CareCloud (CCLD) 10-Q 13 Aug 20 2020 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2020	Aug. 06, 2020
Cover [Abstract]
Entity Registrant Name	MTBC, Inc.
Entity Central Index Key	0001582982
Document Type	10-Q
Document Period End Date	Jun. 30, 2020
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business Flag	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		12,644,575
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2020

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Jun. 30, 2020	Dec. 31, 2019
CURRENT ASSETS:
Cash	$ 12,532,436	$ 19,994,134
Accounts receivable - net of allowance for doubtful accounts of $490,000 and $256,000 at June 30, 2020 and December 31, 2019, respectively	11,205,854	6,995,343
Contract asset	3,427,832	2,385,334
Inventory	309,530	491,088
Current assets - related party	13,200	13,200
Prepaid expenses and other current assets	3,510,619	1,123,036
Total current assets	30,999,471	31,002,135
Property and equipment - net	3,830,274	2,907,516
Operating lease right-of-use assets	8,358,549	3,526,315
Intangible assets - net	31,793,037	5,977,225
Goodwill	49,708,210	12,633,696
Other assets	1,225,181	356,578
TOTAL ASSETS	125,914,722	56,403,465
CURRENT LIABILITIES:
Accounts payable	9,075,637	3,490,834
Accrued compensation	3,332,984	1,836,309
Accrued expenses	5,857,704	2,111,515
Operating lease liability (current portion)	4,689,790	1,688,772
Deferred revenue (current portion)	1,009,561	20,277
Accrued liability to related party	663	663
Notes payable (current portion)	128,891	283,675
Contingent consideration	1,000,000
Dividend payable	3,193,937	1,745,791
Total current liabilities	28,289,167	11,177,836
Notes payable	54,294	83,275
Borrowings under line of credit	9,750,000
Deferred payroll taxes	510,873
Operating lease liability	7,592,536	2,040,772
Deferred revenue	206,721	18,745
Deferred tax liability	144,512	244,512
Total liabilities	46,548,103	13,565,140
COMMITMENTS AND CONTINGENCIES (NOTE 8)
SHAREHOLDERS' EQUITY:
Preferred stock, $0.001 par value - authorized 7,000,000 shares at June 30, 2020 and December 31, 2019; issued and outstanding 4,360,998 and 2,539,325 shares at June 30, 2020 and December 31, 2019, respectively	4,361	2,539
Common stock, $0.001 par value - authorized 29,000,000 shares at June 30, 2020 and December 31, 2019; issued 13,195,490 and 12,978,485 shares at June 30, 2020 and December 31, 2019, respectively; 12,454,691 and 12,237,686 shares outstanding at June 30, 2020 and December 31, 2019, respectively	13,196	12,979
Additional paid-in capital	113,798,155	69,403,366
Accumulated deficit	(32,369,820)	(25,075,545)
Accumulated other comprehensive loss	(1,417,273)	(843,014)
Less: 740,799 common shares held in treasury, at cost at June 30, 2020 and December 31, 2019	(662,000)	(662,000)
Total shareholders' equity	79,366,619	42,838,325
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$ 125,914,722	$ 56,403,465

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Allowance for doubtful accounts receivable	$ 490,000	$ 256,000
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	7,000,000	7,000,000
Preferred stock, shares issued	4,360,998	2,539,325
Preferred stock, shares outstanding	4,360,998	2,539,325
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	29,000,000	29,000,000
Common stock, shares issued	13,195,490	12,978,485
Common stock, shares outstanding	12,454,691	12,237,686
Treasury stock, shares	740,799	740,799

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Income Statement [Abstract]
NET REVENUE	$ 19,578,790	$ 16,749,499	$ 41,445,958	$ 31,829,710
OPERATING EXPENSES:
Direct operating costs	12,556,674	11,396,395	26,123,404	21,243,935
Selling and marketing	1,625,045	382,557	3,206,398	743,956
General and administrative	5,392,857	5,143,754	10,985,582	9,305,830
Research and development	2,146,325	218,408	4,479,451	473,064
Change in contingent consideration				(64,203)
Depreciation and amortization	2,404,915	836,161	3,737,701	1,592,901
Impairment and unoccupied lease charges	63,175		360,826
Total operating expenses	24,188,991	17,977,275	48,893,362	33,295,483
OPERATING LOSS	(4,610,201)	(1,227,776)	(7,447,404)	(1,465,773)
OTHER:
Interest income	3,924	67,497	41,681	145,697
Interest expense	(146,236)	(100,562)	(263,781)	(195,958)
Other (expense) income - net	(114,330)	545,221	330,813	464,191
LOSS BEFORE PROVISION FOR INCOME TAXES	(4,866,843)	(715,620)	(7,338,691)	(1,051,843)
Income tax (benefit) provision	(74,338)	55,352	(44,415)	14,820
NET LOSS	(4,792,505)	(770,972)	(7,294,276)	(1,066,663)
Preferred stock dividend	3,276,917	1,486,706	5,919,833	2,979,406
NET LOSS ATTRIBUTABLE TO COMMON SHAREHOLDERS	$ (8,069,422)	$ (2,257,678)	$ (13,214,109)	$ (4,046,069)
Net loss per common share: basic and diluted	$ (0.65)	$ (0.19)	$ (1.07)	$ (0.34)
Weighted-average common shares used to compute basic and diluted loss per share	12,395,197	12,022,143	12,353,007	11,984,284

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($)		3 Months Ended		6 Months Ended
		Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Statement of Comprehensive Income [Abstract]
NET LOSS		$ (4,792,505)	$ (770,972)	$ (7,294,276)	$ (1,066,663)
OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX
Foreign currency translation adjustment	[1]	16,027	(762,563)	(574,259)	(553,218)
COMPREHENSIVE LOSS		$ (4,776,478)	$ (1,533,535)	$ (7,868,535)	$ (1,619,881)
[1]	No tax effect has been recorded as the Company recorded a valuation allowance against the tax benefit from its foreign currency translation adjustments.

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($)		Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit [Member]	Accumulated Other Comprehensive Loss [Member]	Treasury (Common) Stock [Member]	Total
Balance at Dec. 31, 2018		$ 2,136	$ 12,571	$ 65,142,460	$ (24,203,745)	$ (1,421,068)	$ (662,000)	$ 38,870,354
Balance, shares at Dec. 31, 2018		2,136,289	12,570,557
Net loss					(295,691)			(295,691)
Foreign currency translation adjustment						209,345		209,345
Issuance of stock under the Amended and Restated Equity Incentive Plan		$ 26	$ 180	(206)
Issuance of stock under the Amended and Restated Equity Incentive Plan, shares		26,160	179,984
Stock-based compensation, net of cash settlements				523,556				523,556
Tax withholding obligations on stock issued to employees				(800,271)				(800,271)
Preferred stock dividends				(1,492,700)				(1,492,700)
Balance at Mar. 31, 2019		$ 2,162	$ 12,751	63,372,839	(24,499,436)	(1,211,723)	(662,000)	37,014,593
Balance, shares at Mar. 31, 2019		2,162,449	12,750,541
Balance at Dec. 31, 2018		$ 2,136	$ 12,571	65,142,460	(24,203,745)	(1,421,068)	(662,000)	38,870,354
Balance, shares at Dec. 31, 2018		2,136,289	12,570,557
Net loss								(1,066,663)
Foreign currency translation adjustment	[1]							(553,218)
Balance at Jun. 30, 2019		$ 2,162	$ 12,769	62,300,966	(25,270,408)	(1,974,286)	(662,000)	34,409,203
Balance, shares at Jun. 30, 2019		2,162,449	12,769,041
Balance at Mar. 31, 2019		$ 2,162	$ 12,751	63,372,839	(24,499,436)	(1,211,723)	(662,000)	37,014,593
Balance, shares at Mar. 31, 2019		2,162,449	12,750,541
Net loss					(770,972)			(770,972)
Foreign currency translation adjustment						(762,563)		(762,563)	[1]
Issuance of stock under the Amended and Restated Equity Incentive Plan			$ 18	(18)
Issuance of stock under the Amended and Restated Equity Incentive Plan, shares			18,500
Stock-based compensation, net of cash settlements				473,387				473,387
Tax withholding obligations on stock issued to employees				(58,536)				(58,536)
Preferred stock dividends				(1,486,706)				(1,486,706)
Balance at Jun. 30, 2019		$ 2,162	$ 12,769	62,300,966	(25,270,408)	(1,974,286)	(662,000)	34,409,203
Balance, shares at Jun. 30, 2019		2,162,449	12,769,041
Balance at Dec. 31, 2019		$ 2,539	$ 12,979	69,403,366	(25,075,545)	(843,014)	(662,000)	42,838,325
Balance, shares at Dec. 31, 2019		2,539,325	12,978,485
Net loss					(2,501,770)			(2,501,770)
Foreign currency translation adjustment						(590,286)		(590,286)
Issuance of stock under the Amended and Restated Equity Incentive Plan		$ 29	$ 129	(158)
Issuance of stock under the Amended and Restated Equity Incentive Plan, shares		28,870	129,607
Stock-based compensation, net of cash settlements				793,606				793,606
Preferred stock dividends				(2,642,916)				(2,642,916)
Issuance of preferred stock in connection with CareCloud acquisition		$ 760		18,999,240				19,000,000
Issuance of preferred stock in connection with CareCloud acquisition, shares		760,000
Issuance of warrants in connection with CareCloud acquisition				300,000				300,000
Balance at Mar. 31, 2020		$ 3,328	$ 13,108	86,853,138	(27,577,315)	(1,433,300)	(662,000)	57,196,959
Balance, shares at Mar. 31, 2020		3,328,195	13,108,092
Balance at Dec. 31, 2019		$ 2,539	$ 12,979	69,403,366	(25,075,545)	(843,014)	(662,000)	42,838,325
Balance, shares at Dec. 31, 2019		2,539,325	12,978,485
Net loss								(7,294,276)
Foreign currency translation adjustment	[1]							(574,259)
Balance at Jun. 30, 2020		$ 4,361	$ 13,196	113,798,155	(32,369,820)	(1,417,273)	(662,000)	79,366,619
Balance, shares at Jun. 30, 2020		4,360,998	13,195,490
Balance at Mar. 31, 2020		$ 3,328	$ 13,108	86,853,138	(27,577,315)	(1,433,300)	(662,000)	57,196,959
Balance, shares at Mar. 31, 2020		3,328,195	13,108,092
Net loss					(4,792,505)			(4,792,505)
Foreign currency translation adjustment						16,027		16,027	[1]
Issuance of stock under the Amended and Restated Equity Incentive Plan		$ 5	$ 88	(93)
Issuance of stock under the Amended and Restated Equity Incentive Plan, shares		4,803	87,398
Stock-based compensation, net of cash settlements				1,438,908				1,438,908
Preferred stock dividends				(3,276,917)				(3,276,917)
Issuance of preferred stock in connection with the Meridian acquisition		$ 200		4,999,800				5,000,000
Issuance of preferred stock in connection with the Meridian acquisition, shares		200,000
Issuance of preferred stock, net of fees and expenses		$ 828		19,013,319				19,014,147
Issuance of preferred stock, net of fees and expenses, shares		828,000
Issuance of warrants in connection with the Meridian acquisition				4,770,000				4,770,000
Balance at Jun. 30, 2020		$ 4,361	$ 13,196	$ 113,798,155	$ (32,369,820)	$ (1,417,273)	$ (662,000)	$ 79,366,619
Balance, shares at Jun. 30, 2020		4,360,998	13,195,490
[1]	No tax effect has been recorded as the Company recorded a valuation allowance against the tax benefit from its foreign currency translation adjustments.

