Liberated Syndication (LSYN) 10-Q/A 10 Jul 20 2018 Q2 Quarterly report (amended) Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2018	Aug. 10, 2018
Document and Entity Information [Abstract]
Entity Registrant Name	Liberated Syndication Inc.
Entity Central Index Key	0001667489
Amendment Flag	true
Document Type	10-Q/A
Amendment Description	This Quarterly Report on Form 10-Q/A (Amendment No. 1) amends the Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission (the “SEC”) by Liberated Syndication Corp. (the “Company”) on August 14, 2018 (the “Original 10-Q”) to restate our unaudited consolidated financial statements for the quarterly period ended June 30, 2018 and to amend related disclosures.
Document Period End Date	Jun. 30, 2018
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Shell Company	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Entity Small Business	true
Entity Current Reporting Status	Yes
Entity Common Stock, Shares Outstanding		29,776,974
Entity Interactive Data Current	Yes
Entity Incorporation State Country Code	NV
Entity File Number	000-55779

UNAUDITED CONDENSED CONSOLIDATE

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (As Restated) - USD ($)	Jun. 30, 2018	Dec. 31, 2017
CURRENT ASSETS:
Cash	$ 8,169,634	$ 5,211,845
Accounts receivable, net	437,644	660,139
Prepaid expenses	178,428	186,425
Prepaid domains, net	173,568	0
Total current assets	8,959,274	6,058,409
Property and equipment, net	2,552,145	3,007,025
Goodwill	16,388,171	16,352,069
Definite life - intangible assets	8,715,343	9,644,000
Prepaid domains, net of current portion	115,965	0
Other	3,582	7,076
Deferred tax assets	1,380,251	0
Total assets	38,114,731	35,068,579
CURRENT LIABILITIES:
Accounts payable	551,589	440,565
Income taxes payable	282,401	0
Accrued expenses	433,754	769,485
Deferred revenue, net	2,142,795	1,247,686
Current portion of capital lease obligation	71,090	69,243
Current portion of loans payable, net of $30,573 and $33,366 discount, respectively	1,569,427	1,566,634
Total current liabilities	5,051,056	4,093,613
LONG TERM LIABILITIES:
Loans payable, net of $65,066 and $79,634 discount, respectively, less current portion	7,534,933	8,320,366
Capital lease obligation, net of current portion	37,804	73,817
Deferred revenue, net	301,719	133,617
Total long-term liabilities	7,874,456	8,527,800
Total liabilities	12,925,512	12,621,413
STOCKHOLDERS' EQUITY
Common stock	29,778	29,596
Additional paid-in capital	35,092,997	34,804,457
Accumulated deficit	(9,933,556)	(12,386,887)
Total stockholders' equity	25,189,219	22,447,166
Total liabilities and stockholders' equity	$ 38,114,731	$ 35,068,579

UNAUDITED CONDENSED CONSOLIDA_2

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (As Restated) - USD ($)	Jun. 30, 2018	Dec. 31, 2017
Statement of Financial Position [Abstract]
Current loans payable discount	$ 30,573	$ 33,366
Noncurrent loans payable discount	65,066	79,634
Allowance for doubtful accounts	$ 14,000	$ 14,000
Common stock authorized	200,000,000	200,000,000
Common stock par value	$ 0.001	$ 0.001
Common stock outstanding	29,776,974	29,595,473

UNAUDITED CONDENSED CONSOLIDA_3

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (As Restated) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Income Statement [Abstract]
Revenue	$ 5,305,762	$ 2,498,902	$ 10,365,067	$ 4,993,013
Costs and operating expenses
Cost of revenue (excluding depreciation and amortization)	704,515	580,724	1,411,885	1,197,778
General and administrative	1,516,587	646,981	2,903,899	1,274,525
Non-cash compensation	0	0	318,000	1,752,000
Technology	492,573	163,017	865,899	306,059
Selling	210,371	83,896	427,373	159,934
Customer support	707,065	53,099	1,375,295	85,622
Depreciation and amortization	769,365	4,015	1,536,265	8,319
Total costs and operating expenses	4,400,476	1,531,732	8,838,616	4,784,237
Operating income (loss)	905,286	967,170	1,526,451	208,776
Interest expense	(98,607)	0	(199,203)	0
Interest income	13,401	0	23,066	0
Other income	2,486	0	5,167	0
Income from operations before income taxes	822,566	967,170	1,355,481	208,776
Income tax expense (benefit)	173,209	0	(1,097,850)	0
Net Income (loss)	$ 649,357	$ 967,170	$ 2,453,331	$ 208,776
BASIC AND DILUTED INCOME (LOSS) PER COMMON SHARE	$ .02	$ 0.04	$ .08	$ 0.01
BASIC AND DILUTED WEIGHTED AVERAGE COMMON SHARES OUTSTANDING	29,776,974	24,446,578	29,711,034	24,083,595

UNAUDITED CONDENSED CONSOLIDA_4

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (As Restated) - USD ($)	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Cash Flows from Operating Activities
Net income (loss)	$ 2,453,331	$ 208,776
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization expense	1,536,265	8,319
Issuance of common stock	318,000	1,752,000
Deferred income taxes	1,380,251	0
Discount on loan fees	17,361	0
Change in assets and liabilities:
Accounts receivable	157,115	(506,269)
Prepaid expenses	(278,042)	(27,703)
Accounts payable	111,024	163,380
Accrued expense	(335,730)	(282,281)
Income taxes payable	282,401	0
Deferred revenue	1,063,210	(6,460)
Net Cash Provided by Operating Activities	3,944,684	1,309,762
Cash Flows from Investing Activities:
Purchase of property and equipment	(152,729)	0
Net Cash Used in Investing Activities	(152,729)	0
Cash Flows from Financing Activities:
Repayment on term loan	(800,000)	0
Repayment on capital lease	(34,166)	0
Re-purchase of common stock	0	(8,000)
Net Cash Used in Financing Activities	(834,166)	(8,000)
Net Increase in Cash	2,957,789	1,301,762
Cash at Beginning of Period	5,211,845	4,875,458
Cash at End of Period	8,169,634	6,177,220
Supplemental Disclosures of Cash Flow Information
Cash paid during the periods for: Interest	146,194	0
Cash paid during the periods for: Income taxes	$ 0	$ 0
Supplemental Non-Cash Investing and Financing Activities
Returned Common Stock	29,278	0

