Tandy Leather Factory (TLF) 10-Q 13 Nov 15 2015 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2015	Nov. 10, 2015
Entity Registrant Name	TANDY LEATHER FACTORY INC
Entity Central Index Key	909,724
Trading Symbol	tlf
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding (in shares)		9,753,293
Document Type	10-Q
Document Period End Date	Sep. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3
Amendment Flag	false

Consolidated Balance Sheets (Cu

Consolidated Balance Sheets (Current Period Unaudited) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
CURRENT ASSETS:
Cash	$ 7,243,288	$ 10,636,530
Accounts receivable-trade, net of allowance for doubtful accounts of $1,492 and $395 in 2015 and 2014, respectively	585,012	625,054
Inventory	35,058,012	32,875,492
Prepaid income taxes	868,582	336,828
Deferred income taxes	342,763	371,491
Prepaid expenses	1,659,052	1,348,652
Other current assets	249,089	157,758
Total current assets	46,005,798	46,351,805
PROPERTY AND EQUIPMENT, at cost	23,242,846	22,199,943
Less accumulated depreciation and amortization	(7,971,654)	(7,037,665)
	15,271,192	15,162,278
GOODWILL	956,584	971,786
OTHER INTANGIBLES, net of accumulated amortization of approximately $696,000 and $665,000 in 2015 and 2014, respectively	34,025	58,026
OTHER assets	332,881	329,979
TOTAL ASSETS	62,600,480	62,873,874
CURRENT LIABILITIES:
Accounts payable-trade	2,498,058	1,255,218
Accrued expenses and other liabilities	$ 6,396,752	5,394,514
Current maturities of long-term debt		3,702,500
Total current liabilities	$ 8,894,810	10,352,232
DEFERRED INCOME TAXES	1,361,631	1,458,005
LONG-TERM DEBT, net of current maturities	$ 3,711,224	$ 1,940,625
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS’ EQUITY:
Preferred stock, $0.10 par value; 20,000,000 shares authorized; none issued or outstanding; attributes to be determined on issuance	$ 0	$ 0
Common stock, $0.0024 par value; 25,000,000 shares authorized; 11,275,641 and 11,239,157 shares issued at 2015 and 2014, respectively; 9,753,293 and 10,245,534 shares outstanding at 2015 and 2014, respectively	27,062	26,984
Paid-in capital	6,129,736	6,013,325
Retained earnings	50,728,476	46,664,829
Treasury stock at cost (1,522,348 shares at 2015; 993,623 shares at 2014)	(6,602,930)	(2,894,068)
Accumulated other comprehensive income	(1,649,529)	(688,058)
Total stockholders’ equity	48,632,815	49,123,012
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$ 62,600,480	$ 62,873,874

Consolidated Balance Sheets (C3

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Accounts receivable-trade, net allowance for doubtful accounts	$ 1,492	$ 395
OTHER INTANGIBLES, accumulated amortization	$ 695,747	$ 665,225
Preferred stock par value (in dollars per share)	$ 0.10	$ 0.10
Preferred stock, shares authorized (in shares)	20,000,000	20,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.0024	$ 0.0024
Common stock, shares authorized (in shares)	25,000,000	25,000,000
Common stock, shares issued (in shares)	11,275,641	11,239,157
Common stock, shares outstanding (in shares)	9,753,293	10,245,534

Consolidated Statements of Inco

Consolidated Statements of Income (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
NET SALES	$ 19,355,937	$ 19,417,234	$ 59,918,229	$ 58,959,307
COST OF SALES	7,523,240	7,242,525	22,688,223	21,289,269
Gross profit	11,832,697	12,174,709	37,230,006	37,670,038
OPERATING EXPENSES	9,972,946	9,717,782	30,647,532	29,590,171
INCOME FROM OPERATIONS	1,859,751	2,456,927	6,582,474	8,079,867
OTHER INCOME (EXPENSE):
Interest expense	(228,235)	(63,684)	(307,160)	(154,367)
Other, net	38,320	37,525	68,070	44,203
Total other income (expense)	(189,915)	(26,159)	(239,090)	(110,164)
INCOME BEFORE INCOME TAXES	1,669,836	2,430,768	6,343,384	7,969,703
PROVISION FOR INCOME TAXES	558,492	802,206	2,279,737	2,721,244
NET INCOME	$ 1,111,344	$ 1,628,562	$ 4,063,647	$ 5,248,459
NET INCOME PER COMMON SHARE:
Basic (in dollars per share)	$ 0.11	$ 0.16	$ 0.40	$ 0.51
Diluted (in dollars per share)	$ 0.11	$ 0.16	$ 0.40	$ 0.51
Weighted Average Number of Shares Outstanding:
Basic (in shares)	10,175,650	10,203,711	10,199,841	10,200,411
Diluted (in shares)	10,199,092	10,241,410	10,226,877	10,240,109

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Net income	$ 1,111,344	$ 1,628,562	$ 4,063,647	$ 5,248,459
Translation adjustment	(794,904)	(721,916)	(961,471)	(631,301)
COMPREHENSIVE INCOME	$ 316,440	$ 906,646	$ 3,102,176	$ 4,617,158

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 4,063,647	$ 5,248,459
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization	1,163,116	1,088,758
(Gain) loss on disposal or abandonment of assets	25,782	8,603
Non-cash stock-based compensation	106,569	48,441
Deferred income taxes	(67,646)	(227,486)
Net changes in assets and liabilities:
Accounts receivable-trade, net	40,042	60,403
Inventory	(2,182,520)	(13,064,374)
Prepaid expenses	(310,400)	(11,683)
Other current assets	(91,331)	380,013
Accounts payable-trade	1,242,840	57,471
Accrued expenses and other liabilities	1,002,238	131,224
Income taxes payable	(531,754)	(735,527)
Total adjustments	396,936	(12,264,157)
Net cash provided by (used in) operating activities	4,460,583	(7,015,698)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment	(1,339,098)	(1,719,465)
Proceeds from sale of assets	11,372	$ 19,935
Purchase of intangible assets	(10,000)
(Increase) decrease in other assets	(2,902)	$ 6,968
Net cash used in investing activities	(1,340,628)	(1,692,562)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net (decrease) increase in revolving credit loans	(3,500,000)	$ 6,000,000
Proceeds from notes payable and long-term debt	$ 3,711,224
Payment of dividend		$ (2,549,683)
Payments on notes payable and long-term debt	$ (2,143,125)	$ (405,000)
Repurchase of common stock (treasury stock)	(3,708,862)
Proceeds from issuance of common stock	9,920	$ 52,722
Net cash (used in) provided by financing activities	(5,630,843)	3,098,039
Effect of exchange rate changes on cash	(882,354)	(606,442)
NET CHANGE IN CASH	(3,393,242)	(6,216,663)
CASH, beginning of period	10,636,530	11,082,679
CASH, end of period	7,243,288	4,866,016
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Interest paid during the period	307,160	154,367
Income tax paid during the period, net of (refunds)	$ 2,883,552	$ 3,690,817

