Document and Entity Information
Document and Entity Information - shares | 12 Months Ended | |
Dec. 31, 2015 | Apr. 20, 2016 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | China Customer Relations Centers, Inc. | |
Entity Central Index Key | 1,620,664 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Type | 20-F | |
Document Period End Date | Dec. 31, 2015 | |
Document Fiscal Period Focus | FY | |
Document Fiscal Year Focus | 2,015 | |
Entity Well-known Seasoned Issuer | No | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 18,329,600 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
ASSETS | ||
Cash | $ 13,623,849 | $ 5,097,010 |
Accounts receivable, net | 8,852,024 | 6,819,452 |
Accounts receivable - related party | 353,513 | 373,339 |
Notes receivable, current | 125,687 | 1,157,793 |
Prepayments | 625,876 | 639,861 |
Due from related parties | 675,623 | 763,977 |
Other current assets | 1,128,262 | 1,297,995 |
Total current assets | 25,384,834 | $ 16,149,427 |
Restricted cash | 500,000 | |
Notes receivable, non-current | 970,620 | |
Property and equipment, net | 4,087,832 | $ 3,715,981 |
Other assets | 41,729 | |
Deferred tax assets, non-current | 23,974 | |
Total non-current assets | 5,624,155 | $ 3,715,981 |
Total assets | 31,008,989 | 19,865,408 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||
Accounts payable | 896,841 | 189,089 |
Accrued liabilities and other payables | 2,746,992 | 2,224,301 |
Wages payable | 2,803,294 | 2,041,226 |
Income taxes payable | 1,014,595 | 477,740 |
Short term loans | $ 1,748,479 | 5,567,860 |
Due to related parties | 2,422 | |
Deferred tax liabilities, current | $ 35,273 | 181,482 |
Total current liabilities | $ 9,245,474 | 10,684,120 |
Deferred tax liabilities, non-current | 4,450 | |
Total non-current liabilities | 4,450 | |
Total liabilities | $ 9,245,474 | 10,688,570 |
Shareholders' equity | ||
Common shares, $0.001 par value, 100,000,000 shares authorized, 18,329,600 and 15,929,600 shares issued and outstanding as of December 31, 2015 and 2014, respectively | 18,330 | 15,930 |
Additional paid-in capital | 11,178,774 | 2,684,150 |
Retained earnings | 9,728,228 | 5,460,871 |
Statutory reserves | 1,288,617 | 781,731 |
Accumulated other comprehensive income | (450,434) | 234,156 |
Total shareholders' equity | 21,763,515 | 9,176,838 |
Total liabilities and shareholders' equity | $ 31,008,989 | $ 19,865,408 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2015 | Dec. 31, 2014 |
Consolidated Balance Sheets [Abstract] | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 18,329,600 | 15,929,600 |
Common stock, shares outstanding | 18,329,600 | 15,929,600 |
Consolidated Statements of Inco
Consolidated Statements of Income And Comprehensive Income - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | |||
Revenues, net | $ 59,350,721 | $ 42,661,732 | $ 27,609,436 |
Revenues - related party | 11,407 | 520,869 | |
Total revenues | $ 59,350,721 | 42,673,139 | 28,130,305 |
Cost of revenues | 46,891,617 | 35,188,331 | 23,757,669 |
Gross profit | 12,459,104 | 7,484,808 | 4,372,636 |
Operating expenses: | |||
Selling, general & administrative expenses | 7,250,331 | 5,779,600 | 3,085,437 |
Total operating expenses | 7,250,331 | 5,779,600 | 3,085,437 |
Income from operations | 5,208,773 | 1,705,208 | 1,287,199 |
Interest expense | (278,363) | (552,894) | (468,823) |
Government grants | 1,027,581 | 1,439,186 | 2,714,026 |
Other income | 225,306 | 64,873 | 112,140 |
Other expense | (133,421) | (238,413) | (101,034) |
Total other income | 841,103 | 712,752 | 2,256,309 |
Income before provision for income taxes | 6,049,876 | 2,417,960 | 3,543,508 |
Income tax provision | 1,275,633 | 635,859 | 594,240 |
Net income | 4,774,243 | 1,782,101 | 2,949,268 |
Comprehensive income | |||
Net income | 4,774,243 | 1,782,101 | 2,949,268 |
Other comprehensive income (loss) | |||
Foreign currency translation adjustment | (684,590) | 27,280 | 78,074 |
Total comprehensive income | $ 4,089,653 | $ 1,809,381 | $ 3,027,342 |
Earnings per common share | |||
Basic | $ 0.30 | $ 0.11 | $ 0.19 |
Diluted | $ 0.30 | $ 0.11 | $ 0.19 |
Weighted average common shares outstanding | |||
Basic | 16,015,079 | 15,586,865 | 15,294,800 |
Diluted | 16,015,079 | 15,586,865 | 15,294,800 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) | Total | Common Stock | Additional Paid-in Capital | Statutory Reserves | Retained Earnings | Accumulated Other Comprehensive Income |
Balance at Dec. 31, 2012 | $ 3,007,575 | $ 15,295 | $ 1,352,245 | $ 228,660 | $ 1,282,573 | $ 128,802 |
Balance, Shares at Dec. 31, 2012 | 15,294,800 | |||||
Net income | 2,949,268 | $ 2,949,268 | ||||
Distribution of capital to owners | (3,182,236) | $ (3,182,236) | ||||
Foreign currency translation adjustment | $ 78,074 | $ 78,074 | ||||
Transfer to reserve | $ 305,203 | $ (305,203) | ||||
Balance at Dec. 31, 2013 | $ 2,852,681 | $ 15,295 | $ (1,829,991) | $ 533,863 | 3,926,638 | $ 206,876 |
Balance, Shares at Dec. 31, 2013 | 15,294,800 | |||||
Net income | 1,782,101 | $ 1,782,101 | ||||
Issuance of common shares for cash | 1,174,380 | $ 635 | 1,173,745 | |||
Issuance of common shares for cash, Shares | 634,800 | |||||
Capital contribution from owners | 3,340,396 | $ 3,340,396 | ||||
Foreign currency translation adjustment | $ 27,280 | $ 27,280 | ||||
Transfer to reserve | $ 247,868 | $ (247,868) | ||||
Balance at Dec. 31, 2014 | $ 9,176,838 | $ 15,930 | $ 2,684,150 | $ 781,731 | 5,460,871 | $ 234,156 |
Balance, Shares at Dec. 31, 2014 | 15,929,600 | |||||
Net income | 4,774,243 | $ 4,774,243 | ||||
Issuance of common shares for cash | $ 8,497,024 | $ 2,400 | $ 8,494,624 | |||
Issuance of common shares for cash, Shares | 2,400,000 | |||||
Capital contribution from owners | ||||||
Foreign currency translation adjustment | $ (684,590) | $ (684,590) | ||||
Transfer to reserve | $ 506,886 | $ (506,886) | ||||
Balance at Dec. 31, 2015 | $ 21,763,515 | $ 18,330 | $ 11,178,774 | $ 1,288,617 | $ 9,728,228 | $ (450,434) |
Balance, Shares at Dec. 31, 2015 | 18,329,600 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Cash flows from operating activities | |||
Net income | $ 4,774,243 | $ 1,782,101 | $ 2,949,268 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation | $ 1,340,961 | 1,342,258 | 1,145,348 |
Allowance for doubtful accounts | 145,076 | $ 23,628 | |
Gain on disposal of property and equipment | (11,948) | ||
Deferred income taxes | $ (172,000) | 109,657 | $ 215,748 |
Changes in assets and liabilities: | |||
Accounts receivable | $ (2,499,956) | (3,251,749) | (2,008,418) |
Accounts receivable - related party | (11,407) | 318,861 | |
Due from related parties | $ (114,670) | 468,555 | (2,864) |
Due to related parties | (2,394) | 3,493 | 746 |
Prepayments | (361,006) | (489,918) | (88,972) |
Other current assets | 105,230 | (234,067) | (287,655) |
Accounts payable | 725,435 | 18,998 | (70,675) |
Wage payable | 908,720 | 267,931 | 548,372 |
Income taxes payable | 586,931 | 106,833 | 361,547 |
Accrued liabilities and other payables | 665,277 | 249,914 | 726,485 |
Net cash provided by operating activities | 5,956,771 | 495,727 | 3,831,419 |
Cash flows from investing activities | |||
Purchase of property and equipment | (1,614,696) | $ (965,118) | $ (600,916) |
Change of restricted cash | $ (500,000) | ||
Proceeds from sale of property and equipment | $ 14,363 | ||
Loans to third parties | (132,742) | $ (1,146,919) | |
Repayment from third parties | 130,172 | ||
Advance to related parties | $ (930,536) | (1,986,421) | $ (2,555,137) |
Repayment from related parties | 1,095,087 | 1,633,073 | 3,864,506 |
Net cash used in investing activities | (1,950,145) | (1,306,673) | $ (438,466) |
Cash flows from financing activities | |||
Proceeds from issuances of common shares | $ 8,497,024 | 1,174,380 | |
Capital contribution from owners | 3,340,396 | ||
Distribution of capital to owners | $ (3,182,236) | ||
Proceeds from related parties | 32,543 | 3,517,971 | |
Repayment to related parties | (3,749,916) | (9,574) | |
Proceeds from short term loans | $ 3,800,367 | 7,386,830 | 10,452,451 |
Repayment of short term loans | (7,478,890) | (8,001,883) | (10,775,527) |
Net cash provided by financing activities | 4,818,501 | 182,350 | 3,085 |
Effect of exchange rate changes on cash and cash equivalents | (298,288) | 11,043 | 100,052 |
Net change in cash and cash equivalents | 8,526,839 | (617,553) | 3,496,090 |
Cash and cash equivalents, beginning of the year | 5,097,010 | 5,714,563 | 2,218,473 |
Cash and cash equivalents, end of the year | 13,623,849 | 5,097,010 | 5,714,563 |
Supplemental cash flow information | |||
Interest paid | 278,363 | 552,894 | 468,823 |
Income taxes paid | 915,895 | 490,318 | 17,303 |
Non-cash investing and financing activities | |||
Transfer from prepayments to property and equipment | 405,924 | 289,806 | 232,843 |
Liabilities assumed in connection with purchase of property and equipment | $ 23,900 | $ 68,839 | $ 703,077 |
Organization
Organization | 12 Months Ended |
Dec. 31, 2015 | |
Organization [Abstract] | |
ORGANIZATION | Note 1 – ORGANIZATION China Customer Relations Centers, Inc. (the “Company”), was incorporated on March 6, 2014 under the laws of British Virgin Islands. China BPO Holdings Limited (“CBPO”), the Company’s 100% owned subsidiary, was established in Hong Kong on March 28, 2014 as a limited liability company. Other than the equity interest in CBPO, the Company does not own any material assets or liabilities except for cash and restricted cash as disclosed in the table at page F-10 or conduct any operations. CBPO holds all of the outstanding equity interest in Shandong Juncheng Information Technology Co., Ltd., a company established on August 19, 2014 in the People’s Republic of China (“PRC”) as a wholly foreign owned enterprise (“WFOE”). Other than the equity interest in WFOE, CBPO does not own any material assets or liabilities or conduct any operations. Shandong Taiying Technology Co., Ltd (“Taiying”) was incorporated on December 18, 2007 as a domestic Chinese corporation. Taiying and its thirteen wholly owned subsidiaries are engaged in business process outsourcing (“BPO”), acting as a service provider focusing on the complex voice-based segment of customer care services, including customer relationship management, sales, customer retention, marketing surveys and research for some of China’s big enterprises. The Company does not conduct any substantive operations of its own, rather, it conducts its primary business operations through WFOE, which in turn, conducts its business through Taiying. Effective control over Taiying was transferred to the Company through the series of contractual arrangements without transferring legal ownership in Taiying (“reorganization”). As a result of these contractual arrangements, the Company maintained the ability to approve decisions made by Taiying and was entitled to substantially all of the economic benefits of Taiying. Under the laws and regulations of the PRC, foreign persons and foreign companies are restricted from investing directly in certain businesses within the PRC. Call center businesses are subject to these restrictions on foreign investment. In order to comply with these laws and regulations, on September 3, 2014, Taiying and its sole shareholder, Beijing Taiying Anrui Holding Co., Ltd. (“Beijing Taiying”), entered into an entrusted management agreement with WFOE, which provides that WFOE will be entitled to the full guarantee for the performance of such contracts, agreements or transactions entered into by Taiying. WFOE is also entitled to receive the residual return of Taiying. As a result of the agreement, WFOE will absorb 100% of the expected losses and gains of Taiying. WFOE also entered into a pledge of equity agreement with Taiying’s sole shareholder, Beijing Taiying, who pledged all its equity interest in these entities to WFOE. The pledge of equity agreement, which was entered into by Beijing Taiying, pledged its equity interest in WFOE as a guarantee for the entrustment payment under the Entrusted Management Agreement. The provincial Administration for Industry and Commerce approved and registered such pledge of equity by which WFOE owns the right of pledge legally. In addition, WFOE entered into an option agreement to acquire its sole shareholder’s equity interest in these entities at such times as it may wish to do so. The followings are brief descriptions of contracts entered between WFOE, Taiying and its