Quest Resource Holding (QRHC) 10-Q 14 Nov 22 2022 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2022	Nov. 01, 2022
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2022
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q3
Trading Symbol	QRHC
Entity Registrant Name	Quest Resource Holding Corporation
Entity Central Index Key	0001442236
Entity Current Reporting Status	Yes
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		19,755,511
Entity File Number	001-36451
Entity Tax Identification Number	51-0665952
Entity Address, Address Line One	3481 Plano Parkway
Entity Address, City or Town	The Colony
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	75056
City Area Code	972
Local Phone Number	464-0004
Entity Interactive Data Current	Yes
Title of 12(b) Security	Common stock
Entity Incorporation, State or Country Code	NV
Security Exchange Name	NASDAQ
Document Quarterly Report	true
Document Transition Report	false

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($)	Sep. 30, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 7,093,892	$ 8,427,858
Accounts receivable, less allowance for doubtful accounts of $2,077,647 and $840,522 as of September 30, 2022 and December 31, 2021, respectively	52,062,227	39,948,973
Prepaid expenses and other current assets	3,066,114	1,952,566
Total current assets	62,222,233	50,329,397
Goodwill	82,479,469	80,621,503
Intangible assets, net	35,580,863	39,118,940
Property and equipment, net, and other assets	5,985,649	5,596,566
Total assets	186,268,214	175,666,406
Current liabilities:
Accounts payable and accrued liabilities	34,541,040	30,195,696
Other current liabilities	5,791,000	6,195,170
Current portion of notes payable	1,158,800	1,329,109
Total current liabilities	41,490,840	37,719,975
Notes payable, net	70,315,054	62,409,201
Other long-term liabilities	2,079,709	1,908,966
Total liabilities	113,885,603	102,038,142
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.001 par value, 10,000,000 shares authorized, no shares issued or outstanding as of September 30, 2022 and December 31, 2021
Common stock, $0.001 par value, 200,000,000 shares authorized, 19,290,925 and 19,045,988 shares issued and outstanding as of September 30, 2022 and December 31, 2021, respectively	19,291	19,046
Additional paid-in capital	171,792,714	170,318,199
Accumulated deficit	(99,429,394)	(96,708,981)
Total stockholders’ equity	72,382,611	73,628,264
Total liabilities and stockholders’ equity	$ 186,268,214	$ 175,666,406

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (Unaudited) - USD ($)	Sep. 30, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Allowance for doubtful accounts receivable	$ 2,077,647	$ 840,522
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares issued	19,290,925	19,045,988
Common stock, shares outstanding	19,290,925	19,045,988

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Income Statement [Abstract]
Revenue	$ 73,358,293	$ 37,366,740	$ 221,785,249	$ 109,326,814
Cost of revenue	61,174,960	30,514,034	183,685,111	89,223,751
Gross profit	12,183,333	6,852,706	38,100,138	20,103,063
Operating expenses:
Selling, general, and administrative	9,332,721	5,307,635	27,975,550	14,630,426
Depreciation and amortization	2,473,339	508,456	7,308,591	1,324,391
Total operating expenses	11,806,060	5,816,091	35,284,141	15,954,817
Operating income	377,273	1,036,615	2,815,997	4,148,246
Interest expense	(1,911,989)	(542,848)	(5,057,400)	(1,653,987)
Income (loss) before taxes	(1,534,716)	493,767	(2,241,403)	2,494,259
Income tax expense	151,619	108,003	479,011	262,449
Net income (loss)	(1,686,335)	385,764	(2,720,414)	2,231,810
Net income (loss) applicable to common stockholders	$ (1,686,335)	$ 385,764	$ (2,720,414)	$ 2,231,810
Net income (loss) per share:
Basic	$ (0.09)	$ 0.02	$ (0.14)	$ 0.12
Diluted	$ (0.09)	$ 0.02	$ (0.14)	$ 0.11
Weighted average number of common shares outstanding
Basic	19,368,192	18,984,979	19,297,636	18,784,722
Diluted	19,368,192	21,307,854	19,297,636	20,704,270

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) - USD ($)	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit [Member]
Beginning Balance at Dec. 31, 2020	$ 68,042,972	$ 18,413	$ 166,424,597	$ (98,400,038)
Beginning Balance, Shares at Dec. 31, 2020		18,413,419
Stock-based compensation	309,610		309,610
Stock option and warrant exercises	253,389	$ 277	253,112
Stock option and warrant exercises, Shares		276,388
Net income (loss)	1,146,740			1,146,740
Ending Balance at Mar. 31, 2021	69,752,711	$ 18,690	166,987,319	(97,253,298)
Ending Balance, Shares at Mar. 31, 2021		18,689,807
Beginning Balance at Dec. 31, 2020	68,042,972	$ 18,413	166,424,597	(98,400,038)
Beginning Balance, Shares at Dec. 31, 2020		18,413,419
Net income (loss)	2,231,810
Ending Balance at Sep. 30, 2021	71,981,127	$ 18,802	168,130,553	(96,168,228)
Ending Balance, Shares at Sep. 30, 2021		18,802,359
Beginning Balance at Mar. 31, 2021	69,752,711	$ 18,690	166,987,319	(97,253,298)
Beginning Balance, Shares at Mar. 31, 2021		18,689,807
Stock-based compensation	506,391		506,391
Release of deferred stock units		$ 8	(8)
Release of deferred stock units, Shares		7,742
Stock option and warrant exercises	41,122	$ 19	41,103
Stock option and warrant exercises, Shares		19,167
Shares issued for Employee Stock Purchase Plan options	38,988	$ 23	38,965
Shares issued for Employee Stock Purchase Plan options, Shares		22,937
Net income (loss)	699,306			699,306
Ending Balance at Jun. 30, 2021	71,038,518	$ 18,740	167,573,770	(96,553,992)
Ending Balance, Shares at Jun. 30, 2021		18,739,653
Stock-based compensation	325,739		325,739
Stock option exercises	231,106	$ 62	231,044
Stock option exercises, Shares		62,706
Net income (loss)	385,764
Ending Balance at Sep. 30, 2021	71,981,127	$ 18,802	168,130,553	(96,168,228)
Ending Balance, Shares at Sep. 30, 2021		18,802,359
Beginning Balance at Dec. 31, 2021	73,628,264	$ 19,046	170,318,199	(96,708,981)
Beginning Balance, Shares at Dec. 31, 2021		19,045,988
Stock-based compensation	258,638		258,638
Net income (loss)	(2,184,309)			(2,184,309)
Ending Balance at Mar. 31, 2022	71,702,593	$ 19,046	170,576,837	(98,893,290)
Ending Balance, Shares at Mar. 31, 2022		19,045,988
Beginning Balance at Dec. 31, 2021	$ 73,628,264	$ 19,046	170,318,199	(96,708,981)
Beginning Balance, Shares at Dec. 31, 2021		19,045,988
Stock option exercises, Shares	198,567
Net income (loss)	$ (2,720,414)
Ending Balance at Sep. 30, 2022	72,382,611	$ 19,291	171,792,714	(99,429,394)
Ending Balance, Shares at Sep. 30, 2022		19,290,925
Beginning Balance at Mar. 31, 2022	71,702,593	$ 19,046	170,576,837	(98,893,290)
Beginning Balance, Shares at Mar. 31, 2022		19,045,988
Stock-based compensation	326,894		326,894
Stock option exercises	92,428	$ 53	92,375
Stock option exercises, Shares		53,465
Shares issued for Employee Stock Purchase Plan options	76,666	$ 18	76,648
Shares issued for Employee Stock Purchase Plan options, Shares		17,720
Net income (loss)	1,150,231			1,150,231
Ending Balance at Jun. 30, 2022	73,348,812	$ 19,117	171,072,754	(97,743,059)
Ending Balance, Shares at Jun. 30, 2022		19,117,173
Stock-based compensation	412,715		412,715
Stock option exercises	307,419	$ 145	307,274
Stock option exercises, Shares		145,102
Release of deferred stock units		$ 29	(29)
Release of deferred stock units, Shares		28,650
Net income (loss)	(1,686,335)			(1,686,335)
Ending Balance at Sep. 30, 2022	$ 72,382,611	$ 19,291	$ 171,792,714	$ (99,429,394)
Ending Balance, Shares at Sep. 30, 2022		19,290,925

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($)	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Cash flows from operating activities:
Net income (loss)	$ (2,720,414)	$ 2,231,810
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation	571,738	345,463
Amortization of intangibles	6,969,692	1,194,215
Amortization of debt issuance costs and discounts	978,386	615,570
Provision for doubtful accounts	1,143,757	28,550
Stock-based compensation	998,247	1,141,740
Changes in operating assets and liabilities:
Accounts receivable	(13,079,923)	(8,440,187)
Prepaid expenses and other current assets	(1,110,912)	(393,504)
Security deposits and other assets	(850,290)	(341,792)
Accounts payable and accrued liabilities	3,076,785	6,698,584
Other liabilities	(295,959)	285,791
Net cash provided by (used in) operating activities	(4,318,893)	3,366,240
Cash flows from investing activities:
Purchase of property and equipment	(627,216)	(436,438)
Purchase of intangible assets	(631,615)	(79,215)
Acquisition, net of cash acquired	(3,137,758)	(2,319,977)
Net cash used in investing activities	(4,396,589)	(2,835,630)
Cash flows from financing activities:
Proceeds from credit facilities	59,023,146	48,448,941
Repayments of credit facilities	(54,353,819)	(47,498,738)
Proceeds from long-term debt	3,500,000
Repayments of long-term debt	(1,124,774)	(461,468)
Proceeds from shares issued for Employee Stock Purchase Plan	76,666	38,988
Proceeds from stock option and warrant exercises	399,847	525,617
Debt issuance costs	(139,550)
Net cash provided by financing activities	7,381,516	1,053,340
Net increase (decrease) in cash and cash equivalents	(1,333,966)	1,583,950
Cash and cash equivalents at beginning of period	8,427,858	7,516,260
Cash and cash equivalents at end of period	7,093,892	9,100,210
Supplemental cash flow information:
Cash paid for interest	3,918,191	1,057,476
Cash paid for income taxes	$ 359,327	$ 294,101