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Treasury Stock [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Total
Balance (in shares) at Dec. 31, 2013	10,198,733
Balance at Dec. 31, 2013	$ 26,862	$ 5,892,907	$ (2,894,068)	$ 41,507,592	$ 88,249	$ 44,621,542
Shares issued – stock option exercise (in shares)	12,200					12,200
Shares issued – stock option exercise	$ 29	52,693				$ 52,722
Stock-based compensation (in shares)	34,601
Stock-based compensation	$ 88	48,353				48,441
Net income				$ 5,248,459		5,248,459
Cash dividend				(2,549,684)		(2,549,684)
Translation adjustment					$ (631,301)	(631,301)
Balance (in shares) at Sep. 30, 2014	10,245,534
Balance at Sep. 30, 2014	$ 26,979	5,993,953	$ (2,894,068)	44,206,367	(543,052)	46,790,179
Balance (in shares) at Dec. 31, 2014	10,245,534
Balance at Dec. 31, 2014	$ 26,984	6,013,325	$ (2,894,068)	$ 46,664,829	$ (688,058)	$ 49,123,012
Shares issued – stock option exercise (in shares)	2,000					2,000
Shares issued – stock option exercise	$ 5	9,915				$ 9,920
Stock-based compensation (in shares)	34,484
Stock-based compensation	$ 73	106,496				106,569
Net income				$ 4,063,647		4,063,647
Translation adjustment					$ (961,471)	(961,471)
Balance (in shares) at Sep. 30, 2015	9,753,293
Balance at Sep. 30, 2015	$ 27,062	$ 6,129,736	$ (6,602,930)	$ 50,728,476	$ (1,649,529)	48,632,815
Purchase of treasury stock (in shares)	(528,725)
Purchase of treasury stock			$ (3,708,862)			$ (3,708,862)

Note 1 - Basis of Presentation

Note 1 - Basis of Presentation and Certain Significant Accounting Policies	9 Months Ended
	Sep. 30, 2015
Notes to Financial Statements
Basis of Presentation and Significant Accounting Policies [Text Block]	1. BASIS OF PRESENTATION AND CERTAIN SIGNIFICANT ACCOUNTING POLICIES In the opinion of management, the accompanying consolidated financial statements for Tandy Leather Factory, Inc. and its consolidated subsidiaries contain all adjustments (consisting of normal recurring adjustments) necessary to present fairly its financial position as of September 30, 2015 and December 31, 2014, and its results of operations and cash flows for the three and nine-month periods ended September 30, 2015 and 2014. Operating results for the three and nine-month periods ended September 30, 2015 are not necessarily indicative of the results that may be expected for the year ending December 31, 2015. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes included in our Annual Report on Form 10-K for the year ended December 31, 2014. The preparation of financial statements in accordance with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Inventory . The components of inventory consist of the following: As of September 30, 2015 December 31, 2014 Inventory on hand: Finished goods held for sale $ 32,295,201 $ 31,257,820 Raw materials and work in process 1,230,577 1,118,506 Inventory in transit 1,532,234 499,166 $ 35,058,012 $ 32,875,492 Goodwill and Other Intangibles . Goodwill represents the excess of the purchase price over the fair value of net assets acquired in a business combination. Goodwill is required to be evaluated for impairment on an annual basis, absent indicators of impairment during the interim. Application of the goodwill impairment test requires exercise of judgment, including the estimation of future cash flows, determination of appropriate discount rates and other important assumptions. Changes in these estimates and assumptions could materially affect the determination of fair value and/or goodwill impairment for each reporting unit. A two-step process is used to test for goodwill impairment. The first phase screens for impairment, while the second phase (if necessary) measures the impairment. We have elected to perform the annual analysis during the fourth calendar quarter of each year. As of December 31, 2014, management determined that the present value of the discounted estimated future cash flows of the stores associated with the goodwill is sufficient to support their respective goodwill balances. No indicators of impairment were identified during the first nine months of 2015. A summary of changes in our goodwill for the periods ended September 30, 2015 and 2014 is as follows: Leather Factory Tandy Leather Total Balance, December 31, 2013 $ 598,579 $ 383,406 $ 981,985 Acquisitions and adjustments - - - Foreign exchange gain/loss (6,328 ) - (6,328 ) Impairments - - - Balance, September 30, 2014 $ 592,251 $ 383,406 $ 975,657 Leather Factory Tandy Leather Total Balance, December 31, 2014 $ 588,380 $ 383,406 $ 971,786 Acquisitions and adjustments - - - Foreign exchange gain/loss (15,202 ) - (15,202 ) Impairments - - - Balance, September 30, 2015 $ 573,178 $ 383,406 $ 956,584 Other intangibles consist of the following: As of September 30, 2015 As of December 31, 2014 Gross Accumulated Amortization Net Gross Accumulated Amortization Net Trademarks, Copyrights $ 554,369 $ 541,427 $ 12,942 $ 544,369 $ 518,426 $ 25,943 Non-Compete Agreements 175,403 154,320 21,083 178,882 146,799 32,083 $ 729,772 $ 695,747 $ 34,025 $ 723,251 $ 665,225 $ 58,026 We recorded amortization expense of $34,001 during the first nine months of 2015 compared to $33,924 during the same period of 2014. All of our intangible assets are subject to amortization under U.S. GAAP. Based on the current amount of intangible assets subject to amortization, the estimated amortization expense for each of the succeeding 5 years is as follows: Wholesale Leathercraft Retail Leathercraft Total 2015 $ 27 $ 6,549 $ 6,576 2016 108 6,333 6,441 2017 90 1,667 1,757 2018 - 1,417 1,417 2019 - 667 667 2020 - 667 667 Thereafter - 6,500 6,500 Revenue Recognition . We offer an unconditional satisfaction guarantee to our customers and accept all product returns. Net sales represent gross sales less negotiated price allowances, product returns, and allowances for defective merchandise. Comprehensive Income (loss) and Accumulated Other Comprehensive Income (loss). Recent Accounting Pronouncements. Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2014-09, which amends ASC Topic 606, Revenue from Contracts with Customers Revenue from Contracts with Customers: Deferral of the Effective Date In June 2014, the FASB issued ASU No. 2014-12, which amends ASC Topic 718, Compensation–Stock Compensation In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements – Going Concern In January 2015, the FASB issued ASU 2015-01, Income Statement – Extraordinary and Unusual Items

Note 2 - Notes Payable and Long

Note 2 - Notes Payable and Long-term Debt	9 Months Ended
	Sep. 30, 2015
Notes to Financial Statements
Debt Disclosure [Text Block]	2. N OTES PAYABLE AND LONG-TERM DEBT On September 18, 2015, we executed a Promissory Note and Business Loan Agreement with BOKF, NA dba Bank of Texas (“BOKF”), pursuant to which BOKF agreed to provide us with a line of credit facility of up to $6,000,000. It has a two-year term and is secured by our inventory. The Business Loan Agreement contains covenants that we will maintain a funded debt to EBITDA ratio of no greater than 1.5 to 1, and that we will maintain a Fixed Charge Coverage Ratio greater than or equal to 1.2 to 1. Both ratios are calculated quarterly and are based on a trailing four quarter basis. Also on September 18, 2015, we executed a Promissory Note with BOKF, pursuant to which BOKF agreed to provide us with a line of credit facility of up to $10,000,000 for the purpose of purchasing our common stock. Under the terms of the Promissory Note, we can borrow sums up to the lesser of $10,000,000 or the purchase price of a maximum of 1.2 million shares of our common stock from the period September 18, 2015 and ending on the earlier of September 18, 2016 or the date on which the entire amount is drawn. During this time, we will make interest only payments monthly, at which time the principal balance will be rolled into a 4-year term note. This Promissory Note is secured by a Deed of Trust on the real estate located at 1900 SE Loop 820, Fort Worth, Texas. We drew approximately $3.7 million on this line of credit in September 2015 which was used to purchase approximately 529,000 shares of our common stock. Amounts drawn under either Promissory Note accrue interest at the London interbank Eurodollar market rate for U.S. dollars (commonly known as “LIBOR”) plus 1.85% (2.04% at September 30, 2015). On July 31, 2007, we entered into a Credit Agreement and Line of Credit Note with JPMorgan Chase Bank, N.A., pursuant to which the bank agreed to provide us with a credit facility of up to $5,500,000 to facilitate our purchase of real estate consisting of a 191,000 square foot building situated on 30 acres of land located at 1900 SE Loop 820 in Fort Worth, Texas. Proceeds in the amount of $4,050,000 were used to fund the purchase of the property that is our corporate headquarters. On April 30, 2008, the principal balance was rolled into a 10-year term note with an interest rate of 7.10% per annum. We paid this note in full in September 2015. As a result of the early payoff, we incurred a prepayment penalty in the amount of $200,000 which is included in interest expense. On July 12, 2012, we executed a Line of Credit Note with JPMorgan Chase Bank, N.A., pursuant to which the bank agreed to provide us with a revolving credit facility of up to $4 million, which was subsequently increased to $6 million. The note expired on September 30, 2015. At September 30, 2015 and December 31, 2014, the amount outstanding under the above agreements consisted of the following: September 30, 2015 December 31, 2014 Business Loan Agreement with BOKF, NA – collateralized by real estate; payable as follows: Line of Credit Note dated September 18, 2015, in the maximum principal amount of $10,000,000 with features as more fully described above – interest due monthly at LIBOR plus 1.85%; matures September 18, 2020 $ 3,711,224 - Line of Credit Note dated September 18, 2015, in the maximum principal amount of $6,000,000 with revolving features as more fully described above – interest due monthly at LIBOR plus 1.85%; matures September 18, 2017 - - Credit Agreement with JPMorgan Chase Bank – collateralized by real estate; payable as follows: Line of Credit Note dated July 31, 2007, converted to a 10-year term note on April 30, 2008; $16,875 monthly principal payments plus interest at 7.1% per annum; matures April 30, 2018, retired - $ 2,143,125 Line of Credit Note dated July 12, 2012, as amended on June 23, 2014, in the maximum principal amount of $6,000,000 with revolving features as more fully described above – interest due monthly at LIBOR plus 2%; expired September 30, 2015 - 3,500,000 $ 3,711,224 $ 5,643,125 Less current maturities - 3,702,500 $ 3,711,224 $ 1,940,625