sole shareholder, Beijing Taiying: (1) Entrusted Management Agreement. (2) Exclusive Option Agreement. (3) Shareholder’s Voting Proxy Agreement. (4) Pledge of Equity Agreement Upon executing the above agreements, Taiying is considered a Variable Interest Entity (“VIE”) and WFOE is the primary beneficiary. Accordingly, Taiying is consolidated into WFOE under the guidance of FASB Accounting Standards Codification (“ASC”) 810, Consolidation. Except for the disclosed above, there are no arrangements that could require the Company to provide financial support to Taiying, including events or circumstances that could expose the Company to a loss. As stated in the disclosure of various agreements between the Company and Taiying, the Company has rights to acquire any portion of the equity interests of Taiying. Also, the Company may allocate its available funds to Taiying for business purposes. There are no fixed terms of such arrangements. Although the structure the Company has adopted is consistent with longstanding industry practice, and is commonly adopted by comparable companies in China, the PRC government may not agree that these arrangements comply with PRC licensing, registration or other regulatory requirements, with existing policies or with requirements or policies that may be adopted in the future. There are uncertainties regarding the interpretation and application of PRC laws and regulations including those that govern the Company’s contractual arrangements, which could limit the Company’s ability to enforce these contractual arrangements. If the Company or any of its variable interest entities are found to be in violation of any existing or future PRC laws, rules or regulations, or fail to obtain or maintain any of the required permits or approvals, the relevant PRC regulatory authorities would have broad discretion to take action in dealing with such violations or failures, including levying fines, revoking business and other licenses of the Company’s variable interest entities, requiring the Company to discontinue or restrict its operations, restricting its right to collect revenue, requiring the Company to restructure its operations or taking other regulatory or enforcement actions against the Company. In addition, it is unclear what impact the PRC government actions would have on the Company and on its ability to consolidate the financial results of its variable interest entities in the consolidated financial statements, if the PRC government authorities were to find the Company’s legal structure and contractual arrangements to be in violation of PRC laws, rules and regulations. If the imposition of any of these government actions causes the Company to lose its right to direct the activities of Taiying and through Taiying’s equity interest in its subsidiaries or the right to receive their economic benefits, the Company would no longer be able to consolidate the Taiying and its subsidiaries. Immediately before and after the reorganization, the shareholder of Taiying controlled Taiying and the Company; therefore, for accounting purposes, the reorganization is accounted for as a transaction of entities under common control. Accordingly, the accompanying consolidated financial statements have been prepared as if the current corporate structure had been in existence throughout the periods presented. As of the filing date, the Company’s subsidiaries and variable interest entities are as follows: Name Date of Place of Percentage of Principal Activities China BPO Holdings Limited, (“CBPO”) March 28, 2014 Hong Kong 100% Holding company of WFOE Shandong Juncheng Information Technology Co., Ltd. (“WFOE”) August 19, 2014 PRC 100% Holding company Shandong Taiying Technology Co., Ltd. (“Taiying”) December 18, 2007 PRC Contractual arrangements (1) BPO service provider principally serves North China Chongqing Central BPO Industry Co., Ltd. (“Central BPO”) January 28, 2010 PRC 100% (2) BPO service provider principally serves South China Jiangsu Taiying Technology Co., Ltd. (“JTTC”) February 25, 2010 PRC 100% (2) BPO service provider which principally serves East China Hebei Taiying Communication BPO Co., Ltd. (“HTCC”) April 20, 2010 PRC 100% (2) BPO service provider which principally serves North China Shandong Central BPO Industry Co., Ltd. (“SCBI”) August 9, 2012 PRC 100% (2) BPO service provider which principally serves North China Shandong Taiying Technology Chongqing Branch Company (“STTCB”) February 22, 2013 PRC 100% (2) BPO service provider principally serves South China Shandong Taiying Technology Guangxi Branch Company (“STTGB”) May 28, 2013 PRC 100% (2) BPO service provider principally serves South China Jiangsu Central Information Service Co., Ltd. (“JCBI”) December 12, 2013 PRC 100% (2) BPO service provider principally serves East China Anhui Taiying Information Technology Co., Ltd. (“ATIT”) December 26, 2013 PRC 100% (2) BPO service provider principally serves East China Jiangsu Taiying Information Service Co., Ltd. (“JTIS”) July 1, 2014 PRC 100% (2) BPO service provider principally serves East China Nanjing Taiying E-Commercial Business Co., Ltd. (“NTEB”) December 25, 2014 PRC 100% (2) BPO service provider principally serves East China Jiangxi Taiying Technology Co., Ltd. (“JXTT”) January 8, 2015 PRC 100% (2) BPO service provider principally serves Southeast China Xinjiang Taiying Technology Co., Ltd (“XTTC”) March 20, 2015 PRC 100% (2) BPO service provider principally serves Northwest, China Beijing Taiying Technology Co., Ltd. (“BTTC”) June 30, 2015 PRC 100% (2) BPO service provider principally serves North, China (1) VIE effectively controlled by WFOE through a series of contractual agreements (2) Wholly-owned subsidiaries of Taiying As of December 31, 2015 and December 31, 2014, the assets and liabilities in the Company’s balance sheets relate to CCRC and CBPO are as follows: December 31, 2015 December 31, 2014 Held by CCRC Held by CBPO Held by CCRC Held by CBPO Assets Cash $ 7,999,771 $ 1,957 $ 588,677 $ 51,956 Restricted cash 500,000 - - - Liabilities Other payables $ 64,534 $ 2,000 $ 15,295 $ 52,000 WOFE does not own any material assets or conduct any operations. As of December 31, 2015 and December 31, 2014, the carrying amount and classification of the assets and liabilities in the Company’s balance sheets that relate to the Company’s VIE and VIE’s subsidiaries is as follows: December 31, 2015 December 31, 2014 ASSETS Cash $ 5,622,121 $ 4,456,377 Accounts receivable 8,852,024 6,819,452 Accounts receivable - related party 353,513 373,339 Notes receivable, current 125,687 1,157,793 Prepayments 625,876 639,861 Due from related parties 675,623 763,977 Other current assets 1,128,262 1,297,995 Total current assets of VIE and its subsidiaries 17,383,106 15,508,794 Notes receivable, non-current 970,620 - Property and equipment, net 4,087,832 3,715,981 Deferred tax assets, non-current 23,974 - Other long term assets 41,729 - Total non-current assets of VIE and its subsidiaries 5,124,155 3,715,981 Total assets of VIE and its subsidiaries $ 22,507,261 $ 19,224,775 LIABILITIES Accounts payable $ 896,841 $ 189,089 Accrued liabilities and other payables 2,682,458 2,157,006 Wages payable 2,803,294 2,041,226 Income taxes payable 1,014,595 477,740 Short term loans 1,748,479 5,567,860 Due to related parties - 2,422 Deferred tax liabilities, current 35,273 181,482 Total current liabilities of VIE and its subsidiaries 9,180,940 10,616,825 Deferred tax liabilities, non-current - 4,450 Total non-current liabilities of VIE and its subsidiaries - 4,450 Total liabilities of VIE and its subsidiaries $ 9,180,940 $ 10,621,275 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Summary of Significant Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | Note 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation and Principles of Consolidation The accompanying audited financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The consolidated financial statements include the accounts of the Company and Taiying, which is a variable interest entity with the Company as the primary beneficiary. In accordance with U.S. GAAP regarding “Consolidation of Variable Interest Entities (VIE)”, the Company identifies entities for which control is achieved through means other than through voting rights, and determines when and which business enterprise, if any, should consolidate the VIE. The Company evaluated its participating interest in Taiying and concluded it is the primary beneficiary of Taiying, a VIE. The Company consolidated Taiying and all significant intercompany transactions and balances have been eliminated. Foreign Currency Translation The accompanying consolidated financial statements are presented in United States dollar (“$”), which is the reporting currency of the Company. The functional currency of China Customer Relations Centers, Inc. and CBPO is United States dollar. The functional currency of the Company’s subsidiary and VIEs located in the PRC is Renminbi (“RMB”). For the subsidiaries whose functional currencies are RMB, results of operations and cash flows are translated at average exchange rates during the period, assets and liabilities are translated at the unified exchange rate at the end of the period, and equity is translated at historical exchange rates. The resulting translation adjustments are included in determining other comprehensive income. Transaction gains and losses are reflected in the consolidated statements of income. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and judgments that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates and judgments on historical experience and on various other assumptions and information that are believed to be reasonable under the circumstances. Estimates and assumptions of future events and their effects cannot be perceived with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as our operating environment changes. Significant estimates and assumptions by management include, among others, useful lives and impairment of long-lived assets, allowance for doubtful accounts, income taxes including the valuation allowance for deferred tax assets. While the Company believes that the estimates and assumptions used in the preparation of the financial statements are appropriate, actual results could differ from those estimates. Estimates and assumptions are periodically reviewed and the effects of revisions are reflected in the financial statements in the period they are determined to be necessary. Cash and Cash Equivalents Cash and cash equivalents include cash on hand and cash in time deposits, certificates of deposit and all highly liquid instruments with original maturities of three months or less. Accounts Receivable Accounts receivable consists principally of amounts due from trade customers. Credit is extended based on an evaluation of the customer’s financial condition and collateral is not generally required. Certain credit sales are made to industries that are subject to cyclical economic changes. The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its clients to make required payments or to cover potential credit losses. Estimates are based on historical collection experience, current trends, credit policy and relationship between accounts receivable and revenues. In determining these estimates, the Company examines historical write-offs of its receivables and reviews each client’s account to identify any specific customer collection issues. Impairment of Long-Lived Assets The Company’s long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Recoverability of an asset to be held and used is measured by a comparison of the carrying amount of the asset to the future undiscounted cash flows expected to be generated by the asset. If such asset is considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the asset exceeds its fair value. Impairment evaluations involve management’s estimates on asset useful lives and future cash flows. Actual useful lives and cash flows could be different from those estimated by management which could have a material effect on our reporting results and financial position. