Mullen Automotive (MULN) 10-Q 14 Nov 18 2018 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2018	Nov. 14, 2018
Document Information [Line Items]
Entity Registrant Name	Net Element, Inc.
Entity Central Index Key	1,499,961
Trading Symbol	nete
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Current Reporting Status	Yes
Entity Emerging Growth Company	false
Entity Small Business	true
Entity Common Stock, Shares Outstanding (in shares)		3,863,019
Document Type	10-Q
Document Period End Date	Sep. 30, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q3
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($)	Sep. 30, 2018	Dec. 31, 2017
ASSETS
Cash	$ 2,563,104	$ 11,285,669
Accounts receivable, net	4,970,697	5,472,856
Prepaid expenses and other assets	1,679,092	2,282,614
Total current assets, net	9,212,893	19,041,139
Equipment, net	34,267	58,268
Intangible assets, net	5,354,237	3,127,760
Goodwill	9,643,752	9,643,752
Other long term assets	603,110	460,511
Total assets	24,848,259	32,331,430
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable	5,407,971	6,785,459
Accrued expenses	2,247,101	3,212,438
Deferred revenue	1,173,802	1,712,591
Notes payable (current portion)	484,490	2,493,973
Due to related parties	441,606	461,992
Total current liabilities	9,754,970	14,666,453
Notes payable (net of current portion)	5,072,396	4,521,449
Total liabilities	14,827,366	19,187,902
STOCKHOLDERS' EQUITY
Series A Convertible Preferred stock ($.0001 par value, 1,000,000 shares authorized, no shares issued and outstanding at September 30, 2018 and December 31, 2017)
Common stock ($.0001 par value, 100,000,000 shares authorized and 3,858,813 and 3,853,100 shares issued and outstanding at September 30, 2018 and December 31, 2017, respectively)	385	385
Paid in capital	183,223,732	183,119,222
Accumulated other comprehensive loss	(2,315,394)	(2,530,238)
Accumulated deficit	(170,781,062)	(167,356,070)
Stock Subscriptions Receivable		(50,585)
Non-controlling interest	(106,768)	(39,186)
Total stockholders' equity	10,020,893	13,143,528
Total liabilities and stockholders' equity	$ 24,848,259	$ 32,331,430

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares	Sep. 30, 2018	Dec. 31, 2017
Preferred stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized (in shares)	1,000,000	1,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized (in shares)	100,000,000	100,000,000
Common stock, shares issued (in shares)	3,858,813	3,853,100
Common stock, shares outstanding (in shares)	3,858,813	3,853,100

Unaudited Condensed Consolidate

Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Net revenues
Revenues	$ 17,242,758	$ 14,901,131	$ 49,689,870	$ 44,604,113
Costs and expenses:
Costs and expenses	14,559,808		41,992,150
Selling, general and administrative	2,346,809	2,357,729	7,292,785	7,788,068
Non-cash compensation	22,500	111,277	127,011	836,218
Bad debt expense	611,897	319,690	1,611,068	1,465,311
Depreciation and amortization	463,384	630,020	1,829,447	1,860,401
Total costs and operating expenses	18,004,398	16,175,343	52,852,461	49,485,009
Loss from operations	(761,640)	(1,274,212)	(3,162,591)	(4,880,896)
Interest expense, net	(215,935)	(302,813)	(694,910)	(894,553)
Other income (expense)	41,507	(92,904)	364,930	(148,099)
Net (loss) income before income taxes	(936,068)	(1,669,929)	(3,492,571)	(5,923,548)
Income taxes
Net loss	(936,068)	(1,669,929)	(3,492,571)	(5,923,548)
Net (income) loss attributable to the non-controlling interest	25,654	(32,607)	67,582	93,175
Net loss attributable to Net Element, Inc. stockholders	(910,414)	(1,702,536)	(3,424,989)	(5,830,373)
Foreign currency translation	145,867	92,191	214,845	(41,809)
Comprehensive loss attributable to common stockholders	$ (764,547)	$ (1,610,345)	$ (3,210,144)	$ (5,872,182)
Loss per share - basic and diluted (in dollars per share)	$ (0.23)	$ (0.90)	$ (0.88)	$ (3.29)
Weighted average number of common shares outstanding - basic and diluted (in shares)	3,901,218	1,891,023	3,870,134	1,770,947
Service Fees [Member]
Net revenues
Revenues	$ 17,242,758	$ 14,901,131	$ 49,689,870	$ 43,263,217
Costs and expenses:
Costs and expenses	14,559,808	12,756,627	41,992,150	36,232,170
Branded content [Member]
Net revenues
Revenues				1,340,896
Costs and expenses:
Costs and expenses				$ 1,302,841