The Company and Description of

The Company and Description of Business	9 Months Ended
	Sep. 30, 2022
Accounting Policies [Abstract]
The Company and Description of Business	1. The Company and Description of Business The accompanying condensed consolidated financial statements include the accounts of Quest Resource Holding Corporation (“QRHC”) and its subsidiaries, Quest Resource Management Group, LLC (“Quest”), Landfill Diversion Innovations, LLC (“LDI”), Youchange, Inc. (“Youchange”), Quest Vertigent Corporation (“QVC”), Quest Vertigent One, LLC (“QV One”), Quest Sustainability Services, Inc. (“QSS”), RWS Facility Services, LLC (“RWS”), Sustainable Solutions Group, LLC (“SSG”), and Sequoia Waste Management Solutions, LLC (“Sequoia”) (collectively, “we,” “us,” or “our company”). Operations – We are a national provider of waste and recycling services to customers from across multiple industry sectors that are typically larger, multi-location businesses. We create customer-specific programs and perform the related services for the collection, processing, recycling, disposal, and tracking of waste streams and recyclables. We made significant strategic acquisitions in 2021, including the November 30, 2021 acquisition of the membership interests of RWS, a Chadds Ford, PA-based environmental services company. On February 10, 2022, we acquired an independent environmental services company that primarily services customers in the northeast region of the United States. See Note 3 for more information regarding the acquisitions.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2022
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. Summary of Significant Accounting Policies Principles of Presentation and Consolidation The condensed consolidated financial statements included herein have been prepared by us without audit pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) and should be read in conjunction with our audited financial statements for the year ended December 31, 2021. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted as permitted by the SEC, although we believe the disclosures that are made are adequate to make the information presented herein not misleading. The accompanying condensed consolidated financial statements reflect, in our opinion, all normal recurring adjustments necessary to present fairly our financial position at September 30, 2022 and the results of our operations and cash flows for the periods presented. We derived the December 31, 2021 condensed consolidated balance sheet data from audited financial statements; however, we did not include all disclosures required by GAAP. As QRHC, Quest, LDI, Youchange, QVC, QV One, QSS, RWS, SSG, and Sequoia each operate as environmental-based service companies, we did not deem segment reporting necessary. All intercompany accounts and transactions have been eliminated in consolidation. Interim results are subject to seasonal variations, and the results of operations for the nine months ended September 30, 2022 are not necessarily indicative of the results to be expected for the full year. Recent Accounting Pronouncements Adopted On January 1, 2021, we adopted Accounting Standards Update (“ASU”) 2019-12, Income Taxes – (Topic 740) , which simplifies the accounting for income taxes by removing certain exceptions and amending guidance to improve consistent application of accounting over income taxes. The adoption of the standard did not have a material effect on our consolidated financial statements. In March 2020, the Financial Accounting Standards Board (the “FASB”) issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. This standard provides operational guidance for a limited period of time to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting due to the cessation of the London Interbank Offered Rate (“LIBOR”). The amendments are elective and apply to all entities that have contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued. The expedients and exceptions provided by the amendments generally do not apply to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022. As further discussed in Note 7, our ABL facility provides procedures for determining a replacement or alternative rate in the event that LIBOR is unavailable. As such, we do not expect the transition away from LIBOR to have a material impact on our consolidated financial statements. Pending Adoption In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326) , which provides guidance on measuring credit losses on financial instruments. The amended guidance replaces current incurred loss impairment methodology of recognizing credit losses when a loss is probable with a methodology that reflects expected credit losses and requires a broader range of reasonable and supportable information to assess credit loss estimates. ASU 2016-13 is effective for us on January 1, 2023. We are assessing the provisions of this amended guidance; however, the adoption of the standard is not expected to have a material effect on our consolidated financial statements. There have been no other recent accounting pronouncements or changes in accounting pronouncements that have been issued but not yet adopted that are of significance, or potential significance, to us.

Acquisitions

Acquisitions	9 Months Ended
	Sep. 30, 2022
Business Combinations [Abstract]
Acquisitions	3. Acquisitions RWS On December 7, 2021, QSS, a wholly-owned subsidiary of Quest, entered into a Membership Interest Purchase Agreement (the "MIPA"), effective as of November 30, 2021, among QSS, Rome Holdings, LLC, M&A Business Consulting, Inc., and solely for purposes of Section 5.3(a) of the MIPA, Anthony J. DiIenno, Sr., RWS Investors, LLC and ATAR RWS Investors, LLC, pursuant to which QSS acquired all of the outstanding membership interests of RWS. RWS is a provider of independent environmental services, particularly in the commercial property and industrial markets and is located in Chadds Ford, PA. The RWS acquisition strengthens our presence across key markets, particularly in commercial property management and adds to our industrial market base. The total purchase price for RWS was $ 33.0 million in cash subject to certain adjustments set forth in the MIPA. We funded the acquisition primarily with a term note to Monroe Capital Management Advisors, LLC (“Monroe Capital”), as further discussed in Note 7, which is secured by a first priority lien on substantially all of QRHC's tangible and intangible assets. The following table sets forth the purchase consideration paid and the amount of assets acquired and liabilities assumed as of the acquisition date: Sources of consideration paid: Cash (1) $ 32,048,438 Other (2) 1,964,562 $ 34,013,000 Purchase price allocation: Accounts receivable, net (3) 7,888,586 Other assets 1,103,253 Machinery and equipment, net 494,614 Intangible assets 25,390,000 Goodwill 8,216,325 Current liabilities ( 9,079,778 ) $ 34,013,000 (1) Financed with Monroe Capital term loan (2) Net working capital (3) Gross receivables of $ 10,359,526 , net of allowance of $ 2,470,940 The purchase price allocation is preliminary and was based on information existing at the acquisition date. Accordingly, the purchase price allocation is subject to change. The purchase price allocation was adjusted in the nine months ended September 30, 2022, which resulted in an increase to goodwill and current liabilities of approximately $ 1.3 million. We expect to complete our purchase price allocation as soon as reasonably possible, not to exceed one year from the acquisition date. Further adjustments could be made to our preliminary estimates of accounts receivable, other assets, current liabilities and goodwill. Goodwill represents the amount by which the purchase price exceeds the estimated fair value of the net assets acquired and primarily reflects future synergies. The goodwill related to the RWS acquisition is not deductible for income tax purposes. The following table presents unaudited pro forma information for the three and nine months ended September 30, 2021 as if the RWS acquisition had occurred at the beginning of our 2021 fiscal year. The unaudited pro forma information includes adjustments for amortization expense on definite lived intangible assets acquired, interest expense on debt incurred related to the acquisition, certain management adjustments, and the related income tax effects. Three months ended Nine months ended September 30, 2021 September 30, 2021 Pro Forma (unaudited) (unaudited) Revenue $ 51,155,885 $ 148,057,851 Net loss $ ( 846,442 ) $ ( 2,201,155 ) Net loss per share - basic and diluted $ ( 0.05 ) $ ( 0.12 ) The unaudited pro forma financial information is presented for informational purposes only and is not necessarily indicative of the operating results or financial position that would have occurred if the RWS acquisition had been effected on the dates previously set forth, nor is it indicative of the future operating results or financial position in combination. Other On February 10, 2022, we acquired an independent environmental services company that primarily services customers in the northeast region of the United States for approximately $ 3.35 million. This acquisition was paid in cash and was financed with a draw down on the term loan pursuant to the Credit Agreement (as defined in Note 7). The purchase price was allocated to the acquired assets, primarily customer relationship intangibles and goodwill.

Property and Equipment, Net, an

Property and Equipment, Net, and Other Assets	9 Months Ended
	Sep. 30, 2022
Property, Plant and Equipment [Abstract]
Property and Equipment, Net, and Other Assets	4. Property and Equipment, net, and Other Assets At September 30, 2022 and December 31, 2021, property and equipment, net, and other assets consisted of the following: September 30, December 31, 2022 2021 (Unaudited) Property and equipment, net of accumulated depreciation of $ 2,326,677 1,771,376 as of September 30, 2022 and December 31, 2021, $ 2,584,301 $ 2,542,120 Right-of-use operating lease asset 2,448,531 1,945,438 Security deposits and other assets 952,817 1,109,008 Property and equipment, net, and other assets $ 5,985,649 $ 5,596,566 We compute depreciation using the straight-line method over the estimated useful lives of the property and equipment. Depreciation expense for the three months ended September 30, 2022 was $ 201,345 , including $ 80,903 of depreciation expense reflected within “Cost of revenue” in our condensed consolidated statements of operations as it related to assets used in directly servicing customer contracts and was $ 571,738 for the nine months ended September 30, 2022 , including $ 232,839 of depreciation expense reflected within “Cost of revenue.” Depreciation expense for the three months ended September 30, 2021 was $ 119,865 , including $ 74,495 of depreciation expense reflected within “Cost of revenue,” and was $ 345,463 for the nine months ended September 30, 2021 , including $ 215,287 reflected within “Cost of revenue.” We recorded right-of-use operating lease assets related to our office leases in accordance with ASC 842. Refer to Note 8, Leases for additional information. On February 20, 2018 (the “Closing Date”), we entered into an Asset Purchase Agreement with Earth Media Partners, LLC to sell certain assets of our wholly owned subsidiary, Earth911, Inc., in exchange for a 19 % interest in Earth Media Partners, LLC, which was recorded as an investment in the amount of $ 246,585 as of the Closing Date, and a potential future earn-out amount of approximately $ 350,000 . The net assets sold related to the Earth911.com website business and consisted primarily of the website and its content and customers, deferred revenue, and accounts receivable as of the Closing Date. Earth911, Inc. was subsequently renamed Quest Sustainability Services, Inc. The carrying amount of our investment in Earth Media Partners, LLC is included in “Security deposits and other assets” above and we have an accrued receivable in the amount of $ 327,667 and $ 339,667 related to the earn-out included as of September 30, 2022 and December 31, 2021, respectively.

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets	9 Months Ended
	Sep. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Other Intangible Assets	5. Goodwill and Other Intangible Assets The components of goodwill and other intangible assets were as follows: September 30, 2022 (Unaudited) Estimated Gross Carrying Accumulated Net Finite lived intangible assets: Customer relationships 5 years $ 39,250,000 $ 7,846,356 $ 31,403,644 Software 7 years 2,641,435 1,768,842 872,593 Trademarks 7 years 2,007,468 298,397 1,709,071 Non-compete agreements 3 years 2,250,000 654,445 1,595,555 Total finite lived intangible assets $ 46,148,903 $ 10,568,040 $ 35,580,863 December 31, 2021 Estimated Gross Carrying Accumulated Net Finite lived intangible assets: Customer relationships 5 years $ 36,820,000 $ 1,999,355 $ 34,820,645 Software 7 years 2,030,754 1,416,638 614,116 Trademarks 7 years 1,716,533 87,632 1,628,901 Non-compete agreements 3 years 2,150,000 94,722 2,055,278 Total finite lived intangible assets $ 42,717,287 $ 3,598,347 $ 39,118,940 Carrying Changes in goodwill: Goodwill balance at December 31, 2021 $ 80,621,503 Addition related to acquisition 543,397 RWS purchase price allocation adjustment 1,314,569 Goodwill balance at September 30, 2022 $ 82,479,469 We compute amortization using the straight-line method over the useful lives of the finite lived intangible assets. Amortization expense related to finite lived intangible assets was $ 2,352,897 and $ 463,087 for the three months ended September 30, 2022 and 2021, respectively. Amortization expense related to finite lived intangible assets was $ 6,969,692 and $ 1,194,215 for the nine months ended September 30, 2022 and 2021, respectively. We have no indefinite-lived intangible assets other than goodwill. $ 67.0 million of the goodwill is not deductible for tax purposes, while $ 15.5 million of goodwill is deductible over its tax-basis life. We performed our annual impairment analysis for goodwill and other intangible assets in the third quarter of 2022 with no impairment recorded.