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Shareholders' Equity (Unaudited) (Parenthetical) - $ / shares	3 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2019	Mar. 31, 2019
Statement of Stockholders' Equity [Abstract]
Preferred stock dividends paid monthly	$ 2.75	$ 2.75	$ 2.75	$ 2.75

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
OPERATING ACTIVITIES:
Net loss	$ (7,294,276)	$ (1,066,663)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:
Depreciation and amortization	3,643,377	1,627,296
Lease amortization	1,337,677	943,028
Deferred revenue	933	(9,719)
Provision for doubtful accounts	284,661	92,061
Benefit for deferred income taxes	(100,000)	(15,180)
Foreign exchange gain	(332,615)	(295,487)
Interest accretion	331,120	258,735
Gain on sale of assets		(26,213)
Stock-based compensation expense	3,188,008	1,550,188
Change in contingent consideration		(64,203)
Changes in operating assets and liabilities, net of businesses acquired:
Accounts receivable	1,603,580	267,850
Contract asset	343,434	274,129
Inventory	181,558	41,867
Other assets	(523,744)	571,468
Accounts payable and other liabilities	(5,592,433)	(836,228)
Net cash (used in) provided by operating activities	(2,928,720)	3,312,929
INVESTING ACTIVITIES:
Capital expenditures	(816,538)	(904,220)
Capitalized software	(2,621,867)
Cash paid for acquisitions (net)	(23,716,250)	(1,600,000)
Net cash used in investing activities	(27,154,655)	(2,504,220)
FINANCING ACTIVITIES:
Preferred stock dividends paid	(4,471,687)	(2,961,422)
Settlement of tax withholding obligations on stock issued to employees	(1,048,229)	(932,465)
Repayments of notes payable, net	(185,723)	(181,457)
Contingent consideration payments		(182,664)
Proceeds from line of credit	19,500,000
Repayment from line of credit	(9,750,000)
Net proceeds from issuance of preferred stock	19,014,147
Net cash provided by (used in) financing activities	23,058,508	(4,258,008)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	(436,831)	(440,158)
NET DECREASE IN CASH	(7,461,698)	(3,889,457)
CASH - beginning of the period	19,994,134	14,472,483
CASH - end of the period	12,532,436	10,583,026
SUPPLEMENTAL NONCASH INVESTING AND FINANCING ACTIVITIES:
Preferred stock issued in connection with CareCloud and Meridian acquisitions	24,000,000
Vehicle financing obtained	28,473	24,909
Dividends declared, not paid	3,193,937	1,486,709
Warrants issued	5,070,000
SUPPLEMENTAL INFORMATION - Cash paid during the period for:
Income taxes	61,552	35,862
Interest	$ 110,691	$ 28,085

Organization and Business

Organization and Business	6 Months Ended
	Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Business	1. ORGANIZATION AND BUSINESS MTBC, Inc., (and together with its consolidated subsidiaries “MTBC” or the “Company”) is a healthcare information technology company that offers an integrated suite of proprietary cloud-based electronic health records and practice management solutions, together with related business services, to healthcare providers. The Company’s integrated services are designed to help customers increase revenues, streamline workflows and make better business and clinical decisions, while reducing administrative burdens and operating costs. The Company’s services include full-scale revenue cycle management, comprehensive practice management services, electronic health records, and other technology-driven practice management services for private and hospital-employed healthcare providers. MTBC has its corporate offices in Somerset, New Jersey and maintains client support teams throughout the U.S., in Pakistan and in Sri Lanka. MTBC was founded in 1999 and incorporated under the laws of the State of Delaware in 2001. In 2004, MTBC formed MTBC Private Limited (or “MTBC Pvt. Ltd.”), a 99.9% majority-owned subsidiary of MTBC based in Pakistan. The remaining 0.01% of the shares of MTBC Pvt. Ltd. is owned by the founder and Executive Chairman of MTBC. In 2016, MTBC formed MTBC Acquisition Corp. (“MAC”), a Delaware corporation, in connection with its acquisition of substantially all of the assets of MediGain, LLC and its subsidiary, Millennium Practice Management Associates, LLC (together “MediGain). MAC has a wholly owned subsidiary in Sri Lanka, RCM MediGain Colombo, Pvt. Ltd. In May 2018, MTBC formed MTBC Health, Inc. (“MHI”) and MTBC Practice Management, Corp. (“MPM”), each a Delaware corporation in connection with MTBC’s acquisition of substantially all of the revenue cycle management, practice management and group purchasing organization assets of Orion Healthcorp, Inc. and 13 of its affiliates (together, “Orion”). MHI is a direct, wholly owned subsidiary of MTBC, and was formed to own and operate the revenue cycle management and group purchasing organization businesses acquired from Orion. MPM is a wholly owned subsidiary of MHI and was formed to own and operate the practice management business acquired from Orion. In March 2019, MTBC formed MTBC-Med, Inc. (“MED”), a Delaware corporation, in connection with its acquisition of substantially all of the assets of Etransmedia Technology, Inc. and its subsidiaries (“Etransmedia”). In January 2020, MTBC purchased CareCloud Corporation. In June 2020, MTBC purchased Meridian Billing Management Co. and its affiliate Origin Holdings, Inc. (collectively “Meridian” and sometimes referred to as “Meridian Medical Management”). See Note 3. During the first quarter of 2020, a New Jersey corporation, talkMD Clinicians, PA (“talkMD”), was formed by the wife of the Executive Chairman, who is a licensed physician, to provide telehealth services. talkMD was determined to be a variable interest entity (“VIE”) for financial reporting purposes because the entity will be controlled by the Company. As of June 30, 2020, talkMD had not yet commenced operations or had any transactions or agreements with the Company or otherwise.

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Basis of Presentation	2. BASIS OF PRESENTATION The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial reporting and as required by Regulation S-X, Rule 8-03. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of the Company’s management, the accompanying unaudited condensed consolidated financial statements contain all adjustments (consisting of items of a normal and recurring nature) necessary to present fairly the Company’s financial position as of June 30, 2020, the results of operations for the three months and six months ended June 30, 2020 and 2019 and cash flows for the six months ended June 30, 2020 and 2019. When preparing financial statements in conformity with GAAP, the Company must make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ significantly from those estimates. The condensed consolidated balance sheet as of December 31, 2019 was derived from our audited consolidated financial statements. The accompanying unaudited condensed consolidated financial statements and notes thereto should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 2019, which are included in the Company’s Annual Report on Form 10-K, filed with the SEC on February 28, 2020. Recent Accounting Pronouncements Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income In June 2018, the FASB issued ASU 2018-07, Improvements to Nonemployee Share-Based Payment Accounting In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes

Acquisitions

Acquisitions	6 Months Ended
	Jun. 30, 2020
Business Combinations [Abstract]
Acquisitions	3. ACQUISITIONS 2020 Acquisition On June 16, 2020, MTBC entered into a Stock Purchase Agreement with Meridian Billing Management Co., a Vermont corporation, Origin Holdings, Inc., a Delaware corporation and GMM II Holdings, LLC, a Delaware limited liability company (“Seller”), pursuant to which MTBC purchased all of the issued and outstanding capital stock of Meridian from the Seller. Meridian is in the business of providing medical billing, revenue cycle management, electronic medical records, medical coding and related services. These revenues have been included in the Company’s Healthcare IT segment. The acquisition has been accounted for as a business combination. The total consideration paid at closing was $11.9 million, net of cash received, 200,000 shares of the Company’s Preferred Stock plus warrants to purchase 2,250,000 shares of the Company’s common stock, with an exercise price per share of $7.50 and a term of two years. The Company also assumed Meridian’s negative net working capital and certain long-term lease liabilities where the leased space is either not being utilized or will be vacated shortly, with an aggregate value of approximately $4.8 million. A summary of the total consideration is as follows: Meridian Purchase Price Cash $ 11,863,724 Preferred stock 5,000,000 Warrants 4,770,000 Total purchase price $ 21,633,724 Of the Preferred Stock consideration, 100,000 shares will be held in escrow for up to one month pending completion of technical migration and customer acceptance. Shares net of such losses will be released upon the joint instruction of the Company and the seller in accordance with the applicable escrow terms. Such shares are entitled to the monthly dividend, which will be paid when, and if, the shares are released. The Company accrues the dividend monthly on the Preferred Stock held in escrow. The shares held in escrow were released on August 3, 2020. The Company’s Preferred Stock and warrants issued as part of the acquisition consideration were issued in a transaction exempt from registration under the Securities Act of 1933, as amended (the “Securities Act”). The Company has agreed to register for resale under the Securities Act the Preferred Stock and the securities underlying the warrants. The Meridian acquisition added additional clients to the Company’s customer base and, similar to previous acquisitions, broadened the Company’s presence in the healthcare information technology industry through geographic expansion of its customer base and by increasing available customer relationship resources and specialized trained staff. The Company engaged a third-party valuation specialist to assist the Company in valuing the assets acquired and liabilities assumed from Meridian. The following table summarizes the preliminary purchase price allocation. The Company expects to finalize the purchase price allocation by the end of the third quarter and is finalizing the projections and the valuation of the acquired assets and assumed liabilities. The preliminary purchase price allocation for Meridian is summarized as follows: Accounts receivable $ 3,800,037 Prepaid expenses 703,732 Contract asset 881,111 Property and equipment 425,993 Operating lease right-of-use assets 2,805,993 Customer relationships 11,900,000 Technology 900,000 Goodwill 14,206,436 Accounts payable (3,373,212 ) Accrued expenses & compensation (3,591,380 ) Deferred revenue (907,077 ) Operating lease liabilities (6,054,659 ) Other current liabilities (63,250 ) Total preliminary purchase price allocation $ 21,633,724 The acquired accounts receivable are recorded at fair value which represents amounts that have subsequently been paid or are expected to be paid by clients. The fair value of customer relationships was based on the estimated discounted cash flows generated by these intangibles. The goodwill from this acquisition is not deductible for income tax purposes and represents the Company’s ability to have an expanded local presence in additional markets and operational synergies that we expect to achieve that would not be available to other market participants. The weighted-average amortization period of the acquired intangible assets is approximately four years. Revenue earned from the clients obtained from the Meridian acquisition was approximately $1.3 million during the three and six months ended June 30, 2020. On January 8, 2020, the Company entered into an Agreement and Plan of Merger (the “Merger Agreement”) with CareCloud Corporation, a Delaware corporation (“CareCloud”), MTBC Merger Sub, Inc., a Delaware corporation and wholly-owned subsidiary of the Company (“Merger Sub”) and Runway Growth Credit Fund Inc. (“Runway”), solely in its capacity as a seller representative, pursuant to which Merger Sub merged with and into CareCloud (the “Merger”), with CareCloud surviving as a wholly-owned subsidiary of the Company. The Merger became effective simultaneously with the execution of the Merger Agreement. The acquisition has been accounted for as a business combination. The total consideration for the Merger included approximately $11.9 million paid in cash at closing, the assumption of a working capital deficiency of approximately $5.1 million and 760,000 shares of the Company’s Preferred Stock. The Merger Agreement provides that if CareCloud’s 2020 revenues exceed $36 million, there will be an earn-out payment to the seller equal to such excess, up to $3 million. Additional consideration included warrants to purchase 2,000,000 shares of the Company’s common stock, 1,000,000 of which have an exercise price per share of $7.50 and a term of two years, and the other 1,000,000 warrants have an exercise price per share of $10.00 and a term of three years. A summary of the total consideration is as follows: CareCloud Purchase Price Cash $ 11,852,526 Preferred stock 19,000,000 Warrants 300,000 Contingent consideration 1,000,000 Total purchase price $ 32,152,526 Of the Preferred Stock consideration, 160,000 shares were placed in escrow for up to 24 months, and an additional 100,000 shares were placed in escrow for up to 18 months, in both cases, to satisfy indemnification obligations of the seller for losses arising from certain specified contingent liabilities. Shares net of such losses will be released upon the joint instruction of the Company and Runway in accordance with the applicable escrow terms. Such shares are entitled to the monthly dividend, which will be paid when, and if, the shares are released. The Company accrues the dividend monthly on the Preferred Stock held in escrow. During July 2020, it was determined that 55,726 shares of the Preferred Stock would be released from escrow, returned to the Company and cancelled. Dividends previously accrued on these shares of $102,166 were reversed as of June 30, 2020, since the amounts will not need to be paid. The remaining shares continue to be held in escrow. The Company’s Preferred Stock and warrants issued as part of the Merger consideration were issued in a transaction exempt from registration under the Securities Act of 1933, as amended (the “Securities Act”). The Company has agreed to register for resale under the Securities Act the Preferred Stock and the securities underlying the warrants. The CareCloud acquisition added additional clients to the Company’s customer base and, similar to previous acquisitions, broadened the Company’s presence in the healthcare information technology industry through geographic expansion of its customer base and by increasing available customer relationship resources and specialized trained staff. The Company engaged a third-party valuation specialist to assist the Company in valuing the assets acquired and liabilities assumed from CareCloud. The following table summarizes the purchase price allocation: Accounts receivable $ 2,298,716 Prepaid expenses 1,277,990 Contract asset 537,722 Property and equipment 402,970 Operating lease right-of-use assets 2,858,626 Customer relationships 8,000,000 Trademark 800,000 Software 4,800,000 Goodwill 22,868,078 Other long term assets 539,560 Accounts payable (6,942,710 ) Accrued expenses (2,080,977 ) Current loan payable (79,655 ) Operating lease liabilities (2,858,544 ) Deferred revenue (269,250 ) Total purchase price allocation $ 32,152,526 The acquired accounts receivable are recorded at fair value which represents amounts that have subsequently been paid or are expected to be paid by clients. The fair value of customer relationships was based on the estimated discounted cash flows generated by these intangibles. The goodwill from this acquisition is not deductible for income tax purposes and represents the Company’s ability to have an expanded local presence in additional markets and operational synergies that we expect to achieve that would not be available to other market participants. The weighted-average amortization period of the acquired intangible assets is approximately three years. Revenue earned from the clients obtained from the CareCloud acquisition was approximately $7.5 million during the three months ended June 30, 2020 and approximately $15.1 million during the six months ended June 30, 2020. 2019 Acquisition On April 3, 2019, the Company executed an asset purchase agreement (“APA”) to acquire substantially all of the assets of Etransmedia. The purchase price was $1.6 million and the assumption of certain liabilities, excluding acquisition-related costs of approximately $125,000. Per the APA, the acquisition had an effective date of April 1, 2019. The acquisition has been accounted for as a business combination. The Etransmedia acquisition added additional clients to the Company’s customer base and, similar to previous acquisitions, broadened the Company’s presence in the healthcare information technology industry through geographic expansion of its customer base and by increasing available customer relationship resources and specialized trained staff. The purchase price allocation for Etransmedia was performed by the Company and is summarized as follows: Customer relationships $ 856,000 Accounts receivable 547,377 Contract asset 139,169 Operating lease right-of-use assets 1,224,480 Property and equipment 91,277 Goodwill 39,901 Operating lease liabilities (1,224,480 ) Accrued expenses (73,724 ) Total $ 1,600,000 The acquired accounts receivable are recorded at fair value which represents amounts that have subsequently been paid or are expected to be paid by clients. The fair value of customer relationships was based on the estimated discounted cash flows generated by these intangibles. The goodwill from this acquisition is deductible ratably for income tax purposes over fifteen years and represents the Company’s ability to have an expanded local presence in additional markets and operational synergies that we expect to achieve that would not be available to other market participants. The weighted-average amortization period of the acquired intangible assets is approximately three years. Revenue earned from the clients obtained from the Etransmedia acquisition was approximately $993,000 during the three months ended June 30, 2020 and approximately $2.2 million during the six months ended June 30, 2020. Pro forma financial information (Unaudited) The unaudited pro forma information below represents the condensed consolidated results of operations as if the Etransmedia, CareCloud and Meridian acquisitions occurred on January 1, 2019. The pro forma information has been included for comparative purposes and is not indicative of results of operations that the Company would have had if the acquisitions occurred on the above date, nor is it necessarily indicative of future results. The unaudited pro forma information reflects material, non-recurring pro forma adjustments directly attributable to the business combinations. The difference between the actual revenue and the pro forma revenue is approximately $6.7 million and $18.3 million of additional revenue primarily recorded by Meridian for the three and six months ended June 30, 2020, respectively. Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 ($ in thousands except per share amounts) Total revenue $ 26,239 $ 38,055 $ 59,654 $ 75,847 Net loss $ (6,472 ) $ (6,949 ) $ (9,702 ) $ (17,749 ) Net loss attributable to common shareholders $ (9,749 ) $ (8,436 ) $ (15,622 ) $ (20,728 ) Net loss per common share $ (0.79 ) $ (0.70 ) $ (1.26 ) $ (1.73 )