Condensed Consolidated Statemen

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Cash flows from operating activities
Net loss attributable to Net Element, Inc. stockholders	$ (3,424,989)	$ (5,830,373)
Adjustments to reconcile net loss to net cash used in operating activities
Non-controlling interest	(67,582)	(93,175)
Share based compensation	127,011	836,218
Deferred revenue	(536,041)	(159,228)
Depreciation and amortization	1,829,447	1,860,401
Non cash interest	49,000	98,774
Changes in assets and liabilities
Accounts receivable	379,601	3,421,265
Prepaid expenses and other assets	457,806	(352,551)
Accounts payable and accrued expenses	(2,087,416)	(2,390,495)
Net cash used in operating activities	(3,273,163)	(2,609,164)
Cash flows from investing activities
Purchase of portfolios and client acquisition costs	(3,851,596)	(1,380,661)
Purchase of equipment and changes in other assets	(115,041)	77,430
Net cash used in investing activities	(3,966,637)	(1,303,231)
Cash flows from financing activities
Proceeds from sale of common stock		1,150,098
Proceeds from indebtedness		3,239,033
Repayment of indebtedness	(1,458,536)	(273,360)
Related party advances	(39,265)	77,587
Net cash (used in) provided by financing activities	(1,497,801)	4,193,358
Effect of exchange rate changes on cash	15,036	19,504
Net (decrease) increase in cash	(8,722,565)	300,467
Cash at beginning of period	11,285,669	621,635
Cash at end of period	2,563,104	922,102
Supplemental disclosure of cash flow information
Interest	645,910	795,779
Taxes	$ 44,932	$ 86,942

Note 1 - Basis of Presentation

Note 1 - Basis of Presentation	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Basis of Accounting [Text Block]	NOTE 1. BASIS OF PRESENTATION The accompanying September 30, 2018 not 2017 10 not The condensed consolidated unaudited financial statements contained in this report include the accounts of Net Element, Inc., and its wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation.

Note 2 - Business Operations an

Note 2 - Business Operations and Liquidity	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Nature of Operations [Text Block]	NOTE 2. Net Element, Inc. (collectively with its subsidiaries, “Net Element”, “we”, “us”, “our” or the “Company”) is a financial technology-driven group specializing in payment acceptance and value-added solutions across multiple channels in the United States and selected international markets. We are differentiated by our proprietary technology which enables us to provide a broad suite of payment products and end-to-end transaction processing services. Our transactional services business enables merchants to accept credit cards as well as other forms of payment, including debit cards, checks, gift cards, loyalty programs and alternative payment methods in traditional card-present or swipe transactions, as well as card- not three nine September 30, 2018, two fourth 2017, one three The Company expects to fund its operating cash needs for the next twelve To fund our operating cash needs, we may may

Note 3 - Summary of Significant

Note 3 - Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Significant Accounting Policies [Text Block]	NOTE 3. Significant accounting policies are defined as those that are reflective of significant judgments and uncertainties, and potentially result in materially different results under different assumptions and conditions. The Company’s significant accounting policies are described below. Use of Estimates The preparation of these financial statements requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the condensed consolidated unaudited financial statements and the reported amounts of revenues and expenses for the reporting period. Significant estimates include valuation reserves for accounts receivable, valuation of acquired or current merchant portfolios, incurred but not Reclassifications Certain reclassifications of prior year amounts have been made to conform to the 2018 no Cash We maintain our U.S. dollar-denominated cash in several non-interest bearing bank deposit accounts. All U.S. non-interest bearing transaction accounts are insured up to a maximum of $250,000 $0.9 $10.6 September 30, 2018 December 31, 2017, December 31, 2017 $51,000 $186,000 September 30, 2018 December 31, 2017, Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable are stated net of an allowance for doubtful accounts. We estimate an allowance for doubtful accounts based on experience with our service providers and judgment as to the likelihood of their ultimate payment. We also consider collection experience and make estimates regarding collectability based on payout trends of the customers. The allowance for doubtful accounts was approximately $213,000 September 30, 2018 $257,000 December 31, 2017. Other Current Assets We maintain an inventory of point-of-sale ("POS") terminals which we use to service both merchants and independent sales agents ("ISG"). Often, we will provide the terminals as an incentive for merchants and independent sales agents to enter into a merchant contracts with us. The term of these contracts has an average length of three $539,000 $507,000 September 30, 2018 December 31, 2017, $531,000 $501,000 September 30, 2018 December 31, 2017, Goodwill and Other Intangible Assets Intangible assets acquired, either individually or with a group of other assets (but not The cost of internally developing, maintaining and restoring intangible assets (including goodwill) that are not An intangible asset (including goodwill) that is not not no not $9.6 no nine September 30, 2018 2017. Capitalized Customer Acquisition Costs, Net Capitalized customer acquisition costs consist of up-front cash payments made to ISGs for the establishment of new merchant relationships. Capitalized customer acquisition costs represent incremental, direct customer acquisition costs that are recoverable through gross margins associated with merchant contracts. The up-front cash payment to the ISG is based on the estimated gross margin for the first not four Net Loss per Share Basic net loss per common share is computed by dividing net loss applicable to common stockholders by the weighted-average number of common shares outstanding during the period. Diluted net loss per common share is determined using the weighted-average number of common shares outstanding during the period, adjusted for the dilutive effect of common stock equivalents, consisting of shares issuable upon exercise of common stock options or warrants. In periods when losses are reported, the weighted-average number of common shares outstanding excludes common stock equivalents because their inclusion would have an anti-dilutive effect. At September 30, 2018, 728,583 234,219 September 30, 2017, 89,389 228,256 . Accrued Residual Commissions The Company records commissions as a cost of revenues in the accompanying condensed consolidated unaudited statement of operations and comprehensive loss. We pay agent commissions to ISGs and independent sales agents based on the processing volume of the merchants enrolled. The commission obligations are based on varying percentages of the volume processed by us on behalf of the merchants. Percentages vary based on the program type and transaction volume of each merchant. Foreign Currency Transactions We are subject to exchange rate risk in our foreign operations in Russia, the functional currency of which is the Russian ruble, where we generate service fee revenues, interest income or expense, incur product development, engineering, website development, and selling, general and administrative costs and expenses. Our Russian subsidiaries pay a majority of their operating expenses in their local currencies, exposing us to exchange rate risk. Recently Issued Accounting Guidance In February 2016, 2016 02, December 15, 2018, 2016 02 may In June 2016, 2016 13, 326 January 1, 2020. January 1, 2019. not In January 2017, 2017 04 350 2 not December 15, 2019 not