Current Liabilities

Current Liabilities	9 Months Ended
	Sep. 30, 2022
Current Liabilities Disclosure [Abstract]
Current Liabilities	6. Current Liabilities The components of Accounts payable and accrued liabilities were as follows: September 30, December 31, 2022 2021 (Unaudited) Accounts payable $ 29,885,211 $ 26,434,732 Accrued taxes 1,118,346 797,394 Employee compensation 2,159,764 1,864,145 Operating lease liability - current portion 416,709 868,799 Other 961,010 230,626 $ 34,541,040 $ 30,195,696 Refer to Note 8, Leases for additional disclosure related to the operating lease liability. The components of Other current liabilities were as follows: September 30, December 31, 2022 2021 (Unaudited) Deferred seller consideration, net $ 1,330,997 $ 1,183,153 Deferred consideration - earn-out 1,846,000 1,290,000 Deferred revenue 2,614,003 3,722,017 $ 5,791,000 $ 6,195,170 Deferred seller consideration in connection with our 2020 acquisition of Green Remedies Waste and Recycling, Inc. (“Green Remedies”) is payable in either cash or shares of our common stock, at our option, in October 2022. As of September 30, 2022 and December 31, 2021, the unamortized portion of OID on the deferred seller consideration was $ 11,128 and $ 158,972 , respectively. The current portion of earn-out consideration related to other acquisitions was $ 1,846,000 as of September 30, 2022 and $ 1,290,000 at December 31, 2021.

Notes Payable and Other Long-Te

Notes Payable and Other Long-Term Liabilities	9 Months Ended
	Sep. 30, 2022
Debt Disclosure [Abstract]
Notes Payable and Other Long-Term Liabilities	7. Notes Payable and Other Long-term Liabilities Our debt obligations are as follows: Interest Rate September 30, December 31, (1) 2022 2021 (Unaudited) Monroe Term Loan (2) 9.06 % $ 61,228,651 $ 58,585,000 Green Remedies Promissory Note (3) 3.00 % 1,772,182 2,040,607 PNC ABL Facility (4) 4.56 % 11,904,062 7,234,737 Total notes payable 74,904,895 67,860,344 Less: Current portion of long-term debt ( 1,158,800 ) ( 1,329,109 ) Less: Unamortized debt issuance costs ( 2,238,842 ) ( 2,637,483 ) Less: Unamortized OID ( 314,356 ) ( 391,493 ) Less: Unamortized OID warrant ( 877,843 ) ( 1,093,058 ) Notes payable, net $ 70,315,054 $ 62,409,201 (1) Interest rates as of September 30, 2022 (2) Bears interest at LIBOR rate plus Applicable Margin ranging from 5.5 %- 7.5 % (3) Stated interest rate of 3.0 %, discounted cash flow rate of 13 % (4) Bears interest at a Base rate, as defined, plus a margin of 0.75 % to 1.25 % We capitalize financing costs we incur related to implementing our debt arrangements. We record these debt issuance costs associated with our revolving credit facility and our term loan as a reduction of long-term debt, net and amortize them over the contractual life of the related debt arrangements. The table below summarizes changes in debt issuance costs. September 30, 2022 (Unaudited) Debt issuance costs Beginning balance $ 2,637,483 Financing costs deferred 139,550 Less: Amortization expense ( 538,191 ) Debt issuance costs, net of accumulated amortization $ 2,238,842 Revolving Credit Facility On August 5, 2020, QRHC and certain of its domestic subsidiaries entered into a Loan, Security and Guaranty Agreement (the “PNC Loan Agreement”), which was subsequently amended on October 19, 2020 and December 7, 2021, with BBVA USA (which was subsequently succeeded in interest by PNC Bank, National Association (“PNC”)), as a lender, and as administrative agent, collateral agent, and issuing bank, which provides for a credit facility (the “ABL Facility”) comprising the following: • An asset-based revolving credit facility in the maximum principal amount of $ 15.0 million with a sublimit for issuance of letters of credit of up to 10 % of the maximum principal amount of the revolving credit facility. Each loan under the revolving credit facility bears interest, at the borrowers’ option, at either the Base Rate, plus a margin ranging from 0.75 % to 1.25 % ( 4.56 % as of September 30, 2022 ), or the LIBOR Lending Rate for the interest period in effect, plus a margin ranging from 1.75 % to 2.25 % ( no borrowings as of September 30, 2022 ). The maturity date of the revolving credit facility is April 19, 2025 . The revolving credit facility contains an accordion feature permitting the revolving credit facility to be increased by up to $ 10 million. • An equipment loan facility in the maximum principal amount of $ 2.0 million. Loans under the equipment loan facility may be requested at any time until August 5, 2023. Each loan under the equipment loan facility bears interest, at the borrowers’ option, at either the Base Rate, plus 1.75 %, or the LIBOR Lending Rate for the Interest Period in effect, plus 2.75 %. The maturity date of the equipment loan facility is April 19, 2025 . As of September 30, 2022 , the ABL Facility borrowing base availability was $ 15,000,000 , of which $ 11,904,062 principal was outstanding. It is possible that LIBOR may be phased out beginning in 2023. The ABL Facility provides procedures for determining a replacement or alternative rate in the event that LIBOR is unavailable. However, there can be no assurances as to whether such replacement or alternative rate will be more or less favorable than LIBOR. We intend to monitor the developments with respect to the potential phasing out of LIBOR beginning in 2023 and will work with PNC to ensure any transition away from LIBOR will have minimal impact on our financial condition. We, however, can provide no assurances regarding the impact of the discontinuation of LIBOR on the interest rate that we would be required to pay or on our financial condition. Monroe Term Loan On October 19, 2020, QRHC and certain of its domestic subsidiaries entered into a Credit Agreement (the “Credit Agreement”), dated as of October 19, 2020, which was subsequently amended on September 3, 2021, December 1, 2021, December 7, 2021, and August 9, 2022 with Monroe Capital, as administrative agent for the lenders thereto. Among other things, the Credit Agreement provides for the following: • A senior secured term loan facility in the outstanding principal amount of $ 61.2 million as of September 30, 2022. The senior secured term loan accrues interest at the LIBOR Rate for LIBOR Loans plus the Applicable Margin; provided, that if the provision of LIBOR Loans becomes unlawful or unavailable, then interest will be payable at a rate per annum equal to the Base Rate from time to time in effect plus the Applicable Margin for Base Rate Loans. The maturity date of the term loan facility is October 19, 2025 (the "Maturity Date"). The senior secured term loan will amortize in aggregate annual amounts equal to 1.00 % of the original principal amount of the senior secured term loan facility with the balance payable on the Maturity Date. Proceeds of the senior secured term loan are permitted to be used for Permitted Acquisitions (as defined in the Credit Agreement). • A delayed draw term loan facility in the maximum principal amount of $ 12.5 million. Loans under the delayed draw term loan facility may be requested at any time until March 31, 2023. Pricing and maturity for the outstanding principal amount of the delayed draw term loan shall be the same as for the senior secured term loan. Proceeds of the delayed draw term loan are to be used for Permitted Acquisitions. • An accordion term loan facility in the maximum principal amount of $ 5.3 million. Loans under the accordion loan facility may be requested at any time until the Maturity Date. Each accordion term loan shall be on the same terms as those applicable to the senior secured term loan. Proceeds of accordion term loans are permitted to be used for Permitted Acquisitions. The Credit Agreement contains certain financial covenants, including a minimum fixed charge coverage ratio and a senior net leverage ratio. In addition, the Credit Agreement contains negative covenants limiting, among other things, additional indebtedness, transactions with affiliates, additional liens, sales of assets, dividends, investments and advances, prepayments of debt, mergers and acquisitions, and other matters customarily restricted in such agreements. The Credit Agreement also contains customary events of default, including payment defaults, breaches of representations and warranties, covenant defaults, events of bankruptcy and insolvency, change of control, and failure of any guaranty or security document supporting the Credit Agreement to be in full force and effect. Upon the occurrence of an event of default, the outstanding obligations under the Credit Agreement may be accelerated and become immediately due and payable. At the same time as the borrowing of the initial $ 11.5 million under the Credit Agreement in October 2020, in a separate agreement, we issued Monroe Capital a warrant to purchase 500,000 shares of QRHC’s common stock exercisable immediately. For the delayed draw term loan facility, we issued a separate warrant to purchase 350,000 shares upon drawing on this facility on October 19, 2021. Both warrants have an exercise price of $ 1.50 per share and an expiration date of March 19, 2028 . We estimated the value of the warrants issued using the Black Scholes option pricing model and recorded a debt discount of approximately $ 766,000 in 2020 for the 500,000 -share warrant and $ 536,000 in 2021 for the 350,000 -share warrant which are being amortized over the term of the Credit Agreement. We also executed a letter agreement that provides that the warrant holder will receive minimum net proceeds of $ 1 million less any net proceeds received from the sale of the warrant shares, which is conditional on the full exercise and sale of all the warrant shares at the same time and upon a date two years after the closing date of such agreement. Green Remedies Promissory Note On October 19, 2020, we issued an unsecured subordinated promissory note to Green Remedies in the aggregate principal amount of $ 2,684,250 , payable commencing on January 1, 2021 in quarterly installments through October 1, 2025 and subject to an interest rate of 3.0 % per annum. Interest Expense The amount of interest expense related to borrowings for the three months ended September 30, 2022 and 2021 was $ 1,577,669 and $ 334,946 , respectively. The amount of interest expense related to borrowings for the nine months ended September 30, 2022 and 2021 was $ 4,097,400 and $ 1,030,377 , respectively. Debt issuance costs of $ 3,248,906 are being amortized to interest expense over the lives of the related debt arrangements. As of September 30, 2022 , the unamortized portion of the debt issuance costs was $ 2,238,842 . The amount of interest expense related to the amortization of debt issuance costs for the nine months ended September 30, 2022 and 2021 was $ 538,191 and $ 266,153 , respectively. Debt discount (“OID”) of $ 2,210,148 is being amortized to interest expense over the lives of the related debt and consideration arrangements. As of September 30, 2022 , the unamortized portion of OIDs was $ 1,192,199 . The amount of interest expense related to the amortization of OID costs for the nine months ended September 30, 2022 and 2021 is $ 440,196 and $ 349,418 , respectively. Other long-term liabilities September 30, December 31, 2022 2021 (Unaudited) Deferred consideration - earn-out $ 225,000 $ 781,000 Operating lease liability - long-term portion 1,850,542 1,123,799 Other 4,167 4,167 $ 2,079,709 $ 1,908,966 We recorded deferred consideration in connection with certain business acquisitions. We valued the earn-out liability using a Monte Carlo simulation. The inputs used in estimating the fair value of the earn-out liability represent Level 3 inputs under the fair value hierarchy.