Goodwill and Intangible Assets-

Goodwill and Intangible Assets-Net	6 Months Ended
	Jun. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets-Net	4. GOODWILL AND INTANGIBLE ASSETS-NET Goodwill consists of the excess of the purchase price over the fair value of identifiable net assets of businesses acquired. The following is the summary of the changes to the carrying amount of goodwill for the six months ended June 30, 2020 and the year ended December 31, 2019: Six Months Ended Year Ended June 30, 2020 December 31, 2019 Beginning gross balance $ 12,633,696 $ 12,593,795 Acquisitions 37,074,514 39,901 Ending gross balance $ 49,708,210 $ 12,633,696 Intangible assets include customer contracts and relationships and covenants not-to-compete acquired in connection with acquisitions, as well as trademarks acquired and software costs. Intangible assets - net as of June 30, 2020 and December 31, 2019 consist of the following: June 30, 2020 December 31, 2019 Contracts and relationships acquired $ 43,497,300 $ 23,597,300 Capitalized software 7,824,576 538,012 Non-compete agreements 1,236,377 1,236,377 Other intangible assets 3,263,552 1,489,458 Total intangible assets 55,821,805 26,861,147 Less: Accumulated amortization 24,028,768 20,883,922 Intangible assets - net $ 31,793,037 $ 5,977,225 Amortization expense was approximately $3.2 million and $1.2 million for the six months ended June 30, 2020 and 2019, respectively, and $2.1 million and $612,000 for the three months ended June 30, 2020 and 2019, respectively. The weighted-average amortization period is currently approximately 4.1 years. As of June 30, 2020, future amortization scheduled to be expensed is as follows: Years ending December 31, 2020 (six months) $ 6,173,120 2021 9,790,704 2022 7,716,583 2023 5,269,929 2024 1,192,701 Thereafter 1,650,000 Total $ 31,793,037

Net Loss Per Common Share

Net Loss Per Common Share	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Net Loss Per Common Share	5. NET LOSS PER COMMON SHARE The following table reconciles the weighted-average shares outstanding for basic and diluted net loss per share for the three and six months ended June 30, 2020 and 2019: Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Basic and Diluted: Net loss attributable to common shareholders $ (8,069,422 ) $ (2,257,678 ) $ (13,214,109 ) $ (4,046,069 ) Weighted-average common shares used to compute basic and diluted loss per share 12,395,197 12,022,143 12,353,007 11,984,284 Net loss attributable to common shareholders per share - Basic and Diluted $ (0.65 ) $ (0.19 ) $ (1.07 ) $ (0.34 ) All unvested restricted stock units (“RSUs”), the 200,000 warrants granted to Opus Bank (“Opus”), the 153,489 warrants granted to Silicon Valley Bank (“SVB”), the 2,000,000 warrants granted in connection with the CareCloud acquisition and the 2,250,000 warrants granted in connection with the Meridian acquisition have been excluded from the above calculations as they were anti-dilutive. Vested RSUs and vested restricted shares have been included in the above calculations.

Debt

Debt	6 Months Ended
	Jun. 30, 2020
Debt Disclosure [Abstract]
Debt	6. DEBT SVB Vehicle Financing Notes Insurance Financing

Leases

Leases	6 Months Ended
	Jun. 30, 2020
Leases [Abstract]
Leases	7. LEASES We determine if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use (“ROU”) assets, current operating lease liability and non-current operating lease liability in our condensed consolidated balance sheet as of June 30, 2020 and December 31, 2019. Each time the Company acquires a business, the ROU assets and the lease liabilities are recorded at fair value as of the date of acquisition. The Company does not have any finance leases. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. We use our estimated incremental borrowing rates, which are derived from information available at the lease commencement date, in determining the present value of lease payments. For leases in existence at the adoption of ASC 842, we used the incremental borrowing rate as of January 1, 2019. We give consideration to our bank financing arrangements, geographical location and collateralization of assets when calculating our incremental borrowing rates. Our lease terms include options to extend the lease when it is reasonably certain that we will exercise that option. Leases with a term of less than 12 months are not recorded in the condensed consolidated balance sheet. Our lease agreements do not contain any residual value guarantees. For real estate leases, we account for the lease and non-lease components as a single lease component. Some leases include escalation clauses and termination options that are factored in the determination of the lease payments when appropriate. If a lease is modified after the effective date, the operating lease ROU asset and liability is re-measured using the current incremental borrowing rate. During the six months ended June 30, 2020, a lease impairment of approximately $361,000 was recorded since the Company is no longer using one of its leased facilities and is currently in the process of subleasing the space. We lease all of our facilities and some equipment. Lease expense is included in direct operating costs and general and administrative expenses in the condensed consolidated statements of operations based on the nature of the expense. As of June 30, 2020, we had 38 leased properties, five in Practice Management and 33 in Healthcare IT, with remaining terms ranging from less than one year to five years. Our lease terms are determined taking into account lease renewal options, the Company’s anticipated operating plans and leases that are on a month-to-month basis. We also have some related party leases – see Note 9. The components of lease expense were as follows: Three Months Ended Six Months Ended 2020 2019 2020 2019 Operating lease cost $ 834,950 $ 639,393 $ 1,634,486 $ 1,104,621 Short-term lease cost 941 32,425 $ 10,310 137,976 Variable lease cost 2,062 12,450 $ 15,534 19,033 Total- net lease cost $ 837,953 $ 684,268 $ 1,660,330 $ 1,261,630 Short-term lease cost represents leases that were not capitalized as the lease term as of the later of January 1, 2020 or the beginning of the lease was less than 12 months. Variable lease costs include utilities, real estate taxes and common area maintenance costs. Supplemental balance sheet information related to leases was as follows: June 30, 2020 December 31, 2019 Operating leases: Operating lease ROU assets, net $ 8,358,549 $ 3,526,315 Current operating lease liabilities $ 4,689,790 $ 1,688,772 Non-current operating lease liabilities 7,592,536 2,040,772 Total operating lease liabilities $ 12,282,326 $ 3,729,544 Operating leases: ROU assets $ 9,724,984 $ 5,467,749 Asset lease expense (1,337,677 ) (1,888,443 ) Foreign exchange loss (28,758 ) (52,991 ) ROU assets, net $ 8,358,549 $ 3,526,315 Weighted average remaining lease term (in years): Operating leases 2.81 2.46 Weighted average discount rate: Operating leases 6.80 % 7.05 % Supplemental cash flow and other information related to leases was as follows: Three Months Ended Six Months Ended 2020 2019 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 763,733 $ 646,824 $ 1,443,066 $ 1,124,884 ROU assets obtained in exchange for lease liabilities: Operating leases, net of impairment and terminations $ 2,646,511 $ 1,453,751 $ 6,263,898 $ 1,634,041 Maturities of lease liabilities are as follows: Operating leases - Year ending December 31, 2020 (six months) $ 2,788,605 2021 4,908,064 2022 3,818,759 2023 1,617,221 2024 288,327 2025 54,948 Total lease payments 13,475,924 Less: imputed interest (1,193,598 ) Total lease obligations 12,282,326 Less: current obligations (4,689,790 ) Long-term lease obligations $ 7,592,536 As of June 30, 2020, we have one operating lease commitment with a five year term that commences on July 1, 2020 aggregating approximately $31,000.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	8. COMMITMENTS AND CONTINGENCIES Legal Proceedings On April 23, 2019, the Appellate Division reversed the Chancery Court’s ruling that MTBC is required to participate in the Arbitration and remanded the case for further proceedings before the Chancery Court on that issue. The Appellate Division upheld the Chancery Court’s ruling that MAC was required to participate in the Arbitration. The parties completed discovery in the remanded matter, and both MTBC and RPRWC filed cross-motions for summary judgement in their favor. On February 6, 2020, the Chancery Court denied RPRWC’s motion for summary judgment and granted MTBC’s motion for summary judgment, holding that MTBC cannot be compelled to participate in the Arbitration. RPRWC has informed MTBC that it does not intend to appeal the Chancery Court’s ruling and that it intends to move forward solely against MAC in the Arbitration. On March 25, 2020, the Chancery Court lifted the stay of arbitration relative to RPRWC and MAC. Due to conflicting information provided by RPRWC, it is unclear what the extent of the claimed damages are in this matter which at this time appear to be entirely speculative. According to its arbitration demand, RPRWC seeks compensatory damages of $6.6 million, plus costs, for MPMA’s alleged breach of the billing services agreement. On June 12, 2020, in response to a directive from the arbitrator, RPRWC disclosed a statement of damages to MAC in which it increased its alleged damages from six million, six hundred thousand dollars and costs to twenty million dollars and costs. RPRWC subsequently revised its damages claim downward. On July 24, 2020, RPRWC disclosed a declaration to MAC, in which RPRWC estimates its damages to be approximately eleven million dollars plus costs. MAC intends to vigorously defend against RPRWC’s claims. If ​RPRWC is successful in the Arbitration, MTBC and MAC anticipate the award would be substantially less than the amount claimed. From time to time, we may become involved in other legal proceedings arising in the ordinary course of our business. Including the proceedings described above, we are not presently a party to any legal proceedings that, in the opinion of our management, would individually or taken together have a material adverse effect on our business, consolidated results of operations, financial position or cash flows of the Company.