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. Property and Equipment Property and equipment are recorded at cost less accumulated depreciation and include expenditures for additions and major improvements. Significant improvements and betterments are capitalized where it is probable that the expenditure resulted in an increase in the future economic benefits expected to be obtained from the use of the asset beyond its originally assessed standard of performance. Routine repairs and maintenance are expensed when incurred. Gains and losses on disposal of fixed assets are recognized in the income statement based on the net disposal proceeds less the carrying amount of the assets. Certain call center decoration projects were still under construction as of December 31, 2015 and the costs of construction was reported as construction in progress. No provision for depreciation is made on the assets under construction until such time as the relevant assets are completed and ready for their intended use. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. Electronic equipment 3-5 years Furniture & Fixture 5 years Motor vehicles 4 years Computer software 5 years Leasehold improvements 5 years Fair Value of Financial Instruments For certain of the Company’s financial instruments, including cash and cash equivalents, accounts receivable, prepayments, due from related parties, other current assets, accounts payable, due to related parties, and accrued liabilities and other payables, the carrying amounts approximate their fair values due to the short maturities. Lease Commitments The Company has adopted FASB ASC 840. If the lease terms meet one or all of the following four criteria, it will be classified as a capital lease, otherwise, it is an operating lease: (1) The lease transfers the title to the lessee at the end of the term; (2) the lease contains a bargain purchase option; (3) the lease term is equal to 75% of the estimated economic life of the leased property or more; (4) the present value of the minimum lease payment in the term equals or exceeds 90% of the fair value of the leased property. Payments made under operating leases are charged to the consolidated statements of income on a straight-line basis over the lease period. Earnings Per Share Basic earnings per common share is computed by dividing net earnings attributable to common shareholders by the weighted-average number of common shares outstanding during the period. Diluted earnings per share is computed by dividing net income attributable to common shareholders by the sum of the weighted average number of common shares outstanding and dilutive potential common shares during the period. Revenue Recognition The Company recognizes revenue when evidence of an arrangement exists, the delivery of service has occurred, the fee is fixed or determinable and collection is reasonably assured. The Company provides i) inbound call service, which includes directory assistance, mobile phone service plan, billing questions, hotline consultation, complaints, customer feedbacks, customer relationship management, etc., and ii) outbound call service, which includes products selling, marketing surveys, new products informing, plans expiration and bills overdue notification, etc. The BPO inbound and outbound service fees are based on either a per minute, per hour, per transaction or per call basis. For inbound call service, the revenues are recognized in the same period when the service is provided and the actual costs occurred. For outbound call service, certain business successful rate was obtained. The fee is determined on a per-call basis where the Company receives a basic standard fee for each call plus an extra fee for successfully selling a product or completing a survey, etc. Certain client programs provide for adjustments to monthly billings based upon whether the Company achieves, exceeds or fails certain performance criteria. Adjustments to monthly billings consist of contractual bonuses/penalties, holdbacks and other performance based contingencies. Revenue recognition is limited to the amount that is not contingent upon delivery of future services or meeting other specified performance conditions. Government Grants The Company received grants from various government agencies after meeting certain conditions if applicable, such as locating contact centers in their jurisdictions or helping local employment needs. Government grants are recognized when received and all the conditions specified in the grant have been met. Currently the conditions are limited to the two listed above and the Company is not under any obligations under the grant terms after amounts have been received. Income taxes The Company accounts for income taxes under the provision of FASB ASC 740-10, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred income taxes are recognized for the tax consequences in future years of differences between the tax bases of assets and liabilities and their financial reporting amounts at each period end based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized. Concentration of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk are cash and accounts receivable arising from its normal business activities. The Company places its cash in what it believes to be credit-worthy financial institutions. The Company routinely assesses the financial strength of the customer and, based upon factors surrounding the credit risk, establishes an allowance, if required, for uncollectible accounts and, as a consequence, believes that its accounts receivable credit risk exposure beyond such allowance is limited. Related Parties Transactions A related party is generally defined as (i) any person that holds 10% or more of the Company’s securities and their immediate families, (ii) the Company’s management, (iii) someone that directly or indirectly controls, is controlled by or is under common control with the Company, or (iv) anyone who can significantly influence the financial and operating decisions of the Company. A transaction is considered to be a related party transaction when there is a transfer of resources or obligations between related parties. The Company conducts business with its related parties in the ordinary course of business. Related parties may be individuals or corporate entities. Segment Reporting The Company uses the “management approach” in determining reportable operating segments. The management approach considers the internal organization and reporting used by the Company’s chief operating decision maker for making operating decisions and assessing performance as the source for determining the Company’s reportable segments. The Company’s chief operating decision maker has been identified as the chief executive officer of the Company who reviews financial information of separate operating segments based on U.S. GAAP. The chief operating decision maker now reviews results analyzed by customer. This analysis is only presented at the revenue level with no allocation of direct or indirect costs. Consequently, the Company has determined that it has only one operating segment. Recently Issued Accounting Pronouncements In August 2015, the FASB issued ASU 2015-14," Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date In September 2015, the FASB issued ASU 2015-16, " Business Combinations (Topic 805): Simplifying the Accounting for Measurement Period Adjustments In November 2015, the FASB issued ASU 2015-17, " Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes In January 2016, the FASB issued ASU 2016-01, " Financial Instruments Overall (Subtopic 82510): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, " Leases (Topic 842) In March 2016, the FASB issued ASU 2016-08," Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net) In March 2016, the FASB issued ASU 2016-09, “ Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting In April 2016, the FASB issued ASU 2016-10, “ Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing |
Notes Receivable
Notes Receivable | 12 Months Ended |
Dec. 31, 2015 | |
Notes Receivable and Accounts Receivable, Net [Abstract] | |
NOTES RECEIVABLE | Note 3 – NOTES RECEIVABLE The notes receivable includes due on demand interest-free notes to third parties. For the year ended December 31, 2015, the Company did not receive repayment or advance additional notes to the third parties. For the year ended December 31, 2014, the Company received repayments of notes for a total amount of $130,172 from a third party company and a third party individual. In addition, the Company advanced $132,742 to a third party company. For the year ended December 31, 2013, the Company advanced due on demand interest-free notes to a third-party individual and a third party company which amounted to $1,146,919. During the year ended December 31, 2015, a note receivable in the amount of $970,620 (RMB6,300,000) was reclassified into non-current assets as the note is estimated not to be collected within one year. The note was advanced to Chongqing Taiying Industrial Development Co., Ltd. David Wang, shareholder, director and Chief Financial Officer in the Company, owns 5% of the equity interest of Chongqing Taiying Industrial Development Co., Ltd. As of December 31, 2015 and December 31, 2014, the notes receivable balance (including current and non-current portion) was $1,096,307 and $1,157,793, respectively. |
Accounts Receivable, Net
Accounts Receivable, Net | 12 Months Ended |
Dec. 31, 2015 | |
Notes Receivable and Accounts Receivable, Net [Abstract] | |
ACCOUNTS RECEIVABLE, NET | Note 4 – ACCOUNTS RECEIVABLE, NET Accounts receivable, net, consists of the following: December 31, 2015 December 31, 2014 Accounts receivable $ 8,874,559 $ 6,843,251 Less: Allowance for doubtful accounts (22,535 ) (23,799 ) Accounts receivable, net $ 8,852,024 $ 6,819,452 The changes in allowance for doubtful accounts consist of the following: For the Year Ended December 31, 2015 For the Year Ended December 31, 2014 Balance, beginning of the year $ 23,799 $ 28,872 Provision for doubtful accounts - 145,076 Uncollectible receivables written-off - (149,975 ) Translation adjustments (1,264 ) (174 ) Balance, end of the year $ 22,535 $ 23,799 |
Other Current Assets
Other Current Assets | 12 Months Ended |
Dec. 31, 2015 | |
Other Current Assets [Abstract] | |
OTHER CURRENT ASSETS | Note 5 – OTHER CURRENT ASSETS Other current assets consist of other receivables and deposits. Other receivable principally includes advances to employees for business travel or business development purpose and other miscellaneous receivables such utility fees, social insurances, and personal income tax paid in advances on behalf of employees. Deposits include guarantee deposit, rent deposit, and security deposit for bidding customer projects. As of December 31, 2015 and 2014, other current assets consist of the following: December 31, 2015 2014 Other receivables $ 321,430 $ 442,951 Deposits 806,832 855,044 Total other current assets $ 1,128,262 $ 1,297,995 |
Property and Equipment, Net
Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2015 | |
Property and Equipment, Net [Abstract] | |
PROPERTY AND EQUIPMENT, NET | Note 6 – PROPERTY AND EQUIPMENT, NET As of December 31, 2015 and 2014, property and equipment consist of the following: December 31, 2015 December 31, 2014 Electronic equipment $ 5,834,784 $ 4,984,251 Office furniture and equipment 1,358,324 1,415,725 Motor vehicles 624,992 487,336 Construction in progress 464,252 - Computer software 215,085 83,119 Leasehold improvements 1,489,991 1,494,648 Total property and equipment 9,987,428 8,465,079 Accumulated depreciation (5,899,596 ) (4,749,098 ) Property and equipment, net $ 4,087,832 $ 3,715,981 Depreciation expense for the years ended December 31, 2015, 2014 and 2013 was $1,340,961, $1,342,258 and $1,145,348, respectively. |
Deferred Tax Assets and Deferre
Deferred Tax Assets and Deferred Tax Liabilities | 12 Months Ended |
Dec. 31, 2015 | |
Deferred Tax Assets and Deferred Tax Liabilities/Income Taxes [Abstract] | |
DEFERRED TAX ASSETS AND DEFERRED TAX LIABILITIES | Note 7 – DEFERRED TAX ASSETS AND DEFERRED TAX LIABILITIES The components of the deferred tax assets and liabilities are as follows: December 31, 2015 2014 Deferred tax assets, current Allowance for doubtful accounts $ 5,634 $ 5,951 Accrued revenue (net of cost) 49,870 82,729 55,504 88,680 Less: valuation allowance - (62,672 ) 55,504 26,008 Deferred tax assets, non-current Depreciation expense 2,085 2,202 Loss carryforward 25,847 73,065 27,932 75,267 Less: valuation allowance (3,958 ) (57,700 ) 23,974 17,567 Deferred tax liability, current Accrued revenue (net of cost) (90,777 ) (207,490 ) (90,777 ) (207,490 ) Deferred tax liabilities, non-current Depreciation expense - (22,017 ) $ - $ (22,017 ) The Company has net operating losses of $103,390 as of December 31, 2015. If not used, such losses will start expiring from the beginning of 2017. For the purpose of presentation in the consolidated balance sheets, certain deferred income tax assets and liabilities have been offset. The following is the analysis of the deferred income tax balances for financial reporting purpose: December 31, 2015 2014 Deferred tax assets, current $ - $ - Deferred tax assets, non-current 23,974 - Deferred tax liabilities, current (35,273 ) (181,482 ) Deferred tax liabilities, non-current - (4,450 ) |