Note 4 - Revenues

Note 4 - Revenues	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Revenue from Contract with Customer [Text Block]	NOTE 4 . REVENUES We recognize revenue when all of the following criteria are met: ( 1 2 3 4 5 not not We work directly with payment card networks and banks so that our merchants do not We primarily report revenues gross as a principal versus net as an agent. Although some of the Company’s processing agreements vary with respect to specific terms, the transactional processing service fees collected from merchants generally are recognized as revenue on a gross basis as we are the principal in the delivery of the managed payments solutions to the sellers. The gross fees we collect are intended to cover the interchange, assessments and other processing and non-processing fees which are included and are part of our gross margin. We have primary responsibility for providing end-to-end payment processing services for our clients. Our clients contract us for all credit card processing services, including transaction authorization, settlement, dispute resolution, data/transmission security, risk management, reporting, technical support and other value-added services. We have concluded that we are the principal because we control the services before delivery to the merchant, and are primarily responsible for the delivery of the services, have discretion in setting prices charged to merchants, and responsible for losses. We also have pricing latitude and can provide services using several different network options. Adoption of ASC 606, On January 1, 2018, 606 not January 1, 2018. January 1, 2018 606, not 605, The cumulative impact of adopting ASC 606 no January 1, 2018. 606 Three months ended September 30, 2018: With Before Effect of Implementation Implementation Implementation of ASC 606 of ASC 606 Revenue $ 17,242,758 $ 17,598,343 $ (355,585 ) Costs (14,559,808 ) (14,915,393 ) 355,585 Net effect of ASC 606 implementation $ - Nine months ended September 30, 2018: With Before Effect of Implementation Implementation Implementation of ASC 606 of ASC 606 Revenue $ 49,689,870 $ 50,933,873 $ (1,244,003 ) Costs (41,992,150 ) (43,236,153 ) 1,244,003 Net effect of ASC 606 implementation $ - There was no