Related Parties

Related Parties	6 Months Ended
	Jun. 30, 2020
Related Party Transactions [Abstract]
Related Parties	9. RELATED PARTIES The Company had sales to a related party, a physician who is the wife of the Executive Chairman. Revenues from this customer were approximately $7,000 and $9,000 for the six months ended June 30, 2020 and 2019 and $2,000 and $5,000 for the three months ended June 30, 2020 and 2019, respectively. As of both June 30, 2020, and December 31, 2019, the receivable balance due from this customer was approximately $1,000 and $2,000, respectively. The Company is a party to a nonexclusive aircraft dry lease agreement with Kashmir Air, Inc. (“KAI”), which is owned by the Executive Chairman. The Company recorded an expense of approximately $73,000 and $64,000 for the six month periods ended June 30, 2020 and 2019 and $32,000 for both the three months ended June 30, 2020 and 2019. As of both June 30, 2020 and December 31, 2019, the Company had a liability outstanding to KAI of approximately $1,000, which is included in accrued liability to related party in the condensed consolidated balance sheets. The original aircraft lease expired on March 31, 2019 and was not included in the ROU asset at January 1, 2019. A lease for a different aircraft at the same lease rate was entered into as of April 1, 2019 and has been included in the ROU asset and operating lease liability at December 31, 2019 and June 30, 2020. The Company leases its corporate offices in New Jersey, its temporary housing for its foreign visitors, a printing and mailing facility and its backup operations center in Bagh, Pakistan, from the Executive Chairman. The related party rent expense for the six months ended June 30, 2020 and 2019 was approximately $93,000 and $94,000, and for both the three months ended June 30, 2020 and 2019 was $46,000 and is included in direct operating costs and general and administrative expense in the consolidated statements of operations. During the six months ended June 30, 2020, the Company spent a total of approximately $62,000 to upgrade two of the leased facilities. Current assets-related party in the condensed consolidated balance sheets includes security deposits and prepaid rent related to the leases of the Company’s corporate offices in the amount of approximately $13,000 as of both June 30, 2020 and December 31, 2019. Included in the ROU asset at June 30, 2020 and December 31, 2019 is approximately $418,000 and $566,000, respectively, applicable to the related party leases. Included in the current and non-current operating lease liability at June 30, 2020 is approximately $263,000 and $164,000, respectively, applicable to the related party leases. At December 31, 2019, the current and non-current operating lease liability applicable to related party leases was approximately $275,000 and $298,000, respectively. During the first quarter, talkMD Clinicians, PA, a New Jersey corporation was formed to provide telehealth services. This entity is owned by the wife of the Executive Chairman since an entity providing medical services must be owned by a physician. The Company did not have any transactions with this entity during the quarter ended June 30, 2020.

Revenue

Revenue	6 Months Ended
	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
Revenue	10. REVENUE Introduction The Company accounts for revenue in accordance with ASC 606, Revenue from Contracts with Customers Most of our current contracts with customers contain a single performance obligation. For contracts where we provide multiple services, such as where we perform multiple ancillary services, each service represents its own performance obligation. Selling prices are based on the contractual price for the service, which approximates the stand alone selling price. We apply the portfolio approach as permitted by ASC 606 as a practical expedient to contracts with similar characteristics and we use estimates and assumptions when accounting for those portfolios. Our contracts generally include standard commercial payment terms. We have no significant obligations for refunds, warranties or similar obligations and our revenue does not include taxes collected from our customers. Disaggregation of Revenue from Contracts with Customers We derive revenue from eight primary sources: revenue cycle management services, SaaS solutions, professional services, ancillary services, group purchasing services, printing and mailing services, and clearinghouse and EDI (electronic data interchange) services and practice management services. The following table represents a disaggregation of revenue for the three and six months ended June 30: Three Months Ended Six Months Ended 2020 2019 2020 2019 Healthcare IT: Revenue cycle management services $ 11,364,851 $ 11,366,628 $ 24,554,814 $ 21,883,468 SaaS solutions 3,757,078 66,055 7,370,592 106,657 Professional services 397,547 383,336 788,975 718,771 Ancillary services 831,244 930,181 1,552,606 1,429,277 Group purchasing services 189,456 205,066 366,008 405,113 Printing and mailing services 323,827 358,440 752,705 750,100 Clearinghouse and EDI services 262,207 150,869 581,374 286,933 Practice Management: Practice management services 2,452,580 3,288,924 5,478,884 6,249,391 Total $ 19,578,790 $ 16,749,499 $ 41,445,958 $ 31,829,710 Revenue cycle management services: Revenue cycle management services are the recurring process of submitting and following up on claims with health insurance companies in order for the healthcare providers to receive payment for the services they rendered. MTBC typically invoices customers on a monthly basis based on the actual collections received by its customers and the agreed-upon rate in the sales contract. The services include medical billing services and often include use of practice management software and related tools (on a software-as-a-service (“SaaS”) basis), electronic health records (on a SaaS basis), and use of mobile health solutions. We consider the services to be one performance obligation since the promises are not distinct in the context of the contract. The performance obligation consists of a series of distinct services that are substantially the same and have the same periodic pattern of transfer to our customers. In many cases, our clients may terminate their agreements with 90 days’ notice without cause, thereby limiting the term in which we have enforceable rights and obligations, although this time period can vary between clients. Our payment terms are normally net 30 days. Although our contracts typically have stated terms of one or more years, under ASC 606 our contracts are considered month-to-month and accordingly, there is no financing component. For the majority of our revenue cycle management contracts, the total transaction price is variable because our obligation is to process an unknown quantity of claims, as and when requested by our customers over the contract period. When a contract includes variable consideration, we evaluate the estimate of the variable consideration to determine whether the estimate needs to be constrained; therefore, we include variable consideration in the transaction price only to the extent that it is probable that a significant reversal of the amount of cumulative revenue recognized will not occur when the uncertainty associated with variable consideration is subsequently resolved. Estimates to determine variable consideration such as payment to charge ratios, effective billing rates, and the estimated contractual payment periods are updated at each reporting date. Revenue is recognized over the performance period using the input method. SaaS Solutions: Some of the Company’s SaaS solutions were initially developed by CareCloud and Meridian, both of which were acquired during 2020. The Company’s SaaS solutions which were initially developed and sold by CareCloud include Central, Complete and Breeze. Central is a SaaS subscription service for healthcare practice management. Complete is a SaaS subscription service that combines healthcare practice management with electronic health records. Breeze is a SaaS subscription service providing patient registration and intake solutions. The Company’s SaaS solutions which were initially developed and sold by Meridian include VertexDr, Precision BI and Microbots. VertexDr is one of the only fully-integrated electronic medical record and practice management systems encompassing appointment scheduling, practice management, electronic prescribing of controlled substances (EPCS), customizable electronic health records, mobile functionality, and automation. Precision BI provides powerful insight into both clinical and financial performance so healthcare providers can optimize revenue, increase productivity and improve patient care. RPA is an industry term for software tools that help automate routine tasks to make them more reliable and efficient. Meridian’s RPA solution, Microbots, are digital assistants that replace mundane, repetitive processes, allowing organizations scalability and increased production in a HIPAA compliant environment. Under the Company’s SaaS solutions, the Company derives revenue primarily from recurring business subscription fees. The Company typically invoices customers on a monthly basis based on an agreed-upon rate in the sales contract. The Company considers all these services to be one performance obligation since the promises are not distinct in the context of the contract. The performance obligation consists of a series of distinct services that are substantially the same and have the same periodic pattern of transfer to customers. Recurring business subscription fees may also include amounts charged to the customer for patient statements and for other services for which reimbursement is based on a fixed fee per patient visit and recognized as revenue as the related services are performed. Payment terms for the above SaaS solutions are normally between seven and thirty days. Although the contracts typically have stated terms of one or more years, under ASC 606, contracts are considered month-to-month and accordingly, there is no financing component. Professional services: These services include training, implementation, data conversion, data migration and ongoing support. For all of the above revenue streams, revenue is recognized over time, which is typically one month or less, which closely matches the point in time that the customer simultaneously receives and consumes the benefits provided by the Company. Each service is substantially the same and has the same periodic pattern of transfer to the customer. Each of the services provided above is considered a separate performance obligation. MTBC also provides implementation and professional services to certain customers and records revenue monthly on a time and materials or a fixed rate basis. The performance obligation is satisfied over time as the implementation or professional services are rendered. Other revenue streams: Ancillary services represent services such as coding, credentialing and transcription that are rendered in connection with the delivery of revenue cycle management and related medical services. The Company invoices customers monthly, based on the actual amount of services performed at the agreed upon rate in the contract. These services are only offered to revenue cycle management customers. These services do not represent a material right because the services are optional to the customer and customers electing these services are charged the same price for those services as if they were on a standalone basis. Each individual coding, credentialing or transcription transaction processed represents a performance obligation, which is satisfied over time as that individual service is rendered. The Company provides group purchasing services which enable medical providers to purchase various vaccines directly from selected pharmaceutical companies at a discounted price. Currently, there are approximately 4,000 medical providers who are members of the program. Revenue is recognized as the vaccine shipments are made to the medical providers. Referral fees from the pharmaceutical companies are paid to MTBC either quarterly or annually and the Company adjusts its revenue accrual at the time of payment. The Company makes significant judgments regarding the variable consideration which we expect to be entitled to for the group purchasing services which includes the anticipated shipments to the members enrolled in the program, anticipated volumes of purchases made by the members and the changes in the number of members. The amounts recorded are constrained by estimates of decreases in shipments and loss of members to avoid a significant revenue reversal in the subsequent period. The only performance obligation is to provide the pharmaceutical companies with the medical providers who want to become members in order to purchase vaccines. The performance obligation is satisfied once the medical provider agrees to purchase a specific quantity of vaccines and the medical provider’s information is forwarded to the vaccine suppliers. The Company records a contract asset for revenue earned and not paid as the ultimate payment is conditioned on achieving certain volume thresholds. The Company provides printing and mailing services for both revenue cycle management customers and a large non- revenue cycle management customer, and invoices on a monthly basis based on the number of prints, the agreed-upon rate per print and the postage incurred. The performance obligation is satisfied once the printing and mailing is completed. The medical billing clearinghouse service takes claim information from customers, checks the claims for errors and sends this information electronically to insurance companies. MTBC invoices customers on a monthly basis based on the number of claims submitted and the agreed-upon rate in the agreement. This service is provided to medical practices and providers to medical practices who are not revenue cycle management customers. The performance obligation is satisfied once the relevant submissions are completed. For all of the above revenue streams other than group purchasing services, revenue is recognized over time, which is typically one month or less, which closely matches the point in time that the customer simultaneously receives and consumes the benefits provided by the Company. For the group purchasing services, revenue is recognized at a point in time. Other than the group purchasing services, each of the Company’s services are substantially the same and have the same periodic pattern of transfer to the customer. Each service provided by the Company is considered a separate performance obligation. Practice management services: The Company also provides practice management services under long-term management service agreements to three medical practices. We provide the medical practices with the nurses, administrative support, facilities, supplies, equipment, marketing, RCM, accounting, and other non-clinical services needed to efficiently operate their practices. Revenue is recognized as the services are provided to the medical practices. Revenue recorded in the consolidated statements of operations represents the reimbursement of costs paid by the Company for the practices and the management fee earned each month for managing the practice. The management fee is based on either a fixed fee or a percentage of the net operating income. The Company assumes all financial risk for the performance of the managed medical practices. Revenue is impacted by amount of the costs incurred by the practices and their operating income. The gross billing of the practices is impacted by billing rates, changes in current procedural terminology code reimbursement and collection trends which in turn impacts the management fee that the Company is entitled to. Billing rates are reviewed at least annually and adjusted based on current insurer reimbursement practices. The performance obligation is satisfied as the management services are provided. Our contracts for practice management services have approximately an additional 20 years remaining and are only cancellable under very limited circumstances. The Company receives a management fee each month for managing the day-to-day business operations of each medical group as a fixed fee or a percentage payment of the net operating income which is included in revenue in the consolidated statements of operations. The Company also provides accounting services and a practice manager to one additional medical practice for which it receives monthly fees. Our practice management services obligations consist of a series of distinct services that are substantially the same and have the same periodic pattern of transfer to our customers. Revenue is recognized over time; however, for reporting and convenience purposes, the management fee is computed at each month end. Information about contract balances: The contract assets in the condensed consolidated balance sheets represent the revenue associated with the amounts we estimate our revenue cycle management clients will ultimately collect associated with the services they have provided and the relative fee we charge associated with those collections, together with amounts related to the group purchasing services. As of June 30, 2020, the estimated revenue expected to be recognized in the future related to the remaining revenue cycle management performance obligations outstanding was approximately $3.1 million. We expect to recognize substantially all of the revenue for the remaining performance obligations over the next three months. Approximately $376,000 of the contract asset represents revenue earned, not paid, from the group purchasing services. Accounts receivable are shown separately at their net realizable value in our condensed consolidated balance sheets. Amounts that we are entitled to collect under the applicable contract are recorded as accounts receivable. Invoicing is performed at the end of each month when the services have been provided. The contract asset results from our revenue cycle management services and is due to the timing of revenue recognition, submission of claims from our customers and payments from the insurance providers. The contract asset includes our right to payment for services already transferred to a customer when the right to payment is conditional on something other than the passage of time. For example, contracts for revenue cycle management services where we recognize revenue over time but do not have a contractual right to payment until the customer receives payment of their claim from the insurance provider. The contract asset also includes the revenue accrued, not received, for the group purchasing services. The contract asset was approximately $3.4 million and $2.5 million as of June 30, 2020 and 2019, respectively. Changes in the contract asset are recorded as adjustments to net revenue. The changes primarily result from providing services to revenue cycle management customers that result in additional consideration and are offset by our right to payment for services becoming unconditional and changes in the revenue accrued for the group purchasing services. The contract asset for our group purchasing services is reduced when we receive payments from vaccine manufacturers and is increased for revenue earned, not received. Deferred revenue represents sign-up fees received from customers that are amortized over three years. The opening and closing balances of the Company’s accounts receivable, contract asset and deferred revenue are as follows for the six months ended June 30, 2020 and 2019: Accounts Contract Deferred Deferred Revenue Balance as of January 1, 2020 $ 6,995,343 $ 2,385,334 $ 20,277 $ 18,745 CareCloud acquisition 2,298,716 537,722 - 269,250 Meridian acquisition 3,800,037 881,111 907,077 - (Decrease) increase, net (1,888,242 ) (376,335 ) 82,207 (81,274 ) Balance as of June 30, 2020 $ 11,205,854 $ 3,427,832 $ 1,009,561 $ 206,721 Balance as of January 1, 2019 $ 7,331,474 $ 2,608,631 $ 25,355 $ 18,949 ETM acquisition - 139,169 - - Increase (decrease), net 187,466 (274,129 ) (9,130 ) (589 ) Balance as of June 30, 2019 $ 7,518,940 $ 2,473,671 $ 16,225 $ 18,360 Deferred commissions: Our sales incentive plans include commissions payable to employees and third parties at the time of initial contract execution that are capitalized as incremental costs to obtain a contract. The capitalized commissions are amortized over the period the related services are transferred. As we do not offer commissions on contract renewals, we have determined the amortization period to be the estimated client life, which is three years for contracts entered into by MTBC and four years for contracts entered into by CareCloud. Deferred commissions were approximately $836,000 and $60,000 at June 30, 2020 and 2019, respectively, and are included in the other assets amounts in the condensed consolidated balance sheets.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2020
Share-based Payment Arrangement [Abstract]
Stock-Based Compensation	11. STOCK-BASED COMPENSATION In April 2014, the Company adopted the Medical Transcription Billing, Corp. 2014 Equity Incentive Plan (the “2014 Plan”), reserving 1,351,000 shares of common stock for grants to employees, officers, directors and consultants. During 2017, the 2014 Plan was amended and restated whereby an additional 1,500,000 shares of common stock and 100,000 shares of Preferred Stock were added to the plan for future issuance. The 2014 Plan was amended and restated on April 14, 2017 (the “Amended and Restated Equity Incentive Plan”). During 2018, an additional 200,000 of preferred shares were added to the plan for future issuance. In May 2020, an additional 2,000,000 shares of common stock and 300,000 shares of Preferred Stock were added to the plan for future issuance. As of June 30, 2020, 1,733,756 shares of common stock and 380,354 shares of Preferred Stock are available for grant. Permissible awards include incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock, RSUs, performance stock and cash-settled awards and other stock-based awards in the discretion of the Compensation Committee of the Board of Directors including unrestricted stock grants. The equity-based RSUs contain a provision in which the units shall immediately vest and become converted into common shares at the rate of one share per RSU, immediately after a change in control, as defined in the award agreement. The preferred stock RSUs contain a similar provision, which vest and convert to Preferred Stock upon a change in control. Common and preferred stock RSUs In January 2020, the Compensation Committee approved executive bonuses to be paid in shares of Preferred Stock, with the number of shares and the amount based on specified criteria being achieved during the year 2020. The actual amount will be settled in early 2021 based on the achievement of the specified criteria. For the six months ended June 30, 2020, an expense of approximately $600,000, was recorded for these bonuses based on the value of the shares at the grant date and recognized over the service period. The portion of the stock compensation expense to be used for the payment of withholding and payroll taxes is included in accrued compensation in the condensed consolidated balance sheets. The balance of the stock compensation expense has been recorded as additional paid-in capital. The following table summarizes the RSU transactions related to the common and preferred stock under the Equity Incentive Plan for the six months ended June 30, 2020 and 2019: Common Stock Preferred Stock Outstanding and unvested shares at January 1, 2020 451,085 44,000 Granted 618,879 44,000 Vested (326,996 ) (44,000 ) Forfeited (50,896 ) - Outstanding and unvested shares at June 30, 2020 692,072 44,000 Outstanding and unvested shares at January 1, 2019 929,347 44,800 Granted 5,000 44,000 Vested (319,813 ) (44,800 ) Forfeited (12,120 ) - Outstanding and unvested shares at June 30, 2019 602,414 44,000 Of the total outstanding and unvested common stock RSUs at June 30, 2020, 678,572 RSUs are classified as equity and 13,500 RSUs are classified as a liability. All of the preferred stock RSUs are classified as equity. Stock-based compensation expense The Company recognizes compensation expense on a straight-line basis over the total requisite service period for the entire award. For stock awards classified as equity, the market price of our common stock or preferred stock on the date of grant is used in recording the fair value of the award and includes the related taxes. For stock awards classified as a liability, the earned amount is marked to market based on the end of period common stock price. The liability for the cash-settled awards was approximately $742,000 and $741,000 at June 30, 2020 and December 31, 2019, respectively, and is included in accrued compensation in the condensed consolidated balance sheets. The following table summarizes the components of share-based compensation expense for the three and six months ended June 30, 2020 and 2019: Stock-based compensation included in the Three Months Ended June 30, Six Months Ended June 30, consolidated statements of operations: 2020 2019 2020 2019 Direct operating costs $ 258,653 $ 46,207 $ 429,154 $ 96,858 General and administrative 1,217,298 711,050 2,068,767 1,407,471 Research and development 177,768 4,353 254,117 9,834 Selling and marketing 226,987 31,053 435,970 36,025 Total stock-based compensation expense $ 1,880,706 $ 792,663 $ 3,188,008 $ 1,550,188