Short Term Loans
Short Term Loans | 12 Months Ended |
Dec. 31, 2015 | |
Short Term Loans [Abstract] | |
SHORT TERM LOANS | Note 8 – SHORT TERM LOANS Short term loans and related guarantees are comprised of the following: December 31, 2015 December 31, 2014 Guarantee Balance Balance Bank of China, Tainan Branch Taian Development District Taishan Venture Capital Co., Ltd, Gary Wang and Yongjie Yang $ - $ 813,537 Shanghai Pudong Development Bank, Jinan Branch Taian Hongze Investment Guarantee Co., Ltd and Gary Wang - 1,627,075 Industrial Bank Co., Ltd., Taian Branch Taian Development District Taishan Venture Capital Co., Ltd and Gary Wang 1,540,666 1,627,075 China Construction Bank, Yongchuan Branch Chongqing Shuangye Financing Guarantee Co., Ltd, Taiying, Gary Wang and Yongjie Yang - 1,301,660 Subtotal of bank loans $ 1,540,666 $ 5,369,347 The annual interest rates of the short-term bank loans listed above ranged from 6.4% to 9.0%. In addition to the short-term bank loans, the Company also entered into short term loan agreements with other third party individuals and companies for the years ended December 31, 2015, 2014 and 2013. For the year ended December 31, 2015, the Company borrowed $2,192,004 from one third party individual and three third party companies, and repaid an amount of $2,171,291. A loan with an amount of $965,018 was secured by certain fixed assets of Taiying and was charged with a monthly interest rate of 1.67%. The net carrying value of the fixed assets of Taiying pledged for the loan amounted to $2,493,055. As of December 31, 2015, this secured loan has been paid off. All other three loans are unsecured and bear an annual interest rate ranging from 0% to 10%. For the year ended December 31, 2014, the Company borrowed $2,017,122 from two third party individuals and three third party companies, and repaid an amount of $1,818,609. For the year ended December 31, 2013, the Company borrowed $4,314,014 from third party individuals and companies and repaid in full. For the years ended December 31, 2014 and 2013, all these loans are unsecured and bear no interest. The loans were borrowed primarily to pay off salaries and other payable related to the business operation. The balance of short term loans with third party individuals and companies other than the banks as of December 31, 2015 and 2014 was $207,813 and $198,513, respectively. The interest expenses for the years ended December 31, 2015, 2014 and 2013 were $278,363, $552,894 and $468,823, respectively. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2015 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | Note 9 – RELATED PARTY TRANSACTIONS The related parties consist of the following: Name of Related Party Nature of Relationship David Wang Shareholder, Director and Chief Financial Officer Guoan Xu Shareholder, Director and Vice President Limin Gao Manager of Taiying Gary Wang Principal Shareholder, Director, Chief Executive Officer and Chairman of the Board Yongjie Yang Wife of Gary Wang Qingmao Zhang Principal Shareholder Chunmei Sun Wife of David Wang Qiaolin Wang Shareholder, Manager of Shandong Central BPO Industry Co., Ltd. Beijing Taiying Sole Shareholder Shandong Luk Information Technology Co., Ltd. Controlled by the brother of Gary Wang Chongqing Ruixuan Technology Co., Ltd. Controlled by Beijing Taiying Chongqing Shenggu Human Resources Co., Ltd. Controlled by Beijing Taiying Chongqing Shenggu Investment Co., Ltd. Controlled by Beijing Taiying Chongqing Shenggu Construction Co., Ltd. Controlled by Beijing Taiying Shandong Shenggu Investment Co., Ltd. Controlled by Beijing Taiying Northern Shenggu Call Center Training School Controlled by Beijing Taiying Yantai Shenggu Human Resources Management Co., Ltd. Controlled by Beijing Taiying Chongqing Yongchuan Shenggu Training School Controlled by Beijing Taiying Revenues from related party The Company was the subcontractor of Shandong Luk Information Technology Co., Ltd. (“Shandong Luk”) to provide BPO services, a related party controlled by the brother of Gary Wang. For the years ended December 31, 2015, 2014 and 2013, the Company generated related party revenues from Shandong Luk in the amount of $0, $11,407 and $520,869, respectively. The related party accounts receivable with Shandong Luk amounted to $353,513 and $373,339 as of December 31, 2015 and 2014, respectively. Services provided by related party The Company also subcontracted projects to the related party, Shandong Luk, and the related party provided services for amounts of $892,595, $718,756 and $0 for the years ended December 31, 2015, 2014 and 2013, respectively, which was recorded in cost of revenues. Out of the services provided, both parties agreed to use $26,830 and $426,434 to settle part of the balances that Shandong Luk owed to the Company as of December 31, 2015 and 2014, respectively. Due from related parties Due from related parties consist of the following: Name of Related Party December 31, 2015 December 31, 2014 Qiaolin Wang $ - $ 2,948 Limin Gao - 437 Chunmei Sun - 76,485 Shandong Luk Information Technology Co., Ltd. 448,339 354,095 Beijing Taiying 15,406 - Chongqing Ruixuan Technology Co., Ltd. - 29,717 Chongqing Shenggu Human Resources Co., Ltd. 211,878 223,761 Chongqing Shenggu Investment Co., Ltd. - 651 Chongqing Shenggu Construction Co., Ltd. - 2,644 Shandong Shenggu Investment Co., Ltd. - 2,441 Northern Shenggu Call Center Training School - 65 Chongqing Yongchuan Shenggu Training School - 70,733 $ 675,623 $ 763,977 The amount owed to the Company by related party companies and Chunmei Sun represents non-secured short-term loans obtained from the Company, which bears no interest and was due on demand. The remaining amounts owed to the Company by individuals represent advances to the Company management members for business travel or business development purpose and cash advances to the related parties which were non-secured and interest-free. Due to related parties The balance of due to related parties was zero and $2,422 as of December 31, 2015 and 2014, respectively. As of December 31, 2013, the Company obtained loans from Chunmei Sun for a total amount of $392,118. In 2014, the Company decided to pay Chunmei Sun the interest at an annual rate of 15% since the starting date of the loans. The loans used to bear no interest before 2014. The interest expense recorded for the related party loans amounted to $108,264 and $0 for the years ended December 31, 2014 and 2013, respectively. The loans were fully repaid in 2014. Amounts owed by the Company represent non-secured loans obtained from related parties which were due on demand and expenses the related parties paid on behalf of the Company. Except the loan from Chunmei Sun mentioned above, all other loans obtained from related parties bear no interest. |
Major Customers and Credit Risk
Major Customers and Credit Risk | 12 Months Ended |
Dec. 31, 2015 | |
Major Customers and Credit Risk [Abstract] | |
MAJOR CUSTOMERS AND CREDIT RISK | Note 10 – MAJOR CUSTOMERS AND CREDIT RISK The Company had two customers including their provincial subsidiaries in each of the three years ended December 31, 2015, 2014 and 2013 that contributed at least 10% of total revenues. The provincial subsidiaries of both customers are in the telecommunications industry, which collectively represents 64%, 74% and 78% of the total revenues for the years ended December 31, 2015, 2014 and 2013, respectively. The account receivable balances due from these two customers were $3,903,981 and $3,909,063 at December 31, 2015 and 2014, respectively. The loss of one or more of its significant customers could have a material adverse effect on the Company’s business, operating results, or financial condition. The Company does not require collateral from its customers. To limit the Company’s credit risk, management performs periodic credit evaluations of its customers and maintains allowances for uncollectible accounts. Although the Company’s accounts receivable could increase dramatically as the Company grows its sales, management does not believe significant credit risk exists as of December 31, 2015 and 2014. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Deferred Tax Assets and Deferred Tax Liabilities/Income Taxes [Abstract] | |
INCOME TAXES | Notes 11 – INCOME TAXES British Virgin Islands (“BVI”) Under the current laws of BVI, China Customer Relations Centers, Inc. is not subject to tax on income or capital gain. In addition, payments of dividends by the Company to their shareholders are not subject to withholding tax in the BVI. Hong Kong The Company’s subsidiary, CBPO, is incorporated in Hong Kong and has no operating profit or tax liabilities during the period. CBPO is subject to tax at 16.5% on the assessable profits arising in or derived from Hong Kong. PRC The Company’s subsidiary and VIE registered in the PRC are subject to PRC Enterprise Income Tax (“EIT”) on the taxable income in accordance with the relevant PRC income tax laws. On March 16, 2007, the National People’s Congress enacted a new enterprise income tax law, which took effect on January 1, 2008. The law applies a uniform 25% enterprise income tax rate to both foreign invested enterprises and domestic enterprises. According to the tax law, entities that qualify as high and new technology enterprises (“HNTE”) supported by the PRC government are allowed a 15% preferential tax rate instead of the uniform tax rate of 25%. Taiying was granted the HNTE valid for three years starting from June 12, 2009 and successfully renewed the qualification of HNTE in the year of 2012, and subsequently in the year of 2015. The qualification of HNTE will be renewed after evaluation by relevant government authorities every three years. Taiying is entitled to a preferential EIT rate of 15%. Other PRC entities are subject to the 25% EIT rate of their taxable income. The provision for income taxes consists of the following: For the Years Ended December 31, 2015 2014 2013 Current $ 1,447,633 $ 526,202 $ 380,121 Deferred (172,000 ) 109,657 214,119 Total $ 1,275,633 $ 635,859 $ 594,240 The reconciliations of the PRC statutory income tax rate and the Company’s effective income tax rate are as follows: For the Years Ended December 31, 2015 2014 2013 PRC statutory income tax rate 25.00 % 25.00 % 25.00 % Effect of income tax exemptions and reliefs (4.82 %) (8.10 %) (7.79 %) Effect of expenses not deductible for tax purposes 0.83 % 2.10 % 3.25 % Effect of income not recognized for tax purposes (2.17 %) (3.89 %) (4.25 %) Effect of valuation allowance on deferred income tax assets 0.02 % 4.98 % 0.00 % Effect of income tax rate difference under different tax jurisdictions 2.62 % 6.21 % 0.00 % Others (0.39 %) 0.00 % 0.56 % Total 21.09 % 26.30 % 16.77 % Accounting for Uncertainty in Income Taxes The tax authority of the PRC Government conducts periodic and ad hoc tax filing reviews on business enterprises operating in the PRC after those enterprises complete their relevant tax filings. Therefore, the Company’s PRC entities’ tax filings results are subject to change. It is therefore uncertain as to whether the PRC tax authority may take different views about the Company’s PRC entities’ tax filings, which may lead to additional tax liabilities. ASC 740 requires recognition and measurement of uncertain income tax positions using a “more-likely-than-not” approach. The management evaluated the Company’s tax positions and concluded that no provision for uncertainty in income taxes was necessary as of December 31, 2015 and 2014. |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2015 | |
Commitments [Abstract] | |