Note 3 - Stock-based Compensati

Note 3 - Stock-based Compensation	9 Months Ended
	Sep. 30, 2015
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	3. STOCK-BASED COMPENSATI ON We have one stock option plan which permits annual stock option grants to non-employee directors with an exercise price equal to the fair market value of the shares at the date of grant. Options outstanding and exercisable were granted at a stock option price which was not less than the fair market value of our common stock on the date the option was granted and no option has a term in excess of ten years. Under this plan, no options were awarded to directors during the nine months ended September 30, 2015 and 2014 and therefore, no share based compensation expense was recorded for those periods. During the nine months ended September 30, 2015 and 2014, the stock option activity under our stock option plans was as follows: Weighted Average Exercise Price # of shares Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Outstanding, January 1, 2014 $ 5.04 84,600 Granted - - Cancelled - - Exercised 4.32 (12,200 ) Outstanding, September 30, 2014 $ 5.78 72,400 6.42 $ 89,840 Exercisable, September 30, 2014 $ 5.78 72,400 6.42 $ 89,840 Outstanding, January 1, 2015 $ 5.16 72,400 Granted - - Cancelled (4.96 ) (2,000 ) Exercised (4.96 ) (2,000 ) Outstanding, September 30, 2015 $ 5.17 68,400 5.70 $ 83,933 Exercisable, September 30, 2015 $ 5.17 68,400 5.70 $ 83,933 Other information pertaining to option activity during the nine-month periods ended September 30, 2015 and 2014 are as follows: September 3 0, 201 5 September 30, 201 4 Weighted average grant-date fair value of stock options granted N/A N/A Total fair value of stock options vested N/A N/A Total intrinsic value of stock options exercised $2,953 N/A There was no unrecognized compensation cost pertaining to stock option grants as of September 30, 2015 and 2014. We have a restricted stock plan that was adopted by our Board of Directors in January 2013 and approved by our stockholders in June 2013. The plan reserves up to 300,000 shares of our common stock for restricted stock awards to our executive officers, non-employee directors and other key employees. Awards granted under the plan may be stock awards or performance awards, and may be subject to a graded vesting schedule with a minimum vesting period of four years, unless otherwise determined by the committee that administers the plan. In February 2014, our Chief Executive Officer, Chief Financial Officer and Senior Vice President were awarded restricted stock grants consisting of 9,375 shares each. In addition, four of our independent directors were awarded restricted stock grants consisting of 1,619 shares each. The grants will vest in equal annual amounts over a four-year period. The fair value of non-vested restricted common stock awards is the market value of our common stock on the date of grant. Compensation costs for these awards will be recognized on a straight-line basis over the four year vesting period. In February 2015, our Chief Executive Officer, Chief Financial Officer and Senior Vice President were awarded restricted stock grants consisting of 9,344 shares each. In addition, four of our independent directors were awarded restricted stock grants consisting of 1,613 shares each. The grants will vest in equal annual amounts over a four-year period. The fair value of non-vested restricted common stock awards is the market value of our common stock on the date of grant. Compensation costs for these awards will be recognized on a straight-line basis over the four year vesting period. A summary of the activity for non-vested restricted common stock awards as of September 30, 2015 and 2014 is presented below: Shares Award Fair Value Balance, January 1, 2014 - - Granted 34,601 $ 8.96 Forfeited - - Vested - - Unvested Balance, September 30, 2014 34,601 $ 8.96 Balance, January 1, 2015 34,601 $ 8.96 Granted 34,484 $ 8.99 Forfeited Vested (8,652 ) $ 8.96 Unvested Balance, September 30, 2015 60,433 $ 8.97 Pertaining to restricted stock awards, we recognized share based compensation expense of $106,569 and $48,441, respectively, during the nine months ended September 30, 2015 and 2014 as a component of operating expenses. Total unrecognized compensation expense for the non-vested restricted stock awards as of September 30, 2015 and 2014 totals $445,650 and $261,584, respectively. As of September 30, 2015, compensation expense is ex pected to be recognized in equal annual amounts over a period of four years as follows: 2015 Award 2014 Award Total 2015 $ 19,376 $ 19,377 $ 38,753 2016 $ 77,503 $ 77,506 $ 155,009 2017 $ 77,503 $ 77,506 $ 155,009 2018 $ 77,503 $ 9,688 $ 87,191 2019 $ 9,688 - $ 9,688 $ 261,573 $ 184,077 $ 445,650

Note 4 - Earnings Per Share

Note 4 - Earnings Per Share	9 Months Ended
	Sep. 30, 2015
Notes to Financial Statements
Earnings Per Share [Text Block]	4. EARNINGS PER SHARE The following table sets forth the computation of basic and diluted earnings per share (“EPS”) for the three and nine months ended September 30, 2015 and 2014: Three Months Ended Nine Months Ended September 30, September 30, 2015 2014 2015 2014 Numerator: Net income $ 1,111,344 $ 1,628,562 $ 4,063,647 $ 5,248,459 Numerator for basic and diluted earnings per share 1,111,344 1,628,562 4,063,647 5,248,459 Denominator: Weighted-average shares outstanding-basic 10,175,650 10,203,711 10,199,841 10,200,411 Effect of dilutive securities: Stock options 23,442 36,294 27,036 38,133 Restricted stock - 1,405 - 1,565 Dilutive potential common shares 23,442 37,699 27,036 39,698 Denominator for diluted earnings per share- weighted-average shares 10,199,092 10,241,410 10,226,877 10,240,109 Basic earnings per share $ 0.11 $ 0.16 $ 0.40 $ 0.51 Diluted earnings per share $ 0.11 $ 0.16 $ 0.40 $ 0.51 The net effect of converting stock options and restricted stock awards of 128,833 and 119,201 shares of common stock at exercise prices less than the average market prices has been included in the computations of diluted earnings per share for the quarters ended September 30, 2015 and 2014, respectively.

Note 5 - Cash Dividend

Note 5 - Cash Dividend	9 Months Ended
	Sep. 30, 2015
Notes to Financial Statements
Cash Dividend [Text Block]	5. CASH DIVIDEND On June 9, 2014, our Board of Directors authorized a $0.25 per share special one-time cash dividend to be paid to stockholders of record at the close of business on July 7, 2014. The cash dividend, totaling $2.5 million, was paid to stockholders on August 8, 2014. Our Board will determine future cash dividends after giving consideration to our then existing levels of profit and cash flow, capital requirements, current and forecasted liquidity, as well as financial and other business conditions existing at the time.