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2020
Income Tax Disclosure [Abstract]
Income Taxes	12. INCOME TAXES The income tax benefit for the three months ended June 30, 2020 was approximately $74,000, comprised of a current tax expense of $41,000 and a deferred tax benefit of $115,000. The income tax benefit for the six months ended June 30, 2020 was approximately $44,000, comprised of a current tax expense of $56,000 and a deferred tax benefit of $100,000. The current income tax provision for the six months ended June 30, 2020 and 2019 primarily relates to state minimum taxes and foreign income taxes. The deferred tax provision (benefit) for the three and six months ended June 30, 2020 and 2019 relates to the book and tax difference of amortization on indefinite-lived intangibles, primarily goodwill. To the extent allowable, the federal tax provision has been offset by the indefinite life net operating loss. On March 27, 2020, the Coronavirus Aid, Relief and Economic Security (CARES) Act was signed into law. Several new corporate tax provisions were included in the CARES Act, including, but not limited to, the following: increasing the limitation threshold for determining deductible interest expense, class life changes to qualified improvements (in general - from 39 years to 15 years), and the ability to carry back net operating losses incurred from tax years 2018 through 2020 up to the five preceding tax years. The Company has evaluated the new tax provisions of the CARES Act and determined the impact to be either immaterial or not applicable. The Company has incurred cumulative losses which make realization of a deferred tax asset difficult to support in accordance with ASC 740. Accordingly, a valuation allowance has been recorded against the Federal and state deferred tax assets as of June 30, 2020 and December 31, 2019.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	13. FAIR VALUE OF FINANCIAL INSTRUMENTS As of June 30, 2020, and December 31, 2019, the carrying amounts of accounts receivable, accounts payable and accrued expenses approximated their estimated fair values because of the short-term nature of these financial instruments. Fair value measurements-Level 2 Our notes payable are carried at cost and approximate fair value since the interest rates being charged approximate market rates. As a result, the Company categorizes these borrowings as Level 2 in the fair value hierarchy. Contingent Consideration The Company’s contingent consideration of approximately $1.0 million and $280,000 as of June 30, 2020 and 2019, respectively, is a Level 3 liability. The fair value of the contingent consideration at June 30, 2020 and 2019 were primarily driven by changes in revenue estimates related to the Company’s acquisitions, the passage of time and the associated discount rate. The following table provides a reconciliation of the beginning and ending balances for the contingent consideration measured at fair value using significant unobservable inputs (Level 3): Fair Value Measurement at Reporting Date Using Significant Unobservable Inputs, Level 3 Six Months Ended June 30, 2020 2019 Balance - January 1, $ - $ 526,432 Acquisition 1,000,000 - Change in fair value - (64,203 ) Payments - (182,664 ) Balance - June 30, $ 1,000,000 $ 279,565

Segment Reporting

Segment Reporting	6 Months Ended
	Jun. 30, 2020
Segment Reporting [Abstract]
Segment Reporting	14. SEGMENT REPORTING Both our Chief Executive Officer and Executive Chairman serve as the Chief Operating Decision Maker (“CODM”), organize the Company, manage resource allocations and measure performance among two operating and reportable segments: (i) Healthcare IT and (ii) Practice Management. The Healthcare IT segment includes revenue cycle management, SaaS solutions and other services. The Practice Management segment includes the management of three medical practices and starting April 1, 2019, certain practice management services are being provided to a fourth practice. Each segment is considered a reporting unit. The CODM evaluates financial performance of the business units on the basis of revenue and direct operating costs excluding unallocated amounts, which are mainly corporate overhead costs. Our CODM does not evaluate operating segments using asset or liability information. The accounting policies of the segments are the same as those disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019 filed with the SEC on February 28, 2020. The following tables present revenues, operating expenses and operating (loss) income by reportable segment: Six Months Ended June 30, 2020 Healthcare IT Practice Management Unallocated Corporate Expenses Total Net revenue $ 35,967,075 $ 5,478,883 $ - $ 41,445,958 Operating expenses: Direct operating costs 21,926,644 4,196,760 - 26,123,404 Selling and marketing 3,189,461 16,937 - 3,206,398 General and administrative 6,894,125 1,024,695 3,066,762 10,985,582 Research and development 4,479,451 - - 4,479,451 Depreciation and amortization 3,578,708 158,993 - 3,737,701 Impairment and unoccupied lease charges 360,826 - - 360,826 Total operating expenses 40,429,215 5,397,385 3,066,762 48,893,362 Operating (loss) income $ (4,462,140 ) $ 81,498 $ (3,066,762 ) $ (7,447,404 ) Three Months Ended June 30, 2020 Healthcare IT Practice Management Unallocated Corporate Expenses Total Net revenue $ 17,126,211 $ 2,452,579 $ - $ 19,578,790 Operating expenses: Direct operating costs 10,760,718 1,795,956 - 12,556,674 Selling and marketing 1,616,689 8,356 - 1,625,045 General and administrative 3,013,903 468,187 1,910,767 5,392,857 Research and development 2,146,325 - - 2,146,325 Depreciation and amortization 2,325,418 79,497 - 2,404,915 Impairment and unoccupied lease charges 63,175 - - 63,175 Total operating expenses 19,926,228 2,351,996 1,910,767 24,188,991 Operating (loss) income $ (2,800,017 ) $ 100,583 $ (1,910,767 ) $ (4,610,201 ) Six Months Ended June 30, 2019 Healthcare IT Practice Management Unallocated Corporate Expenses Total Net revenue $ 25,580,319 $ 6,249,391 $ - $ 31,829,710 Operating expenses: Direct operating costs 16,403,912 4,840,023 - 21,243,935 Selling and marketing 726,147 17,809 - 743,956 General and administrative 5,757,549 955,760 2,592,521 9,305,830 Research and development 473,064 - - 473,064 Change in contingent consideration (64,203 ) - - (64,203 ) Depreciation and amortization 1,435,071 157,830 - 1,592,901 Total operating expenses 24,731,540 5,971,422 2,592,521 33,295,483 Operating income (loss) $ 848,779 $ 277,969 $ (2,592,521 ) $ (1,465,773 ) Three Months Ended June 30, 2019 Healthcare IT Practice Management Unallocated Corporate Expenses Total Net revenue $ 13,460,575 $ 3,288,924 $ - $ 16,749,499 Operating expenses: Direct operating costs 8,929,458 2,466,937 - 11,396,395 Selling and marketing 374,196 8,361 - 382,557 General and administrative 3,295,146 559,390 1,289,218 5,143,754 Research and development 218,408 - - 218,408 Depreciation and amortization 757,084 79,077 - 836,161 Total operating expenses 13,574,292 3,113,765 1,289,218 17,977,275 Operating (loss) income $ (113,717 ) $ 175,159 $ (1,289,218 ) $ (1,227,776 )

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2020
Subsequent Events [Abstract]
Subsequent Events	15. SUBSEQUENT EVENTS During July 2020, the Company sold 1,104,000 shares of its Series A Preferred Stock and received net proceeds of approximately $25.6 million, after issuance expenses. As noted in Note 6, the balance on the line of credit of $9,750,000 was repaid in July.