COMMITMENTS | Notes 12 – COMMITMENTS The Company leases facilities with expiration dates between February 2016 and December 2024. Rental expense for the years ended December 2015, 2014 and 2013 was $1,426,695, $788,216 and $430,835, respectively. The Company has future minimum lease obligations as of December 31, 2015 as follows: 2016 $ 1,140,480 2017 952,541 2018 577,112 2019 478,275 2020 438,613 Thereafter 692,986 Total $ 4,280,007 |
Statutory Reserves
Statutory Reserves | 12 Months Ended |
Dec. 31, 2015 | |
Statutory Reserves [Abstract] | |
STATUTORY RESERVES | Note 13 – STATUTORY RESERVES According to the Company Law in the PRC, companies are required to set aside 10% of their after-tax profit to general reserves each year, based on the PRC accounting standards, until the cumulative total of such reserves reaches 50% of the registered capital. These general reserves are not distributable as cash dividends to equity owners. The Company had appropriated $1,288,617 and $781,731 to statutory reserves as of December 31, 2015 and 2014, respectively. |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2015 | |
Shareholders' Equity [Abstract] | |
SHAREHOLDERS' EQUITY | Note 14 – SHAREHOLDERS’ EQUITY On March 6, 2014, China Customer Relations Centers, Inc. (“CCRC”) was incorporated in the British Virgin Islands. On the same day, the Company issued 10,000 common shares at $0.001 per share to its incorporator for a consideration of $10. On June 16, 2014, a total of 634,800 shares were issued at $1.85 per share to two individuals and three corporations with cash proceeds of $222,000 received in June, 2014 and the remaining cash proceeds received in July 2014. On September 3, 2014, the Company entered into certain control agreements with Taiying and its sole shareholder, Beijing Taiying, pursuant to which we, by virtue of our ownership of CBPO and CBPO’s ownership of WFOE, control Taiying. In exchange for these control and grants, the shareholders of Beijing Taiying received ownership of the majority of the shares of CCRC. That is, 20 Beijing Taiying shareholders (including Gary Wang, who founded Taiying and is the chairman of the boards of both Taiying and CCRC) transferred their right to control Taiying to WFOE. Beijing Taiying shareholders then collectively received 15,284,800 of CCRC’s 15,929,600 presently issued and outstanding shares, representing 96% of CCRC’s issued common shares. On September 3, 2014, the Company’s Board of Directors approved the 2014 Share Incentive Plan (“the Plan”). Under the Plan, awards of options and restricted stock may be granted. These options may be incentive stock options or non-statutory stock options. Under the Plan, a total of 1,832,960 unissued shares shall be reserved. The exercise price of an option shall not be less than 100% of the fair market value of such shares on the date of grant. On December 18, 2015, the Company completed its initial public offering on the NASDAQ Capital Market under the symbol of "CCRC." The Company offered 2,400,000 common shares at $4 per share. Net proceeds raised by the Company from the initial public offering amounted to $8,497,024 after deducting underwriting discounts and commissions and other offering expenses. Out of the $8.5 million net proceeds, $500,000 was deposited into an escrow account to satisfy the initial $500,000 in potential indemnification obligations arising during an escrow period of two years following the closing date of December 18, 2015 and was presented as restricted cash. As of the filing date, there is a total number of 18,329,600 shares outstanding. |
Summary of Significant Accoun21
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Summary of Significant Accounting Policies [Abstract] | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The accompanying audited financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The consolidated financial statements include the accounts of the Company and Taiying, which is a variable interest entity with the Company as the primary beneficiary. In accordance with U.S. GAAP regarding “Consolidation of Variable Interest Entities (VIE)”, the Company identifies entities for which control is achieved through means other than through voting rights, and determines when and which business enterprise, if any, should consolidate the VIE. The Company evaluated its participating interest in Taiying and concluded it is the primary beneficiary of Taiying, a VIE. The Company consolidated Taiying and all significant intercompany transactions and balances have been eliminated. |
Foreign Currency Translation | Foreign Currency Translation The accompanying consolidated financial statements are presented in United States dollar (“$”), which is the reporting currency of the Company. The functional currency of China Customer Relations Centers, Inc. and CBPO is United States dollar. The functional currency of the Company’s subsidiary and VIEs located in the PRC is Renminbi (“RMB”). For the subsidiaries whose functional currencies are RMB, results of operations and cash flows are translated at average exchange rates during the period, assets and liabilities are translated at the unified exchange rate at the end of the period, and equity is translated at historical exchange rates. The resulting translation adjustments are included in determining other comprehensive income. Transaction gains and losses are reflected in the consolidated statements of income. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and judgments that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates and judgments on historical experience and on various other assumptions and information that are believed to be reasonable under the circumstances. Estimates and assumptions of future events and their effects cannot be perceived with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as our operating environment changes. Significant estimates and assumptions by management include, among others, useful lives and impairment of long-lived assets, allowance for doubtful accounts, income taxes including the valuation allowance for deferred tax assets. While the Company believes that the estimates and assumptions used in the preparation of the financial statements are appropriate, actual results could differ from those estimates. Estimates and assumptions are periodically reviewed and the effects of revisions are reflected in the financial statements in the period they are determined to be necessary. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash on hand and cash in time deposits, certificates of deposit and all highly liquid instruments with original maturities of three months or less. |
Accounts Receivable | Accounts Receivable Accounts receivable consists principally of amounts due from trade customers. Credit is extended based on an evaluation of the customer’s financial condition and collateral is not generally required. Certain credit sales are made to industries that are subject to cyclical economic changes. The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its clients to make required payments or to cover potential credit losses. Estimates are based on historical collection experience, current trends, credit policy and relationship between accounts receivable and revenues. In determining these estimates, the Company examines historical write-offs of its receivables and reviews each client’s account to identify any specific customer collection issues. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets The Company’s long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Recoverability of an asset to be held and used is measured by a comparison of the carrying amount of the asset to the future undiscounted cash flows expected to be generated by the asset. If such asset is considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the asset exceeds its fair value. Impairment evaluations involve management’s estimates on asset useful lives and future cash flows. Actual useful lives and cash flows could be different from those estimated by management which could have a material effect on our reporting results and financial position. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. |
Property and Equipment | Property and Equipment Property and equipment are recorded at cost less accumulated depreciation and include expenditures for additions and major improvements. Significant improvements and betterments are capitalized where it is probable that the expenditure resulted in an increase in the future economic benefits expected to be obtained from the use of the asset beyond its originally assessed standard of performance. Routine repairs and maintenance are expensed when incurred. Gains and losses on disposal of fixed assets are recognized in the income statement based on the net disposal proceeds less the carrying amount of the assets. Certain call center decoration projects were still under construction as of December 31, 2015 and the costs of construction was reported as construction in progress. No provision for depreciation is made on the assets under construction until such time as the relevant assets are completed and ready for their intended use. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. Electronic equipment 3-5 years Furniture & Fixture 5 years Motor vehicles 4 years Computer software 5 years Leasehold improvements 5 years |
Fair Value of Financial Instruments | Fair Value of Financial Instruments For certain of the Company’s financial instruments, including cash and cash equivalents, accounts receivable, prepayments, due from related parties, other current assets, accounts payable, due to related parties, and accrued liabilities and other payables, the carrying amounts approximate their fair values due to the short maturities. |
Lease Commitments | Lease Commitments The Company has adopted FASB ASC 840. If the lease terms meet one or all of the following four criteria, it will be classified as a capital lease, otherwise, it is an operating lease: (1) The lease transfers the title to the lessee at the end of the term; (2) the lease contains a bargain purchase option; (3) the lease term is equal to 75% of the estimated economic life of the leased property or more; (4) the present value of the minimum lease payment in the term equals or exceeds 90% of the fair value of the leased property. Payments made under operating leases are charged to the consolidated statements of income on a straight-line basis over the lease period. |
Earnings Per Share | Earnings Per Share Basic earnings per common share is computed by dividing net earnings attributable to common shareholders by the weighted-average number of common shares outstanding during the period. Diluted earnings per share is computed by dividing net income attributable to common shareholders by the sum of the weighted average number of common shares outstanding and dilutive potential common shares during the period. |
Revenue Recognition | Revenue Recognition The Company recognizes revenue when evidence of an arrangement exists, the delivery of service has occurred, the fee is fixed or determinable and collection is reasonably assured. The Company provides i) inbound call service, which includes directory assistance, mobile phone service plan, billing questions, hotline consultation, complaints, customer feedbacks, customer relationship management, etc., and ii) outbound call service, which includes products selling, marketing surveys, new products informing, plans expiration and bills overdue notification, etc. The BPO inbound and outbound service fees are based on either a per minute, per hour, per transaction or per call basis. For inbound call service, the revenues are recognized in the same period when the service is provided and the actual costs occurred. For outbound call service, certain business successful rate was obtained. The fee is determined on a per-call basis where the Company receives a basic standard fee for each call plus an extra fee for successfully selling a product or completing a survey, etc. Certain client programs provide for adjustments to monthly billings based upon whether the Company achieves, exceeds or fails certain performance criteria. Adjustments to monthly billings consist of contractual bonuses/penalties, holdbacks and other performance based contingencies. Revenue recognition is limited to the amount that is not contingent upon delivery of future services or meeting other specified performance conditions. |