Note 6 - Commitments and Contin

Note 6 - Commitments and Contingencies	9 Months Ended
	Sep. 30, 2015
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	6. COMMITMENTS AND CONTINGENCIES Legal Proceedings. Mark Barnes and Jerry Mercante on behalf of themselves and all other similarly situated v. Tandy Leather Company, Inc., Tandy Leather Factory, and Does 1-50, The Settlement Agreement preliminarily approved by the Court required us to establish a fund designated as a Qualified Settlement Fund (Escrow Account) in the amount of $993,386 to fund (1) settlement payments to the plaintiffs, (2) settlement payments to the other members of the settlement class who joined the case, (3) plaintiffs’ attorneys’ fees and expenses, and (4) the claim administrator (Escrow Agent’s) fees and expenses. The foregoing description is not complete and is qualified in its entirety by reference to the full text of the Settlement Agreement which was attached as Exhibit 10.1 to a Current Report on Form 8-K, as filed with the Securities and Exchange Commission on October 1, 2012. The deadline established by the Court for any persons employed by us as store managers between November 23, 2008 and September 24, 2012 to join the lawsuit as class members expired on May 24, 2013. On June 28, 2013, the Court issued two orders: (1) an Order Approving Class and Collective Action Settlement and Dismissing Case with Prejudice, and (2) a Final Judgment, Approving Class and Collective Action Settlement and Dismissing Case with Prejudice. Pursuant to the Court’s June 28, 2013 orders, the claims administrator (Escrow Agent) was required to make payments to the plaintiffs and those existing and former store managers who joined the lawsuit by signing and returning Consent to Join Forms, which contained a release of us from the claims asserted in plaintiffs’ lawsuit. The settlement payments to the class members and the plaintiffs were made from the Escrow Account pursuant to the formula set forth in the Settlement Agreement by the claims administrator, as well as the payment of the plaintiffs’ attorney’s fees and the fees and expenses of the claims administrator (Escrow Agent). The total payment from the Escrow Account, including our required FICA payments based on the settlement payments, was $744,273 from the total Escrow Account of $993,386. All payments were made by the claims administrator and the balance of the Escrow Account (approximately $249,000) was returned to us in the first quarter of 2014. We are periodically involved in various other litigation matters that arise in the ordinary course of our business and operations. There are no such matters pending that we expect will have a material impact on our financial position and operating results. Legal costs associated with the resolution of claims, lawsuits and other contingencies are expensed as incurred.

Note 7 - Segment Information

Note 7 - Segment Information	9 Months Ended
	Sep. 30, 2015
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	7. SEGMENT INFORMATION We identify our segments based on the activities of three distinct operations: a. Wholesale Leathercraft, The Leather Factory b. Retail Leathercraft, Tandy Leather Company c. International Leathercraft Our reportable operating segments have been determined as separately identifiable business units, and we measure segment earnings as operating earnings, defined as income before interest and income taxes. Wholesale Leathercraft Retail Leathercraft Int’l Leathercraft Total For the quarter ended September 30, 201 5 Net sales $ 6,114,793 $ 12,328,599 $ 912,545 $ 19,355,937 Gross profit 4,180,181 7,118,111 534,405 11,832,697 Operating earnings 682,461 1,122,222 55,068 1,859,751 Interest (expense) (228,235 ) - - (228,235 ) Other income (expense), net 9,408 - 28,912 38,320 Income before income taxes 463,634 1,122,222 83,980 1,669,836 Depreciation and amortization 200,147 141,582 11,931 353,660 Fixed asset additions 122,549 124,502 3,816 250,867 Total assets $ 40,209,669 $ 18,113,696 $ 4,277,115 $ 62,600,480 For the quarter ended September 30, 201 4 Net sales $ 6,294,745 $ 12,068,832 $ 1,053,657 $ 19,417,234 Gross profit 4,283,949 7,167,486 723,274 12,174,709 Operating earnings 1,000,329 1,270,884 185,714 2,456,927 Interest expense (63,684 ) - - (63,684 ) Other income (expense), net 19,556 - 17,969 37,525 Income before income taxes 956,201 1,270,884 203,683 2,430,768 Depreciation and amortization 241,264 114,516 17,058 372,838 Fixed asset additions 489,660 279,829 893 770,382 Total assets $ 44,943,519 $ 16,439,542 $ 2,578,444 $ 63,961,505 Wholesale Leathercraft Retail Leathercraft Int’l Leathercraft Total For the nine months ended September 30, 201 5 Net sales $ 19,234,375 $ 37,970,423 $ 2,713,431 $ 59,918,229 Gross profit 13,076,723 22,512,736 1,640,547 37,230,006 Operating earnings 2,602,868 3,862,343 117,263 6,582,474 Interest (expense) (307,160 ) - - (307,160 ) Other income (expense), net 46,570 - 21,500 68,070 Income before income taxes 2,342,278 3,862,343 138,763 6,343,384 Depreciation and amortization 714,401 412,179 36,536 1,163,116 Fixed asset additions 706,995 608,817 23,286 1,339,098 Total assets $ 40,209,669 $ 18,113,696 $ 4,277,115 $ 62,600,480 For the nine months ended September 30, 201 4 Net sales $ 19,576,180 $ 36,226,810 $ 3,156,317 $ 58,959,307 Gross profit 13,588,209 21,973,975 2,107,854 37,670,038 Operating earnings 3,479,908 4,171,500 428,459 8,079,867 Interest expense (154,367 ) - - (154,367 ) Other income (expense), net 44,730 - (527 ) 44,203 Income before income taxes 3,370,271 4,171,500 427,932 7,969,703 Depreciation and amortization 705,902 332,276 50,580 1,088,758 Fixed asset additions 886,719 781,795 50,951 1,719,465 Total assets $ 44,943,519 $ 16,439,542 $ 2,578,444 $ 63,961,505 Net sales for geographic areas were as follows for the three and nine months ended September 30, 2015 and 2014: Three months ended September 30, 20 15 20 14 United States $ 16,558,873 $ 16,219,193 Canada 1,693,958 1,908,966 All other countries 1,103,106 1,289,075 $ 19,355,937 $ 19,417,234 Nine months ended September 30, 20 15 20 14 United States $ 51,144,236 $ 49,298,035 Canada 5,432,724 5,835,776 All other countries 3,341,269 3,825,496 $ 59,918,229 $ 58,959,307 Geographic sales information is based on the location of the customer. No single foreign country, except for Canada, accounted for any material amount of our consolidated net sales for the three and nine-month periods ended September 30, 2015 and 2014. We do not have any significant long-lived assets outside of the United States.