Basis of Presentation (Policies

Basis of Presentation (Policies)	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Recent Accounting Pronouncements	Recent Accounting Pronouncements Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income In June 2018, the FASB issued ASU 2018-07, Improvements to Nonemployee Share-Based Payment Accounting In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes

Acquisitions (Tables)

Acquisitions (Tables)	6 Months Ended
	Jun. 30, 2020
Schedule of Business Acquisition, Pro Forma Information	Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 ($ in thousands except per share amounts) Total revenue $ 26,239 $ 38,055 $ 59,654 $ 75,847 Net loss $ (6,472 ) $ (6,949 ) $ (9,702 ) $ (17,749 ) Net loss attributable to common shareholders $ (9,749 ) $ (8,436 ) $ (15,622 ) $ (20,728 ) Net loss per common share $ (0.79 ) $ (0.70 ) $ (1.26 ) $ (1.73 )
Meridian Billing Management Co [Member]
Summary of Total Consideration on Business Consideration	A summary of the total consideration is as follows: Meridian Purchase Price Cash $ 11,863,724 Preferred stock 5,000,000 Warrants 4,770,000 Total purchase price $ 21,633,724
Schedule of Assets Acquired and Liabilities Assumed	The preliminary purchase price allocation for Meridian is summarized as follows: Accounts receivable $ 3,800,037 Prepaid expenses 703,732 Contract asset 881,111 Property and equipment 425,993 Operating lease right-of-use assets 2,805,993 Customer relationships 11,900,000 Technology 900,000 Goodwill 14,206,436 Accounts payable (3,373,212 ) Accrued expenses & compensation (3,591,380 ) Deferred revenue (907,077 ) Operating lease liabilities (6,054,659 ) Other current liabilities (63,250 ) Total preliminary purchase price allocation $ 21,633,724
CareCloud Corporation [Member]
Summary of Total Consideration on Business Consideration	A summary of the total consideration is as follows: CareCloud Purchase Price Cash $ 11,852,526 Preferred stock 19,000,000 Warrants 300,000 Contingent consideration 1,000,000 Total purchase price $ 32,152,526
Schedule of Assets Acquired and Liabilities Assumed	The following table summarizes the purchase price allocation: Accounts receivable $ 2,298,716 Prepaid expenses 1,277,990 Contract asset 537,722 Property and equipment 402,970 Operating lease right-of-use assets 2,858,626 Customer relationships 8,000,000 Trademark 800,000 Software 4,800,000 Goodwill 22,868,078 Other long term assets 539,560 Accounts payable (6,942,710 ) Accrued expenses (2,080,977 ) Current loan payable (79,655 ) Operating lease liabilities (2,858,544 ) Deferred revenue (269,250 ) Total purchase price allocation $ 32,152,526
2019 Acquisition [Member]
Schedule of Assets Acquired and Liabilities Assumed	The purchase price allocation for Etransmedia was performed by the Company and is summarized as follows: Customer relationships $ 856,000 Accounts receivable 547,377 Contract asset 139,169 Operating lease right-of-use assets 1,224,480 Property and equipment 91,277 Goodwill 39,901 Operating lease liabilities (1,224,480 ) Accrued expenses (73,724 ) Total $ 1,600,000

Goodwill and Intangible Asset_2

Goodwill and Intangible Assets-Net (Tables)	6 Months Ended
	Jun. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Intangible Assets and Goodwill	The following is the summary of the changes to the carrying amount of goodwill for the six months ended June 30, 2020 and the year ended December 31, 2019: Six Months Ended Year Ended June 30, 2020 December 31, 2019 Beginning gross balance $ 12,633,696 $ 12,593,795 Acquisitions 37,074,514 39,901 Ending gross balance $ 49,708,210 $ 12,633,696
Schedule of Finite-Lived Intangible Assets	Intangible assets - net as of June 30, 2020 and December 31, 2019 consist of the following: June 30, 2020 December 31, 2019 Contracts and relationships acquired $ 43,497,300 $ 23,597,300 Capitalized software 7,824,576 538,012 Non-compete agreements 1,236,377 1,236,377 Other intangible assets 3,263,552 1,489,458 Total intangible assets 55,821,805 26,861,147 Less: Accumulated amortization 24,028,768 20,883,922 Intangible assets - net $ 31,793,037 $ 5,977,225
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense	As of June 30, 2020, future amortization scheduled to be expensed is as follows: Years ending December 31, 2020 (six months) $ 6,173,120 2021 9,790,704 2022 7,716,583 2023 5,269,929 2024 1,192,701 Thereafter 1,650,000 Total $ 31,793,037

Net Loss Per Common Share (Tabl

Net Loss Per Common Share (Tables)	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Schedule of Losses Per Share, Basic and Diluted	The following table reconciles the weighted-average shares outstanding for basic and diluted net loss per share for the three and six months ended June 30, 2020 and 2019: Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Basic and Diluted: Net loss attributable to common shareholders $ (8,069,422 ) $ (2,257,678 ) $ (13,214,109 ) $ (4,046,069 ) Weighted-average common shares used to compute basic and diluted loss per share 12,395,197 12,022,143 12,353,007 11,984,284 Net loss attributable to common shareholders per share - Basic and Diluted $ (0.65 ) $ (0.19 ) $ (1.07 ) $ (0.34 )

Leases (Tables)

Leases (Tables)	6 Months Ended
	Jun. 30, 2020
Leases [Abstract]
Schedule of Lease Expense	The components of lease expense were as follows: Three Months Ended Six Months Ended 2020 2019 2020 2019 Operating lease cost $ 834,950 $ 639,393 $ 1,634,486 $ 1,104,621 Short-term lease cost 941 32,425 $ 10,310 137,976 Variable lease cost 2,062 12,450 $ 15,534 19,033 Total- net lease cost $ 837,953 $ 684,268 $ 1,660,330 $ 1,261,630
Schedule of Supplemental Balance Sheet Information Related to Leases	Supplemental balance sheet information related to leases was as follows: June 30, 2020 December 31, 2019 Operating leases: Operating lease ROU assets, net $ 8,358,549 $ 3,526,315 Current operating lease liabilities $ 4,689,790 $ 1,688,772 Non-current operating lease liabilities 7,592,536 2,040,772 Total operating lease liabilities $ 12,282,326 $ 3,729,544 Operating leases: ROU assets $ 9,724,984 $ 5,467,749 Asset lease expense (1,337,677 ) (1,888,443 ) Foreign exchange loss (28,758 ) (52,991 ) ROU assets, net $ 8,358,549 $ 3,526,315 Weighted average remaining lease term (in years): Operating leases 2.81 2.46 Weighted average discount rate: Operating leases 6.80 % 7.05 %
Schedule of Supplemental Cash Flow and Other Information Related to Leases	Supplemental cash flow and other information related to leases was as follows: Three Months Ended Six Months Ended 2020 2019 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 763,733 $ 646,824 $ 1,443,066 $ 1,124,884 ROU assets obtained in exchange for lease liabilities: Operating leases, net of impairment and terminations $ 2,646,511 $ 1,453,751 $ 6,263,898 $ 1,634,041
Schedule of Maturities of Lease Liabilities	Maturities of lease liabilities are as follows: Operating leases - Year ending December 31, 2020 (six months) $ 2,788,605 2021 4,908,064 2022 3,818,759 2023 1,617,221 2024 288,327 2025 54,948 Total lease payments 13,475,924 Less: imputed interest (1,193,598 ) Total lease obligations 12,282,326 Less: current obligations (4,689,790 ) Long-term lease obligations $ 7,592,536

Revenue (Tables)

Revenue (Tables)	6 Months Ended
	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
Schedule of Disaggregation of Revenue	The following table represents a disaggregation of revenue for the three and six months ended June 30: Three Months Ended Six Months Ended 2020 2019 2020 2019 Healthcare IT: Revenue cycle management services $ 11,364,851 $ 11,366,628 $ 24,554,814 $ 21,883,468 SaaS solutions 3,757,078 66,055 7,370,592 106,657 Professional services 397,547 383,336 788,975 718,771 Ancillary services 831,244 930,181 1,552,606 1,429,277 Group purchasing services 189,456 205,066 366,008 405,113 Printing and mailing services 323,827 358,440 752,705 750,100 Clearinghouse and EDI services 262,207 150,869 581,374 286,933 Practice Management: Practice management services 2,452,580 3,288,924 5,478,884 6,249,391 Total $ 19,578,790 $ 16,749,499 $ 41,445,958 $ 31,829,710
Schedule of Accounts Receivable, Contract Asset and Deferred Revenue	The opening and closing balances of the Company’s accounts receivable, contract asset and deferred revenue are as follows for the six months ended June 30, 2020 and 2019: Accounts Contract Deferred Deferred Revenue Balance as of January 1, 2020 $ 6,995,343 $ 2,385,334 $ 20,277 $ 18,745 CareCloud acquisition 2,298,716 537,722 - 269,250 Meridian acquisition 3,800,037 881,111 907,077 - (Decrease) increase, net (1,888,242 ) (376,335 ) 82,207 (81,274 ) Balance as of June 30, 2020 $ 11,205,854 $ 3,427,832 $ 1,009,561 $ 206,721 Balance as of January 1, 2019 $ 7,331,474 $ 2,608,631 $ 25,355 $ 18,949 ETM acquisition - 139,169 - - Increase (decrease), net 187,466 (274,129 ) (9,130 ) (589 ) Balance as of June 30, 2019 $ 7,518,940 $ 2,473,671 $ 16,225 $ 18,360

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2020
Share-based Payment Arrangement [Abstract]
Schedule of Share-based Compensation, Restricted Stock Units Award Activity	The following table summarizes the RSU transactions related to the common and preferred stock under the Equity Incentive Plan for the six months ended June 30, 2020 and 2019: Common Stock Preferred Stock Outstanding and unvested shares at January 1, 2020 451,085 44,000 Granted 618,879 44,000 Vested (326,996 ) (44,000 ) Forfeited (50,896 ) - Outstanding and unvested shares at June 30, 2020 692,072 44,000 Outstanding and unvested shares at January 1, 2019 929,347 44,800 Granted 5,000 44,000 Vested (319,813 ) (44,800 ) Forfeited (12,120 ) - Outstanding and unvested shares at June 30, 2019 602,414 44,000
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs	The following table summarizes the components of share-based compensation expense for the three and six months ended June 30, 2020 and 2019: Stock-based compensation included in the Three Months Ended June 30, Six Months Ended June 30, consolidated statements of operations: 2020 2019 2020 2019 Direct operating costs $ 258,653 $ 46,207 $ 429,154 $ 96,858 General and administrative 1,217,298 711,050 2,068,767 1,407,471 Research and development 177,768 4,353 254,117 9,834 Selling and marketing 226,987 31,053 435,970 36,025 Total stock-based compensation expense $ 1,880,706 $ 792,663 $ 3,188,008 $ 1,550,188

Fair Value of Financial Instr_2

Fair Value of Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation	The following table provides a reconciliation of the beginning and ending balances for the contingent consideration measured at fair value using significant unobservable inputs (Level 3): Fair Value Measurement at Reporting Date Using Significant Unobservable Inputs, Level 3 Six Months Ended June 30, 2020 2019 Balance - January 1, $ - $ 526,432 Acquisition 1,000,000 - Change in fair value - (64,203 ) Payments - (182,664 ) Balance - June 30, $ 1,000,000 $ 279,565

Segment Reporting (Tables)

Segment Reporting (Tables)	6 Months Ended
	Jun. 30, 2020
Segment Reporting [Abstract]
Schedule of Revenues, Operating Expenses and Operating Income (Loss) by Reportable Segment	The following tables present revenues, operating expenses and operating (loss) income by reportable segment: Six Months Ended June 30, 2020 Healthcare IT Practice Management Unallocated Corporate Expenses Total Net revenue $ 35,967,075 $ 5,478,883 $ - $ 41,445,958 Operating expenses: Direct operating costs 21,926,644 4,196,760 - 26,123,404 Selling and marketing 3,189,461 16,937 - 3,206,398 General and administrative 6,894,125 1,024,695 3,066,762 10,985,582 Research and development 4,479,451 - - 4,479,451 Depreciation and amortization 3,578,708 158,993 - 3,737,701 Impairment and unoccupied lease charges 360,826 - - 360,826 Total operating expenses 40,429,215 5,397,385 3,066,762 48,893,362 Operating (loss) income $ (4,462,140 ) $ 81,498 $ (3,066,762 ) $ (7,447,404 ) Three Months Ended June 30, 2020 Healthcare IT Practice Management Unallocated Corporate Expenses Total Net revenue $ 17,126,211 $ 2,452,579 $ - $ 19,578,790 Operating expenses: Direct operating costs 10,760,718 1,795,956 - 12,556,674 Selling and marketing 1,616,689 8,356 - 1,625,045 General and administrative 3,013,903 468,187 1,910,767 5,392,857 Research and development 2,146,325 - - 2,146,325 Depreciation and amortization 2,325,418 79,497 - 2,404,915 Impairment and unoccupied lease charges 63,175 - - 63,175 Total operating expenses 19,926,228 2,351,996 1,910,767 24,188,991 Operating (loss) income $ (2,800,017 ) $ 100,583 $ (1,910,767 ) $ (4,610,201 ) Six Months Ended June 30, 2019 Healthcare IT Practice Management Unallocated Corporate Expenses Total Net revenue $ 25,580,319 $ 6,249,391 $ - $ 31,829,710 Operating expenses: Direct operating costs 16,403,912 4,840,023 - 21,243,935 Selling and marketing 726,147 17,809 - 743,956 General and administrative 5,757,549 955,760 2,592,521 9,305,830 Research and development 473,064 - - 473,064 Change in contingent consideration (64,203 ) - - (64,203 ) Depreciation and amortization 1,435,071 157,830 - 1,592,901 Total operating expenses 24,731,540 5,971,422 2,592,521 33,295,483 Operating income (loss) $ 848,779 $ 277,969 $ (2,592,521 ) $ (1,465,773 ) Three Months Ended June 30, 2019 Healthcare IT Practice Management Unallocated Corporate Expenses Total Net revenue $ 13,460,575 $ 3,288,924 $ - $ 16,749,499 Operating expenses: Direct operating costs 8,929,458 2,466,937 - 11,396,395 Selling and marketing 374,196 8,361 - 382,557 General and administrative 3,295,146 559,390 1,289,218 5,143,754 Research and development 218,408 - - 218,408 Depreciation and amortization 757,084 79,077 - 836,161 Total operating expenses 13,574,292 3,113,765 1,289,218 17,977,275 Operating (loss) income $ (113,717 ) $ 175,159 $ (1,289,218 ) $ (1,227,776 )