Government Grants | Government Grants The Company received grants from various government agencies after meeting certain conditions if applicable, such as locating contact centers in their jurisdictions or helping local employment needs. Government grants are recognized when received and all the conditions specified in the grant have been met. Currently the conditions are limited to the two listed above and the Company is not under any obligations under the grant terms after amounts have been received. |
Income taxes | Income taxes The Company accounts for income taxes under the provision of FASB ASC 740-10, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred income taxes are recognized for the tax consequences in future years of differences between the tax bases of assets and liabilities and their financial reporting amounts at each period end based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk are cash and accounts receivable arising from its normal business activities. The Company places its cash in what it believes to be credit-worthy financial institutions. The Company routinely assesses the financial strength of the customer and, based upon factors surrounding the credit risk, establishes an allowance, if required, for uncollectible accounts and, as a consequence, believes that its accounts receivable credit risk exposure beyond such allowance is limited. |
Related Parties Transactions | Related Parties Transactions A related party is generally defined as (i) any person that holds 10% or more of the Company’s securities and their immediate families, (ii) the Company’s management, (iii) someone that directly or indirectly controls, is controlled by or is under common control with the Company, or (iv) anyone who can significantly influence the financial and operating decisions of the Company. A transaction is considered to be a related party transaction when there is a transfer of resources or obligations between related parties. The Company conducts business with its related parties in the ordinary course of business. Related parties may be individuals or corporate entities. |
Segment Reporting | Segment Reporting The Company uses the “management approach” in determining reportable operating segments. The management approach considers the internal organization and reporting used by the Company’s chief operating decision maker for making operating decisions and assessing performance as the source for determining the Company’s reportable segments. The Company’s chief operating decision maker has been identified as the chief executive officer of the Company who reviews financial information of separate operating segments based on U.S. GAAP. The chief operating decision maker now reviews results analyzed by customer. This analysis is only presented at the revenue level with no allocation of direct or indirect costs. Consequently, the Company has determined that it has only one operating segment. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In August 2015, the FASB issued ASU 2015-14," Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date In September 2015, the FASB issued ASU 2015-16, " Business Combinations (Topic 805): Simplifying the Accounting for Measurement Period Adjustments In November 2015, the FASB issued ASU 2015-17, " Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes In January 2016, the FASB issued ASU 2016-01, " Financial Instruments Overall (Subtopic 82510): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, " Leases (Topic 842) In March 2016, the FASB issued ASU 2016-08," Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net) In March 2016, the FASB issued ASU 2016-09, “ Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting In April 2016, the FASB issued ASU 2016-10, “ Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing |
Organization (Tables)
Organization (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Variable Interest Entity [Line Items] | |
Summary of subsidiaries and variable interest entities | Name Date of Place of Percentage of Principal Activities China BPO Holdings Limited, (“CBPO”) March 28, 2014 Hong Kong 100% Holding company of WFOE Shandong Juncheng Information Technology Co., Ltd. (“WFOE”) August 19, 2014 PRC 100% Holding company Shandong Taiying Technology Co., Ltd. (“Taiying”) December 18, 2007 PRC Contractual arrangements (1) BPO service provider principally serves North China Chongqing Central BPO Industry Co., Ltd. (“Central BPO”) January 28, 2010 PRC 100% (2) BPO service provider principally serves South China Jiangsu Taiying Technology Co., Ltd. (“JTTC”) February 25, 2010 PRC 100% (2) BPO service provider which principally serves East China Hebei Taiying Communication BPO Co., Ltd. (“HTCC”) April 20, 2010 PRC 100% (2) BPO service provider which principally serves North China Shandong Central BPO Industry Co., Ltd. (“SCBI”) August 9, 2012 PRC 100% (2) BPO service provider which principally serves North China Shandong Taiying Technology Chongqing Branch Company (“STTCB”) February 22, 2013 PRC 100% (2) BPO service provider principally serves South China Shandong Taiying Technology Guangxi Branch Company (“STTGB”) May 28, 2013 PRC 100% (2) BPO service provider principally serves South China Jiangsu Central Information Service Co., Ltd. (“JCBI”) December 12, 2013 PRC 100% (2) BPO service provider principally serves East China Anhui Taiying Information Technology Co., Ltd. (“ATIT”) December 26, 2013 PRC 100% (2) BPO service provider principally serves East China Jiangsu Taiying Information Service Co., Ltd. (“JTIS”) July 1, 2014 PRC 100% (2) BPO service provider principally serves East China Nanjing Taiying E-Commercial Business Co., Ltd. (“NTEB”) December 25, 2014 PRC 100% (2) BPO service provider principally serves East China Jiangxi Taiying Technology Co., Ltd. (“JXTT”) January 8, 2015 PRC 100% (2) BPO service provider principally serves Southeast China Xinjiang Taiying Technology Co., Ltd (“XTTC”) March 20, 2015 PRC 100% (2) BPO service provider principally serves Northwest, China Beijing Taiying Technology Co., Ltd. (“BTTC”) June 30, 2015 PRC 100% (2) BPO service provider principally serves North, China (1) VIE effectively controlled by WFOE through a series of contractual agreements (2) Wholly-owned subsidiaries of Taiying |
Summary of balance sheet | December 31, 2015 December 31, 2014 Held by CCRC Held by CBPO Held by CCRC Held by CBPO Assets Cash $ 7,999,771 $ 1,957 $ 588,677 $ 51,956 Restricted cash 500,000 - - - Liabilities Other payables $ 64,534 $ 2,000 $ 15,295 $ 52,000 |
VIE and VIE's subsidiaries [Member] | |
Variable Interest Entity [Line Items] | |
Summary of balance sheet | December 31, 2015 December 31, 2014 ASSETS Cash $ 5,622,121 $ 4,456,377 Accounts receivable 8,852,024 6,819,452 Accounts receivable - related party 353,513 373,339 Notes receivable, current 125,687 1,157,793 Prepayments 625,876 639,861 Due from related parties 675,623 763,977 Other current assets 1,128,262 1,297,995 Total current assets of VIE and its subsidiaries 17,383,106 15,508,794 Notes receivable, non-current 970,620 - Property and equipment, net 4,087,832 3,715,981 Deferred tax assets, non-current 23,974 - Other long term assets 41,729 - Total non-current assets of VIE and its subsidiaries 5,124,155 3,715,981 Total assets of VIE and its subsidiaries $ 22,507,261 $ 19,224,775 LIABILITIES Accounts payable $ 896,841 $ 189,089 Accrued liabilities and other payables 2,682,458 2,157,006 Wages payable 2,803,294 2,041,226 Income taxes payable 1,014,595 477,740 Short term loans 1,748,479 5,567,860 Due to related parties - 2,422 Deferred tax liabilities, current 35,273 181,482 Total current liabilities of VIE and its subsidiaries 9,180,940 10,616,825 Deferred tax liabilities, non-current - 4,450 Total non-current liabilities of VIE and its subsidiaries - 4,450 Total liabilities of VIE and its subsidiaries $ 9,180,940 $ 10,621,275 |
Summary of Significant Accoun23
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of property and equipment estimated useful lives | Electronic equipment 3-5 years Furniture & Fixture 5 years Motor vehicles 4 years Computer software 5 years Leasehold improvements 5 years |
Accounts Receivable, Net (Table
Accounts Receivable, Net (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Receivable and Accounts Receivable, Net [Abstract] | |
Summary of accounts receivable, net | December 31, 2015 December 31, 2014 Accounts receivable $ 8,874,559 $ 6,843,251 Less: Allowance for doubtful accounts (22,535 ) (23,799 ) Accounts receivable, net $ 8,852,024 $ 6,819,452 |
Schedule of changes in allowance for doubtful accounts | For the Year Ended December 31, 2015 For the Year Ended December 31, 2014 Balance, beginning of the year $ 23,799 $ 28,872 Provision for doubtful accounts - 145,076 Uncollectible receivables written-off - (149,975 ) Translation adjustments (1,264 ) (174 ) Balance, end of the year $ 22,535 $ 23,799 |
Other Current Assets (Tables)
Other Current Assets (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Other Current Assets [Abstract] | |
Schedule of other current assets | December 31, 2015 2014 Other receivables $ 321,430 $ 442,951 Deposits 806,832 855,044 Total other current assets $ 1,128,262 $ 1,297,995 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Property and Equipment, Net [Abstract] | |
Schedule of property and equipment | December 31, 2015 December 31, 2014 Electronic equipment $ 5,834,784 $ 4,984,251 Office furniture and equipment 1,358,324 1,415,725 Motor vehicles 624,992 487,336 Construction in progress 464,252 - Computer software 215,085 83,119 Leasehold improvements 1,489,991 1,494,648 Total property and equipment 9,987,428 8,465,079 Accumulated depreciation (5,899,596 ) (4,749,098 ) Property and equipment, net $ 4,087,832 $ 3,715,981 |
Deferred Tax Assets and Defer27
Deferred Tax Assets and Deferred Tax Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Deferred Tax Assets and Deferred Tax Liabilities/Income Taxes [Abstract] | |
Summary of deferred tax assets and liabilities | December 31, 2015 2014 Deferred tax assets, current Allowance for doubtful accounts $ 5,634 $ 5,951 Accrued revenue (net of cost) 49,870 82,729 55,504 88,680 Less: valuation allowance - (62,672 ) 55,504 26,008 Deferred tax assets, non-current Depreciation expense 2,085 2,202 Loss carryforward 25,847 73,065 27,932 75,267 Less: valuation allowance (3,958 ) (57,700 ) 23,974 17,567 Deferred tax liability, current Accrued revenue (net of cost) (90,777 ) (207,490 ) (90,777 ) (207,490 ) Deferred tax liabilities, non-current Depreciation expense - (22,017 ) $ - $ (22,017 ) |
Schedule of deferred income tax balances for financial reporting | December 31, 2015 2014 Deferred tax assets, current $ - $ - Deferred tax assets, non-current 23,974 - Deferred tax liabilities, current (35,273 ) (181,482 ) Deferred tax liabilities, non-current - (4,450 ) |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Related Party Transactions [Abstract] | |
Schedule of due from related parties | Name of Related Party December 31, 2015 December 31, 2014 Qiaolin Wang $ - $ 2,948 Limin Gao - 437 Chunmei Sun - 76,485 Shandong Luk Information Technology Co., Ltd. 448,339 354,095 Beijing Taiying 15,406 - Chongqing Ruixuan Technology Co., Ltd. - 29,717 Chongqing Shenggu Human Resources Co., Ltd. 211,878 223,761 Chongqing Shenggu Investment Co., Ltd. - 651 Chongqing Shenggu Construction Co., Ltd. - 2,644 Shandong Shenggu Investment Co., Ltd. - 2,441 Northern Shenggu Call Center Training School - 65 Chongqing Yongchuan Shenggu Training School - 70,733 $ 675,623 $ 763,977 |
Short Term Loans (Tables)
Short Term Loans (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Short Term Loans [Abstract] | |
Schedule of short term loans and related guarantees | December 31, 2015 December 31, 2014 Guarantee Balance Balance Bank of China, Tainan Branch Taian Development District Taishan Venture Capital Co., Ltd, Gary Wang and Yongjie Yang $ - $ 813,537 Shanghai Pudong Development Bank, Jinan Branch Taian Hongze Investment Guarantee Co., Ltd and Gary Wang - 1,627,075 Industrial Bank Co., Ltd., Taian Branch Taian Development District Taishan Venture Capital Co., Ltd and Gary Wang 1,540,666 1,627,075 China Construction Bank, Yongchuan Branch Chongqing Shuangye Financing Guarantee Co., Ltd, Taiying, Gary Wang and Yongjie Yang - 1,301,660 Subtotal of bank loans $ 1,540,666 $ 5,369,347 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Deferred Tax Assets and Deferred Tax Liabilities/Income Taxes [Abstract] | |