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Basis of Accounting, Policy [Policy Text Block]	In the opinion of management, the accompanying consolidated financial statements for Tandy Leather Factory, Inc. and its consolidated subsidiaries contain all adjustments (consisting of normal recurring adjustments) necessary to present fairly its financial position as of September 30, 2015 and December 31, 2014, and its results of operations and cash flows for the three and nine-month periods ended September 30, 2015 and 2014. Operating results for the three and nine-month periods ended September 30, 2015 are not necessarily indicative of the results that may be expected for the year ending December 31, 2015. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes included in our Annual Report on Form 10-K for the year ended December 31, 2014. The preparation of financial statements in accordance with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates.
Inventory, Policy [Policy Text Block]	Inventory . The components of inventory consist of the following: As of September 30, 2015 December 31, 2014 Inventory on hand: Finished goods held for sale $ 32,295,201 $ 31,257,820 Raw materials and work in process 1,230,577 1,118,506 Inventory in transit 1,532,234 499,166 $ 35,058,012 $ 32,875,492
Goodwill and Intangible Assets, Policy [Policy Text Block]	Goodwill and Other Intangibles . Goodwill represents the excess of the purchase price over the fair value of net assets acquired in a business combination. Goodwill is required to be evaluated for impairment on an annual basis, absent indicators of impairment during the interim. Application of the goodwill impairment test requires exercise of judgment, including the estimation of future cash flows, determination of appropriate discount rates and other important assumptions. Changes in these estimates and assumptions could materially affect the determination of fair value and/or goodwill impairment for each reporting unit. A two-step process is used to test for goodwill impairment. The first phase screens for impairment, while the second phase (if necessary) measures the impairment. We have elected to perform the annual analysis during the fourth calendar quarter of each year. As of December 31, 2014, management determined that the present value of the discounted estimated future cash flows of the stores associated with the goodwill is sufficient to support their respective goodwill balances. No indicators of impairment were identified during the first nine months of 2015. A summary of changes in our goodwill for the periods ended September 30, 2015 and 2014 is as follows: Leather Factory Tandy Leather Total Balance, December 31, 2013 $ 598,579 $ 383,406 $ 981,985 Acquisitions and adjustments - - - Foreign exchange gain/loss (6,328 ) - (6,328 ) Impairments - - - Balance, September 30, 2014 $ 592,251 $ 383,406 $ 975,657 Leather Factory Tandy Leather Total Balance, December 31, 2014 $ 588,380 $ 383,406 $ 971,786 Acquisitions and adjustments - - - Foreign exchange gain/loss (15,202 ) - (15,202 ) Impairments - - - Balance, September 30, 2015 $ 573,178 $ 383,406 $ 956,584 Other intangibles consist of the following: As of September 30, 2015 As of December 31, 2014 Gross Accumulated Amortization Net Gross Accumulated Amortization Net Trademarks, Copyrights $ 554,369 $ 541,427 $ 12,942 $ 544,369 $ 518,426 $ 25,943 Non-Compete Agreements 175,403 154,320 21,083 178,882 146,799 32,083 $ 729,772 $ 695,747 $ 34,025 $ 723,251 $ 665,225 $ 58,026 We recorded amortization expense of $34,001 during the first nine months of 2015 compared to $33,924 during the same period of 2014. All of our intangible assets are subject to amortization under U.S. GAAP. Based on the current amount of intangible assets subject to amortization, the estimated amortization expense for each of the succeeding 5 years is as follows: Wholesale Leathercraft Retail Leathercraft Total 2015 $ 27 $ 6,549 $ 6,576 2016 108 6,333 6,441 2017 90 1,667 1,757 2018 - 1,417 1,417 2019 - 667 667 2020 - 667 667 Thereafter - 6,500 6,500
Revenue Recognition, Policy [Policy Text Block]	Revenue Recognition . We offer an unconditional satisfaction guarantee to our customers and accept all product returns. Net sales represent gross sales less negotiated price allowances, product returns, and allowances for defective merchandise.
Comprehensive Income, Policy [Policy Text Block]	Comprehensive Income (loss) and Accumulated Other Comprehensive Income (loss).
New Accounting Pronouncements, Policy [Policy Text Block]	Recent Accounting Pronouncements. Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2014-09, which amends ASC Topic 606, Revenue from Contracts with Customers Revenue from Contracts with Customers: Deferral of the Effective Date In June 2014, the FASB issued ASU No. 2014-12, which amends ASC Topic 718, Compensation–Stock Compensation In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements – Going Concern In January 2015, the FASB issued ASU 2015-01, Income Statement – Extraordinary and Unusual Items

Note 1 - Basis of Presentatio16

Note 1 - Basis of Presentation and Certain Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2015
Notes Tables
Schedule of Inventory, Current [Table Text Block]	As of September 30, 2015 December 31, 2014 Inventory on hand: Finished goods held for sale $ 32,295,201 $ 31,257,820 Raw materials and work in process 1,230,577 1,118,506 Inventory in transit 1,532,234 499,166 $ 35,058,012 $ 32,875,492
Schedule of Goodwill [Table Text Block]	Leather Factory Tandy Leather Total Balance, December 31, 2013 $ 598,579 $ 383,406 $ 981,985 Acquisitions and adjustments - - - Foreign exchange gain/loss (6,328 ) - (6,328 ) Impairments - - - Balance, September 30, 2014 $ 592,251 $ 383,406 $ 975,657 Leather Factory Tandy Leather Total Balance, December 31, 2014 $ 588,380 $ 383,406 $ 971,786 Acquisitions and adjustments - - - Foreign exchange gain/loss (15,202 ) - (15,202 ) Impairments - - - Balance, September 30, 2015 $ 573,178 $ 383,406 $ 956,584
Schedule of Finite-Lived Intangible Assets [Table Text Block]	As of September 30, 2015 As of December 31, 2014 Gross Accumulated Amortization Net Gross Accumulated Amortization Net Trademarks, Copyrights $ 554,369 $ 541,427 $ 12,942 $ 544,369 $ 518,426 $ 25,943 Non-Compete Agreements 175,403 154,320 21,083 178,882 146,799 32,083 $ 729,772 $ 695,747 $ 34,025 $ 723,251 $ 665,225 $ 58,026
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]	Wholesale Leathercraft Retail Leathercraft Total 2015 $ 27 $ 6,549 $ 6,576 2016 108 6,333 6,441 2017 90 1,667 1,757 2018 - 1,417 1,417 2019 - 667 667 2020 - 667 667 Thereafter - 6,500 6,500

Note 2 - Notes Payable and Lo17

Note 2 - Notes Payable and Long-term Debt (Tables)	9 Months Ended
	Sep. 30, 2015
Notes Tables
Schedule of Debt [Table Text Block]	September 30, 2015 December 31, 2014 Business Loan Agreement with BOKF, NA – collateralized by real estate; payable as follows: Line of Credit Note dated September 18, 2015, in the maximum principal amount of $10,000,000 with features as more fully described above – interest due monthly at LIBOR plus 1.85%; matures September 18, 2020 $ 3,711,224 - Line of Credit Note dated September 18, 2015, in the maximum principal amount of $6,000,000 with revolving features as more fully described above – interest due monthly at LIBOR plus 1.85%; matures September 18, 2017 - - Credit Agreement with JPMorgan Chase Bank – collateralized by real estate; payable as follows: Line of Credit Note dated July 31, 2007, converted to a 10-year term note on April 30, 2008; $16,875 monthly principal payments plus interest at 7.1% per annum; matures April 30, 2018, retired - $ 2,143,125 Line of Credit Note dated July 12, 2012, as amended on June 23, 2014, in the maximum principal amount of $6,000,000 with revolving features as more fully described above – interest due monthly at LIBOR plus 2%; expired September 30, 2015 - 3,500,000 $ 3,711,224 $ 5,643,125 Less current maturities - 3,702,500 $ 3,711,224 $ 1,940,625