Organization and Business (Deta

Organization and Business (Details Narrative)	Dec. 31, 2004
Executive Chairman [Member]
Equity method investment, ownership percentage in majority-owned subsidiary based in Pakistan	0.01%
MTBC Private Limited [Member]
Equity method investment, ownership percentage in majority-owned subsidiary based in Pakistan	99.90%

Acquisitions (Details Narrative

Acquisitions (Details Narrative) - USD ($)	Jun. 16, 2020	Jan. 08, 2020	Apr. 03, 2019	Jul. 31, 2020	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Accrued dividends on preferred stock					$ 3,276,917	$ 1,486,706	$ 5,919,833	$ 2,979,406
Purchase price amount							816,538	904,220
Revenue					26,286,000	$ 38,055,000	59,654,000	$ 75,847,000
Meridian Acquisition [Member]
Revenue					6,700,000		18,300,000
Etransmedia Acquisition [Member]
Revenue earned from acquisition					993,000		2,200,000
Stock Purchase Agreement [Member]
Cash	$ 11,900,000
Warrants to purchase	2,250,000
Warrants exercise price	$ 7.50
Warrants term	2 years
Stock Purchase Agreement [Member] | Meridian Acquisition [Member]
Revenue earned from acquisition					1,300,000		1,300,000
Stock Purchase Agreement [Member] | Preferred Stock [Member]
Number of shares issued	200,000
Aggregate value of warrants	$ 4,800,000
Shares held in escrow	100,000
Merger Agreement [Member]
Cash		$ 11,900,000
Shares held in escrow		160,000
Working capital deficiency		$ 5,100,000
Revenues earn-out payment, description		The Merger Agreement provides that if CareCloud's 2020 revenues exceed $36 million, there will be an earn-out payment to the seller equal to such excess, up to $3 million.
Shares held in escrow, term		24 months
Additional shares held in escrow		100,000
Additional shares held in escrow, term		18 months
Merger Agreement [Member] | Subsequent Event [Member]
Shares released from escrow				55,726
Accrued dividends on preferred stock				$ 102,166
Merger Agreement [Member] | CareCloud Acquisition [Member]
Revenue earned from acquisition					$ 7,500,000		$ 15,100,000
Merger Agreement [Member] | Preferred Stock [Member]
Number of shares issued		760,000
Merger Agreement [Member] | Warrants [Member]
Warrants to purchase		2,000,000
Merger Agreement [Member] | Common Stock [Member]
Warrants to purchase		1,000,000
Warrants exercise price		$ 7.50
Warrants term		2 years
Merger Agreement [Member] | Other Warrants [Member]
Warrants to purchase		1,000,000
Warrants exercise price		$ 10
Warrants term		3 years
Asset Purchase Agreement [Member]
Purchase price amount			$ 1,600,000
Acquisition-related costs			$ 125,000
Period over which goodwill is deductible for income tax purposes			15 years
Weighted-average amortization period of acquired intangible assets			3 years

Acquisitions - Summary of Total

Acquisitions - Summary of Total Consideration on Business Consideration (Details) - USD ($)	Jun. 16, 2020	Jan. 08, 2020
Meridian Acquisition [Member]
Cash	$ 11,863,724
Preferred stock	5,000,000
Warrants	4,770,000
Total purchase price	$ 21,633,724
CareCloud Acquisition [Member]
Cash		$ 11,852,526
Preferred stock		19,000,000
Warrants		300,000
Contingent consideration		1,000,000
Total purchase price		$ 32,152,526

Acquisitions - Schedule of Asse

Acquisitions - Schedule of Assets Acquired and Liabilities Assumed (Details) - USD ($)	Jun. 30, 2020	Jun. 16, 2020	Jan. 08, 2020	Dec. 31, 2019	Apr. 03, 2019
Goodwill	$ 49,708,210			$ 12,633,696
Meridian Acquisition [Member]
Accounts receivable		$ 3,800,037
Prepaid expenses		703,732
Contract asset		881,111
Property and equipment		425,993
Operating lease right-of-use assets		2,805,993
Customer relationships		11,900,000
Technology		900,000
Goodwill		14,206,436
Accounts payable		(3,373,212)
Accrued expenses & compensation		(3,591,380)
Operating lease liabilities		(6,054,659)
Deferred revenue		(907,077)
Other current liabilities		(63,250)
Total preliminary purchase price allocation		$ 21,633,724
CareCloud Acquisition [Member]
Accounts receivable			$ 2,298,716
Prepaid expenses			1,277,990
Contract asset			537,722
Property and equipment			402,970
Operating lease right-of-use assets			2,858,626
Customer relationships			8,000,000
Trademark			800,000
Software			4,800,000
Goodwill			22,868,078
Other long term assets			539,560
Accounts payable			(6,942,710)
Accrued expenses & compensation			(2,080,977)
Current loan payable			(79,655)
Operating lease liabilities			(2,858,544)
Deferred revenue			(269,250)
Total preliminary purchase price allocation			$ 32,152,526
2019 Acquisition [Member]
Accounts receivable					$ 547,377
Contract asset					139,169
Property and equipment					91,277
Operating lease right-of-use assets					1,224,480
Customer relationships					856,000
Goodwill					39,901
Accrued expenses & compensation					(73,724)
Operating lease liabilities					(1,224,480)
Total preliminary purchase price allocation					$ 1,600,000

Acquisitions - Schedule of Busi

Acquisitions - Schedule of Business Acquisition, Pro Forma Information (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Business Combinations [Abstract]
Total revenue	$ 26,286,000	$ 38,055,000	$ 59,654,000	$ 75,847,000
Net loss	(6,472,000)	(6,949,000)	(9,702,000)	(17,749,000)
Net loss attributable to common shareholders	$ (9,749,000)	$ (8,436,000)	$ (15,622,000)	$ (20,728,000)
Net loss per common share	$ (0.79)	$ (0.70)	$ (1.26)	$ (1.73)

Goodwill and Intangible Asset_3

Goodwill and Intangible Assets-Net (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization expenses	$ 2,100,000	$ 612,000	$ 3,200,000	$ 1,200,000
Weighted-average amortization period			4 years 1 month 6 days

Goodwill and Intangible Asset_4

Goodwill and Intangible Assets-Net - Schedule of Intangible Assets and Goodwill (Details) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Beginning gross balance	$ 12,633,696	$ 12,593,795
Acquisitions	37,074,514	39,901
Ending gross balance	$ 49,708,210	$ 12,633,696

Goodwill and Intangible Asset_5

Goodwill and Intangible Assets-Net - Schedule of Finite-Lived Intangible Assets (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Finite-Lived Intangible Assets [Line Items]
Total intangible assets	$ 55,821,805	$ 26,861,147
Less: Accumulated amortization	24,028,768	20,883,922
Intangible assets - net	31,793,037	5,977,225
Contracts and Relationship Acquired [Member]
Finite-Lived Intangible Assets [Line Items]
Total intangible assets	43,497,300	23,597,300
Capitalized Software [Member]
Finite-Lived Intangible Assets [Line Items]
Total intangible assets	7,824,576	538,012
Non-Compete Agreements [Member]
Finite-Lived Intangible Assets [Line Items]
Total intangible assets	1,236,377	1,236,377
Other Intangible Assets [Member]
Finite-Lived Intangible Assets [Line Items]
Total intangible assets	$ 3,263,552	$ 1,489,458

Goodwill and Intangible Asset_6

Goodwill and Intangible Assets-Net - Schedule of Finite-Lived Intangible Assets, Future Amortization Expense (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
2020 (six months)	$ 6,173,120
2021	9,790,704
2022	7,716,583
2023	5,269,929
2024	1,192,701
Thereafter	1,650,000
Total	$ 31,793,037	$ 5,977,225

Net Loss Per Common Share (Deta

Net Loss Per Common Share (Details Narrative)	6 Months Ended
	Jun. 30, 2020shares
Opus Bank [Member]
Antidilutive securities excluded from computation of earning per share, warrants	200,000
Silicon Valley Bank [Member]
Antidilutive securities excluded from computation of earning per share, warrants	153,489
CareCloud Acquisition [Member]
Antidilutive securities excluded from computation of earning per share, warrants	2,000,000
Meridian Acquisition [Member]
Antidilutive securities excluded from computation of earning per share, warrants	2,250,000

Net Loss Per Common Share - Sch

Net Loss Per Common Share - Schedule of Losses Per Share, Basic and Diluted (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Earnings Per Share [Abstract]
Net loss attributable to common shareholders	$ (8,069,422)	$ (2,257,678)	$ (13,214,109)	$ (4,046,069)
Weighted-average common shares used to compute basic and diluted loss per share	12,395,197	12,022,143	12,353,007	11,984,284
Net loss attributable to common shareholders per share - Basic and Diluted	$ (0.65)	$ (0.19)	$ (1.07)	$ (0.34)

Debt (Details Narrative)

Debt (Details Narrative) - USD ($)	1 Months Ended
	Oct. 31, 2017	Jun. 30, 2020	Dec. 31, 2019	Dec. 31, 2018
Insurance Financing [Member]
Debt instrument interest rate		4.52%
SVB Credit Facility [Member]
Secured revolving line of credit percentage	200.00%
Borrowing credit facility		$ 9,750,000
Unused portion of credit line fee, percentage	1.00%
Unused portion of credit line fee percentage, description	There is also a fee of one-half of 1% annually for the unused portion of the credit line.
Percentage of shares in offshore facilities secured for SVB credit line	65.00%
SVB Credit Facility [Member] | Prime Rate [Member]
Revolving line of credit, interest rate	1.50%
SVB Credit Facility [Member] | Prime Rate [Member] | Minimum [Member]
Revolving line of credit, interest rate	6.50%
SVB Credit Facility [Member] | Old [Member]
Revision of borrowing limit from SVB Bank				$ 5,000,000
SVB Credit Facility [Member] | New [Member]
Revision of borrowing limit from SVB Bank				$ 10,000,000

Leases (Details Narrative)

Leases (Details Narrative)	6 Months Ended
	Jun. 30, 2020USD ($)Integer
Lease term, description	Leases with a term of less than 12 months are not recorded in the condensed consolidated balance sheet.
Lease impairment	$ 361,000
Number of operating lease | Integer	1
Operating lease commitment	$ 31,000
Minimum [Member]
Operating lease term	1 year
Maximum [Member]
Operating lease term	5 years

Leases - Schedule of Lease Expe

Leases - Schedule of Lease Expense (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Leases [Abstract]
Operating lease cost	$ 834,950	$ 639,393	$ 1,634,486	$ 1,104,621
Short-term lease cost	941	32,425	10,310	137,976
Variable lease cost	2,062	12,450	15,534	19,033
Total- net lease cost	$ 837,953	$ 684,268	$ 1,660,330	$ 1,261,630

Leases - Schedule of Supplement

Leases - Schedule of Supplemental Balance Sheet Information Related to Leases (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Leases [Abstract]
Operating lease ROU assets, net	$ 8,358,549	$ 3,526,315
Current operating lease liabilities	4,689,790	1,688,772
Non-current operating lease liabilities	7,592,536	2,040,772
Total operating lease liabilities	12,282,326	3,729,544
ROU assets	9,724,984	5,467,749
Asset lease expense	(1,337,677)	(1,888,443)
Foreign exchange loss	(28,758)	(52,991)
ROU assets, net	$ 8,358,549	$ 3,526,315
Weighted average remaining lease term (in years): Operating leases	2 years 9 months 22 days	2 years 5 months 16 days
Weighted average discount rate: Operating leases	6.80%	7.05%