Note 5 - Notes Payable

Note 5 - Notes Payable	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Debt Disclosure [Text Block]	NOTE 5 . NOTES PAYABLE Notes payable consist of the following: September 30, 2018 December 31, 2017 RBL Capital Group, LLC $ 4,479,909 $ 4,544,087 Priority Payments Systems LLC 1,141,362 2,238,511 MBF Merchant Capital, LLC - 341,804 Subtotal 5,621,271 7,124,402 Less: deferred loan costs (64,385 ) (108,980 ) Subtotal 5,556,886 7,015,422 Less: current portion (484,490 ) (2,493,973 ) Long term debt $ 5,072,396 $ 4,521,449 RBL Capital Group, LLC Effective June 30, 2014, 18 $10 13.90% 10.65%. November 30, 2015 three not 13% 18.635% May 2, 2016, $10 $15 February 2019. September 30, 2018, $10.5 The co-borrowers’ obligations to RBL pursuant to the RBL Loan Agreement are secured by a first not Borrowings from the Credit Facility in the amounts of $3,315,000, $400,000 $250,000 March 20, 2018, $4,544,087 August 2017. four 4 14.19%, $85,634 August 2018 June 2021, $3,170,967 July 2021. $133,600 July 2021. Priority Payment Systems LLC Effective May 18, 2017, May 18, 2017. $2,000,000. 6% 11% 10.25% September 30, 2018 December 31, 2017, may May 20, 2019 not Pursuant to the security agreement, the loan is secured by collateral consisting of accounts, cash or cash equivalents, residuals related to the merchants originated by us and processed by PPS. The loan agreement, the note and the security agreement contain customary representations, warranties, events of default, remedies and affirmative and negative covenants, as well as the right of first Effective May 17, 2017, On June 27, 2017, (i) The original term loan was modified into a multi - draw loan with an increase of the borrowing limit to $2,500,000 (ii) The loan maturity was extended to May 20, 2021. Scheduled Notes Payable Principal Repayment at September 30, 2018 2018 (remaining three months) $ 484,490 2019 1,189,460 2020 499,117 2021 3,448,204 Balance September 30, 2018 $ 5,621,271

Note 6 - Concentrations

Note 6 - Concentrations	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Concentration Risk Disclosure [Text Block]	NOTE 6 . CONCENTRATIONS Credit card processing revenues are from merchant customer transactions, which were processed primarily by two third 5% three nine September 30, 2018 one third 5% three two nine September 30, 2017. For the three September 30, 2018, 59% 21% 6% three September 30, 2017, 82% For the nine September 30, 2018, 64% 16% 5% nine September 30, 2017, 77% 5%

Note 7 - Commitments and Contin

Note 7 - Commitments and Contingencies	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	NOTE 7 . COMMITMENTS AND CONTINGENCIES Advance and Residual Purchase Agreement On July 30, 2018, $2,700,000 The Advance Amount is to be repaid to the Purchaser whereby each and every month, commencing from July 1, 2018 ( 24 June 30, 2020 ( At the end of the Advance Period (the “Transfer Date”), the Purchaser and the Seller have agreed to create a new static portfolio pool of mutually agreed residual income from Seller ISO codes comprising merchant accounts boarded by the Seller under the Combined Marketing Agreements that on the Transfer are generating at least $120,000 80% 20% Leases North American Transaction Solutions During May 2013, 4,101 3363 163rd 705 707, 33160. May 1, 2013 December 31, 2016, $16,800 $19,448 $233,377 January 1, 2016 December 31, 2016. five August 1, 2017 July 31, 2022 $14,354 $172,248 Net Element Software, our subsidiary, currently leases 1,654 $24,300. June 1, 2019. International Transaction Solutions PayOnline Systems leased approximately 4,675 $84,457 September 30, 2018. 3,385 $56,000 August 31, 2019. We believe that our current facilities are suitable and adequate for our present purposes, and we anticipate that we will be able to extend our existing leases on terms satisfactory to us or move to new facilities on acceptable terms. Future maturities of lease agreements are as follows: Year Amount 2018 (remaining three months) $ 49,137 2019 184,398 2020 172,248 2021 172,248 2022 100,478 Total $ 678,509 Litigation , Claims, and Assessments : Aptito.com, Inc. On August 6, 2014, 11th 125,000 125,000 125,000 125,000 On July 18, 2017, not 125,000 August 6, 2014. In March 2018, 125,000 not In July 2018, Gene Zell In June 2014, October 2014, On April 13, 2015, August 26, 2015, March 2017 November 2018 Other Legal Matters During December 2017, 19,000 February 26, 2018, not $221,000 first 2018. September 30, 2018, $50,000. We may not

Note 8 - Related Party Transact

Note 8 - Related Party Transactions	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Related Party Transactions Disclosure [Text Block]	NOTE 8 . RELATED PARTY TRANSACTIONS We and our subsidiary, TOT Group, Inc., previously entered into certain term loan notes with MBF, Merchant Capital, LLC ("MBF"), which were paid off during the three June 30, 2018 ( 5 During the nine September 30, 2018 2017, $54,000 $67,000, $352,000 $143,000 nine September 30, 2018 2017, At December 31, 2017, $461,992, not September 30, 2018 $441,606 $478,763,

Note 9 - Stockholders' Equity

Note 9 - Stockholders' Equity	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Stockholders' Equity Note Disclosure [Text Block]	NOTE 9 . STOCKHOLDERS’ EQUITY On October 5, 2017, one ten On June 12, 2015 June 13, 2016, 100,000,000 300,000,000 400,000,000, October 2, 2017, 300,000,000 100,000,000. Equity Incentive Plan Activity On December 5, 2013, 2013 “2013 2013 may one 422 1986, may not may not 2013 September 30, 2018 December 31, 2017 240,996. 2013 2013 During the three nine September 30, 2018, 2013 $22,500 $67,500, At September 30, 2018 December 31, 2017, 74,004 $15.52 8.02 8.77 September 30, 2018 December 31, 2017.