Note 3 - Stock-based Compensa18

Note 3 - Stock-based Compensation (Tables)	9 Months Ended
	Sep. 30, 2015
Notes Tables
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	Weighted Average Exercise Price # of shares Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Outstanding, January 1, 2014 $ 5.04 84,600 Granted - - Cancelled - - Exercised 4.32 (12,200 ) Outstanding, September 30, 2014 $ 5.78 72,400 6.42 $ 89,840 Exercisable, September 30, 2014 $ 5.78 72,400 6.42 $ 89,840 Outstanding, January 1, 2015 $ 5.16 72,400 Granted - - Cancelled (4.96 ) (2,000 ) Exercised (4.96 ) (2,000 ) Outstanding, September 30, 2015 $ 5.17 68,400 5.70 $ 83,933 Exercisable, September 30, 2015 $ 5.17 68,400 5.70 $ 83,933
Schedule of Share-based Compensation, Activity [Table Text Block]	September 3 0, 201 5 September 30, 201 4 Weighted average grant-date fair value of stock options granted N/A N/A Total fair value of stock options vested N/A N/A Total intrinsic value of stock options exercised $2,953 N/A
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block]	Shares Award Fair Value Balance, January 1, 2014 - - Granted 34,601 $ 8.96 Forfeited - - Vested - - Unvested Balance, September 30, 2014 34,601 $ 8.96 Balance, January 1, 2015 34,601 $ 8.96 Granted 34,484 $ 8.99 Forfeited Vested (8,652 ) $ 8.96 Unvested Balance, September 30, 2015 60,433 $ 8.97
Schedule of Unrecognized Compensation Cost, Nonvested Awards [Table Text Block]	2015 Award 2014 Award Total 2015 $ 19,376 $ 19,377 $ 38,753 2016 $ 77,503 $ 77,506 $ 155,009 2017 $ 77,503 $ 77,506 $ 155,009 2018 $ 77,503 $ 9,688 $ 87,191 2019 $ 9,688 - $ 9,688 $ 261,573 $ 184,077 $ 445,650

Note 4 - Earnings Per Share (Ta

Note 4 - Earnings Per Share (Tables)	9 Months Ended
	Sep. 30, 2015
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended Nine Months Ended September 30, September 30, 2015 2014 2015 2014 Numerator: Net income $ 1,111,344 $ 1,628,562 $ 4,063,647 $ 5,248,459 Numerator for basic and diluted earnings per share 1,111,344 1,628,562 4,063,647 5,248,459 Denominator: Weighted-average shares outstanding-basic 10,175,650 10,203,711 10,199,841 10,200,411 Effect of dilutive securities: Stock options 23,442 36,294 27,036 38,133 Restricted stock - 1,405 - 1,565 Dilutive potential common shares 23,442 37,699 27,036 39,698 Denominator for diluted earnings per share- weighted-average shares 10,199,092 10,241,410 10,226,877 10,240,109 Basic earnings per share $ 0.11 $ 0.16 $ 0.40 $ 0.51 Diluted earnings per share $ 0.11 $ 0.16 $ 0.40 $ 0.51

Note 7 - Segment Information (T

Note 7 - Segment Information (Tables)	9 Months Ended
	Sep. 30, 2015
Notes Tables
Schedule of Segment Reporting Information, by Segment [Table Text Block]	Wholesale Leathercraft Retail Leathercraft Int’l Leathercraft Total For the quarter ended September 30, 201 5 Net sales $ 6,114,793 $ 12,328,599 $ 912,545 $ 19,355,937 Gross profit 4,180,181 7,118,111 534,405 11,832,697 Operating earnings 682,461 1,122,222 55,068 1,859,751 Interest (expense) (228,235 ) - - (228,235 ) Other income (expense), net 9,408 - 28,912 38,320 Income before income taxes 463,634 1,122,222 83,980 1,669,836 Depreciation and amortization 200,147 141,582 11,931 353,660 Fixed asset additions 122,549 124,502 3,816 250,867 Total assets $ 40,209,669 $ 18,113,696 $ 4,277,115 $ 62,600,480 For the quarter ended September 30, 201 4 Net sales $ 6,294,745 $ 12,068,832 $ 1,053,657 $ 19,417,234 Gross profit 4,283,949 7,167,486 723,274 12,174,709 Operating earnings 1,000,329 1,270,884 185,714 2,456,927 Interest expense (63,684 ) - - (63,684 ) Other income (expense), net 19,556 - 17,969 37,525 Income before income taxes 956,201 1,270,884 203,683 2,430,768 Depreciation and amortization 241,264 114,516 17,058 372,838 Fixed asset additions 489,660 279,829 893 770,382 Total assets $ 44,943,519 $ 16,439,542 $ 2,578,444 $ 63,961,505 Wholesale Leathercraft Retail Leathercraft Int’l Leathercraft Total For the nine months ended September 30, 201 5 Net sales $ 19,234,375 $ 37,970,423 $ 2,713,431 $ 59,918,229 Gross profit 13,076,723 22,512,736 1,640,547 37,230,006 Operating earnings 2,602,868 3,862,343 117,263 6,582,474 Interest (expense) (307,160 ) - - (307,160 ) Other income (expense), net 46,570 - 21,500 68,070 Income before income taxes 2,342,278 3,862,343 138,763 6,343,384 Depreciation and amortization 714,401 412,179 36,536 1,163,116 Fixed asset additions 706,995 608,817 23,286 1,339,098 Total assets $ 40,209,669 $ 18,113,696 $ 4,277,115 $ 62,600,480 For the nine months ended September 30, 201 4 Net sales $ 19,576,180 $ 36,226,810 $ 3,156,317 $ 58,959,307 Gross profit 13,588,209 21,973,975 2,107,854 37,670,038 Operating earnings 3,479,908 4,171,500 428,459 8,079,867 Interest expense (154,367 ) - - (154,367 ) Other income (expense), net 44,730 - (527 ) 44,203 Income before income taxes 3,370,271 4,171,500 427,932 7,969,703 Depreciation and amortization 705,902 332,276 50,580 1,088,758 Fixed asset additions 886,719 781,795 50,951 1,719,465 Total assets $ 44,943,519 $ 16,439,542 $ 2,578,444 $ 63,961,505
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block]	Three months ended September 30, 20 15 20 14 United States $ 16,558,873 $ 16,219,193 Canada 1,693,958 1,908,966 All other countries 1,103,106 1,289,075 $ 19,355,937 $ 19,417,234 Nine months ended September 30, 20 15 20 14 United States $ 51,144,236 $ 49,298,035 Canada 5,432,724 5,835,776 All other countries 3,341,269 3,825,496 $ 59,918,229 $ 58,959,307

Note 1 - Basis of Presentatio21

Note 1 - Basis of Presentation and Certain Significant Accounting Policies (Details Textual) - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Amortization of Intangible Assets	$ 34,001	$ 33,924

Note 1 - Basis of Presentatio22

Note 1 - Basis of Presentation and Certain Significant Accounting Policies - Components of Inventory (Details) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Inventory on hand:
Finished goods held for sale	$ 32,295,201	$ 31,257,820
Raw materials and work in process	1,230,577	1,118,506
Inventory in transit	1,532,234	499,166
	$ 35,058,012	$ 32,875,492

Note 1 - Basis of Presentatio23

Note 1 - Basis of Presentation and Certain Significant Accounting Policies - Summary of Changes in Goodwill (Details) - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Leather Factory [Member]
Balance	$ 588,380	$ 598,579
Foreign exchange gain/loss	(15,202)	(6,328)
Balance	573,178	592,251
Tandy Leather [Member]
Balance	$ 383,406	$ 383,406
Foreign exchange gain/loss
Balance	$ 383,406	$ 383,406
Balance	971,786	981,985
Foreign exchange gain/loss	(15,202)	(6,328)
Balance	$ 956,584	$ 975,657

Note 1 - Basis of Presentatio24

Note 1 - Basis of Presentation and Certain Significant Accounting Policies - Intangible Assets (Details) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Trademarks and Copyrights [Member]
Other intangibles, gross	$ 554,369	$ 544,369
Accumulated Amortization	541,427	518,426
Other intangibles, net	12,942	25,943
Noncompete Agreements [Member]
Other intangibles, gross	175,403	178,882
Accumulated Amortization	154,320	146,799
Other intangibles, net	21,083	32,083
Other intangibles, gross	729,772	723,251
Accumulated Amortization	695,747	665,225
Other intangibles, net	$ 34,025	$ 58,026