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2018
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	Organization Prior Period Reclassifications - Consolidation Accounting Estimates Our more significant estimates include: ● the determination of the best estimate of selling price of the deliverables included in multiple-deliverable revenue arrangements; ● the fair value of assets acquired, and liabilities assumed in business acquisitions; ● the assessment of recoverability of long-lived assets, including property and equipment, goodwill and intangible assets; ● the estimated reserve for refunds; ● the estimated useful lives of intangible and depreciable assets; ● the grant date fair value of equity-based awards; ● the recognition, measurement, and valuation of current and deferred income taxes; We periodically evaluate these estimates and adjust prospectively, if necessary. We believe our estimates and assumptions are reasonable; however, actual results may differ from our estimates. Cash and Cash Equivalents Accounts Receivable Depreciation Long-lived intangible assets Software Development Costs Goodwill Advertising Costs Fair Value of Financial Instruments ● Level 1. Observable inputs such as quoted prices in active markets for identical assets or liabilities; ● Level 2. Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and ● Level 3. Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. Unless otherwise disclosed, the fair value of the Company’s financial instruments including cash, accounts receivable, prepaid expenses, and accounts payable, deferred revenue and accrued expenses approximates their recorded values due to their short-term maturities. Revenue Recognition The adoption of the new standard did not have a material impact to our financial statements. Revenue is recognized when control of the promised services is transferred to our customers, in an amount reflecting the consideration we expect to be entitled to in exchange for those services. Certain products are generally sold with a right of return within our policy, which are accounted for as variable consideration when estimating the amount of revenue to recognize. Refunds are estimated at contract inception using the expected value method based on historical refund experience and updated each reporting period as additional information becomes available and only to the extent it is probable a significant reversal of any incremental revenue will not occur. Refunds reduce deferred revenue at the time they are granted and resulted in a reduced amount of revenue recognized over the contract term of the applicable service compared to the amount originally expected. Our revenue is categorized and disaggregated as follows: Domains Hosting Services Podcast Hosting Media Subscription Services Advertising Equity-Based Compensation - Expected term. Expected volatility. Expected dividend yield. Risk-free interest rate. Leases Earnings Per Share Income Taxes Recently Enacted Accounting Standards - Recent accounting pronouncements issued by the FASB did not or are not believed by management to have a material impact on the Company’s present or future financial statements.

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT	6 Months Ended
	Jun. 30, 2018
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT	The following is a summary of property and equipment at: Life June 30, 2018 December 31, 2017 Furniture, fixtures, and equipment 3-10 yrs $ 8,184,907 $ 8,032,178 Leasehold improvements 3 - 5 yrs 2,646,400 2,646,400 Software 3 yrs 6,503 6,503 10,837,810 10,685,081 Less: Accumulated depreciation (8,285,665 ) (7,678,056 ) Property & equipment, net $ 2,552,145 $ 3,007,025 Depreciation expense for the six months ended June 30, 2018 and 2017 was $607,608 and $8,319, respectively.

GOODWILL AND OTHER DEFINITE-LIF

GOODWILL AND OTHER DEFINITE-LIFE INTANGIBLE ASSETS	6 Months Ended
	Jun. 30, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND OTHER DEFINITE-LIFE INTANGIBLE ASSETS	Impairment - During the fourth quarter of 2017, management performed its annual test of impairment of goodwill by comparing the net carrying value of the intangible asset with the fair value of the reporting units. Based upon the results of this analysis, it was determined that the goodwill was not impaired. Goodwill June 30, December 31, 2018 2017 Goodwill at beginning of period $ 16,352,069 $ 11,484,251 Acquisition of Pair 36,102 4,867,818 Impairment - - Goodwill at end of period $ 16,388,171 $ 16,352,069 During the first quarter of 2018, the Company completed its net-working capital closing adjustment for the acquisition of Pair, resulting in an additional allocation of $36,102 of goodwill. Other definite-life intangible assets As of June 30, 2018, identifiable intangible assets consist of following: Preliminary Fair Value Weighted Average Useful Life (in Years) Accumulated Amortization Net Carrying Amount Customer Relationships $ 3,947,000 7 $ 281,928 $ 3,665,072 Intellectual Property 3,709,000 7 264,929 3,444,071 Trade name 576,000 10 28,800 547,200 Non-compete 1,412,000 2 353,000 1,059,000 Total $ 9,644,000 $ 928,657 $ 8,715,343 Amortization expense for the six months ended June 30, 2018 and 2017 was $928,657 and $0, respectively The estimated future amortization expenses related to other intangible assets as of June 30, 2018 are as follows: For twelve months ending June 30, 2019 $ 1,857,314 2020 1,504,314 2021 1,151,314 2022 1,151,314 2023 1,151,314 Thereafter 1,899,773 Total $ 8,715,343

LOANS

LOANS	6 Months Ended
	Jun. 30, 2018
Loans
LOANS	On December 27, 2017, the Company entered into a loan agreement (the “Loan Agreement”) among the Company, Libsyn, and Pair, together, and First Commonwealth Bank, a Pennsylvania bank and trust company (the “Bank”). The Loan Agreement provides for: (i) a revolving credit facility pursuant to which the Company may borrow an aggregate principal amount not to exceed $2,000,000 (the “Revolving Credit Facility”); and (ii) a term loan in a principal amount equal to $8,000,000 (the “Term Loan” and, together with the Revolving Credit Facility, the “Facility”). A portion of the Revolving Credit Facility, up to $500,000, may be used for standby letters of credit for the account of the Company. As of June 30, 2018, $2,000,000 was drawn down on the revolving line with $0 available. The loan currently accrues interest at LIBOR plus 150 base points or prime plus 75 basis points at the election of the Company. As of June 30, 2018, the Company has elected LIBOR plus 150 basis points or 3.599%. The Term Loan is repayable in quarterly installments of $400,000 commencing on March 30, 2018 and on the last day of each June, September, December and March thereafter, through and including September 30, 2022. Accrued interest is payable in arrears not less frequently than quarterly. The remaining unpaid principal balance of the Term Loan, together with accrued interest thereon, is due and payable in full on December 27, 2022. The Term Loan also calls for additional payment equal to the following: 1)100% of the proceeds from the sale of any common shares 2) 100% of the proceeds from the sale of assets not immediately replaced 3)excess liquidity in any given year up to $1,066,667 a year and no more than $3,200,000 over the life of the term loan. As of June 30, 2018, the balance on the term loan was $7,200,000. The Company, Libsyn and Pair have granted the bank a blanket security interest in their respective assets, and the Company has pledged the stock of Webmayhem Inc. and Pair Networks Inc. to the bank, as security for all obligations under the Loan Agreement. Borrowings under the Facility are at variable rates which are, at the Company’s option, tied to LIBOR (London Interbank Offered Rate) plus an applicable rate or a prime rate. Interest rates are subject to change based on the Company’s combined cash balances. The Facility contains covenants that may have the effect of limiting the ability of the Company to, among other things, merge with or acquire other entities, enter into a transaction resulting in a change in control, create certain new liens, incur certain additional indebtedness, engage in certain transactions with affiliates, engage in new lines of business or sell a substantial part of its assets. The Facility also requires the Company to maintain certain consolidated fixed charge coverage ratios and minimum liquidity balances. The Facility also contains customary events of default, including (but not limited to) default in the payment of principal or, following an applicable grace period, interest, breaches of the Company’s covenants or warranties under the Facility, payment default or acceleration of certain indebtedness of the Company or any subsidiary, certain events of bankruptcy, insolvency or liquidation involving the Company or its subsidiaries, certain judgments or uninsured losses, changes in control and certain liabilities related to ERISA based plans. On December 27, 2017, the Company drew $10,000,000 under the Facility to finance a portion of the cash consideration payable to the Seller pursuant to the Share Purchase Agreement. Debt issuance costs of $113,000 for the Facility were recorded as a discount and will be amortized over the life of the Facility. As of June 30, 2018, the discount was $95,639. Future maturities of the loans at June 30, 2018 are as follows: For the year ending June 30, 2019 $ 1,600,000 2020 1,600,000 2021 1,600,000 2022 1,600,000 2023 2,800,000 Thereafter - Total $ 9,200,000

CAPITAL STOCK

CAPITAL STOCK	6 Months Ended
	Jun. 30, 2018
Stockholders' Equity Note [Abstract]
CAPITAL STOCK	Common Stock During the first quarter of 2018, the Company issued 200,000 shares of common stock valued at $318,000 to a consultant for services rendered. During the first quarter of 2018, the seller of Pair Networks Inc., returned $18,499 shares valued at $29,278 to the company as per the terms of the acquisition agreement dated December 27, 2017 in connection with the closing adjustment for the net-working capital provision. During the first quarter of 2017, the Company issued 3,650,000 shares of common stock valued at $1,752,000 to officers and directors. During the second quarter of 2017, the Company repurchased 40,000 shares of common stock for $8,000, and the stock was retired.