Note 10 - Warrants and Options

Note 10 - Warrants and Options	9 Months Ended
	Sep. 30, 2018
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	NOTE 10 . WARRANTS AND OPTIONS Options At September 30, 2018 December 31, 2017, 234,218 $8.10 $134.00 Due to the high level of volatility in the stock price of our common stock, our management determined the grant date fair value of the options granted during the nine September 30, 2018 2017 Warrants At September 30, 2018 December 31, 2017, 728,583 September 30, 2018, $6.18 4.25 December 31, 2017, $6.18 5.00 Non-Incentive Plan Options At September 30, 2018 December 31, 2017, 160,214 $21.84 2.17 September 30, 2018. September 30, 2018 December 31, 2017 no

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2018
Accounting Policies [Abstract]
Use of Estimates, Policy [Policy Text Block]	Use of Estimates The preparation of these financial statements requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the condensed consolidated unaudited financial statements and the reported amounts of revenues and expenses for the reporting period. Significant estimates include valuation reserves for accounts receivable, valuation of acquired or current merchant portfolios, incurred but not
Reclassification, Policy [Policy Text Block]	Reclassifications Certain reclassifications of prior year amounts have been made to conform to the 2018 no
Cash and Cash Equivalents, Policy [Policy Text Block]	Cash We maintain our U.S. dollar-denominated cash in several non-interest bearing bank deposit accounts. All U.S. non-interest bearing transaction accounts are insured up to a maximum of $250,000 $0.9 $10.6 September 30, 2018 December 31, 2017, December 31, 2017 $51,000 $186,000 September 30, 2018 December 31, 2017,
Receivables, Trade and Other Accounts Receivable, Allowance for Doubtful Accounts, Policy [Policy Text Block]	Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable are stated net of an allowance for doubtful accounts. We estimate an allowance for doubtful accounts based on experience with our service providers and judgment as to the likelihood of their ultimate payment. We also consider collection experience and make estimates regarding collectability based on payout trends of the customers. The allowance for doubtful accounts was approximately $213,000 September 30, 2018 $257,000 December 31, 2017.
Other Current Assets, Policy [Policy Text Block]	Other Current Assets We maintain an inventory of point-of-sale ("POS") terminals which we use to service both merchants and independent sales agents ("ISG"). Often, we will provide the terminals as an incentive for merchants and independent sales agents to enter into a merchant contracts with us. The term of these contracts has an average length of three $539,000 $507,000 September 30, 2018 December 31, 2017, $531,000 $501,000 September 30, 2018 December 31, 2017,
Goodwill and Intangible Assets, Policy [Policy Text Block]	Goodwill and Other Intangible Assets Intangible assets acquired, either individually or with a group of other assets (but not The cost of internally developing, maintaining and restoring intangible assets (including goodwill) that are not An intangible asset (including goodwill) that is not not no not $9.6 no nine September 30, 2018 2017. Capitalized Customer Acquisition Costs, Net Capitalized customer acquisition costs consist of up-front cash payments made to ISGs for the establishment of new merchant relationships. Capitalized customer acquisition costs represent incremental, direct customer acquisition costs that are recoverable through gross margins associated with merchant contracts. The up-front cash payment to the ISG is based on the estimated gross margin for the first not four
Earnings Per Share, Policy [Policy Text Block]	Net Loss per Share Basic net loss per common share is computed by dividing net loss applicable to common stockholders by the weighted-average number of common shares outstanding during the period. Diluted net loss per common share is determined using the weighted-average number of common shares outstanding during the period, adjusted for the dilutive effect of common stock equivalents, consisting of shares issuable upon exercise of common stock options or warrants. In periods when losses are reported, the weighted-average number of common shares outstanding excludes common stock equivalents because their inclusion would have an anti-dilutive effect. At September 30, 2018, 728,583 234,219 September 30, 2017, 89,389 228,256 .
Accrued Residual Commissions, Policy [Policy Text Block]	Accrued Residual Commissions The Company records commissions as a cost of revenues in the accompanying condensed consolidated unaudited statement of operations and comprehensive loss. We pay agent commissions to ISGs and independent sales agents based on the processing volume of the merchants enrolled. The commission obligations are based on varying percentages of the volume processed by us on behalf of the merchants. Percentages vary based on the program type and transaction volume of each merchant.
Foreign Currency Transactions and Translations Policy [Policy Text Block]	Foreign Currency Transactions We are subject to exchange rate risk in our foreign operations in Russia, the functional currency of which is the Russian ruble, where we generate service fee revenues, interest income or expense, incur product development, engineering, website development, and selling, general and administrative costs and expenses. Our Russian subsidiaries pay a majority of their operating expenses in their local currencies, exposing us to exchange rate risk.
New Accounting Pronouncements, Policy [Policy Text Block]	Recently Issued Accounting Guidance In February 2016, 2016 02, December 15, 2018, 2016 02 may In June 2016, 2016 13, 326 January 1, 2020. January 1, 2019. not In January 2017, 2017 04 350 2 not December 15, 2019 not