Note 1 - Basis of Presentatio25

Note 1 - Basis of Presentation and Certain Significant Accounting Policies - Estimated Amortization Expense (Details)	Sep. 30, 2015USD ($)
Wholesale Leathercraft [Member]
2,015	$ 27
2,016	108
2,017	$ 90
2,018
2,019
2,020
Thereafter
Retail Leathercraft [Member]
2,015	$ 6,549
2,016	6,333
2,017	1,667
2,018	1,417
2,019	667
2,020	667
Thereafter	6,500
2,015	6,576
2,016	6,441
2,017	1,757
2,018	1,417
2,019	667
2,020	667
Thereafter	$ 6,500

Note 2 - Notes Payable and Lo26

Note 2 - Notes Payable and Long-term Debt (Details Textual)	Sep. 18, 2015USD ($)shares	Sep. 30, 2015USD ($)shares	Apr. 30, 2008	Jul. 31, 2007USD ($)aft²	Sep. 30, 2015USD ($)	Sep. 30, 2014USD ($)	Jun. 23, 2014USD ($)	Jul. 12, 2012USD ($)
Promissory Note and Business Loan Agreement with BOKF [Member] | Maximum [Member]
Debt Instrument, Covenants, Debt to EBITDA Ratio	1.5
Promissory Note and Business Loan Agreement with BOKF [Member] | Minimum [Member]
Debt Instrument, Covenants, Fixed Charge Coverage Ratio	1.2
Promissory Note and Business Loan Agreement with BOKF [Member]
Debt Instrument, Term	2 years
Line of Credit Facility, Maximum Borrowing Capacity	$ 6,000,000
Promissory Note with BOKF [Member]
Line of Credit Facility, Maximum Borrowing Capacity	$ 10,000,000
Line of Credit Facility, Maximum Shares to Be Purchased by Borrowing | shares	1,200,000
Line of Credit Facility, Term of the Term Note into which the Principal Balance Will Be Rolled	4 years
Proceeds from Issuance of Long-term Debt		$ 3,700,000
Treasury Stock, Shares, Acquired | shares		529,000
Two Promissory Notes with BOKF [Member] | London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument, Basis Spread on Variable Rate		1.85%
Two Promissory Notes with BOKF [Member]
Debt Instrument, Interest Rate, Effective Percentage		2.04%			2.04%
Credit Agreement with JPMorgan Chase Bank, N.A. [Member] | Building [Member]
Area of Real Estate Property | ft²				191,000
Credit Agreement with JPMorgan Chase Bank, N.A. [Member] | Land [Member]
Area of Real Estate Property | a				30
Credit Agreement with JPMorgan Chase Bank, N.A. [Member] | Term Note [Member] | Interest Expense [Member]
Debt Instrument, Prepayment Penalty		$ 200,000
Credit Agreement with JPMorgan Chase Bank, N.A. [Member] | Term Note [Member]
Debt Instrument, Term			10 years
Debt Instrument, Interest Rate, Stated Percentage			7.10%
Credit Agreement with JPMorgan Chase Bank, N.A. [Member]
Line of Credit Facility, Maximum Borrowing Capacity				$ 5,500,000
Proceeds from Bank Debt				$ 4,050,000
Line of Credit Note with JPMorgan Chase Bank, N.A.[Member]
Line of Credit Facility, Maximum Borrowing Capacity							$ 6,000,000	$ 4,000,000
Proceeds from Issuance of Long-term Debt					$ 3,711,224

Note 2 - Notes Payable and Lo27

Note 2 - Notes Payable and Long-term Debt - Summary of Credit Agreement and Line of Credit Note (Details) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Promissory Note with BOKF [Member]
Line of Credit Note dated September 18, 2015, in the maximum principal amount of $10,000,000 with features as more fully described above – interest due monthly at LIBOR plus 1.85%; matures September 18, 2020	$ 3,711,224
Promissory Note and Business Loan Agreement with BOKF [Member]
Line of Credit Note dated September 18, 2015, in the maximum principal amount of $10,000,000 with features as more fully described above – interest due monthly at LIBOR plus 1.85%; matures September 18, 2020	$ 0
Credit Agreement with JPMorgan Chase Bank, N.A. [Member]
Line of Credit Note dated September 18, 2015, in the maximum principal amount of $10,000,000 with features as more fully described above – interest due monthly at LIBOR plus 1.85%; matures September 18, 2020		$ 2,143,125
Line of Credit Note with JPMorgan Chase Bank, N.A.[Member]
Line of Credit Note dated September 18, 2015, in the maximum principal amount of $10,000,000 with features as more fully described above – interest due monthly at LIBOR plus 1.85%; matures September 18, 2020		3,500,000
	$ 3,711,224	5,643,125
Less current maturities		3,702,500
LONG-TERM DEBT, net of current maturities	$ 3,711,224	$ 1,940,625

Note 2 - Notes Payable and Lo28

Note 2 - Notes Payable and Long-term Debt - Summary of Credit Agreement and Line of Credit Note (Details) (Parentheticals) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2015	Dec. 31, 2014
Promissory Note with BOKF [Member] | London Interbank Offered Rate (LIBOR) [Member]
Line of Credit Note, Interest at LIBOR	1.85%
Promissory Note with BOKF [Member]
Line of Credit Note, Principal Amount	$ 10,000,000
Promissory Note and Business Loan Agreement with BOKF [Member] | London Interbank Offered Rate (LIBOR) [Member]
Line of Credit Note, Interest at LIBOR	1.85%
Promissory Note and Business Loan Agreement with BOKF [Member]
Line of Credit Note, Principal Amount	$ 6,000,000
Line of Credit Note with JPMorgan Chase Bank, N.A.[Member] | London Interbank Offered Rate (LIBOR) [Member]
Line of Credit Note, Interest at LIBOR		2.00%
Line of Credit Note with JPMorgan Chase Bank, N.A.[Member]
Line of Credit Note, Principal Amount		$ 6,000,000

Note 3 - Stock-based Compensa29

Note 3 - Stock-based Compensation (Details Textual) - USD ($)	1 Months Ended		9 Months Ended
	Feb. 28, 2015	Feb. 28, 2014	Sep. 30, 2015	Sep. 30, 2014
Restricted Stock [Member] | Chief Financial Officer [Member] | Restricted Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	9,343	9,375
Restricted Stock [Member] | Senior Vice President [Member] | Restricted Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	9,343	9,375
Restricted Stock [Member] | Independent Director 2 [Member] | Restricted Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	1,613	1,619
Restricted Stock [Member] | Independent Director 3 [Member] | Restricted Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	1,613	1,619
Restricted Stock [Member] | Independent Director 4 [Member] | Restricted Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	1,613	1,619
Restricted Stock [Member] | Executive Officers, Non-employee Directors and Other Key Employees [Member] | Restricted Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized			300,000
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	4 years	4 years
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	4 years	4 years
Restricted Stock [Member] | Chief Executive Officer [Member] | Restricted Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	9,344	9,375
Restricted Stock [Member] | Independent Director 1 Member] | Restricted Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	1,613	1,619
Restricted Stock [Member] | Restricted Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period			4 years
Restricted Stock [Member] | Operating Expense [Member]
Allocated Share-based Compensation Expense			$ 106,569	$ 48,441
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period			34,484	34,601
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized			$ 445,650	$ 261,584
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition			4 years
Director [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross			0	0
Allocated Share-based Compensation Expense			$ 0	$ 0
2007 Director Non-Qualified Stock Option Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period			10 years
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized			$ 0	$ 0

Note 3 - Stock-based Compensa30

Note 3 - Stock-based Compensation - Summary of Stock Option Activity (Details) - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014	Dec. 31, 2013
Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 5.17	$ 5.78	$ 5.16	$ 5.04
Outstanding, Number of Shares (in shares)	72,400	84,600
Exercised (in dollars per share)	$ 4.96	$ 4.32
Exercised (in shares)	(2,000)	(12,200)
Outstanding, Number of Shares (in shares)	68,400	72,400
Outstanding, Weighted Average Remaining Contractual Term	5 years 255 days	6 years 153 days
Outstanding, Aggregate Intrinsic Value	$ 83,933	$ 89,840
Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 5.17	$ 5.78
Exercisable, Number of Shares (in shares)	68,400	72,400
Exercisable, Weighted Average Remaining Contractual Term	5 years 255 days	6 years 153 days
Exercisable, Aggregate Intrinsic Value	$ 83,933	$ 89,840
Cancelled (in dollars per share)	$ (4.96)
Cancelled (in shares)	(2,000)
Exercised, Weighted Average Exercise Price (in dollars per share)	$ (4.96)	$ (4.32)