Leases

Leases	9 Months Ended
	Sep. 30, 2022
Lessee Disclosure [Abstract]
Leases	8. Leases Our leases are primarily related to office space and are classified as operating leases. On September 29, 2022, we executed an amendment to our corporate office lease in The Colony, TX, pursuant to which we reduced the amount of square space rented to approximately 16,200 square feet and extended the term of the office lease from October 2022 to December 31, 2027. Lease Costs For the three months ended September 30, 2022 and 2021 we recorded approximately $ 207,000 and $ 158,000 , respectively, of fixed cost operating lease expense. For the nine months ended September 30, 2022 and 2021 , we recorded approximately $ 669,000 and $ 475,000 , respectively, of fixed cost operating lease expense. Our operating lease expense is offset by a minimum annual incentive of $ 93,600 received from a local Economic Development Council, which was accrued monthly over the term of the initial corporate office lease through August 2022. Effective December 1, 2019 , we subleased a portion of our corporate office space to a single tenant. The sublease agreement is accounted for as an operating lease and we recognized sublease income as an offset to operating lease expense on a straight-line basis over the term of the sublease agreement through August 2022 . Sublease income, net of amortized leasing costs, for the nine months ended September 30, 2022 was approximately $ 39,000 . Cash paid for operating leases approximated operating lease expense and non-cash right of use asset amortization for the nine months ended September 30, 2022 and 2021. We did not obtain any new operating lease right-of-use assets in the nine months ended September 30, 2022. The future minimum lease payments required under our office leases as of September 30, 2022 are as follows: Amount 2022 $ 80,781 2023 593,696 2024 572,212 2025 493,364 2026 482,604 2027 357,303 Total lease payments 2,579,960 Less: Interest ( 312,709 ) Present value of lease liabilities $ 2,267,251 Balance Sheet Classification The table below presents the lease related assets and liabilities recorded on the balance sheet. Right-of-use assets and related liabilities related to finance leases at September 30, 2022 are de minimis. September 30, December 31, 2022 2021 Operating Leases: (Unaudited) Right-of-use operating lease asset: Property and equipment, net and other assets $ 2,448,531 $ 1,945,438 Lease Liabilities: Accounts payable and accrued liabilities $ 416,709 $ 868,799 Other long-term liabilities 1,850,542 1,123,799 Total operating lease liabilities $ 2,267,251 $ 1,992,598

Revenue

Revenue	9 Months Ended
	Sep. 30, 2022
Revenue from Contract with Customer [Abstract]
Revenue	9. Revenue Operating Revenues We provide businesses with services to reuse, recycle, and dispose of a wide variety of waste streams and recyclables generated by their operations. Service revenues are primarily generated from fees charged for our collection, transfer, disposal and recycling services and from sales of commodities by our recycling operations. In addition, we have product sales and other revenue primarily from sales of products such as antifreeze and windshield washer fluid, equipment, as well as minor ancillary services. Revenue Recognition We recognize revenue as services are performed or products are delivered. For example, we recognize revenue as waste and recyclable material are collected or when products are delivered. We recognize revenue net of any contracted pricing discounts or rebate arrangements. We generally recognize revenue for the gross amount of consideration received as we are generally the primary obligor (or principal) in our contracts with customers as we hold complete responsibility to the customer for contract fulfillment. Depending on the key terms of the arrangement, which may include situations in which we are not primarily obligated, we do not have credit risk, or we determine amounts earned using fixed percentage or fixed fee schedules, we may record the revenue net of certain cost amounts. We had certain management fee contracts accounted for under the net basis method with net revenue of $ 92,475 and $ 0 for the three months ended September 30, 2022 and 2021, respectively . We had net revenue from management fee contracts accounted for under the net basis method of $ 392,451 and $ 0 for the nine months ended September 30, 2022 and 2021, respectively. We record amounts collected from customers for sales tax on a net basis. Disaggregation of Revenue The following table presents our revenue disaggregated by source. Two customers accounted for 21.0 % of revenue for the three months ended September 30, 2022 and one customer accounted for 14.5 % of revenue for the nine months ended September 30, 2022 . Two customers accounted for 39.4 % and 43.8 % of revenue for the three and nine months ended September 30, 2021, respectively. We operate primarily in the United States, with minor services in Canada. Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 (Unaudited) (Unaudited) Revenue Type: Services $ 70,895,554 $ 35,267,085 $ 213,934,853 $ 102,567,569 Product sales and other 2,462,739 2,099,655 7,850,396 6,759,245 Total revenue $ 73,358,293 $ 37,366,740 $ 221,785,249 $ 109,326,814 Contract Balances Our incremental direct costs of obtaining a customer contract are generally deferred and amortized to selling, general, and administrative expense or as a reduction to revenue (depending on the nature of the cost) over the estimated life of the customer contract. We classify our contract acquisition costs as current or noncurrent based on the timing of when we expect to recognize the amortization and are included in other assets. As of September 30, 2022 and December 31, 2021, we had $5 67,500 and $ 775,000 of deferred contract costs, respectively. During the three and nine months ended September 30, 2022, we amortized $ 102,500 and $ 307,500 , respectively, of deferred contract costs to selling, general, and administrative expense. During the three and nine months ended September 30, 2021 , we amortized $ 50,000 and $ 150,000 , respectively, of deferred contract costs to selling, general, and administrative expense. We bill certain customers in advance, and, accordingly, we defer recognition of related revenues as a contract liability until the services are provided and control is transferred to the customer. As of September 30, 2022 and December 31, 2021, we had $ 2,614,003 and $ 3,722,017 , respectively, of deferred revenue which was classified in “Other current liabilities.”

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2022
Income Tax Disclosure [Abstract]
Income Taxes	10. Income Taxes Our statutory income tax rate is anticipated to be 27 %. We had income tax expense of $ 479,011 and $ 262,449 for the nine months ended September 30, 2022 and 2021 , respectively, which was attributable to state tax obligations based on current estimated state tax apportionments for states with no net operating loss carryforwards, and the utilization of net operating loss carryforwards at the federal level. We compute income taxes using the asset and liability method in accordance with FASB ASC Topic 740, Income Taxes . Under the asset and liability method, we determine deferred income tax assets and liabilities based on the differences between the financial reporting and tax bases of assets and liabilities and measure them using currently enacted tax rates and laws. We provide a valuation allowance to reduce the amount of deferred tax assets that, based on availa ble evidence, is more likely than not to be realized. Realization of our net operating loss carryforward was not reasonably assured as of September 30, 2022 and December 31, 2021, and we had recorded a valuation allowance of $ 11,104,000 and $ 11,138,000 , respectively, against deferred tax assets in excess of deferred tax liabilities in the accompanying condensed consolidated financial statements. As of September 30, 2022 and December 31, 2021 , we had federal income tax net operating loss carryforwards of approximately $ 8,100,000 and $ 10,100,000 , respectively, which expire at various dates ranging from 2034 - 2037 .

Fair Value of Financial Instrum

Fair Value of Financial Instruments	9 Months Ended
	Sep. 30, 2022
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	11. Fair Value of Financial Instruments Our financial instruments consist primarily of cash and cash equivalents, accounts receivable, accounts payable, accrued liabilities, deferred revenue, and notes payable. We do not believe that we are exposed to significant currency or credit risks arising from these financial instruments. Our variable rate indebtedness subjects us to interest rate risk as all of the borrowings under the senior secured credit facilities bear interest at variable rates. The fair values of our financial instruments approximate their carrying values, based on their short maturities or, for notes payable, based on borrowing rates currently available to us for loans with similar terms and maturities. Contingent liabilities are measured at fair value on a recurring basis. The fair value measurements are generally determined using unobservable inputs and are classified within Level 3 of the fair value hierarchy. See discussion of the contingent earn-out liability in Note 7.

Stockholders' Equity

Stockholders' Equity	9 Months Ended
	Sep. 30, 2022
Equity [Abstract]
Stockholders' Equity	12. Stockholders’ Equity Preferred Stock – Our authorized preferred stock consists of 10,000,000 shares of preferred stock with a par value of $ 0.001 , of which no shares have been issued or are outstanding. Common Stock – Our authorized common stock consists of 200,000,000 shares of common stock with a par value of $ 0.001 , of which 19,290,925 and 19,045,988 shares were issued and outstanding as of September 30, 2022 and December 31, 2021, respectively. Employee Stock Purchase Plan – On September 17, 2014, our stockholders approved our 2014 Employee Stock Purchase Plan (as amended, the “ESPP”). On May 16, 2022, we issued 17,720 shares to employees for $ 76,666 under our ESPP for options that vested and were exercised. We recorded expense of $ 63,369 and $ 24,586 related to the ESPP for the nine months ended September 30, 2022 and 2021, respectively. Warrants – The following table summarizes the warrants issued and outstanding as of September 30, 2022: Warrants Issued and Outstanding as of September 30, 2022 Date of Exercise Shares of Description Issuance Expiration Common Stock Exercisable Warrants 10/19/2020 3/19/2028 $ 1.50 500,000 Exercisable Warrants 10/19/2021 3/19/2028 $ 1.50 350,000 Total warrants issued and outstanding 850,000 Stock Options – We recorded stock option expense of $ 730,037 and $ 575,437 for the nine months ended September 30, 2022 and 2021 , respectively. The following table summarizes the stock option activity for the nine months ended September 30, 2022: Stock Options Weighted- Exercise Average Number Price Per Exercise Price of Shares Share Per Share Outstanding at December 31, 2021 3,280,585 $ 1.17 — $ 23.20 $ 2.87 Granted 359,889 $ 4.08 — $ 7.20 $ 4.99 Exercised ( 198,567 ) $ 1.51 — $ 6.40 $ 2.01 Cancelled/Forfeited ( 58,001 ) $ 1.94 — $ 6.06 $ 5.35 Outstanding at September 30, 2022 3,383,906 $ 1.17 — $ 23.20 $ 3.10 Deferred Stock Units – Effective September 1, 2019, nonemployee directors can elect to receive all or a portion of their annual retainers in the form of deferred stock units (“DSUs”). The DSUs are recognized at their fair value on the date of grant. Each DSU represents the right to receive one share of our common stock following the completion of a director’s service. During the nine months ended September 30, 2022 , we granted 5,317 DSUs and recorded director compensation expense of $ 29,211 related to the grants. In addition, during the nine months ended September 30, 2022 we granted 35,201 DSUs to executive employees and recorded compensation expense of $ 175,629 , which includes an accrual of anticipated bonus expense to be paid in DSUs for certain executive employees. During the nine months ended September 30, 2021 , we granted 81,249 DSUs and recorded director compensation expense of $ 384,708 related to the grants. In addition, during the nine months ended September 30, 2021 , we granted 49,775 DSUs to executive employees and recorded compensation expense of $ 157,009 . We had 210,013 and 198,145 DSUs outstanding at September 30, 2022 and December 31, 2021, respectively.