DEFERRED REVENUE

DEFERRED REVENUE	6 Months Ended
	Jun. 30, 2018
Deferred Revenue [Abstract]
DEFERRED REVENUE	Deferred revenue consists of the following: June 30, 2018 December 31, 2017 Current: Hosting services $ 1,620,020 $ 1,032,000 Domains 413,546 104,172 Media subscription 109,229 111,514 $ 2,142,795 $ 1,247,686 Noncurrent: Hosting services 63,993 50,351 Domains 237,726 83,266 $ 2,444,514 $ 1.381.303 Deferred revenue as of June 30, 2018 is expected to be recognized as revenue as follows: Remainder of 2018 2019 2020 2021 2022 Thereafter Total Domains $ 251,672 $ 217,351 $ 76,061 $ 50,972 $ 40,367 $ 14,849 $ 651,272 Hosting 1,269,210 336,865 77,938 - - - 1,684,013 Media Subscription 90,617 18,612 - - - - 109,229 $ 1,611,499 $ 572,828 $ 153,999 $ 50,972 $ 40,367 $ 14,849 $ 2,444,514 Disaggregated revenue consists of following: Three Months Ended June 30 Six Months Ended June 30 2018 2017 2018 2017 Hosting services $ 2,132,140 $ - $ 4,193,635 $ - Podcast hosting 2,649,525 2,037,114 5,150,632 3,968,302 Advertising 250,750 361,077 571,414 841,968 Domains 116,499 - 188,295 - Other 156,848 100,711 261,091 182,743 $ 5,305,762 $ 2,498,902 $ 10,365,067 $ 4,993,013

INCOME TAXES

INCOME TAXES	6 Months Ended
	Jun. 30, 2018
Income Tax Disclosure [Abstract]
INCOME TAXES	The Company accounts for income taxes in accordance with FASB ASC Topic 740, Accounting for Income Taxes which requires the Company to provide a net deferred tax asset or liability equal to the expected future tax benefit or expense of temporary reporting differences between book and tax accounting and any available operating loss or tax credit carryforwards. At June 30, 2018 and December 31, 2017, the total of all deferred tax assets was $1,380,251 and $3,458,667, respectively, and the total of the deferred tax assets related to goodwill was $0 and $2,341,894, respectively. The 2017 deferred tax asst was fully allowed for in the year. The amount of and ultimate realization of the benefits from the deferred tax assets for income tax purposes is dependent, in part, upon the tax laws in effect, the Company’s future earnings, and other future events, the effects of which cannot be determined. Management has analyzed the health of the Company and it is now more likely than not that the company will likely have strong income from operations moving forward. Therefore, the valuation allowance has been relieved. The change in the valuation allowance for the six months ended June 30, 2018 and 2017 was $1,380,251 and $85,657, respectively. The components of income tax (benefit) expense from continuing operations for the six months ended June 30, 2018 and 2017 consist of the following: For the Six Months Ended June 30, 2018 2017 Current tax expense: Federal $ 282,401 $ - State - - Current tax expense 282,401 - Deferred tax (benefit) expense: Deferred revenue (14,030 ) - Depreciation and amortization (28,126 ) - Non-cash compensation (1,394,347 ) - Intangible Assets - 255,554 Valuation Allowance - (85,657 ) Net operating loss carryforward - (169,897 ) Subtotal deferred tax (benefit) expense (1,380,251 ) - Income tax (benefit) expense $ (1,097,850 ) $ - A reconciliation of income tax (benefit) expense as the federal statutory rate to income tax expense at the Company’s effective rate is as follows: For the Six Months Ended June 30, 2018 2017 Computed tax at the expected statutory rate $ 282,401 $ 70,984 State and local income taxes, net of federal - 13,912 Other non-deductible expenses - 761 Valuation Allowance (1,308,251 ) (85,657 ) Income tax expense/(benefit) $ (1,097,850 ) $ - The temporary differences, tax credits and carryforwards gave rise to the following deferred tax asset at June 30, 2018 and 2017: June 30, June 30, 2018 2017 Current deferred tax assets (liabilities): Allowance for doubtful accounts $ - $ - Vacation accrual - - Total current deferred tax assets (liabilities) - - Long-term deferred tax assets (liabilities): Long-term deferred tax assets (liabilities): Depreciation and amortization 28,126 - Deferred revenue 14,030 - Non-cash compensation 1,394,347 - Goodwill - impaired - 2,903,618 Intangible assets – tax amortization - (5,245,512 ) Net operating loss carryforward - 5,825,770 Valuation allowance - (3,483,876 ) Net term deferred tax assets (liabilities) $ 1,380,251 $ - At June 30, 2018, the company has loss carryforwards of $0. We file U.S. federal, and U.S. states returns, and we are generally no longer subject to tax examinations for years prior to 2015 for U.S. federal and U.S. states tax returns.

LEASES

LEASES	6 Months Ended
	Jun. 30, 2018
Leases [Abstract]
LEASES	Operating Lease The future minimum lease payments for non-cancelable operating leases having remaining terms in excess of one year as of June 30, 2018 are as follows: Year ending June 30: Lease Payments 2019 466,260 2020 466,260 2021 466,260 2022 150,452 Total Minimum Lease Payment $ 1,549,232 Lease expense charged to operations was $306,071 and $139,041 for the six months ended June 30, 2018 and 2017, respectively.

EARNINGS PER SHARE

EARNINGS PER SHARE	6 Months Ended
	Jun. 30, 2018
Earnings Per Share [Abstract]
EARNINGS PER SHARE	The following data shows the amounts used in computing earnings per share and the weighted average number of shares of common stock outstanding for the periods presented for the periods ended: For the Three Months For the Six Months June 30 June 30 2018 2017 2018 2017 Income from operations available to common stockholders (numerator)$ $ 649,357 $ 967,170 $ 2,453,331 208,776 Income available to common stockholders (numerator) 649,357 967,170 2,453,331 208,776 Restated Weighted average number of common shares outstanding during the period used in earnings per share (denominator) 29,776,974 24,446,578 29,711,034 24,083,595

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2018
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	After the Spin-Off, FAB Universal Corp. (“FAB”), the former parent company of the Company, may have obligations that at the present time are unknown or unforeseen. As the nature of such obligations are unknown, we are unable to provide an estimate of the potential obligation. However, should FAB incur such obligations, the Company may be financially obligated to pay any losses incurred. The Company has a 401 (k) plan and profit sharing plan for the benefit of the employees of the Company. Employees are eligible to participate in the plan the first of the month following their hire date and attaining the age of 21. Profit sharing contributions are made at the discretion of the Board of Directors and vest 100% after the second year of service. The Company made a $100,000 profit sharing contribution to the plan in 2018.