Note 4 - Revenues (Tables)

Note 4 - Revenues (Tables)	9 Months Ended
	Sep. 30, 2018
Notes Tables
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block]	With Before Effect of Implementation Implementation Implementation of ASC 606 of ASC 606 Revenue $ 17,242,758 $ 17,598,343 $ (355,585 ) Costs (14,559,808 ) (14,915,393 ) 355,585 Net effect of ASC 606 implementation $ - With Before Effect of Implementation Implementation Implementation of ASC 606 of ASC 606 Revenue $ 49,689,870 $ 50,933,873 $ (1,244,003 ) Costs (41,992,150 ) (43,236,153 ) 1,244,003 Net effect of ASC 606 implementation $ -

Note 5 - Notes Payable (Tables)

Note 5 - Notes Payable (Tables)	9 Months Ended
	Sep. 30, 2018
Notes Tables
Schedule of Long-term Debt Instruments [Table Text Block]	September 30, 2018 December 31, 2017 RBL Capital Group, LLC $ 4,479,909 $ 4,544,087 Priority Payments Systems LLC 1,141,362 2,238,511 MBF Merchant Capital, LLC - 341,804 Subtotal 5,621,271 7,124,402 Less: deferred loan costs (64,385 ) (108,980 ) Subtotal 5,556,886 7,015,422 Less: current portion (484,490 ) (2,493,973 ) Long term debt $ 5,072,396 $ 4,521,449
Schedule of Maturities of Long-term Debt [Table Text Block]	2018 (remaining three months) $ 484,490 2019 1,189,460 2020 499,117 2021 3,448,204 Balance September 30, 2018 $ 5,621,271

Note 7 - Commitments and Cont_2

Note 7 - Commitments and Contingencies (Tables)	9 Months Ended
	Sep. 30, 2018
Notes Tables
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]	Year Amount 2018 (remaining three months) $ 49,137 2019 184,398 2020 172,248 2021 172,248 2022 100,478 Total $ 678,509

Note 2 - Business Operations _2

Note 2 - Business Operations and Liquidity (Details Textual)	3 Months Ended	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2018	Sep. 30, 2017
Number of Reportable Segments	2	2	3

Note 3 - Summary of Significa_2

Note 3 - Summary of Significant Accounting Policies (Details Textual) - USD ($)	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Cash, Uninsured Amount	$ 900,000		$ 10,600,000
Allowance for Doubtful Accounts Receivable, Ending Balance	213,000		257,000
Inventory of POS Terminals	539,000		507,000
POS Terminals Placed with Merchants	531,000		501,000
Goodwill, Ending Balance	9,643,752		9,643,752
Goodwill, Impairment Loss	$ 0	$ 0
Warrant [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	728,583	89,389
Employee Stock Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	234,219	228,256
Client Acquisition Costs [Member]
Finite-Lived Intangible Asset, Useful Life	4 years
Weighted Average [Member]
Merchant Contracts, Term	3 years
Russia and Cayman Islands [Member]
Cash, Uninsured Amount	$ 51,000		$ 186,000

Note 4 - Revenues - Impact of A

Note 4 - Revenues - Impact of Adoption of ASC 606 (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Revenues	$ 17,242,758	$ 14,901,131	$ 49,689,870	$ 44,604,113
Costs	(14,559,808)		(41,992,150)
Calculated under Revenue Guidance in Effect before Topic 606 [Member]
Revenues	17,598,343		50,933,873
Costs	(14,915,393)		(43,236,153)
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | Accounting Standards Update 2014-09 [Member]
Revenues	(355,585)		(1,244,003)
Costs	$ 355,585		$ 1,244,003