Note 3 - Stock-based Compensa31

Note 3 - Stock-based Compensation - Other Information Pertaining to Option Activity (Details)	9 Months Ended
	Sep. 30, 2015USD ($)
Total intrinsic value of stock options exercised	$ 2,953

Note 3 - Stock-based Compensa32

Note 3 - Stock-based Compensation - Activity for Nonvested Restricted Common Stock Awards (Details) - Restricted Stock [Member] - $ / shares	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Balance, January 1 (in shares)	34,601	0
Balance, January 1 (in dollars per share)	$ 8.96	$ 0
Granted (in shares)	34,484	34,601
Granted (in dollars per share)	$ 8.99	$ 8.96
Unvested Balance, September 30 (in shares)	60,433	34,601
Unvested Balance, September 30 (in dollars per share)	$ 8.97	$ 8.96
Vested (in shares)	(8,652)
Vested (in dollars per share)	$ 8.96

Note 3 - Stock-based Compensa33

Note 3 - Stock-based Compensation - Unrecognized Compensation Expense for Non-vested Restricted Stock Awards (Details)	Sep. 30, 2015USD ($)
Restricted Stock [Member] | 2015 [Member]
2,015	$ 19,376
2,016	77,503
2,017	77,503
2,018	77,503
2,019	9,688
	261,573
Restricted Stock [Member] | 2014 [Member]
2,015	19,377
2,016	77,506
2,017	77,506
2,018	$ 9,688
2,019
	$ 184,077
Restricted Stock [Member]
2,015	38,753
2,016	155,009
2,017	155,009
2,018	87,191
2,019	9,688
	445,650
	$ 0

Note 4 - Earnings Per Share (De

Note 4 - Earnings Per Share (Details Textual) - shares	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Weighted Average Number Diluted Shares Outstanding Adjustment	128,833	119,201

Note 4 - Earnings Per Share - C

Note 4 - Earnings Per Share - Computation of Basic and Diluted Earnings Per Share (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Employee Stock Option [Member]
Effect of dilutive securities:
Effect of dilutive securities (in shares)	23,442	36,294	27,036	38,133
Restricted Stock [Member]
Effect of dilutive securities:
Effect of dilutive securities (in shares)		1,405		1,565
Net income	$ 1,111,344	$ 1,628,562	$ 4,063,647	$ 5,248,459
Numerator for basic and diluted earnings per share	$ 1,111,344	$ 1,628,562	$ 4,063,647	$ 5,248,459
Basic (in shares)	10,175,650	10,203,711	10,199,841	10,200,411
Effect of dilutive securities (in shares)	23,442	37,699	27,036	39,698
Diluted (in shares)	10,199,092	10,241,410	10,226,877	10,240,109
Basic earnings per share (in dollars per share)	$ 0.11	$ 0.16	$ 0.40	$ 0.51
Diluted earnings per share (in dollars per share)	$ 0.11	$ 0.16	$ 0.40	$ 0.51

Note 5 - Cash Dividend (Details

Note 5 - Cash Dividend (Details Textual) $ / shares in Units, $ in Millions	Jun. 09, 2014USD ($)$ / shares
Common Stock, Dividends, Per Share, Cash Paid | $ / shares	$ 0.25
Dividends Payable	$ 2.5

Note 6 - Commitments and Cont37

Note 6 - Commitments and Contingencies (Details Textual) - USD ($)	1 Months Ended	3 Months Ended
	Sep. 24, 2012	Mar. 31, 2014
Litigation Settlement, Amount	$ 993,386
Payments for Legal Settlements		$ 744,273
Loss Contingency Escrow Deposit		993,386
Loss Contingency Escrow Account Balance		$ 249,000

Note 7 - Segment Information (D

Note 7 - Segment Information (Details Textual)	6 Months Ended
	Jun. 30, 2015
International Leathercraft [Member] | Northampton United Kingdom [Member]
Number of Stores	1
International Leathercraft [Member] | Sydney Australia [Member]
Number of Stores	1
International Leathercraft [Member] | Jerez Spain [Member]
Number of Stores	1
International Leathercraft [Member]
Number of Stores	3
Number of Operating Segments	3

Note 7 - Segment Information -

Note 7 - Segment Information - Summary of Reportable Operating Segments (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Wholesale Leathercraft [Member]
Net sales	$ 6,114,793	$ 6,294,745	$ 19,234,375	$ 19,576,180
Gross profit	4,180,181	4,283,949	13,076,723	13,588,209
Operating earnings	682,461	1,000,329	2,602,868	3,479,908
Interest expense	(228,235)	(63,684)	(307,160)	(154,367)
Other income (expense), net	9,408	19,556	46,570	44,730
Income before income taxes	463,634	956,201	2,342,278	3,370,271
Depreciation and amortization	200,147	241,264	714,401	705,902
Fixed asset additions	122,549	489,660	706,995	886,719
Total assets	40,209,669	44,943,519	40,209,669	44,943,519
Retail Leathercraft [Member]
Net sales	12,328,599	12,068,832	37,970,423	36,226,810
Gross profit	7,118,111	7,167,486	22,512,736	21,973,975
Operating earnings	$ 1,122,222	$ 1,270,884	$ 3,862,343	$ 4,171,500
Interest expense
Other income (expense), net
Income before income taxes	$ 1,122,222	$ 1,270,884	$ 3,862,343	$ 4,171,500
Depreciation and amortization	141,582	114,516	412,179	332,276
Fixed asset additions	124,502	279,829	608,817	781,795
Total assets	18,113,696	16,439,542	18,113,696	16,439,542
International Leathercraft [Member]
Net sales	912,545	1,053,657	2,713,431	3,156,317
Gross profit	534,405	723,274	1,640,547	2,107,854
Operating earnings	$ 55,068	$ 185,714	$ 117,263	$ 428,459
Interest expense
Other income (expense), net	$ 28,912	$ 17,969	$ 21,500	$ (527)
Income before income taxes	83,980	203,683	138,763	427,932
Depreciation and amortization	11,931	17,058	36,536	50,580
Fixed asset additions	3,816	893	23,286	50,951
Total assets	4,277,115	2,578,444	4,277,115	2,578,444
Net sales	19,355,937	19,417,234	59,918,229	58,959,307
Gross profit	11,832,697	12,174,709	37,230,006	37,670,038
Operating earnings	1,859,751	2,456,927	6,582,474	8,079,867
Interest expense	(228,235)	(63,684)	(307,160)	(154,367)
Other income (expense), net	38,320	37,525	68,070	44,203
Income before income taxes	1,669,836	2,430,768	6,343,384	7,969,703
Depreciation and amortization	353,660	372,838	1,163,116	1,088,758
Fixed asset additions	250,867	770,382	1,339,098	1,719,465
Total assets	$ 62,600,480	$ 63,961,505	$ 62,600,480	$ 63,961,505

Note 7 - Segment Information 40

Note 7 - Segment Information - Net Sales for Geographic Areas (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
UNITED STATES
Net sales	$ 16,558,873	$ 16,219,193	$ 51,144,236	$ 49,298,035
CANADA
Net sales	1,693,958	1,908,966	5,432,724	5,835,776
All Other Countries [Member]
Net sales	1,103,106	1,289,075	3,341,269	3,825,496
Net sales	$ 19,355,937	$ 19,417,234	$ 59,918,229	$ 58,959,307