Schedule of provision for income taxes | For the Years Ended December 31, 2015 2014 2013 Current $ 1,447,633 $ 526,202 $ 380,121 Deferred (172,000 ) 109,657 214,119 Total $ 1,275,633 $ 635,859 $ 594,240 |
Schedule of reconciliations of company's effective income tax rate | For the Years Ended December 31, 2015 2014 2013 PRC statutory income tax rate 25.00 % 25.00 % 25.00 % Effect of income tax exemptions and reliefs (4.82 %) (8.10 %) (7.79 %) Effect of expenses not deductible for tax purposes 0.83 % 2.10 % 3.25 % Effect of income not recognized for tax purposes (2.17 %) (3.89 %) (4.25 %) Effect of valuation allowance on deferred income tax assets 0.02 % 4.98 % 0.00 % Effect of income tax rate difference under different tax jurisdictions 2.62 % 6.21 % 0.00 % Others (0.39 %) 0.00 % 0.56 % Total 21.09 % 26.30 % 16.77 % |
Commitments (Tables)
Commitments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Commitments [Abstract] | |
Summary of the company future minimum lease obligations | 2016 $ 1,140,480 2017 952,541 2018 577,112 2019 478,275 2020 438,613 Thereafter 692,986 Total $ 4,280,007 |
Organization (Details)
Organization (Details) | 12 Months Ended | ||
Dec. 31, 2015 | Mar. 28, 2014 | ||
China BPO Holdings Limited, ("CBPO") [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Mar. 28, 2014 | ||
Entity Incorporation, State Country Name | Hong Kong | ||
Percentage of effective ownership | 100.00% | 100.00% | |
Principal Activities | Holding company of WFOE | ||
Shandong Juncheng Information Technology Co., Ltd. (" WFOE") [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Aug. 19, 2014 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | 100.00% | ||
Principal Activities | Holding company | ||
Shandong Taiying Technology Co., Ltd. ("Taiying") [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Dec. 18, 2007 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership, description | [1] | Contractual arrangments | |
Principal Activities | BPO service provider principally serves North China | ||
Chongqing Central BPO Industry Co., Ltd. ("Central BPO") [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Jan. 28, 2010 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | [2] | 100.00% | |
Principal Activities | BPO service provider principally serves South China | ||
Jiangsu Taiying Technology Co., Ltd. ("JTTC") [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Feb. 25, 2010 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | [2] | 100.00% | |
Principal Activities | BPO service provider which principally serves East China | ||
Hebei Taiying Communication BPO Co., Ltd. ("HTCC") [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Apr. 20, 2010 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | [2] | 100.00% | |
Principal Activities | BPO service provider which principally serves North China | ||
Shandong Central BPO Industry Co., Ltd. ("SCBI") [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Aug. 9, 2012 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | [2] | 100.00% | |
Principal Activities | BPO service provider which principally serves North China | ||
Shandong Taiying Technology Chongqing Branch Company ("STTCB") [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Feb. 22, 2013 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership, description | [2] | 100 | |
Principal Activities | BPO service provider principally serves South China | ||
Shandong Taiying Technology Guangxi Branch Company ("STTGB") [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | May 28, 2013 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | [2] | 100.00% | |
Principal Activities | BPO service provider principally serves South China | ||
Jiangsu Central Information Service Co., Ltd. ("JCBI") [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Dec. 12, 2013 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | [2] | 100.00% | |
Principal Activities | BPO service provider principally serves East China | ||
Anhui Taiying Information Technology Co., Ltd. ("ATIT") [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Dec. 26, 2013 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | [2] | 100.00% | |
Principal Activities | BPO service provider principally serves East China | ||
Jiangsu Taiying Information Service Co., Ltd. (''JTIS'')(3) | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Jul. 1, 2014 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | [2] | 100.00% | |
Principal Activities | BPO service provider principally serves East China | ||
Nanjing Taiying E-Commercial Business Co., Ltd. (''NTEB'')(3) [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Dec. 25, 2014 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | 100.00% | ||
Principal Activities | BPO service provider principally serves East China | ||
Jiangxi Taiying Technology Co., Ltd. (''JXTT'')(3) [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Jan. 8, 2015 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | [2] | 100.00% | |
Principal Activities | BPO service provider principally serves Southeast China | ||
Xingjiang Taiying Technology Co., Ltd. ("XTTC") [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Mar. 20, 2015 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | 100.00% | ||
Principal Activities | BPO service provider principally serves Northwest, China | ||
Beijing Taiying Technology Co., Ltd. (''BTTC'')(3) [Member] | |||
Variable Interest Entity [Line Items] | |||
Entity Incorporation, Date of Incorporation | Jun. 30, 2015 | ||
Entity Incorporation, State Country Name | PRC | ||
Percentage of effective ownership | 100.00% | ||
Principal Activities | BPO service provider principally serves North, China | ||
[1] | VIE effectively controlled by WFOE through a series of contractual agreements | ||
[2] | Wholly-owned subsidiaries of Taiying |
Organization (Details 1)
Organization (Details 1) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Assets | ||||
Cash | $ 13,623,849 | $ 5,097,010 | $ 5,714,563 | $ 2,218,473 |
CCRC [Member] | ||||
Assets | ||||
Cash | 7,999,771 | $ 588,677 | ||
Restricted cash | 500,000 | |||
Liabilities | ||||
Other payables | 64,534 | $ 15,295 | ||
CBPO [Member] | ||||
Assets | ||||
Cash | $ 1,957 | $ 51,956 | ||
Restricted cash | ||||
Liabilities | ||||
Other payables | $ 2,000 | $ 52,000 |
Organization (Details 2)
Organization (Details 2) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
ASSETS | ||||
Cash | $ 13,623,849 | $ 5,097,010 | $ 5,714,563 | $ 2,218,473 |
Accounts receivable | 8,852,024 | 6,819,452 | ||
Accounts receivable - related party | 353,513 | 373,339 | ||
Notes receivable, current | 125,687 | 1,157,793 | ||
Prepayments | 625,876 | 639,861 | ||
Due from related parties | 675,623 | 763,977 | ||
Other current assets | 1,128,262 | 1,297,995 | ||
Total current assets of VIE and its subsidiaries | 25,384,834 | $ 16,149,427 | ||
Notes receivable, non-current | 970,620 | |||
Property and equipment, net | 4,087,832 | $ 3,715,981 | ||
Deferred tax assets, non-current | 23,974 | |||
Other long term assets | 41,729 | |||
Total non-current assets of VIE and its subsidiaries | 5,624,155 | $ 3,715,981 | ||
Total assets of VIE and its subsidiaries | 31,008,989 | 19,865,408 | ||
LIABILITIES | ||||
Accounts payable | 896,841 | 189,089 | ||
Accrued liabilities and other payables | (90,777) | (207,490) | ||
Wages payable | 2,803,294 | 2,041,226 | ||
Income taxes payable | 1,014,595 | 477,740 | ||
Short term loans | $ 1,748,479 | 5,567,860 | ||
Due to related parties | 2,422 | |||
Deferred tax liabilities, current | $ 35,273 | 181,482 | ||
Total current liabilities of VIE and its subsidiaries | $ 9,245,474 | 10,684,120 | ||
Deferred tax liabilities, non-current | 4,450 | |||
Total non-current liabilities of VIE and its subsidiaries | 4,450 | |||
Total liabilities of VIE and its subsidiaries | $ 9,245,474 | 10,688,570 | ||
VIE and VIE's subsidiaries [Member] | ||||
ASSETS | ||||
Cash | 5,622,121 | 4,456,377 | ||
Accounts receivable | 8,852,024 | 6,819,452 | ||
Accounts receivable - related party | 353,513 | 373,339 | ||
Notes receivable, current | 125,687 | 1,157,793 | ||
Prepayments | 625,876 | 639,861 | ||
Due from related parties | 675,623 | 763,977 | ||
Other current assets | 1,128,262 | 1,297,995 | ||
Total current assets of VIE and its subsidiaries | 17,383,106 | $ 15,508,794 | ||
Notes receivable, non-current | 970,620 | |||
Property and equipment, net | 4,087,832 | $ 3,715,981 | ||
Deferred tax assets, non-current | 23,974 | |||
Other long term assets | 41,729 | |||
Total non-current assets of VIE and its subsidiaries | 5,124,155 | $ 3,715,981 | ||
Total assets of VIE and its subsidiaries | 22,507,261 | 19,224,775 | ||
LIABILITIES | ||||
Accounts payable | 896,841 | 189,089 | ||
Accrued liabilities and other payables | 2,682,458 | 2,157,006 | ||
Wages payable | 2,803,294 | 2,041,226 | ||
Income taxes payable | 1,014,595 | 477,740 | ||
Short term loans | $ 1,748,479 | 5,567,860 | ||
Due to related parties | 2,422 | |||
Deferred tax liabilities, current | $ 35,273 | 181,482 | ||
Total current liabilities of VIE and its subsidiaries | $ 9,180,940 | 10,616,825 | ||
Deferred tax liabilities, non-current | 4,450 | |||
Total non-current liabilities of VIE and its subsidiaries | 4,450 | |||
Total liabilities of VIE and its subsidiaries | $ 9,180,940 | $ 10,621,275 |
Organization (Details Textual )
Organization (Details Textual ) | Dec. 31, 2015 | Mar. 28, 2014 |
China BPO Holdings Limited, ("CBPO") [Member] | ||
Organization Consolidation And Presentation [Line Items] | ||
Percentage of effective ownership | 100.00% | 100.00% |
Beijing Taiying Technology Co., Ltd. (''BTTC'')(3) [Member] | ||
Organization Consolidation And Presentation [Line Items] | ||
Percentage of effective ownership | 100.00% |
Summary of Significant Accoun36
Summary of Significant Accounting Policies (Details) | 12 Months Ended |
Dec. 31, 2015 | |
Electronic equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 3 years |
Electronic equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 5 years |
Furniture & Fixture [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 5 years |
Motor vehicles [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 4 years |
Computer software [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 5 years |
Leasehold improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 5 years |
Summary of Significant Accoun37
Summary of Significant Accounting Policies (Details Textual) | 12 Months Ended |
Dec. 31, 2015 | |
Summary of Significant Accounting Policies (Textual) | |
Capital leases, description | (1) The lease transfers the title to the lessee at the end of the term; (2) the lease contains a bargain purchase option; (3) the lease term is equal to 75% of the estimated economic life of the leased property or more; (4) the present value of the minimum lease payment in the term equals or exceeds 90% of the fair value of the leased property. |
Related party, description | (i) any person that holds 10% or more of the Company's securities and their immediate families, (ii) the Company's management, (iii) someone that directly or indirectly controls, is controlled by or is under common control with the Company, or (iv) anyone who can significantly influence the financial and operating decisions of the Company. |
Notes Receivable (Details)
Notes Receivable (Details) | 12 Months Ended | |||
Dec. 31, 2014USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2015CNY (¥) | Dec. 31, 2013USD ($) | |
Notes Receivable (Textual) | ||||
Repayment from third parties | $ 130,172 | |||
Advanced to third parties | 132,742 | $ 1,146,919 | ||
Note receivable non-current | $ 970,620 | ¥ 6,300,000 | ||
Equity interest, Percentage | 5.00% | 5.00% | ||
Notes receivable current and non-current | $ 1,157,793 | $ 1,096,307 |
Accounts Receivable, Net (Detai
Accounts Receivable, Net (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Notes Receivable and Accounts Receivable, Net [Abstract] | ||
Accounts receivable | $ 8,874,559 | $ 6,843,251 |
Less: Allowance for doubtful accounts | (22,535) | (23,799) |
Accounts receivable, net | $ 8,852,024 | $ 6,819,452 |
Accounts Receivable, Net (Det40
Accounts Receivable, Net (Details 1) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Notes Receivable and Accounts Receivable, Net [Abstract] | |||
Balance, beginning of the year | $ 23,799 | $ 28,872 | |
Provision for doubtful accounts | 145,076 | $ 23,628 | |
Uncollectible receivables written-off | (149,975) | ||