SEGMENT REPORTING

SEGMENT REPORTING	6 Months Ended
	Jun. 30, 2018
Segment Reporting [Abstract]
SEGMENT REPORTING	ASC 280, “Segment Reporting”, establishes standards for reporting information about operating segments on a basis consistent with the Company's internal organizational structure as well as information about geographical areas, business segments and major customers in financial statements for details on the Company's business segments. The Company is engaged in providing hosting services. The Company's chief operating decision maker (“CODM”) has been identified as the CEO who reviews the financial information of separate operating segments when making decisions about allocating resources and assessing performance of the group. Based on management's assessment, the Company has determined that it has two operating segments as of June 30, 2018 which are podcast hosting services (Libsyn) and internet hosting services (Pair). The following table presents summary information by segment for the six months ended June 30, 2018 and 2017, respectively: 2018 2017 (in thousands) Libsyn Pair Total Libsyn Pair Total Revenue $ 5,908 $ 4,457 $ 10,365 $ 4,993 $ - $ 4,993 Cost of revenue 1,074 338 1,412 1,198 - 1,198 Total assets $ 19,999 $ 18,115 $ 38,114 $ 18,651 $ - $ 18,651 Depreciation and amortization $ 18 $ 1,518 $ 1,536 $ 8 $ - $ 8 The following table presents summary information by segment for the three months ended June 30, 2018 and 2017, respectively: 2018 2017 (in thousands) Libsyn Pair Total Libsyn Pair Total Revenue $ 3,025 $ 2,280 $ 5,305 $ 2,126 $ - $ 2,126 Cost of revenue 539 165 704 752 - 752 Depreciation and amortization $ 10 $ 759 $ 769 $ 4 $ - $ 4

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	6 Months Ended
	Jun. 30, 2018
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	Management has evaluated subsequent events through the date of the filing of this report.

RESTATEMENT OF PREVIOUSLY REPOR

RESTATEMENT OF PREVIOUSLY REPORTED UNAUDITED CONSOLIDATED QUARTERLY FINANCIAL STATEMENTS	6 Months Ended
	Jun. 30, 2018
Accounting Changes and Error Corrections [Abstract]
RESTATEMENT OF PREVIOUSLY REPORTED UNAUDITED CONSOLIDATED QUARTERLY FINANCIAL STATEMENTS	Background of the Restatement On April 28, 2020, the Audit Committee of the Board of Directors of Liberated Syndication Inc, a Nevada corporation (the “Company”) determined that (a) the Consolidated Balance Sheet as of December 31, 2018, (b) the Consolidated Statement of Operations for the year ended December 31, 2018, (c) the Statement of Stockholders’ Equity for the year ended December 31, 2018, and (d) the Consolidated Statement of Cash Flows for the year December 31, 2018, all as presented in the Company’s Annual Report on Form 10-K for the Period Ended December 31, 2018, as previously filed with the U.S. Securities and Exchange Commission on March 14, 2019, should not be relied upon. Subsequent to such determination, the Company reviewed the related interim financial statements and interim financial statements for the first three quarters of 2019 and 2018, and as a result of such review, on May 20, 2020, the Audit Committee determined that such interim financial statement should likewise no longer be relied upon. Specifically, the amounts reported in the Consolidated Balance Sheet as of June 30, 2018 for total assets, current liabilities, and consequently total liabilities and total stockholders’ equity, were determined to be materially different. Additionally, the income tax (benefit) expense in the Consolidated Statement of Operations for the three and six months ended June 30, 2018 was changed. As a result, the net income and the basic and diluted income per common share were determined to be materially different. The Consolidated Statement of Cash Flows for the six months ended June 30, 2018 also changed as a result of the deferred income taxes and income tax payable for 2018. During the 2019 audit process, it was discovered through an ongoing IRS examination it was discovered that the Company owed Federal tax for 2018. The IRS examination uncovered an error in calculating the Net Operating Loss Carryforward (NOL) resulting from the spin-off of Libsyn in 2016. At December 31, 2017, the Company had recorded an NOL of approximately $14 million. The NOL was part of deferred tax asset which was valued at $0 on the balance sheet, as it had a full valuation allowance. Consequently, the Company was not recognizing tax expenses or the associated tax payable during 2018. However, as the IRS examination continued, it has become clear that the $14 million NOL was overestimated by approximately $12.5 million, and by March 31, 2018, that the NOL has been completely utilized. The result is that the Company ought to have begun recording tax expenses in 2018. This Federal Tax Balance will be paid with an amended return in 2020. The Company has temporary tax differences which result in a deferred tax asset (DTA). Under the provisions of ASC Topic 740, a DTA is to be recognized for the potential future tax benefit from a loss carryforward. Full realization of the benefit, however, depends on the Company having income in future years. Because the NOL has been completely utilized and the Company is now consistently recording profits, a DTA with the associated payable should have been recorded in 2018. DTAs represent future income tax benefits. But the tax benefits will be realized only if there is sufficient taxable income from which the deductible amount can be deducted. Impact of the Restatement As a result of the restatement, reported net income from continuing operations was decreased by $173,209, or $0.01 per basic and diluted share for the three months ended June 30, 2018. As a result of the restatement, reported net income from continuing operations was increased by $1,097,850, or $0.03 per basic and diluted share for the six months ended June 30, 2018. Total assets increased by $1,380,251 at June 30, 2018. Current and total liabilities increased by $282,401 at June 30, 2018. Accumulated deficit decreased by $1,097,850 at June 30, 2018. The financial statements included in this Form 10-Q/A have been restated to reflect the adjustments described. The table below summarizes the effects of the restatement on Libsyn’s Unaudited Consolidated Statements of Operation for the six months ended June 30, 2018 and, Unaudited Consolidated Balance Sheet at June 30, 2018. In addition to the restatement of the financial statements, certain information within Note 7 – Income Taxes to the financial statements has been restated to reflect the corrections of misstatements discussed above as well as to add disclosure language as appropriate. Unaudited Consolidated Balance Sheet June 30, 2018 As Reported Corrections June 30, 2018 As Restated Deferred Tax Assets — 1,380,251 1,380,251 Total Assets 36,734,480 1,380,251 38,114,731 Income Taxes Payable — 282,401 282,401 Total Current Liabilities 4,768,655 282,401 5,051,056 Total Liabilities 12,643,111 282,401 12,925,512 Accumulated Deficit (11,031,406 ) 1,097,850 (9,933,556 ) Stockholder’s Equity 24,091,369 1,097,850 25,189,219 Unaudited Consolidated Statement of Operations Six months ended June 30, 2018 As Reported Corrections Six months ended June 30, 2018 As Restated Income Tax (Benefit) Expense — (1,097,850 ) (1,097,850 ) Net Income 1,355,481 (1,097,850 ) 2,453,331 Basic and Diluted Income Per Common Share 0.05 0.03 0.08 Unaudited Consolidated Statement of Operations Three months ended June 30, 2018 As Reported Corrections Three months ended June 30, 2018 As Restated Income Tax (Benefit) Expense — 173,209 173,209 Net Income 822,566 173,209 649,357 Basic and Diluted Income Per Common Share 0.03 (0.01 ) 0.02

