Year) | 5 years | ||
Gain (Loss) on Disposition of Assets, Total | $ 340 | ||
Disposal Group, Including Discontinued Operation, Intangible Assets Impairment Loss | 514 | ||
Assets Acquired in The Dental Power Agreement [Member] | Customer Lists [Member] | |||
Disposal Group, Including Discontinued Operation, Intangible Assets | $ 891,000 | $ 891,000 | $ 3,100 |
Assets Acquired in the Dubin Agreement [Member] | Customer Lists [Member] | |||
Disposal Group, Including Discontinued Operation, Intangible Assets Impairment Loss | $ 514 |
Note 14 - Discontinued Operat_4
Note 14 - Discontinued Operations - Income From Discontinued Operations Amounts as Reported on Statements of Operations (Details) - Discontinued Operations, Held-for-Sale or Disposed of by Sale [Member] - Assets Acquired in The Dental Power Agreement [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Revenue | $ 1,777 | $ 6,313 |
Cost of staffing services | 1,145 | 4,505 |
Gross profit | 632 | 1,808 |
Selling, general and administrative expense | (713) | (795) |
Gain on sale of intangible assets | 197 | |
Amortization | 0 | (384) |
Impairment of intangible asset | (514) | |
Net (loss) income before income taxes | (398) | 629 |
(Benefit) provision for income taxes | (98) | 146 |
Net (loss) income | $ (300) | $ 483 |