Translation adjustments | $ (1,264) | (174) | |
Balance, end of the year | $ 22,535 | $ 23,799 | $ 28,872 |
Other Current Assets (Details)
Other Current Assets (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Other Current Assets [Abstract] | ||
Other receivables | $ 321,430 | $ 442,951 |
Deposits | 806,832 | 855,044 |
Total other current assets | $ 1,128,262 | $ 1,297,995 |
Property and Equipment, Net (De
Property and Equipment, Net (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | $ 9,987,428 | $ 8,465,079 |
Accumulated depreciation | (5,899,596) | (4,749,098) |
Property and equipment, net | 4,087,832 | 3,715,981 |
Electronic equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 5,834,784 | 4,984,251 |
Office furniture and equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 1,358,324 | 1,415,725 |
Motor vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 624,992 | $ 487,336 |
Construction in progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 464,252 | |
Computer software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 215,085 | $ 83,119 |
Leasehold improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | $ 1,489,991 | $ 1,494,648 |
Property and Equipment, Net (43
Property and Equipment, Net (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Property and Equipment, Net (Textual) | |||
Depreciation expense | $ 1,340,961 | $ 1,342,258 | $ 1,145,348 |
Deferred Tax Assets and Defer44
Deferred Tax Assets and Deferred Tax Liabilities (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Deferred tax assets, current | |||
Allowance for doubtful accounts | $ (22,535) | $ (23,799) | $ (28,872) |
Accrued revenue (net of cost) | 49,870 | 82,729 | |
Deferred tax assets, current, Gross | $ 55,504 | 88,680 | |
Less: valuation allowance | (62,672) | ||
Deferred tax assets current, Net | $ 55,504 | 26,008 | |
Deferred tax assets, non-current | |||
Depreciation expense | 2,085 | 2,202 | |
Loss carry forward | 25,847 | 73,065 | |
Deferred tax assets, non-current, Gross | 27,932 | 75,267 | |
Less: valuation allowance | (3,958) | (57,700) | |
Deferred tax assets, non-current, Net | 23,974 | 17,567 | |
Deferred tax liability, current | |||
Accrued revenue (net of cost) | (90,777) | (207,490) | |
Deferred tax liability, current gross | $ (90,777) | (207,490) | |
Deferred tax liabilities, non-current | |||
Depreciation expense | (22,017) | ||
Deferred tax liabilities, non current total | $ (22,017) |
Deferred Tax Assets and Defer45
Deferred Tax Assets and Deferred Tax Liabilities (Details 1) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Deferred Tax Assets and Deferred Tax Liabilities/Income Taxes [Abstract] | ||
Deferred tax assets, current | ||
Deferred tax assets, non-current | $ 23,974 | |
Deferred tax liabilities, current | $ 35,273 | $ 181,482 |
Deferred tax liabilities, non-current | $ 4,450 |
Deferred Tax Assets and Defer46
Deferred Tax Assets and Deferred Tax Liabilities (Details Textual) | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Deferred Tax Assets and Deferred Tax Liabilities (Textual) | |
Net operating losses | $ 103,390 |
Expiration date | Dec. 31, 2017 |
Short Term Loans (Details)
Short Term Loans (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Short-term Debt [Line Items] | ||
Subtotal of bank loans | $ 1,540,666 | $ 5,369,347 |
Bank of China, Tainan Branch [Member] | ||
Short-term Debt [Line Items] | ||
Subtotal of bank loans | $ 813,537 | |
Guarantee | Taian Development District Taishan Venture Capital Co., Ltd, Gary Wang and Yongjie Yang | |
Shanghai Pudong Development Bank, Jinan Branch [Member] | ||
Short-term Debt [Line Items] | ||
Subtotal of bank loans | $ 1,627,075 | |
Guarantee | Taian Hongze Investment Guarantee Co., Ltd and Gary Wang | |
Industrial Bank Co., Ltd., Taian Branch [Member] | ||
Short-term Debt [Line Items] | ||
Subtotal of bank loans | $ 1,540,666 | $ 1,627,075 |
Guarantee | Taian Development District Taishan Venture Capital Co., Ltd and Gary Wang | Taian Development District Taishan Venture Capital Co., Ltd and Gary Wang |
China Construction Bank, Yongchuan Branch [Member] | ||
Short-term Debt [Line Items] | ||
Subtotal of bank loans | $ 1,301,660 | |
Guarantee | Chongqing Shuangye Financing Guarantee Co., Ltd, Taiying, Gary Wang and Yongjie Yang |
Short Term Loans (Details Textu
Short Term Loans (Details Textual) | 12 Months Ended | ||
Dec. 31, 2015USD ($)ThirPartyIndividualThirdPartyCompanySecuredLoanUnSecuredLoan | Dec. 31, 2014USD ($)ThirPartyIndividualThirdPartyCompany | Dec. 31, 2013USD ($) | |
Short Term Loans (Textual) | |||
Short-term loans borrowed | $ 2,192,004 | $ 2,017,122 | $ 4,314,014 |
Short-term loans repaid | 2,171,291 | 1,818,609 | 4,314,014 |
Secured short-term loan | $ 965,018 | ||
Secured loan monthly interest percentage | 1.67% | ||
Net carrying value of the fixed assets of Taiying pledged for the loan amount | $ 2,493,055 | ||
Balance of short term loans | 207,813 | 198,513 | |
Interest expenses | $ 278,363 | $ 552,894 | $ 468,823 |
Number of third party individuals | ThirPartyIndividual | 1 | 2 | |
Number of third party companies | ThirdPartyCompany | 3 | 3 | |
Number of secured loans | SecuredLoan | 1 | ||
Number of unsecured loans | UnSecuredLoan | 3 | ||
Maximum [Member] | |||
Short Term Loans (Textual) | |||
Short-term bank loans annual interest percentage | 9.00% | ||
Minimum [Member] | |||
Short Term Loans (Textual) | |||
Short-term bank loans annual interest percentage | 6.40% | ||
Unsecured loan [Member] | Maximum [Member] | |||
Short Term Loans (Textual) | |||
Short-term bank loans annual interest percentage | 10.00% | ||
Unsecured loan [Member] | Minimum [Member] | |||
Short Term Loans (Textual) | |||
Short-term bank loans annual interest percentage | 0.00% |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Related Party Transaction [Line Items] | ||
Due from related parties | $ 675,623 | $ 763,977 |
Qiaolin Wang [Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | 2,948 | |
Limin Gao [Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | 437 | |
Chunmei Sun [Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | 76,485 | |
Shandong Luk Information Technology Co., Ltd. [Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | $ 448,339 | $ 354,095 |
Beijing Taiying [Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | $ 15,406 | |
Chongqing Ruixuan Technology Co., Ltd. [Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | $ 29,717 | |
Chongqing Shenggu Human Resources Co., Ltd. Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | $ 211,878 | 223,761 |
Chongqing Shenggu Investment Co., Ltd. [Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | 651 | |
Chongqing Shenggu Construction Co., Ltd. [Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | 2,644 | |
Shandong Shenggu Investment Co., Ltd. [Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | 2,441 | |
Northern Shenggu Call Center Training School [Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | 65 | |
Chongqing Yongchuan Shenggu Training School [Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | $ 70,733 |
Related Party Transactions (D50
Related Party Transactions (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Related Party Transactions (Textual) | |||
Revenues from related party | $ 11,407 | $ 520,869 | |
Related party receivable | $ 353,513 | 373,339 | |
Revenue from related party for servies | $ 892,595 | 718,756 | 0 |
Due to related parties | $ 2,422 | ||
Loans from Chunmei Sun | 392,118 | ||
Interest on loan | 15.00% | ||
Interest expense | $ 108,264 | $ 0 | |
Shandong Luk Information Technology Co., Ltd. [Member] | |||
Related Party Transactions (Textual) | |||
Revenue from related party for servies | $ 26,830 | $ 426,434 |
Major Customers and Credit Ri51
Major Customers and Credit Risk (Details) | 12 Months Ended | ||
Dec. 31, 2015USD ($)Customers | Dec. 31, 2014USD ($)Customers | Dec. 31, 2013Customers | |
Major Customers and Credit Risk (Textual) | |||
Number of customers | Customers | 2 | 2 | 2 |
Concentration risk, percentage | 10.00% | 10.00% | 10.00% |
Telecommunications Industry [Member] | |||
Major Customers and Credit Risk (Textual) | |||
Concentration risk, percentage | 64.00% | 74.00% | 78.00% |
Account receivable balances due | $ | $ 3,903,981 | $ 3,909,063 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Schedule of provision for income taxes | |||
Current | $ 1,447,633 | $ 526,202 | $ 380,121 |
Deferred | (172,000) | 109,657 | 215,748 |
Total | $ 1,275,633 | $ 635,859 | $ 594,240 |
Income Taxes (Details 1)
Income Taxes (Details 1) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Schedule of reconciliations of the PRC statutory income tax rate | |||
PRC statutory income tax rate | 25.00% | 25.00% | 25.00% |
Effect of income tax exemptions and reliefs | (4.82%) | (8.10%) | (7.79%) |
Effect of expenses not deductible for tax purposes | 0.83% | 2.10% | 3.25% |
Effect of income not recognized for tax purposes | (2.17%) | (3.89%) | (4.25%) |
Effect of valuation allowance on deferred income tax assets | 0.02% | 4.98% | 0.00% |
Effect of income tax rate difference under different tax jurisdictions | 2.62% | 6.21% | 0.00% |
Others | (0.39%) | 0.00% | 0.56% |
Total | 21.09% | 26.30% | 16.77% |
Income Taxes (Details Textual)
Income Taxes (Details Textual) | 12 Months Ended |
Dec. 31, 2015 | |
Income Taxes (Textual) | |
Tax percentage | 25.00% |
Preferred Partner [Member] | |
Income Taxes (Textual) | |
Tax percentage | 15.00% |
HONG KONG | |
Income Taxes (Textual) | |
Tax percentage | 16.50% |
Commitments (Details)
Commitments (Details) | Dec. 31, 2015USD ($) |
Summary of the company future minimum lease obligations | |
2,016 | $ 1,140,480 |
2,017 | 952,541 |
2,018 | 577,112 |
2,019 | 478,275 |
2,020 | 438,613 |
Thereafter | 692,986 |
Total | $ 4,280,007 |
Commitments (Details Textual)
Commitments (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Commitments (Textual) | |||
Rental expense | $ 1,426,695 | $ 788,216 | $ 430,835 |
Leases facilities expiration dates | Between February 2016 and December 2024 |
Statutory Reserves (Details)
Statutory Reserves (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Statutory reserves (textual) | ||
General reserves, description | According to the Company Law in the PRC, companies are required to set aside 10% of their after-tax profit to general reserves each year, based on the PRC accounting standards, until the cumulative total of such reserves reaches 50% of the registered capital. | |
Statutory reserves | $ 1,288,617 | $ 781,731 |
Shareholders' Equity (Details)
Shareholders' Equity (Details) | Sep. 03, 2014shares | Mar. 06, 2014$ / sharesshares | Dec. 18, 2015USD ($)$ / sharesshares | Jun. 16, 2014USD ($)$ / sharesshares | Dec. 31, 2015USD ($)shares | Dec. 31, 2014USD ($)shares | Dec. 31, 2013USD ($) |
Related Party Transaction [Line Items] | |||||||
Issuance of common stock, Value consideration | $ | $ 8,497,024 | $ 1,174,380 | |||||
Common stock, shares outstanding | 18,329,600 | 15,929,600 | |||||
Proceeds from issuances of common shares | $ | $ 8,497,024 | $ 1,174,380 | |||||
Common stock, shares issued | 18,329,600 | 15,929,600 | |||||
Unissued shares | 1,832,960 | ||||||
Option exercise price, Description | The exercise price of an option shall not be less than 100% of the fair market value of such shares on the date of grant. | ||||||
Beijing Taiying [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Common stock shares issued percentage | 96 | ||||||
Common stock, shares outstanding | 15,929,600 | ||||||
Common stock, shares issued | 15,929,600 | ||||||
Number of shares received | 15,284,800 | ||||||
CCRC [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Issuance of common stock | 10,000 | 2,400,000 | |||||
Common stock per share price | $ / shares | $ 0.001 | $ 4 | |||||
Common stock, shares outstanding | 18,329,600 | ||||||
Proceeds from issuances of common shares | $ | $ 8,497,024 | ||||||
Escrow deposit | $ | $ 500,000 | ||||||
Three Corporations [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Issuance of common stock | 634,800 | ||||||
Common stock per share price | $ / shares | $ 1.85 | ||||||
Proceeds from issuances of common shares | $ | $ 222,000 | ||||||
Two Individuals [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Issuance of common stock | 634,800 | ||||||
Common stock per share price | $ / shares | $ 1.85 | ||||||
Proceeds from issuances of common shares | $ | $ 222,000 |