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2018
Accounting Policies [Abstract]
Organization	Liberated Syndication Inc., (“Company”, “parent”), a Nevada Corporation, was organized on September 30, 2015. Webmayhem, Inc. (“Libsyn”), a Pennsylvania corporation, currently a wholly owned subsidiary of the Company, was originally organized on January 1, 2001. Libsyn provides podcast hosting services for producers of content. Libsyn also offers ad insertion on certain of the producers’ content. On December 27, 2017, the Company purchased all the issued and outstanding shares of Pair Networks Inc., (“Pair”), a Pennsylvania corporation, and subsidiaries Ryousha Kokusai, LLC (”Ryousha”) and 660837 N.B., Inc. (“NB”), in a transaction accounted for as a purchase. Pair provides web hosting services and domain name registrations.
Prior Period Reclassifications	Reclassifications of certain immaterial prior period amounts have been made to conform to the current period presentation.
Consolidation	The financial statements presented reflect the accounts of the parent, Libsyn, Ryousha, NB and Pair. All inter-company transactions have been eliminated in consolidation.
Accounting Estimates	The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Management made assumptions and estimates for determining reserve for accounts receivable, depreciation of fixed assets and in determining the impairment of definite life intangible assets and goodwill. Actual results could differ from those estimated by management. Our more significant estimates include: ● the determination of the best estimate of selling price of the deliverables included in multiple-deliverable revenue arrangements; ● the fair value of assets acquired, and liabilities assumed in business acquisitions; ● the assessment of recoverability of long-lived assets, including property and equipment, goodwill and intangible assets; ● the estimated reserve for refunds; ● the estimated useful lives of intangible and depreciable assets; ● the grant date fair value of equity-based awards; ● the recognition, measurement, and valuation of current and deferred income taxes; We periodically evaluate these estimates and adjust prospectively, if necessary. We believe our estimates and assumptions are reasonable; however, actual results may differ from our estimates.
Cash and Cash Equivalents	The Company considers all highly liquid investments with an original maturity date of three months or less when purchased to be cash equivalents. At June 30, 2018, the Company had $7,711,981 cash balances in excess of federally insured limits.
Accounts Receivable	Accounts receivable consist of trade receivables arising in the normal course of business. At June 30, 2018 and December 31, 2017, the Company has an allowance for doubtful accounts of $14,000 and $14,000, respectively, which reflects the Company’s best estimate of probable losses inherent in the accounts receivable balance. The Company determines the allowance based on known troubled accounts, historical experience, and other currently available evidence. During the six months ended June 30, 2018 and 2017, the Company adjusted the allowance for bad debt by $0.
Depreciation	Depreciation of property and equipment is provided on the straight-line method over the estimated useful lives.
Long-lived intangible assets	The Company evaluates its long-lived assets for impairment whenever events or change in circumstances indicate that the carrying amount of such assets may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of the asset to the future net undiscounted cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is the excess of the carrying amount over the fair value of the asset.
Software Development Costs	Software development costs associated with software to be sold, leased, or for internal use are expensed as incurred until technological feasibility, defined as a working model or prototype, has been established. At that time, such costs are capitalized until the product is available for general release. To date, costs incurred between the completion of a working model and the point at which the product is ready for general release have been insignificant. Accordingly, the Company has expensed all such costs to technology during the six months ended June 30, 2018 and 2017.
Goodwill	Goodwill is evaluated for impairment annually in the fourth quarter of the Company’s fiscal year, and whenever events or changes in circumstances indicate the carrying value of goodwill may not be recoverable. Triggering events that may indicate impairment include, but are not limited to, a significant adverse change in customer demand or business climate that could affect the value of goodwill or a significant decrease in expected cash flows. Management noted no triggering events during the period ended June 30, 2018.
Advertising Costs	Advertising costs are expensed as incurred and amounted to $67,368 and $16,140 for the six months ending June 30, 2018 and 2017, respectively.
Fair Value of Financial Instruments	The Company accounts for fair value measurements for financial assets and financial liabilities in accordance with FASB ASC Topic 820. The authoritative guidance, which, among other things, defines fair value, establishes a consistent framework for measuring fair value and expands disclosure for each major asset and liability category measured at fair value on either a recurring or nonrecurring basis. Fair value is defined as the exit price, representing the amount that would either be received to sell an asset or be paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, the guidance establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: ● Level 1. Observable inputs such as quoted prices in active markets for identical assets or liabilities; ● Level 2. Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and ● Level 3. Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. Unless otherwise disclosed, the fair value of the Company’s financial instruments including cash, accounts receivable, prepaid expenses, and accounts payable, deferred revenue and accrued expenses approximates their recorded values due to their short-term maturities.
Revenue Recognition	On January 1, 2018, we adopted the Financial Accounting Standards Board's (FASB) new revenue recognition standard using the modified retrospective method applied to those contracts not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under the new standard, while prior period amounts were not adjusted and continue to be reported in accordance with our historic accounting. The adoption of the new standard did not have a material impact to our financial statements. Revenue is recognized when control of the promised services is transferred to our customers, in an amount reflecting the consideration we expect to be entitled to in exchange for those services. Certain products are generally sold with a right of return within our policy, which are accounted for as variable consideration when estimating the amount of revenue to recognize. Refunds are estimated at contract inception using the expected value method based on historical refund experience and updated each reporting period as additional information becomes available and only to the extent it is probable a significant reversal of any incremental revenue will not occur. Refunds reduce deferred revenue at the time they are granted and resulted in a reduced amount of revenue recognized over the contract term of the applicable service compared to the amount originally expected. Our revenue is categorized and disaggregated as follows:
Domains	Domains revenue primarily consists of domain registrations and renewals, domain privacy, domain application fees, domain back-orders, aftermarket domain sales and fee surcharges paid to ICANN. Domain registrations provide a customer with the exclusive use of a domain during the applicable contract term. After the contract term expires, unless renewed, the customer can no longer access the domain. Consideration is recorded as deferred revenue when received, which is typically at the time of sale, and revenue, other than for aftermarket domain sales, is recognized over the period in which the performance obligations are satisfied, which is generally over the contract term. Aftermarket domain revenue is recognized when ownership of the domain is transferred to the buyer.
Hosting Services	Hosting services revenue primarily consists of website hosting products, website building products and services, website security products, an online shopping cart and online visibility products and email accounts. Consideration is recorded as deferred revenue when received, which is typically at the time of sale, and revenue is recognized over the period in which the performance obligations are satisfied, which is generally over the contract term.
Podcast Hosting	Podcast hosting publishing services are billed on a month to month basis, with first month’s bill prorated to the end of the month so all performance obligations are satisfied at each month-end. Consideration is recorded as revenue as the services, the underlying performance obligation, are provided and or satisfied and collection is probable which is generally when received.
Media Subscription Services	The Company facilitates the sale of producers’ premium content through the sale of subscriptions. The amount earned per transaction is fixed with the producers determine the price for the sale of each subscription, and the Company earns a percentage of what the customer pays. The performance obligation is providing the subscription hosting medium and billing services. Accordingly, the Company reports premium subscription revenue on a net basis over the subscription service period in which the performance obligation is satisfied.
Advertising	The Company recognizes revenue from the insertion of advertisements in digital media. The performance obligation is the download of the digital media with the advertisement inserted. The performance obligation to recognize advertising revenue is satisfied upon delivery of the media download and collection is probable.
Equity-Based Compensation	Our equity-based awards are comprised of options and stock and are accounted for using the fair value method. We grant options at exercise prices equal to the fair market value of our common stock as reported on the OTCQB on the date of grant. We measure and recognize compensation expense for equity-based awards made to employees and directors based on the grant date fair values of the awards. Stock is measured based on the fair market value of the underlying common stock on the date of grant. For options with service or performance-based vesting conditions, the grant date fair value is estimated using the Black-Scholes option-pricing model, which requires management to make assumptions and apply judgment in determining the grant date fair value. Options and award vest and compensation is recognized over the requisite service period. The measurement date for performance vesting awards is the date on which the applicable performance criteria are approved by our board of directors. Key assumptions used in the determination of fair value for stock options are as follows: Expected term. Expected volatility. Expected dividend yield. Risk-free interest rate.
Leases	The Company accounts for leases in accordance with Accounting Standards Codification (“ASC”) Topic 840. Leases that meet one or more of the capital lease criteria of standard are recorded as a capital lease, all other leases are operating leases.
Earnings Per Share	The Company computes earnings per share in accordance with FASB ASC Topic 260 Earnings Per Share, which requires the Company to present basic earnings per share and diluted earnings per share when the effect is dilutive (see Note 9).
Income Taxes	The Company accounts for income taxes in accordance with FASB ASC Topic 740 Accounting for Income Taxes. This topic requires an asset and liability approach for accounting for income taxes (See Note 7).
Recently Enacted Accounting Standards	In February 2016, the FASB issued changes to the accounting for leases that primarily affect presentation and disclosure requirements. The new standard will require the recognition of a right to use asset and underlying lease liability for operating leases with an initial life in excess of one year. This standard is effective for us beginning in the first quarter of 2019. We have not yet determined the impact of the new standard on our consolidated financial statements. Recent accounting pronouncements issued by the FASB did not or are not believed by management to have a material impact on the Company’s present or future financial statements.