Net Income (Loss) per Share

Net Income (Loss) per Share	9 Months Ended
	Sep. 30, 2022
Earnings Per Share [Abstract]
Net Income (Loss) per Share	13. Net Income (Loss) per Share We compute basic net income per share using the weighted average number of shares of common stock outstanding plus the number of common stock equivalents for DSUs during the period. We compute diluted net income per share using the weighted average number of shares of common stock outstanding during the period, adjusted for the dilutive effect of common stock equivalents. In periods where losses are reported, the weighted average number of shares of common stock outstanding excludes common stock equivalents because their inclusion would be anti-dilutive. Dilutive potential common shares consist of the incremental common shares issuable upon the exercise of outstanding stock options, warrants and shares issued pursuant to a Consideration Agreement as discussed in Note 6. Dilutive potential securities are excluded from the computation of earnings per share if their effect is antidilutive. The dilutive effect of outstanding stock options and warrants is reflected in diluted earnings per share by application of the treasury stock method. The computation of basic and diluted net income (loss) per share attributable to common stockholders is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 (Unaudited) (Unaudited) Numerator: Net income (loss) applicable to common stockholders $ ( 1,686,335 ) $ 385,764 $ ( 2,720,414 ) $ 2,231,810 Denominator: Weighted average common shares outstanding, basic 19,368,192 18,984,979 19,297,636 18,784,722 Effect of dilutive common shares — 2,322,875 — 1,919,548 Weighted average common shares outstanding, diluted 19,368,192 21,307,854 19,297,636 20,704,270 Net income (loss) per share: Basic $ ( 0.09 ) $ 0.02 $ ( 0.14 ) $ 0.12 Diluted $ ( 0.09 ) $ 0.02 $ ( 0.14 ) $ 0.11 Anti-dilutive securities excluded from diluted net income (loss) per share: Stock options 318,157 413,518 318,157 151,018 Warrants — — — — Total anti-dilutive securities excluded from net income (loss) per share 318,157 413,518 318,157 151,018

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2022
Subsequent Events [Abstract]
Subsequent Events	14. Subsequent Event On October 19, 2022, we issued 166,516 shares of common stock, with a market value of $ 1,342,125 , to Green Remedies pursuant to that certain Consideration Agreement, dated October 19, 2020 , between QRHC and Green Remedies, entered into in connection with the Green Remedies acquisition. This issuance reflects the second of two equal installments payable to Green Remedies in either cash or shares of QRHC’s common stock, at our option, on the first and second anniversaries of the closing date of the acquisition.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2022
Accounting Policies [Abstract]
Principles of Presentation and Consolidation	Principles of Presentation and Consolidation The condensed consolidated financial statements included herein have been prepared by us without audit pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) and should be read in conjunction with our audited financial statements for the year ended December 31, 2021. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted as permitted by the SEC, although we believe the disclosures that are made are adequate to make the information presented herein not misleading. The accompanying condensed consolidated financial statements reflect, in our opinion, all normal recurring adjustments necessary to present fairly our financial position at September 30, 2022 and the results of our operations and cash flows for the periods presented. We derived the December 31, 2021 condensed consolidated balance sheet data from audited financial statements; however, we did not include all disclosures required by GAAP. As QRHC, Quest, LDI, Youchange, QVC, QV One, QSS, RWS, SSG, and Sequoia each operate as environmental-based service companies, we did not deem segment reporting necessary. All intercompany accounts and transactions have been eliminated in consolidation. Interim results are subject to seasonal variations, and the results of operations for the nine months ended September 30, 2022 are not necessarily indicative of the results to be expected for the full year.
Recent Accounting Pronouncements	Recent Accounting Pronouncements Adopted On January 1, 2021, we adopted Accounting Standards Update (“ASU”) 2019-12, Income Taxes – (Topic 740) , which simplifies the accounting for income taxes by removing certain exceptions and amending guidance to improve consistent application of accounting over income taxes. The adoption of the standard did not have a material effect on our consolidated financial statements. In March 2020, the Financial Accounting Standards Board (the “FASB”) issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. This standard provides operational guidance for a limited period of time to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting due to the cessation of the London Interbank Offered Rate (“LIBOR”). The amendments are elective and apply to all entities that have contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued. The expedients and exceptions provided by the amendments generally do not apply to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022. As further discussed in Note 7, our ABL facility provides procedures for determining a replacement or alternative rate in the event that LIBOR is unavailable. As such, we do not expect the transition away from LIBOR to have a material impact on our consolidated financial statements. Pending Adoption In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326) , which provides guidance on measuring credit losses on financial instruments. The amended guidance replaces current incurred loss impairment methodology of recognizing credit losses when a loss is probable with a methodology that reflects expected credit losses and requires a broader range of reasonable and supportable information to assess credit loss estimates. ASU 2016-13 is effective for us on January 1, 2023. We are assessing the provisions of this amended guidance; however, the adoption of the standard is not expected to have a material effect on our consolidated financial statements. There have been no other recent accounting pronouncements or changes in accounting pronouncements that have been issued but not yet adopted that are of significance, or potential significance, to us.

Acquisitions (Tables)

Acquisitions (Tables)	9 Months Ended
	Sep. 30, 2022
Business Acquisition [Line Items]
Schedule of Purchase Consideration Paid and Amount of Assets Acquired and Liabilities Assumed	The following table sets forth the purchase consideration paid and the amount of assets acquired and liabilities assumed as of the acquisition date: Sources of consideration paid: Cash (1) $ 32,048,438 Other (2) 1,964,562 $ 34,013,000 Purchase price allocation: Accounts receivable, net (3) 7,888,586 Other assets 1,103,253 Machinery and equipment, net 494,614 Intangible assets 25,390,000 Goodwill 8,216,325 Current liabilities ( 9,079,778 ) $ 34,013,000 (1) Financed with Monroe Capital term loan (2) Net working capital (3) Gross receivables of $ 10,359,526 , net of allowance of $ 2,470,940
RWS [Member]
Business Acquisition [Line Items]
Schedule of Unaudited Pro Forma Information	The following table presents unaudited pro forma information for the three and nine months ended September 30, 2021 as if the RWS acquisition had occurred at the beginning of our 2021 fiscal year. The unaudited pro forma information includes adjustments for amortization expense on definite lived intangible assets acquired, interest expense on debt incurred related to the acquisition, certain management adjustments, and the related income tax effects. Three months ended Nine months ended September 30, 2021 September 30, 2021 Pro Forma (unaudited) (unaudited) Revenue $ 51,155,885 $ 148,057,851 Net loss $ ( 846,442 ) $ ( 2,201,155 ) Net loss per share - basic and diluted $ ( 0.05 ) $ ( 0.12 )

Property and Equipment, Net, _2

Property and Equipment, Net, and Other Assets (Tables)	9 Months Ended
	Sep. 30, 2022
Property, Plant and Equipment [Abstract]
Components Property and Equipment, Net, and Other Assets	At September 30, 2022 and December 31, 2021, property and equipment, net, and other assets consisted of the following: September 30, December 31, 2022 2021 (Unaudited) Property and equipment, net of accumulated depreciation of $ 2,326,677 1,771,376 as of September 30, 2022 and December 31, 2021, $ 2,584,301 $ 2,542,120 Right-of-use operating lease asset 2,448,531 1,945,438 Security deposits and other assets 952,817 1,109,008 Property and equipment, net, and other assets $ 5,985,649 $ 5,596,566

Goodwill and Other Intangible_2

Goodwill and Other Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Finite-Lived Intangible Assets	The components of goodwill and other intangible assets were as follows: September 30, 2022 (Unaudited) Estimated Gross Carrying Accumulated Net Finite lived intangible assets: Customer relationships 5 years $ 39,250,000 $ 7,846,356 $ 31,403,644 Software 7 years 2,641,435 1,768,842 872,593 Trademarks 7 years 2,007,468 298,397 1,709,071 Non-compete agreements 3 years 2,250,000 654,445 1,595,555 Total finite lived intangible assets $ 46,148,903 $ 10,568,040 $ 35,580,863 December 31, 2021 Estimated Gross Carrying Accumulated Net Finite lived intangible assets: Customer relationships 5 years $ 36,820,000 $ 1,999,355 $ 34,820,645 Software 7 years 2,030,754 1,416,638 614,116 Trademarks 7 years 1,716,533 87,632 1,628,901 Non-compete agreements 3 years 2,150,000 94,722 2,055,278 Total finite lived intangible assets $ 42,717,287 $ 3,598,347 $ 39,118,940
Schedule of Changes in Goodwill	Carrying Changes in goodwill: Goodwill balance at December 31, 2021 $ 80,621,503 Addition related to acquisition 543,397 RWS purchase price allocation adjustment 1,314,569 Goodwill balance at September 30, 2022 $ 82,479,469

Current Liabilities (Tables)