Leases - Schedule of Suppleme_2

Leases - Schedule of Supplemental Cash Flow and Other Information Related to Leases (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Leases [Abstract]
Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases	$ 763,733	$ 646,824	$ 1,443,066	$ 1,124,884
ROU assets obtained in exchange for lease liabilities: Operating leases, net of impairment and terminations	$ 2,646,511	$ 1,453,751	$ 6,263,898	$ 1,634,041

Leases - Schedule of Maturities

Leases - Schedule of Maturities of Lease Liabilities (Details) - USD ($)	Jun. 30, 2020	Dec. 31, 2019
Leases [Abstract]
2020 (six months)	$ 2,788,605
2021	4,908,064
2022	3,818,759
2023	1,617,221
2024	288,327
2025	54,948
Total lease payments	13,475,924
Less: imputed interest	(1,193,598)
Total lease obligations	12,282,326	$ 3,729,544
Less: current obligations	(4,689,790)	(1,688,772)
Long-term lease obligations	$ 7,592,536	$ 2,040,772

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative)	May 30, 2018USD ($)
Commitments and Contingencies Disclosure [Abstract]
Compensatory damages description	RPRWC seeks compensatory damages of $6.6 million, plus costs, for MPMA's alleged breach of the billing services agreement.
Compensatory damages	$ 6,600,000

Related Parties (Details Narrat

Related Parties (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Net revenue	$ 19,578,790	$ 16,749,499	$ 41,445,958	$ 31,829,710
Upgradation lease facilities	837,953	684,268	1,660,330	1,261,630
Operating lease right-of-use assets	8,358,549		8,358,549		$ 3,526,315
Operating lease liability (current portion)	4,689,790		4,689,790		1,688,772
Non-current operating lease liabilities	7,592,536		7,592,536		2,040,772
Related Party Leases [Member]
Operating lease right-of-use assets	418,000		418,000		566,000
Operating lease liability (current portion)	263,000		263,000		275,000
Non-current operating lease liabilities	164,000		$ 164,000		298,000
Nonexclusive Aircraft Dry Lease Agreement [Member]
Original lease expired			Mar. 31, 2019
Nonexclusive Aircraft Dry Lease Agreement [Member] | Kashmir Air, Inc [Member]
Operating leases, rent expense	32,000	32,000	$ 73,000	64,000
Accrued liability to related party	1,000		1,000		1,000
Physician [Member]
Net revenue	2,000	5,000	7,000	9,000
Receivable balance due from customer	1,000		1,000		2,000
Executive Chairman [Member]
Operating leases, rent expense	46,000	$ 46,000	93,000	$ 94,000
Upgradation lease facilities			62,000
Security deposit	13,000		13,000		13,000
Prepaid rent	$ 13,000		$ 13,000		$ 13,000

Revenue (Details Narrative)

Revenue (Details Narrative) - USD ($)	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Contract asset represents revenue earned, not paid from group purchasing services	$ 3,400,000		$ 2,500,000
Deferred commissions	836,000	$ 60,000
Revenue Cycle Management and Orion Acquisition [Member]
Remaining performance obligations	$ 3,100,000
Orion Acquisition [Member]
Estimated recognition period for remaining performance obligations	3 months
Contract asset represents revenue earned, not paid from group purchasing services	$ 376,000

Revenue - Schedule of Disaggreg

Revenue - Schedule of Disaggregation of Revenue (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Total	$ 19,578,790	$ 16,749,499	$ 41,445,958	$ 31,829,710
Healthcare IT [Member]
Total	17,126,211	13,460,575	35,967,075	25,580,319
Healthcare IT [Member] | Revenue Cycle Management Services [Member]
Total	11,364,851	11,366,628	24,554,814	21,883,468
Healthcare IT [Member] | SaaS Solutions [Member]
Total	3,757,078	66,055	7,370,592	106,657
Healthcare IT [Member] | Professional Services [Member]
Total	397,547	383,336	788,975	718,771
Healthcare IT [Member] | Ancillary Services [Member]
Total	831,244	930,181	1,552,606	1,429,277
Healthcare IT [Member] | Group Purchasing Services [Member]
Total	189,456	205,066	366,008	405,113
Healthcare IT [Member] | Printing and Mailing Services [Member]
Total	323,827	358,440	752,705	750,100
Healthcare IT [Member] | Clearinghouse and EDI Services [Member]
Total	262,207	150,869	581,374	286,933
Practice Management [Member]
Total	2,452,579	3,288,924	5,478,883	6,249,391
Practice Management [Member] | Practice Management Services [Member]
Total	$ 2,452,580	$ 3,288,924	$ 5,478,884	$ 6,249,391

Revenue - Schedule of Accounts

Revenue - Schedule of Accounts Receivable, Contract Asset and Deferred Revenue (Details) - USD ($)	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Beginning balance	$ 31,002,135
Ending balance	30,999,471
Deferred Revenue (Current) [Member]
Beginning balance	20,277	$ 25,355
CareCloud acquisition
Meridian acquisition	907,077
ETM acquisition
(Decrease) increase, net	82,207	(9,130)
Ending balance	1,009,561	16,225
Deferred Revenue (Long Term) [Member]
Beginning balance	18,745	18,949
CareCloud acquisition	269,250
Meridian acquisition
ETM acquisition
(Decrease) increase, net	(81,274)	(589)
Ending balance	206,721	18,360
Accounts Receivable Net [Member]
Beginning balance	6,995,343	7,331,474
CareCloud acquisition	2,298,716
Meridian acquisition	3,800,037
ETM acquisition
(Decrease) increase, net	(1,888,242)	187,466
Ending balance	11,205,854	7,518,940
Contract Asset [Member]
Beginning balance	2,385,334	2,608,631
CareCloud acquisition	537,722
Meridian acquisition	881,111
ETM acquisition		139,169
(Decrease) increase, net	(376,335)	(274,129)
Ending balance	$ 3,427,832	$ 2,473,671

Stock-based Compensation (Detai

Stock-based Compensation (Details Narrative) - USD ($)	1 Months Ended	12 Months Ended
	May 31, 2020	Dec. 31, 2018	Dec. 31, 2017	Jun. 30, 2020	Dec. 31, 2019	Jun. 30, 2019	Apr. 30, 2014
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Liability for cash settled amount				$ 742,000	$ 741,000
Accrued compensation				$ 742,000	$ 741,000
Common Stock [Member] | Restricted Shares [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Number of shares available for grant		929,347		692,072	451,085	602,414
Preferred Stock [Member] | Restricted Shares [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Number of shares available for grant		44,800		44,000	44,000	44,000
Unrecognized compensation				$ 600,000
Unvested stock option award, equity				678,572
Restricted stock award classified as liability				13,500
2014 Equity Incentive Plan [Member] | Employees, Officers. Directors and Consultants [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Share-based compensation arrangement by share-based payment award, number of shares authorized							1,351,000
Amended and Restated Equity Incentive Plan [Member] | Common Stock [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Number of shares added to amended and restated equity incentive plan	2,000,000		1,500,000
Number of shares available for grant				1,733,756
Amended and Restated Equity Incentive Plan [Member] | Preferred Stock [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Number of shares added to amended and restated equity incentive plan	300,000	200,000	100,000
Number of shares available for grant				380,354

Stock-based Compensation - Sche

Stock-based Compensation - Schedule of Share-based Compensation, Restricted Stock Units Award Activity (Details) - Restricted Shares [Member] - shares	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Common Stock [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Shares available for grant, beginning	451,085	929,347
RSUs granted	618,879	5,000
RSUs Vested	(326,996)	(319,813)
RSUs forfeited	(50,896)	(12,120)
Shares available for grant, ending	692,072	602,414
Preferred Stock [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Shares available for grant, beginning	44,000	44,800
RSUs granted	44,000	44,000
RSUs Vested	(44,000)	(44,800)
RSUs forfeited
Shares available for grant, ending	44,000	44,000

Stock-Based Compensation - Sc_2

Stock-Based Compensation - Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 1,880,706	$ 792,663	$ 3,188,008	$ 1,550,188
Direct Operating Costs [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	258,653	46,207	429,154	96,858
General and Administrative [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	1,217,298	711,050	2,068,767	1,407,471
Research and Development [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	177,768	4,353	254,117	9,834
Selling and Marketing [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 226,987	$ 31,053	$ 435,970	$ 36,025

Income Taxes (Details Narrative

Income Taxes (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Income tax benefit	$ (74,338)	$ 55,352	$ (44,415)	$ 14,820
Current tax expense	41,000		56,000
Deferred tax benefit	$ 115,000		$ (100,000)	$ (15,180)
Threshold deductible interest expenses, description			The ability to carry back net operating losses incurred from tax years 2018 through 2020 up to the five preceding tax years.
Maximum [Member]
Threshold deductible interest expenses period			39 years
Minimum [Member]
Threshold deductible interest expenses period			15 years

Fair Value of Financial Instr_3

Fair Value of Financial Instruments (Details Narrative) - USD ($)	Jun. 30, 2020	Jun. 30, 2019
Fair Value, Input, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Contingent consideration	$ 1,000,000	$ 280,000

Fair Value of Financial Instr_4

Fair Value of Financial Instruments - Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation (Details) - Fair Value, Input, Level 3 [Member] - USD ($)	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Balance, beginning		$ 526,432
Acquisition	1,000,000
Change in fair value		(64,203)
Payments		(182,664)
Balance, ending	$ 1,000,000	$ 279,565

Segment Reporting (Details Narr

Segment Reporting (Details Narrative)	6 Months Ended
	Jun. 30, 2020Segment
Segment Reporting [Abstract]
Number of operating segment	2

Segment Reporting - Schedule of

Segment Reporting - Schedule of Revenues, Operating Expenses and Operating Income (Loss) by Reportable Segment (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Net revenue	$ 19,578,790	$ 16,749,499	$ 41,445,958	$ 31,829,710
Direct operating costs	12,556,674	11,396,395	26,123,404	21,243,935
Selling and marketing	1,625,045	382,557	3,206,398	743,956
General and administrative	5,392,857	5,143,754	10,985,582	9,305,830
Research and development	2,146,325	218,408	4,479,451	473,064
Depreciation and amortization	2,404,915	836,161	3,737,701	1,592,901
Impairment and unoccupied lease charges	63,175		360,826
Change in contingent consideration				(64,203)
Total operating expenses	24,188,991	17,977,275	48,893,362	33,295,483
Operating income (loss)	(4,610,201)	(1,227,776)	(7,447,404)	(1,465,773)
Healthcare IT [Member]
Net revenue	17,126,211	13,460,575	35,967,075	25,580,319
Direct operating costs	10,760,718	8,929,458	21,926,644	16,403,912
Selling and marketing	1,616,689	374,196	3,189,461	726,147
General and administrative	3,013,903	3,295,146	6,894,125	5,757,549
Research and development	2,146,325	218,408	4,479,451	473,064
Depreciation and amortization	2,325,418	757,084	3,578,708	1,435,071
Impairment and unoccupied lease charges	63,175		360,826
Change in contingent consideration				(64,203)
Total operating expenses	19,926,228	13,574,292	40,429,215	24,731,540
Operating income (loss)	(2,800,017)	(113,717)	(4,462,140)	848,779
Practice Management [Member]
Net revenue	2,452,579	3,288,924	5,478,883	6,249,391
Direct operating costs	1,795,956	2,466,937	4,196,760	4,840,023
Selling and marketing	8,356	8,361	16,937	17,809
General and administrative	468,187	559,390	1,024,695	955,760
Research and development
Depreciation and amortization	79,497	79,077	158,993	157,830
Impairment and unoccupied lease charges
Change in contingent consideration
Total operating expenses	2,351,996	3,113,765	5,397,385	5,971,422
Operating income (loss)	100,583	175,159	81,498	277,969
Unallocated Corporate Expenses [Member]
Net revenue
Direct operating costs
Selling and marketing
General and administrative	1,910,767	1,289,218	3,066,762	2,592,521
Research and development
Depreciation and amortization
Impairment and unoccupied lease charges
Change in contingent consideration
Total operating expenses	1,910,767	1,289,218	3,066,762	2,592,521
Operating income (loss)	$ (1,910,767)	$ (1,289,218)	$ (3,066,762)	$ (2,592,521)

Subsequent Events (Details Narr

Subsequent Events (Details Narrative) - USD ($)	1 Months Ended	6 Months Ended
	Jul. 31, 2020	Jun. 30, 2020	Jun. 30, 2019
Repayment of line of credit		$ 9,750,000
Subsequent Event [Member] | Series A Preferred Stock [Member]
Sale of stock after issuance expenses	1,104,000
Proceeds from stock after issuance of expenses	$ 25,600,000
Repayment of line of credit	$ 9,750,000