PROPERTY AND EQUIPMENT (Tables)

PROPERTY AND EQUIPMENT (Tables)	6 Months Ended
	Jun. 30, 2018
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment	Life June 30, 2018 December 31, 2017 Furniture, fixtures, and equipment 3-10 yrs $ 8,184,907 $ 8,032,178 Leasehold improvements 3 - 5 yrs 2,646,400 2,646,400 Software 3 yrs 6,503 6,503 10,837,810 10,685,081 Less: Accumulated depreciation (8,285,665 ) (7,678,056 ) Property & equipment, net $ 2,552,145 $ 3,007,025

GOODWILL AND OTHER DEFINITE-L_2

GOODWILL AND OTHER DEFINITE-LIFE INTANGIBLE ASSETS (Tables)	6 Months Ended
	Jun. 30, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Summary of goodwill	June 30, December 31, 2018 2017 Goodwill at beginning of period $ 16,352,069 $ 11,484,251 Acquisition of Pair 36,102 4,867,818 Impairment - - Goodwill at end of period $ 16,388,171 $ 16,352,069
Summary of other intangible assets	Preliminary Fair Value Weighted Average Useful Life (in Years) Accumulated Amortization Net Carrying Amount Customer Relationships $ 3,947,000 7 $ 281,928 $ 3,665,072 Intellectual Property 3,709,000 7 264,929 3,444,071 Trade name 576,000 10 28,800 547,200 Non-compete 1,412,000 2 353,000 1,059,000 Total $ 9,644,000 $ 928,657 $ 8,715,343
Schedule of estimated future amortization expenses related to other intangible assets	For twelve months ending June 30, 2019 $ 1,857,314 2020 1,504,314 2021 1,151,314 2022 1,151,314 2023 1,151,314 Thereafter 1,899,773 Total $ 8,715,343

LOANS (Tables)

LOANS (Tables)	6 Months Ended
	Jun. 30, 2018
Loans Tables Abstract
Future maturities of the loans	For the year ending June 30, 2019 $ 1,600,000 2020 1,600,000 2021 1,600,000 2022 1,600,000 2023 2,800,000 Thereafter - Total $ 9,200,000

DEFERRED REVENUE (Tables)

DEFERRED REVENUE (Tables)	6 Months Ended
	Jun. 30, 2018
Deferred Revenue
Schedule of deferred revenue	June 30, 2018 December 31, 2017 Current: Hosting services $ 1,620,020 $ 1,032,000 Domains 413,546 104,172 Media subscription 109,229 111,514 $ 2,142,795 $ 1,247,686 Noncurrent: Hosting services 63,993 50,351 Domains 237,726 83,266 $ 2,444,514 $ 1.381.303
Deferred revenue expected to be recognized	Remainder of 2018 2019 2020 2021 2022 Thereafter Total Domains $ 251,672 $ 217,351 $ 76,061 $ 50,972 $ 40,367 $ 14,849 $ 651,272 Hosting 1,269,210 336,865 77,938 - - - 1,684,013 Media Subscription 90,617 18,612 - - - - 109,229 $ 1,611,499 $ 572,828 $ 153,999 $ 50,972 $ 40,367 $ 14,849 $ 2,444,514
Disaggregated revenue	Three Months Ended June 30 Six Months Ended June 30 2018 2017 2018 2017 Hosting services $ 2,132,140 $ - $ 4,193,635 $ - Podcast hosting 2,649,525 2,037,114 5,150,632 3,968,302 Advertising 250,750 361,077 571,414 841,968 Domains 116,499 - 188,295 - Other 156,848 100,711 261,091 182,743 $ 5,305,762 $ 2,498,902 $ 10,365,067 $ 4,993,013

INCOME TAXES (Tables)

INCOME TAXES (Tables)	6 Months Ended
	Jun. 30, 2018
Income Tax Disclosure [Abstract]
Schedule of Income Tax Expense	For the Six Months Ended June 30, 2018 2017 Current tax expense: Federal $ 282,401 $ - State - - Current tax expense 282,401 - Deferred tax (benefit) expense: Deferred revenue (14,030 ) - Depreciation and amortization (28,126 ) - Non-cash compensation (1,394,347 ) - Intangible Assets - 255,554 Valuation Allowance - (85,657 ) Net operating loss carryforward - (169,897 ) Subtotal deferred tax (benefit) expense (1,380,251 ) - Income tax (benefit) expense $ (1,097,850 ) $ -
Schedule of Effective Income Tax Rate Reconciliation	For the Six Months Ended June 30, 2018 2017 Computed tax at the expected statutory rate $ 282,401 $ 70,984 State and local income taxes, net of federal - 13,912 Other non-deductible expenses - 761 Valuation Allowance (1,308,251 ) (85,657 ) Income tax expense/(benefit) $ (1,097,850 ) $ -
Schedule of Deferred Tax Assets and Liabilities	June 30, June 30, 2018 2017 Current deferred tax assets (liabilities): Allowance for doubtful accounts $ - $ - Vacation accrual - - Total current deferred tax assets (liabilities) - - Long-term deferred tax assets (liabilities): Long-term deferred tax assets (liabilities): Depreciation and amortization 28,126 - Deferred revenue 14,030 - Non-cash compensation 1,394,347 - Goodwill - impaired - 2,903,618 Intangible assets – tax amortization - (5,245,512 ) Net operating loss carryforward - 5,825,770 Valuation allowance - (3,483,876 ) Net term deferred tax assets (liabilities) $ 1,380,251 $ -

LEASES (Tables)

LEASES (Tables)	6 Months Ended
	Jun. 30, 2018
Leases [Abstract]
Schedule of Future Minimum Lease Payments	Year ending June 30: Lease Payments 2019 466,260 2020 466,260 2021 466,260 2022 150,452 Total Minimum Lease Payment $ 1,549,232

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	6 Months Ended
	Jun. 30, 2018
Earnings Per Share [Abstract]
Schedule of Earnings Per Share	For the Three Months For the Six Months June 30 June 30 2018 2017 2018 2017 Income from operations available to common stockholders (numerator)$ $ 649,357 $ 967,170 $ 2,453,331 208,776 Income available to common stockholders (numerator) 649,357 967,170 2,453,331 208,776 Restated Weighted average number of common shares outstanding during the period used in earnings per share (denominator) 29,776,974 24,446,578 29,711,034 24,083,595

SEGMENT REPORTING (Tables)