Current Liabilities (Tables)	9 Months Ended
	Sep. 30, 2022
Current Liabilities Disclosure [Abstract]
Components of Accounts Payable and Accrued Liabilities	The components of Accounts payable and accrued liabilities were as follows: September 30, December 31, 2022 2021 (Unaudited) Accounts payable $ 29,885,211 $ 26,434,732 Accrued taxes 1,118,346 797,394 Employee compensation 2,159,764 1,864,145 Operating lease liability - current portion 416,709 868,799 Other 961,010 230,626 $ 34,541,040 $ 30,195,696
Components of Other Current Liabilities	The components of Other current liabilities were as follows: September 30, December 31, 2022 2021 (Unaudited) Deferred seller consideration, net $ 1,330,997 $ 1,183,153 Deferred consideration - earn-out 1,846,000 1,290,000 Deferred revenue 2,614,003 3,722,017 $ 5,791,000 $ 6,195,170

Notes Payable and Other Long-_2

Notes Payable and Other Long-Term Liabilities (Tables)	9 Months Ended
	Sep. 30, 2022
Debt Disclosure [Abstract]
Schedule of Debt Obligations	Our debt obligations are as follows: Interest Rate September 30, December 31, (1) 2022 2021 (Unaudited) Monroe Term Loan (2) 9.06 % $ 61,228,651 $ 58,585,000 Green Remedies Promissory Note (3) 3.00 % 1,772,182 2,040,607 PNC ABL Facility (4) 4.56 % 11,904,062 7,234,737 Total notes payable 74,904,895 67,860,344 Less: Current portion of long-term debt ( 1,158,800 ) ( 1,329,109 ) Less: Unamortized debt issuance costs ( 2,238,842 ) ( 2,637,483 ) Less: Unamortized OID ( 314,356 ) ( 391,493 ) Less: Unamortized OID warrant ( 877,843 ) ( 1,093,058 ) Notes payable, net $ 70,315,054 $ 62,409,201 (1) Interest rates as of September 30, 2022 (2) Bears interest at LIBOR rate plus Applicable Margin ranging from 5.5 %- 7.5 % (3) Stated interest rate of 3.0 %, discounted cash flow rate of 13 % (4) Bears interest at a Base rate, as defined, plus a margin of 0.75 % to 1.25 %
Schedule of Changes in Debt Issuance Costs	The table below summarizes changes in debt issuance costs. September 30, 2022 (Unaudited) Debt issuance costs Beginning balance $ 2,637,483 Financing costs deferred 139,550 Less: Amortization expense ( 538,191 ) Debt issuance costs, net of accumulated amortization $ 2,238,842
Schedule of Other Long-Term Liabilities	Other long-term liabilities September 30, December 31, 2022 2021 (Unaudited) Deferred consideration - earn-out $ 225,000 $ 781,000 Operating lease liability - long-term portion 1,850,542 1,123,799 Other 4,167 4,167 $ 2,079,709 $ 1,908,966

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2022
Lessee Disclosure [Abstract]
Future Minimum Lease Payments Required Under Office Leases	The future minimum lease payments required under our office leases as of September 30, 2022 are as follows: Amount 2022 $ 80,781 2023 593,696 2024 572,212 2025 493,364 2026 482,604 2027 357,303 Total lease payments 2,579,960 Less: Interest ( 312,709 ) Present value of lease liabilities $ 2,267,251
Summary of Lease Related Assets and Liabilities Recorded on Balance Sheet	The table below presents the lease related assets and liabilities recorded on the balance sheet. Right-of-use assets and related liabilities related to finance leases at September 30, 2022 are de minimis. September 30, December 31, 2022 2021 Operating Leases: (Unaudited) Right-of-use operating lease asset: Property and equipment, net and other assets $ 2,448,531 $ 1,945,438 Lease Liabilities: Accounts payable and accrued liabilities $ 416,709 $ 868,799 Other long-term liabilities 1,850,542 1,123,799 Total operating lease liabilities $ 2,267,251 $ 1,992,598

Revenue (Tables)

Revenue (Tables)	9 Months Ended
	Sep. 30, 2022
Revenue from Contract with Customer [Abstract]
Summary of Revenue Disaggregated by Source	The following table presents our revenue disaggregated by source. Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 (Unaudited) (Unaudited) Revenue Type: Services $ 70,895,554 $ 35,267,085 $ 213,934,853 $ 102,567,569 Product sales and other 2,462,739 2,099,655 7,850,396 6,759,245 Total revenue $ 73,358,293 $ 37,366,740 $ 221,785,249 $ 109,326,814

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	9 Months Ended
	Sep. 30, 2022
Summary of Warrant Activity	The following table summarizes the warrants issued and outstanding as of September 30, 2022: Warrants Issued and Outstanding as of September 30, 2022 Date of Exercise Shares of Description Issuance Expiration Common Stock Exercisable Warrants 10/19/2020 3/19/2028 $ 1.50 500,000 Exercisable Warrants 10/19/2021 3/19/2028 $ 1.50 350,000 Total warrants issued and outstanding 850,000
Summary of Stock Option Activity	The following table summarizes the stock option activity for the nine months ended September 30, 2022: Stock Options Weighted- Exercise Average Number Price Per Exercise Price of Shares Share Per Share Outstanding at December 31, 2021 3,280,585 $ 1.17 — $ 23.20 $ 2.87 Granted 359,889 $ 4.08 — $ 7.20 $ 4.99 Exercised ( 198,567 ) $ 1.51 — $ 6.40 $ 2.01 Cancelled/Forfeited ( 58,001 ) $ 1.94 — $ 6.06 $ 5.35 Outstanding at September 30, 2022 3,383,906 $ 1.17 — $ 23.20 $ 3.10

Net Income (Loss) per Share (Ta

Net Income (Loss) per Share (Tables)	9 Months Ended
	Sep. 30, 2022
Earnings Per Share [Abstract]
Computation of Basic and Diluted Net Income (Loss) per Share Attributable to Common Stockholders	The computation of basic and diluted net income (loss) per share attributable to common stockholders is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 (Unaudited) (Unaudited) Numerator: Net income (loss) applicable to common stockholders $ ( 1,686,335 ) $ 385,764 $ ( 2,720,414 ) $ 2,231,810 Denominator: Weighted average common shares outstanding, basic 19,368,192 18,984,979 19,297,636 18,784,722 Effect of dilutive common shares — 2,322,875 — 1,919,548 Weighted average common shares outstanding, diluted 19,368,192 21,307,854 19,297,636 20,704,270 Net income (loss) per share: Basic $ ( 0.09 ) $ 0.02 $ ( 0.14 ) $ 0.12 Diluted $ ( 0.09 ) $ 0.02 $ ( 0.14 ) $ 0.11 Anti-dilutive securities excluded from diluted net income (loss) per share: Stock options 318,157 413,518 318,157 151,018 Warrants — — — — Total anti-dilutive securities excluded from net income (loss) per share 318,157 413,518 318,157 151,018

Acquisitions - Additional Infor

Acquisitions - Additional Information (Detail) - USD ($)			9 Months Ended
	Feb. 10, 2022	Nov. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Business Acquisition [Line Items]
Cash consideration			$ 3,137,758	$ 2,319,977
RWS [Member]
Business Acquisition [Line Items]
Total purchase price		$ 33,000,000
Cash consideration		$ 32,048,438
Increase to goodwill due to purchase price adjustment			$ 1,300,000
Independent Environmental Services Company [Member]
Business Acquisition [Line Items]
Cash consideration	$ 3,350,000

Acquisitions - Schedule of Purc

Acquisitions - Schedule of Purchase Consideration Paid and Amount of Assets Acquired and Liabilities Assumed (Detail) - USD ($)		9 Months Ended
	Nov. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Sources of consideration paid:
Cash		$ 3,137,758	$ 2,319,977
Purchase price allocation:
Goodwill		$ 82,479,469		$ 80,621,503
RWS [Member]
Sources of consideration paid:
Cash	$ 32,048,438
Total purchase consideration	34,013,000
Purchase price allocation:
Accounts receivable, net	7,888,586
Other assets	1,103,253
Machinery and equipment	494,614
Intangible assets	25,390,000
Goodwill	8,216,325
Current liabilities	(9,079,778)
Assets acquired and liabilities assumed, net	34,013,000
Other [Member] | RWS [Member]
Sources of consideration paid:
Business combination, consideration transferred, liabilities incurred	$ 1,964,562

Acquisitions - Schedule of Pu_2

Acquisitions - Schedule of Purchase Consideration Paid and Amount of Assets Acquired and Liabilities Assumed (Parenthetical) (Detail) - RWS [Member]	Nov. 30, 2021 USD ($)
Business Acquisition [Line Items]
Gross receivables	$ 10,359,526
Net of allowance	$ 2,470,940

Acquisitions - Schedule of Unau

Acquisitions - Schedule of Unaudited Pro Forma Information (Detail) - RWS [Member] - USD ($)	3 Months Ended	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2021
Business Acquisition [Line Items]
Revenue	$ 51,155,885	$ 148,057,851
Net loss	$ (846,442)	$ (2,201,155)
Net loss per share - basic and diluted	$ (0.05)	$ (0.12)

Property and Equipment, Net, _3

Property and Equipment, Net, and Other Assets - Components of Property and Equipment, Net, and Other Assets (Detail) - USD ($)	Sep. 30, 2022	Dec. 31, 2021
Property And Equipment Net And Other Assets [Abstract]
Property and equipment, net of accumulated depreciation of $2,326,677 and $1,771,376 as of September 30, 2022 and December 31, 2021, respectively	$ 2,584,301	$ 2,542,120
Right-of-use operating lease asset	2,448,531	1,945,438
Security deposits and other assets	952,817	1,109,008
Property and equipment, net, and other assets	$ 5,985,649	$ 5,596,566

Property and Equipment, Net, _4

Property and Equipment, Net, and Other Assets - Components of Property and Equipment, Net, and Other Assets (Parenthetical) (Detail) - USD ($)	Sep. 30, 2022	Dec. 31, 2021
Property And Equipment Net And Other Assets [Abstract]
Accumulated depreciation, Property and equipment	$ 2,326,677	$ 1,771,376

Property and Equipment, Net, _5

Property and Equipment, Net, and Other Assets - Additional Information (Detail) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021	Feb. 20, 2018
Property And Equipment Net And Other Assets [Line Items]
Depreciation	$ 201,345	$ 119,865	$ 571,738	$ 345,463
Asset Purchase Agreement [Member] | Earth Media Partners, LLC [Member]
Property And Equipment Net And Other Assets [Line Items]
Percentage of ownership interest						19%
Ownership interest amount recorded as investment						$ 246,585
Accrued earn-out amount	327,667		327,667		$ 339,667
Asset Purchase Agreement [Member] | Earth Media Partners, LLC [Member] | Wholly Owned Subsidiary and Earth911, Inc. [Member] | Disposal Group, Not Discontinued Operations [Member]
Property And Equipment Net And Other Assets [Line Items]
Future earn-out amount						$ 350,000
Service [Member]
Property And Equipment Net And Other Assets [Line Items]
Depreciation reflected in cost of revenue	$ 80,903	$ 74,495	$ 232,839	$ 215,287