Note 5 - Notes Payable (Details

Note 5 - Notes Payable (Details Textual)	Mar. 20, 2018USD ($)	May 18, 2017USD ($)	Nov. 30, 2015	Jun. 30, 2014USD ($)	Mar. 19, 2018USD ($)	Sep. 30, 2018USD ($)	Dec. 31, 2017	Jun. 27, 2017USD ($)	May 02, 2016USD ($)
RBL Capital Group, LLC [Member] | RBL Loan Agreement [Member]
Debt Instrument, Term				1 year 180 days
Line of Credit Facility, Maximum Borrowing Capacity				$ 10,000,000		$ 10,500,000			$ 15,000,000
Debt Instrument, Interest Rate, Annual Increase			3.00%
RBL Capital Group, LLC [Member] | RBL Loan Agreement [Member] | Conversion of Credit Facility to Term Notes, Conversion One [Member]
Debt Conversion, Original Debt, Amount					$ 3,315,000
RBL Capital Group, LLC [Member] | RBL Loan Agreement [Member] | Conversion of Credit Facility to Term Notes, Conversion Two [Member]
Debt Conversion, Original Debt, Amount					400,000
RBL Capital Group, LLC [Member] | RBL Loan Agreement [Member] | Conversion of Credit Facility to Term Notes, Conversion Three [Member]
Debt Conversion, Original Debt, Amount					$ 250,000
RBL Capital Group, LLC [Member] | RBL Loan Agreement [Member] | Prime Rate [Member]
Debt Instrument, Basis Spread on Variable Rate			13.00%	10.65%
RBL Capital Group, LLC [Member] | RBL Loan Agreement [Member] | Minimum [Member]
Debt Instrument, Interest Rate, Effective Percentage				13.90%
RBL Capital Group, LLC [Member] | RBL Loan Agreement [Member] | Maximum [Member]
Debt Instrument, Interest Rate, Effective Percentage			18.635%
RBL Capital Group, LLC [Member] | RBL Term Note [Member]
Debt Instrument, Interest Rate, Effective Percentage	14.19%
Debt Instrument, Face Amount	$ 4,544,087
Debt Instrument, Number of Interest-only Payments	4
Debt Instrument, Periodic Payment, Total	$ 85,634
Debt Instrument, Periodic Payment Terms, Balloon Payment to be Paid	3,170,967
Back End Refinancing Fee	$ 133,600
Priority Payment Systems LLC [Member]
Line of Credit Facility, Maximum Borrowing Capacity								$ 2,500,000
Debt Instrument, Interest Rate, Effective Percentage						11.00%	10.25%
Proceeds from Issuance of Debt		$ 2,000,000
Priority Payment Systems LLC [Member] | Prime Rate [Member]
Debt Instrument, Basis Spread on Variable Rate		6.00%

Note 5 - Notes Payable - Notes

Note 5 - Notes Payable - Notes Payable (Details) - USD ($)	Sep. 30, 2018	Dec. 31, 2017
Long-term debt, gross	$ 5,621,271	$ 7,124,402
Less: deferred loan costs	(64,385)	(108,980)
Subtotal	5,556,886	7,015,422
Less: current portion	(484,490)	(2,493,973)
Long term debt	5,072,396	4,521,449
RBL Capital Group, LLC [Member]
Long-term debt, gross	4,479,909	4,544,087
Priority Payment Systems LLC [Member]
Long-term debt, gross	1,141,362	2,238,511
MBF Merchant Capital, LLC [Member]
Long-term debt, gross		$ 341,804

Note 5 - Notes Payable - Schedu

Note 5 - Notes Payable - Scheduled Notes Payable Principal Repayment (Details) - USD ($)	Sep. 30, 2018	Dec. 31, 2017
2018 (remaining three months)	$ 484,490
2,019	1,189,460
2,020	499,117
2,021	3,448,204
Balance September 30, 2018	$ 5,621,271	$ 7,124,402

Note 6 - Concentrations (Detail

Note 6 - Concentrations (Details Textual) - Sales Revenue, Net [Member] - Customer Concentration Risk [Member]	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Number of Major Customers	2	1	2	2
Concentration Risk, Percentage	5.00%	5.00%	5.00%	5.00%
Priority Payment Systems LLC [Member]
Concentration Risk, Percentage	59.00%	82.00%	64.00%	77.00%
BIN and ICA [Member
Concentration Risk, Percentage	21.00%		16.00%
First Data Corp [Member]
Concentration Risk, Percentage	6.00%		5.00%
Vantiv, Inc. [Member]
Concentration Risk, Percentage				5.00%

Note 7 - Commitments and Cont_3

Note 7 - Commitments and Contingencies (Details Textual)

Oct. 01, 2018USD ($)ft²

Jul. 30, 2018USD ($)

Aug. 01, 2017USD ($)

Nov. 13, 2018USD ($)

Dec. 31, 2017shares

May 31, 2013USD ($)

Mar. 31, 2018USD ($)shares

Sep. 30, 2018USD ($)ft²

Dec. 31, 2016USD ($)

Jul. 18, 2017shares

Aug. 06, 2014shares

May 02, 2013ft²

Bunker Capital [Member]