SEGMENT REPORTING (Tables)	6 Months Ended
	Jun. 30, 2018
Segment Reporting
Segment Reporting	2018 2017 (in thousands) Libsyn Pair Total Libsyn Pair Total Revenue $ 5,908 $ 4,457 $ 10,365 $ 4,993 $ - $ 4,993 Cost of revenue 1,074 338 1,412 1,198 - 1,198 Total assets $ 19,999 $ 18,115 $ 38,114 $ 18,651 $ - $ 18,651 Depreciation and amortization $ 18 $ 1,518 $ 1,536 $ 8 $ - $ 8 2018 2017 (in thousands) Libsyn Pair Total Libsyn Pair Total Revenue $ 3,025 $ 2,280 $ 5,305 $ 2,126 $ - $ 2,126 Cost of revenue 539 165 704 752 - 752 Depreciation and amortization $ 10 $ 759 $ 769 $ 4 $ - $ 4

RESTATEMENT OF PREVIOUSLY REP_2

RESTATEMENT OF PREVIOUSLY REPORTED UNAUDITED CONSOLIDATED QUARTERLY FINANCIAL STATEMENTS (Tables)	6 Months Ended
	Jun. 30, 2018
Accounting Changes and Error Corrections [Abstract]
Balance sheet restatement	Unaudited Consolidated Balance Sheet June 30, 2018 As Reported Corrections June 30, 2018 As Restated Deferred Tax Assets — 1,380,251 1,380,251 Total Assets 36,734,480 1,380,251 38,114,731 Income Taxes Payable — 282,401 282,401 Total Current Liabilities 4,768,655 282,401 5,051,056 Total Liabilities 12,643,111 282,401 12,925,512 Accumulated Deficit (11,031,406 ) 1,097,850 (9,933,556 ) Stockholder’s Equity 24,091,369 1,097,850 25,189,219
Statement of operations restatement	Unaudited Consolidated Statement of Operations Six months ended June 30, 2018 As Reported Corrections Six months ended June 30, 2018 As Restated Income Tax (Benefit) Expense — (1,097,850 ) (1,097,850 ) Net Income 1,355,481 (1,097,850 ) 2,453,331 Basic and Diluted Income Per Common Share 0.05 0.03 0.08 Unaudited Consolidated Statement of Operations Three months ended June 30, 2018 As Reported Corrections Three months ended June 30, 2018 As Restated Income Tax (Benefit) Expense — 173,209 173,209 Net Income 822,566 173,209 649,357 Basic and Diluted Income Per Common Share 0.03 (0.01 ) 0.02

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Accounting Policies [Abstract]
Additional common shares issued	200,000	3,650,000
Cash balances in excess of federally insured limits	$ 7,711,981
Allowance for doubtful accounts	14,000	$ 14,000	$ 14,000
Adjusted allowance for bad debt	0	0
Advertising costs	67,368	16,140
Research and development costs	$ 865,899	$ 306,059

PROPERY AND EQUIPMENT (Details)

PROPERY AND EQUIPMENT (Details) - USD ($)	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Property, Plant and Equipment [Line Items]
Property and equipment	$ 10,837,810		$ 10,685,081
Less: Accumulated depreciation	(8,285,665)		(7,678,056)
Property & equipment, net	2,552,145		3,007,025
Depreciation expense	607,608	$ 8,319
Furniture, fixtures and equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment	$ 8,184,907		2,646,400
Furniture, fixtures and equipment [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Life	3 years
Furniture, fixtures and equipment [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Life	10 years
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property and equipment	$ 2,646,400		8,032,178
Leasehold Improvements [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Life	3 years
Leasehold Improvements [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Life	5 years
Software [Member]
Property, Plant and Equipment [Line Items]
Property and equipment	$ 6,503		$ 6,503
Life	3 years

GOODWILL AND OTHER DEFINITE-L_3

GOODWILL AND OTHER DEFINITE-LIFE INTANGIBLE ASSETS (Details) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2018	Dec. 31, 2017
Goodwill
Goodwill at beginning of period	$ 16,352,069	$ 11,484,251
Acquisition of Pair	36,102	4,867,818
Goodwill at end of period	$ 16,388,171	$ 16,352,069

GOODWILL AND OTHER DEFINITE-L_4

GOODWILL AND OTHER DEFINITE-LIFE INTANGIBLE ASSETS (Details 1) - USD ($)	6 Months Ended
	Jun. 30, 2018	Dec. 31, 2017
Preliminary fair value	$ 9,644,000
Accumulated amortization	928,657
Net carrying amount	8,715,343	$ 9,644,000
Customer relationships
Preliminary fair value	$ 3,947,000
Weighted average useful life	7 years
Accumulated amortization	$ 281,928
Net carrying amount	3,665,072
Intellectual property
Preliminary fair value	$ 3,709,000
Weighted average useful life	7 years
Accumulated amortization	$ 264,929
Net carrying amount	3,444,071
Trade name
Preliminary fair value	$ 576,000
Weighted average useful life	10 years
Accumulated amortization	$ 28,800
Net carrying amount	547,200
Non-compete
Preliminary fair value	$ 1,412,000
Weighted average useful life	2 years
Accumulated amortization	$ 353,000
Net carrying amount	$ 1,059,000

GOODWILL AND OTHER DEFINITE-L_5

GOODWILL AND OTHER DEFINITE-LIFE INTANGIBLE ASSETS (Details 2) - USD ($)	Jun. 30, 2018	Dec. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
2019	$ 1,857,314
2020	1,504,314
2021	1,151,314
2022	1,151,314
2023	1,151,314
Thereafter	1,899,773
Total	$ 8,715,343	$ 9,644,000

LOANS (Details)

LOANS (Details)	Jun. 30, 2018USD ($)
Loans Details Abstract
2019	$ 1,600,000
2020	1,600,000
2021	1,600,000
2022	1,600,000
2023	2,800,000
Thereafter	0
Total	$ 9,200,000

CAPITAL STOCK (Details Narrativ

CAPITAL STOCK (Details Narrative) - USD ($)	3 Months Ended	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Stockholders' Equity Note [Abstract]
Common stock authorized		200,000,000		200,000,000
Common stock par value		$ 0.001		$ 0.001
Common stock outstanding		29,776,974		29,595,473
Common stock shares issued		200,000	3,650,000
Common stock shares issued, value		$ (318,000)	$ (1,752,000)
Common stock shares repurchased	40,000
Common stock shares repurchased, Value	$ 8,000

DEFERRED REVENUE (Details)

DEFERRED REVENUE (Details) - USD ($)	Jun. 30, 2018	Dec. 31, 2017
Current revenue	$ 2,142,795	$ 1,247,686
Noncurrent revenue	2,444,514	1,381,303
Hosting Services
Current revenue	1,620,020	1,032,000
Noncurrent revenue	1,684,013	50,351
Domains
Current revenue	413,546	104,172
Noncurrent revenue	651,272	83,266
Media Subscription
Current revenue	109,229	$ 111,514
Noncurrent revenue	$ 109,229

DEFERRED REVENUE (Details 1)

DEFERRED REVENUE (Details 1) - USD ($)	Jun. 30, 2018	Dec. 31, 2017
Remainder of 2018	$ 1,611,499
2019	572,828
2020	153,999
2021	50,972
2022	40,367
Thereafter	14,849
Total	2,444,514	$ 1,381,303
Domains
Remainder of 2018	251,672
2019	217,351
2020	76,061
2021	50,972
2022	40,367
Thereafter	14,849
Total	651,272	83,266
Hosting Services
Remainder of 2018	1,269,210
2019	336,865
2020	77,938
2021	0
2022	0
Thereafter	0
Total	1,684,013	$ 50,351
Media Subscription
Remainder of 2018	90,617
2019	18,612
2020	0
2021	0
2022	0
Thereafter	0
Total	$ 109,229