Goodwill and Other Intangible_3

Goodwill and Other Intangible Assets - Schedule of Finite-Lived Intangible Assets (Detail) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2022	Dec. 31, 2021
Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 46,148,903	$ 42,717,287
Accumulated Amortization	10,568,040	3,598,347
Net	$ 35,580,863	$ 39,118,940
Customer Relationships [Member]
Finite Lived Intangible Assets [Line Items]
Estimated Useful Life	5 years	5 years
Gross Carrying Amount	$ 39,250,000	$ 36,820,000
Accumulated Amortization	7,846,356	1,999,355
Net	$ 31,403,644	$ 34,820,645
Software [Member]
Finite Lived Intangible Assets [Line Items]
Estimated Useful Life	7 years	7 years
Gross Carrying Amount	$ 2,641,435	$ 2,030,754
Accumulated Amortization	1,768,842	1,416,638
Net	$ 872,593	$ 614,116
Trademarks [Member]
Finite Lived Intangible Assets [Line Items]
Estimated Useful Life	7 years	7 years
Gross Carrying Amount	$ 2,007,468	$ 1,716,533
Accumulated Amortization	298,397	87,632
Net	$ 1,709,071	$ 1,628,901
Non-compete Agreements [Member]
Finite Lived Intangible Assets [Line Items]
Estimated Useful Life	3 years	3 years
Gross Carrying Amount	$ 2,250,000	$ 2,150,000
Accumulated Amortization	654,445	94,722
Net	$ 1,595,555	$ 2,055,278

Goodwill and Other Intangible_4

Goodwill and Other Intangible Assets - Schedule of Changes in Goodwill (Detail)	9 Months Ended
	Sep. 30, 2022 USD ($)
Goodwill [Line Items]
Goodwill balance at December 31, 2021	$ 80,621,503
Addition related to acquisition	543,397
Goodwill balance at September 31, 2022	82,479,469
RWS [Member]
Goodwill [Line Items]
Purchase price allocation adjustment	$ 1,314,569

Goodwill and Other Intangible_5

Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Goodwill And Intangible Assets Disclosure [Abstract]
Amortization of intangibles	$ 2,352,897	$ 463,087	$ 6,969,692	$ 1,194,215
Indefinite-lived intangible assets other than goodwill			0
Goodwill	82,479,469		82,479,469		$ 80,621,503
Impairment of goodwill		$ 0
Not Deductible for Tax Purposes [Member]
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill	67,000,000		67,000,000
Deductible for Tax Purposes [Member]
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill	$ 15,500,000		$ 15,500,000

Current Liabilities - Component

Current Liabilities - Components of Accounts Payable and Accrued Liabilities (Detail) - USD ($)	Sep. 30, 2022	Dec. 31, 2021
Accounts Payable and Accrued Liabilities, Current [Abstract]
Accounts payable	$ 29,885,211	$ 26,434,732
Accrued taxes	1,118,346	797,394
Employee compensation	2,159,764	1,864,145
Operating lease liability - current portion	416,709	868,799
Other	961,010	230,626
Accounts payable and accrued liabilities	$ 34,541,040	$ 30,195,696

Current Liabilities - Compone_2

Current Liabilities - Components of Other Current Liabilities (Detail) - USD ($)	Sep. 30, 2022	Dec. 31, 2021
Other Liabilities, Current [Abstract]
Deferred seller consideration, net	$ 1,330,997	$ 1,183,153
Deferred consideration - earn-out	1,846,000	1,290,000
Deferred revenue	2,614,003	3,722,017
Other current liabilities	$ 5,791,000	$ 6,195,170

Current Liabilities - Additiona

Current Liabilities - Additional Information (Detail) - USD ($)	Sep. 30, 2022	Dec. 31, 2021
Green Remedies [Member] | OID [Member]
Business Acquisition [Line Items]
Deferred seller consideration unamortized amount	$ 11,128	$ 158,972
Other Acquisitions [Member]
Business Acquisition [Line Items]
Earn-out liability, current	$ 1,846,000	$ 1,290,000

Notes Payable and Other Long-_3

Notes Payable and Other Long-term Liabilities - Schedule of Debt Obligations (Detail) - USD ($)	9 Months Ended
	Sep. 30, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Total notes payable	$ 74,904,895	$ 67,860,344
Less: Current portion of long-term debt	(1,158,800)	(1,329,109)
Less: Unamortized debt issuance costs	(2,238,842)	(2,637,483)
Less: Unamortized OID	(314,356)	(391,493)
Less: Unamortized OID warrant	(877,843)	(1,093,058)
Notes payable, net	$ 70,315,054	62,409,201
Monroe Term Loan [Member]
Debt Instrument [Line Items]
Interest Rate	9.06%
Total notes payable	$ 61,228,651	58,585,000
Green Remedies Promissory Note [Member]
Debt Instrument [Line Items]
Interest Rate	3%
Total notes payable	$ 1,772,182	2,040,607
PNC ABL Facility [Member]
Debt Instrument [Line Items]
Interest Rate	4.56%
Total notes payable	$ 11,904,062	$ 7,234,737

Notes Payable and Other Long-_4

Notes Payable and Other Long-term Liabilities - Schedule of Debt Obligations (Parenthetical) (Detail)	9 Months Ended
	Sep. 30, 2022	Oct. 19, 2020
Debt Instrument [Line Items]
Debt instrument stated interest rate		3%
Green Remedies Promissory Note [Member] | LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument stated interest rate	3%
Discounted cash flow rate	13%
Minimum [Member] | Monroe Term Loan [Member]
Debt Instrument [Line Items]
Debt instrument interest rate	5.50%
Minimum [Member] | PNC ABL Facility [Member] | Base Rate [Member]
Debt Instrument [Line Items]
Debt instrument interest rate	0.75%
Maximum [Member] | Monroe Term Loan [Member]
Debt Instrument [Line Items]
Debt instrument interest rate	7.50%
Maximum [Member] | PNC ABL Facility [Member] | Base Rate [Member]
Debt Instrument [Line Items]
Debt instrument interest rate	1.25%

Notes Payable and Other Long-_5

Notes Payable and Other Long-term Liabilities - Schedule of Changes in Debt Issuance Costs (Detail) - USD ($)	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Debt Disclosure [Abstract]
Beginning balance	$ 2,637,483
Financing costs deferred	139,550
Less: Amortization expense	(538,191)	$ (266,153)
Debt issuance costs, net of accumulated amortization	$ 2,238,842

Notes Payable and Other Long-_6

Notes Payable and Other Long-term Liabilities - Additional Information (Detail) - USD ($)			3 Months Ended		9 Months Ended		12 Months Ended
	Oct. 19, 2020	Aug. 05, 2020	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021	Dec. 31, 2020	Oct. 31, 2020
Debt Instrument [Line Items]
Aggregate principal amount	$ 2,684,250
Debt instrument annual interest rate	3%
Interest expense related to borrowings			$ 1,577,669	$ 334,946	$ 4,097,400	$ 1,030,377
Debt issuance cost			3,248,906		3,248,906
Unamortized portion of debt discount			2,238,842		2,238,842		$ 2,637,483
Interest expense related to amortization of debt issuance costs					538,191	266,153
OID [Member]
Debt Instrument [Line Items]
Unamortized portion of debt discount			1,192,199		1,192,199
Interest expense related to amortization of debt issuance costs					440,196	$ 349,418
Debt discounts					2,210,148
Monroe Capital Credit Agreement [Member]
Debt Instrument [Line Items]
Debt discounts							$ 536,000	$ 766,000
Monroe Capital Credit Agreement [Member] | Equity Offering [Member]
Debt Instrument [Line Items]
Sale of stock, number of shares issued in transaction	500,000						350,000	500,000
Warrant issued	350,000
Price per warrant	$ 1.50
Warrant expiration date	Mar. 19, 2028
Minimum net proceeds receivable by warrant holders	$ 1,000,000
Monroe Capital Credit Agreement [Member] | Senior Secured Term Loan [Member]
Debt Instrument [Line Items]
Debt instrument maturity date	Oct. 19, 2025
Revolving credit current borrowing facility									$ 11,500,000
Revolving credit current borrowing facility, outstanding			61,200,000		61,200,000
Percentage of original principal amount	1%
Maximum [Member] | Monroe Capital Credit Agreement [Member] | Delayed Draw Term Loan Facility [Member]
Debt Instrument [Line Items]
Revolving credit facility maximum principal amount	$ 12,500,000
Maximum [Member] | Monroe Capital Credit Agreement [Member] | Accordion Term Loan Facility [Member]
Debt Instrument [Line Items]
Revolving credit facility maximum principal amount	$ 5,300,000
ABL Facility [Member]
Debt Instrument [Line Items]
Revolving credit facility maximum principal amount		$ 15,000,000
Sublimit for issuance of letters of credit, percentage		10%
Debt instrument maturity date		Apr. 19, 2025
Revolving credit facility, increase (decrease)		$ 10,000,000
Revolving credit current borrowing facility			15,000,000		15,000,000
Revolving credit current borrowing facility, outstanding			$ 11,904,062		$ 11,904,062
ABL Facility [Member] | Base Rate [Member]
Debt Instrument [Line Items]
Debt instrument interest rate			4.56%		4.56%
ABL Facility [Member] | LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument interest rate			0%		0%
ABL Facility [Member] | Minimum [Member] | Base Rate [Member]
Debt Instrument [Line Items]
Debt instrument interest rate		0.75%
ABL Facility [Member] | Minimum [Member] | LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument interest rate		1.75%
ABL Facility [Member] | Maximum [Member] | Base Rate [Member]
Debt Instrument [Line Items]
Debt instrument interest rate		1.25%
ABL Facility [Member] | Maximum [Member] | LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument interest rate		2.25%
Equipment Loan Facility [Member]
Debt Instrument [Line Items]
Revolving credit facility maximum principal amount		$ 2,000,000
Debt instrument maturity date		Apr. 19, 2025
Equipment Loan Facility [Member] | Base Rate [Member]
Debt Instrument [Line Items]
Debt instrument interest rate		1.75%
Equipment Loan Facility [Member] | LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument interest rate		2.75%