Stock Issued During Period, Shares, New Issues | shares

19,000

Other Expenses, Total

$ 221,000

Subsequent Event [Member] | Bunker Capital [Member]

Proceeds from Legal Settlements

$ 50,000

Lease Agreement for Office at Florida [Member]

Area of Real Estate Property | ft²

4,101

Periodic Lease and Rental Expense, Per Month

$ 14,354

$ 16,800

$ 19,448

Periodic Lease and Rental Expense, Annual

$ 172,248

$ 233,377

Lessee, Operating Lease, Term of Contract

5 years

Lease Agreement for Office in Yekaterinburg, Russia [Member]

Area of Real Estate Property | ft²

1,654

Periodic Lease and Rental Expense, Annual

$ 24,300

Lease Agreement for Office in Moscow Russia [Member]

Area of Real Estate Property | ft²

4,675

Periodic Lease and Rental Expense, Annual

$ 84,457

Lease Agreement for Office in Moscow Russia [Member] | Subsequent Event [Member]

Area of Real Estate Property | ft²

3,385

Periodic Lease and Rental Expense, Annual

$ 56,000

Unified Portfolio Acquisitions, LLC [Member] | Advance and Residual Purchase Agreement [Member]

Percentage of Portfolio Residuals Ownership

80.00%

Unified Portfolio Acquisitions, LLC [Member] | Transactional Services Portfolios [Member]

Business Combination, Consideration Transferred, Total

$ 2,700,000

Business Combination, Advance Period

2 years

Monthly Net Residual Income, Minimum Threshold

$ 120,000

Universal Partners, LLC [Member] | Advance and Residual Purchase Agreement [Member]

Percentage of Portfolio Residuals Ownership

20.00%

Aptito, LLC [Member] | Lawsuit Against Aptito.com, Inc. and Shareholders of Aptito.com, Inc. [Member]

Number of Parent's Shares in Dispute Related to Acquisition | shares

125,000

125,000

125,000

Note 7 - Commitments and Cont_4

Note 7 - Commitments and Contingencies - Future Maturities of Lease Agreements (Details)	Sep. 30, 2018USD ($)
2018 (remaining three months)	$ 49,137
2,019	184,398
2,020	172,248
2,021	172,248
2,022	100,478
Total	$ 678,509

Note 8 - Related Party Transa_2

Note 8 - Related Party Transactions (Details Textual) - USD ($)	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Due to Related Parties, Current, Total	$ 441,606		$ 461,992
Prime Portfolios, LLC [Member]
Payments for Commissions	54,000	$ 67,000
Key Members of Management Owned Companies [Member]
Payments for Commissions	352,000	$ 143,000
Chief Executive Officer [Member]
Due to Related Parties, Current, Total	$ 478,763

Note 9 - Stockholders' Equity (

Note 9 - Stockholders' Equity (Details Textual)	Oct. 05, 2017	Oct. 02, 2017shares	Jun. 13, 2016shares	Jun. 12, 2015shares	Sep. 30, 2018USD ($)$ / sharesshares	Sep. 30, 2018USD ($)$ / sharesshares	Dec. 31, 2017$ / sharesshares
Increase (Decrease) in Common Stock Shares Authorized		(300,000,000)	100,000,000
Common Stock, Shares Authorized		100,000,000	400,000,000	300,000,000	100,000,000	100,000,000	100,000,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Ending Balance					234,218	234,218	234,218
Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Ending Balance					74,004	74,004	74,004
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price, Ending Balance | $ / shares					$ 15.52	$ 15.52	$ 15.52
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term						8 years 7 days	8 years 281 days
Plan 2013 [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant					240,996	240,996	240,996
Plan 2013 [Member] | Director [Member]
Allocated Share-based Compensation Expense, Total | $					$ 22,500	$ 67,500
Reverse Stock Split [Member]
Stockholders' Equity Note, Stock Split, Conversion Ratio	10
Increase (Decrease) in Common Stock Shares Authorized				100,000,000

Note 10 - Warrants and Options

Note 10 - Warrants and Options (Details Textual) - USD ($) $ / shares in Units, $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2018	Dec. 31, 2017
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Ending Balance	234,218	234,218
Class of Warrant or Right, Number of Securities Called by Warrants or Rights	728,583	728,583
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 6.18	$ 6.18
Warrants and Rights Outstanding, Remaining Contractual Term	4 years 91 days	5 years
Non-Incentive Plan Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number, Ending Balance	160,214	160,214
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price, Ending Balance	$ 21.84	$ 21.84
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term	2 years 62 days
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value	$ 0	$ 0
Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price, Ending Balance	$ 8.10	$ 8.10
Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price, Ending Balance	$ 134	$ 134