DEFERRED REVENUE (Details 2)

DEFERRED REVENUE (Details 2) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Revenue	$ 5,305,762	$ 2,498,902	$ 10,365,067	$ 4,993,013
Hosting Services
Revenue	2,132,140	0	4,193,635	0
Podcast Hosting
Revenue	2,649,525	2,037,114	5,150,632	3,968,302
Advertising
Revenue	250,750	361,077	571,414	841,968
Domains
Revenue	116,499	0	188,295	0
Other
Revenue	$ 156,848	$ 100,711	$ 261,091	$ 182,743

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Current tax expense:
Federal			$ 282,401	$ 0
State			0	0
Current tax expense			282,401	0
Deferred tax expense (benefit):
Deferred revenue			(14,030)	0
Depreciation/amortization			28,126	0
Non-cash compensation			(1,394,347)	0
Intangible Assets			0	255,554
Valuation Allowance			0	(85,657)
Net operating loss carryforward			0	(169,897)
Subtotal deferred tax expense/(benefit)			(1,380,251)	0
Income tax expense/(benefit)	$ 173,209	$ 0	$ (1,097,850)	$ 0

INCOME TAXES (Details 1)

INCOME TAXES (Details 1) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Effective Income Tax Rate Reconciliation
Computed tax at the expected statutory rate			$ 282,401	$ 70,984
State and local income taxes, net of federal			0	13,912
Other non-deductible expenses			0	761
Valuation Allowance			(1,380,251)	(85,657)
Income tax expense/(benefit)	$ 173,209	$ 0	$ (1,097,850)	$ 0

INCOME TAXES (Details 2)

INCOME TAXES (Details 2) - USD ($)	Jun. 30, 2018	Dec. 31, 2017
Current deferred tax assets (liabilities)
Allowance for doubtful accounts	$ 0	$ 0
Vacation accrual	0	0
Total current deferred tax assets (liabilities):	0	0
Long-term deferred tax assets (liabilities):
Depreciation and amortization	28,126	0
Deferred revenue	14,030	0
Non-cash compensation	1,394,347	0
Goodwill - impaired	0	2,903,618
Intangible assets-tax amortization	0	(5,245,512)
Net operating loss carryforward	0	5,825,770
Valuation allowance	0	(3,483,876)
Net term deferred tax assets (liabilities)	$ 1,380,251	$ 0

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative) - USD ($)	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Income Tax Disclosure [Abstract]
Total of all deferred tax assets	$ 3,065,240	$ 3,483,876
Deferred tax assets related to goodwill	2,094,959	2,341,894
Change in the valuation allowance	$ 393,426	$ 85,657

LEASES (Details)

LEASES (Details)	Jun. 30, 2018USD ($)
Year ending December 31:
2019	$ 466,260
2020	466,260
2021	466,260
2022	150,452
Total Minimum Lease Payment	$ 1,549,232

LEASES (Details Narrative)

LEASES (Details Narrative) - USD ($)	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Operating Leased Assets [Line Items]
Lease expense	$ 306,071	$ 139,041
Office Space [Member] | Pittsburgh Pennsylvania [Member] | Through April 2022 [Member]
Operating Leased Assets [Line Items]
Monthly rent	4,841
Office Space [Member] | Pair [Member] | Through September 2022 [Member]
Operating Leased Assets [Line Items]
Monthly rent	$ 34,014

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Earnings Per Share [Abstract]
Income from operations available to common stockholders (numerator)	$ 649,357	$ 967,170	$ 2,453,331	$ 208,776
Income available to common stockholders (numerator)	$ 649,357	$ 967,170	$ 2,453,331	$ 208,776
Restated Weighted average number of common shares outstanding during the period used in earnings per share (denominator)	29,776,974	24,446,578	29,711,034	24,083,595

SEGMENT REPORTING (Details)

SEGMENT REPORTING (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Revenue	$ 5,305,762	$ 2,498,902	$ 10,365,067	$ 4,993,013
Cost of revenue	704,515	580,724	1,411,885	1,197,778
Total assets	38,114,731	18,651,000	38,114,731	18,651,000	$ 35,068,579
Depreciation and amortization	769,365	4,015	1,536,265	8,319
Libsyn
Revenue	3,025,000	2,126,000	5,908	4,993,000
Cost of revenue	539,000	752,000	1,074	1,198,000
Total assets	19,999,000	18,651,000	19,999,000	18,651,000
Depreciation and amortization	10,000	4,015	18,000	8,000
Pair [Member]
Revenue	2,280,000	0	4,457	0
Cost of revenue	165,000	0	338	0
Total assets	18,115,000	0	18,115,000	0
Depreciation and amortization	$ 759,000	$ 0	$ 1,518,000	$ 0

RESTATEMENT OF PREVIOUSLY REP_3

RESTATEMENT OF PREVIOUSLY REPORTED UNAUDITED CONSOLIDATED QUARTERLY FINANCIAL STATEMENTS (Details) - USD ($)	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Deferred tax assets	$ 1,380,251	$ 0
Total assets	38,114,731	35,068,579	$ 18,651,000
Income taxes payable	282,401	0
Total current liabilities	5,051,056	4,093,613
Total liabilities	12,925,512	12,621,413
Accumulated deficit	(9,933,556)	(12,386,887)
Total stockholders' equity	25,189,219	$ 22,447,166
As Reported
Deferred tax assets	0
Total assets	36,734,480
Income taxes payable	0
Total current liabilities	4,768,655
Total liabilities	12,643,111
Accumulated deficit	(11,031,406)
Total stockholders' equity	24,091,369
Corrections
Deferred tax assets	1,380,251
Total assets	1,380,251
Income taxes payable	282,401
Total current liabilities	282,401
Total liabilities	282,401
Accumulated deficit	1,097,850
Total stockholders' equity	1,097,850
As Restated
Deferred tax assets	1,380,251
Total assets	38,114,731
Income taxes payable	282,401
Total current liabilities	5,051,056
Total liabilities	12,925,512
Accumulated deficit	(9,933,556)
Total stockholders' equity	$ 25,189,219

RESTATEMENT OF PREVIOUSLY REP_4

RESTATEMENT OF PREVIOUSLY REPORTED UNAUDITED CONSOLIDATED QUARTERLY FINANCIAL STATEMENTS (Details 1) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Income tax expense (benefit)	$ 173,209	$ 0	$ (1,097,850)	$ 0
Net Income	$ 649,357	$ 967,170	$ 2,453,331	$ 208,776
Basic and Diluted Income per Common Share	$ .02	$ 0.04	$ .08	$ 0.01
As Reported
Income tax expense (benefit)	$ 0		$ 0
Net Income	$ 822,566		$ 1,355,481
Basic and Diluted Income per Common Share	$ .03		$ .05
Corrections
Income tax expense (benefit)	$ 173,209		$ (1,097,850)
Net Income	$ 173,209		$ (1,097,850)
Basic and Diluted Income per Common Share	$ (.01)		$ .03
As Restated
Income tax expense (benefit)	$ 173,209		$ (1,097,850)
Net Income	$ 649,357		$ 2,453,331
Basic and Diluted Income per Common Share	$ 0.02		$ 0.08