Notes Payable and Other Long-_7

Notes Payable and Other Long-term Liabilities - Schedule of Other Long-Term Liabilities (Detail) - USD ($)	Sep. 30, 2022	Dec. 31, 2021
Debt Disclosure [Abstract]
Deferred consideration - earn-out	$ 225,000	$ 781,000
Operating lease liability - long-term portion	1,850,542	1,123,799
Other	4,167	4,167
Other long-term liabilities	$ 2,079,709	$ 1,908,966

Leases - Additional Information

Leases - Additional Information (Detail)	3 Months Ended		9 Months Ended		24 Months Ended
	Sep. 30, 2022 USD ($) SquareFeet	Sep. 30, 2021 USD ($)	Sep. 30, 2022 USD ($) SquareFeet	Sep. 30, 2021 USD ($)	Aug. 31, 2022 USD ($)
Lessee Lease Description [Line Items]
Amount of square space rented | SquareFeet	16,200		16,200
Fixed cost operating lease expense	$ 207,000	$ 158,000	$ 669,000	$ 475,000
Operating lease minimum annual incentive payment					$ 93,600
Sublease commencement period			Dec. 01, 2019
Sublease expiration, month and year			2022-08
Sublease income, net of amortized leasing costs			$ 39,000

Leases - Future Minimum Lease P

Leases - Future Minimum Lease Payments Required Under Office Lease (Detail) - USD ($)	Sep. 30, 2022	Dec. 31, 2021
Lessee, Operating Lease, Liability, to be Paid [Abstract]
2022	$ 80,781
2023	593,696
2024	572,212
2025	493,364
2026	482,604
2027	357,303
Total lease payments	2,579,960
Less: Interest	(312,709)
Operating Lease, Liability	$ 2,267,251	$ 1,992,598

Leases - Summary of Lease Relat

Leases - Summary of Lease Related Assets and Liabilities Recorded on Balance Sheet (Detail) - USD ($)	Sep. 30, 2022	Dec. 31, 2021
Assets and Liabilities, Lessee [Abstract]
Right-of-use operating lease asset	$ 2,448,531	$ 1,945,438
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration]	Property Plant And Equipment Net Including Deposits Assets Noncurrent	Property Plant And Equipment Net Including Deposits Assets Noncurrent
Operating lease liability - current portion	$ 416,709	$ 868,799
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List]	Accounts payable and accrued liabilities	Accounts payable and accrued liabilities
Operating lease liability - long-term portion	$ 1,850,542	$ 1,123,799
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List]	Other long-term liabilities	Other long-term liabilities
Total operating lease liabilities	$ 2,267,251	$ 1,992,598

Revenue - Additional Informatio

Revenue - Additional Information (Detail)	3 Months Ended		9 Months Ended
	Sep. 30, 2022 USD ($)	Sep. 30, 2021 USD ($)	Sep. 30, 2022 USD ($) Customer	Sep. 30, 2021 USD ($) Customer	Dec. 31, 2021 USD ($)
Revenue Recognition [Line Items]
Revenue	$ 73,358,293	$ 37,366,740	$ 221,785,249	$ 109,326,814
Number of customer | Customer			2	2
Deferred contract costs	67,500		$ 67,500		$ 775,000
Deferred revenue	2,614,003		2,614,003		$ 3,722,017
Management Fee [Member]
Revenue Recognition [Line Items]
Revenue	92,475	0	392,451	$ 0
Selling, General and Administrative Expense [Member]
Revenue Recognition [Line Items]
Amortized deferred contract costs	$ 102,500	$ 50,000	$ 307,500	$ 150,000
Customer Concentration Risk [Member] | Sales Revenue Net [Member] | Customers [Member]
Revenue Recognition [Line Items]
Percentage of revenue	21%	39.40%	14.50%	43.80%

Revenue - Summary of Revenue Di

Revenue - Summary of Revenue Disaggregated by Source (Detail) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Disaggregation Of Revenue [Line Items]
Total revenue	$ 73,358,293	$ 37,366,740	$ 221,785,249	$ 109,326,814
Services [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	70,895,554	35,267,085	213,934,853	102,567,569
Product Sales and Other [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	$ 2,462,739	$ 2,099,655	$ 7,850,396	$ 6,759,245

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Income Tax [Line Items]
Income tax expense	$ 151,619	$ 108,003	$ 479,011	$ 262,449
Federal corporate income tax rate			27%
Valuation allowance	11,104,000		$ 11,104,000		$ 11,138,000
Federal income tax net operating loss carry forward	8,100,000		$ 8,100,000		$ 10,100,000
Net operating loss carry forwards expiration beginning year			2034
Net operating loss carry forwards expiration ending year			2037
State [Member]
Income Tax [Line Items]
Operating loss carryforwards	$ 0	$ 0	$ 0	$ 0

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Detail) - $ / shares	Sep. 30, 2022	Dec. 31, 2021
Equity [Abstract]
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, shares authorized	200,000,000	200,000,000
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares issued	19,290,925	19,045,988
Common stock, shares outstanding	19,290,925	19,045,988

Stockholders' Equity - Additi_2

Stockholders' Equity - Additional Information - Employee Stock Purchase Plan (Detail) - USD ($)		3 Months Ended		9 Months Ended
	May 16, 2022	Jun. 30, 2022	Jun. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Equity [Abstract]
Shares issued for employee stock purchase plans options, shares	17,720
Shares issued for employee stock purchase plans options	$ 76,666	$ 76,666	$ 38,988
Employee stock purchase plan expense				$ 63,369	$ 24,586

Stockholders' Equity - Summary

Stockholders' Equity - Summary of Warrants Issued and Outstanding (Detail)	9 Months Ended
	Sep. 30, 2022 $ / shares shares
Class Of Warrant Or Right [Line Items]
Shares of Common Stock	850,000
Exercisable Warrants [Member] | Warrants One [Member]
Class Of Warrant Or Right [Line Items]
Date of Issuance	Oct. 19, 2020
Date of Expiration	Mar. 19, 2028
Price per warrant | $ / shares	$ 1.50
Shares of Common Stock	500,000
Exercisable Warrants [Member] | Warrants Two [Member]
Class Of Warrant Or Right [Line Items]
Date of Issuance	Oct. 19, 2021
Date of Expiration	Mar. 19, 2028
Price per warrant | $ / shares	$ 1.50
Shares of Common Stock	350,000

Stockholders' Equity - Additi_3

Stockholders' Equity - Additional Information - Stock Options (Detail) - USD ($)	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Equity [Abstract]
Stock options expense	$ 730,037	$ 575,437

Stockholders' Equity - Summar_2

Stockholders' Equity - Summary of Stock Option Activity (Detail) - $ / shares	9 Months Ended	12 Months Ended
	Sep. 30, 2022	Dec. 31, 2021
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Outstanding Beginning Balance, Number of Shares	3,280,585
Granted, Number of Shares	359,889
Exercised, Number of Shares	(198,567)
Canceled/Forfeited, Number of Shares	(58,001)
Outstanding Ending Balance, Number of Shares	3,383,906	3,280,585
Outstanding Beginning Balance, Weighted-Average Exercise Price Per Share	$ 2.87
Granted, Weighted-Average Exercise Price Per Share	4.99
Exercised, Weighted-Average Exercise Price Per Share	2.01
Cancelled/Forfeited, Weighted-Average Exercise Price Per Share	5.35
Outstanding Ending Balance, Weighted-Average Exercise Price Per Share	3.10	$ 2.87
Outstanding, $1.17 - $23.20 [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Exercise Price Per Share, Minimum		1.17
Exercise Price Per Share, Maximum		$ 23.20
Granted, $4.09 - $7.20 [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Exercise Price Per Share, Minimum	4.08
Exercise Price Per Share, Maximum	7.20
Exercised, $1.51 - $3.98 [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Exercise Price Per Share, Minimum	1.51
Exercise Price Per Share, Maximum	6.40
Cancelled/Forfeited, $1.94 - $3.98 [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Exercise Price Per Share, Minimum	1.94
Exercise Price Per Share, Maximum	6.06
Outstanding, $1.17 - $23.20 [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Exercise Price Per Share, Minimum	1.17
Exercise Price Per Share, Maximum	$ 23.20

Stockholders' Equity - Additi_4

Stockholders' Equity - Additional Information - Deferred Stock Units (Detail) - Deferred Stock Units [Member] - USD ($)	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021	Sep. 01, 2019
Schedule Of Stockholders Equity [Line Items]
Number of stock unit received				1
Deferred stock units	5,317	81,249
Compensation expense related to grants	$ 175,629
DSUs outstanding	210,013		198,145
Director [Member]
Schedule Of Stockholders Equity [Line Items]
Compensation expense related to grants	$ 29,211	$ 384,708
Executive Employees [Member]
Schedule Of Stockholders Equity [Line Items]
Deferred stock units	35,201	49,775
Compensation expense related to grants		$ 157,009

Net Income (Loss) per Share - C

Net Income (Loss) per Share - Computation of Basic and Diluted Net Income (Loss) per Share Attributable to Common Stockholders (Detail) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Numerator:
Net income (loss) applicable to common stockholders	$ (1,686,335)	$ 385,764	$ (2,720,414)	$ 2,231,810
Denominator:
Weighted average common shares outstanding, basic	19,368,192	18,984,979	19,297,636	18,784,722
Effect of dilutive common shares		2,322,875		1,919,548
Weighted average common shares outstanding, diluted	19,368,192	21,307,854	19,297,636	20,704,270
Net income (loss) per share:
Basic	$ (0.09)	$ 0.02	$ (0.14)	$ 0.12
Diluted	$ (0.09)	$ 0.02	$ (0.14)	$ 0.11
Anti-dilutive securities excluded from diluted net income (loss) per share:
Anti-dilutive securities excluded from diluted net income (loss) per share	318,157	413,518	318,157	151,018
Stock options [Member]
Anti-dilutive securities excluded from diluted net income (loss) per share:
Anti-dilutive securities excluded from diluted net income (loss) per share	318,157	413,518	318,157	151,018

Subsequent Events - Additional

Subsequent Events - Additional Information (Detail)	Oct. 19, 2022 USD ($) Installment shares	Sep. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)
Subsequent Event [Line Items]
Common stock value		$ 19,291	$ 19,046
Consideration Agreement [Member] | Subsequent Event [Member] | Green Remedies [Member]
Subsequent Event [Line Items]
Shares of common stock issued | shares	166,516
Common stock value	$ 1,342,125
Number of equal installments | Installment	2
Date of acquisition agreement	Oct. 19, 2020